Comments on: What Are The Marketing Costs For a $50 Bottle of Wine? http://www.wine-blog.org/index.php/2010/01/07/the-cost-of-a-50-bottle-of-wine/ Juicy Tales by Jo Diaz Fri, 03 Sep 2010 14:11:37 +0000 hourly 1 http://wordpress.org/?v=3.0.1 By: Fabius http://www.wine-blog.org/index.php/2010/01/07/the-cost-of-a-50-bottle-of-wine/comment-page-1/#comment-2626 Fabius Wed, 20 Jan 2010 16:54:10 +0000 http://wine-blog.org/?p=5853#comment-2626 I think (as a post mentions above) that the 3-tier system thing you have in the US is responsible for a lot of your woes. When I first learned of it (a few years back now) I couldn't believe it was true! I would hate to work with that - though here in Europe we have other problems!!! Re costs of a bottle, etc, it would be useful to distiguish between large companies with 000s of employees producing 000,000s of bottles of wine, and small quality producers. The numbers will be different, no? I think (as a post mentions above) that the 3-tier system thing you have in the US is responsible for a lot of your woes. When I first learned of it (a few years back now) I couldn’t believe it was true! I would hate to work with that – though here in Europe we have other problems!!!
Re costs of a bottle, etc, it would be useful to distiguish between large companies with 000s of employees producing 000,000s of bottles of wine, and small quality producers. The numbers will be different, no?

]]> By: Jo http://www.wine-blog.org/index.php/2010/01/07/the-cost-of-a-50-bottle-of-wine/comment-page-1/#comment-2604 Jo Sun, 17 Jan 2010 15:23:53 +0000 http://wine-blog.org/?p=5853#comment-2604 David, Just be thankful you don't live in Pennsylvania. They are the worst state for taxes. A $50 bottle of wine - in most states - just became (approximately) a $67 bottle of wine in PA, because of their tax system. David,

Just be thankful you don’t live in Pennsylvania. They are the worst state for taxes. A $50 bottle of wine – in most states – just became (approximately) a $67 bottle of wine in PA, because of their tax system.

]]> By: David http://www.wine-blog.org/index.php/2010/01/07/the-cost-of-a-50-bottle-of-wine/comment-page-1/#comment-2603 David Sun, 17 Jan 2010 06:56:51 +0000 http://wine-blog.org/?p=5853#comment-2603 Your forgetting state taxes....in Illinois on a bottle of wine regardless of cost it is $0.27 a bottle (Wholesale tax not sales tax) whether the bottle sales for 5.99 or $50......This varies greatly as a percentage. Your forgetting state taxes….in Illinois on a bottle of wine regardless of cost it is $0.27 a bottle (Wholesale tax not sales tax) whether the bottle sales for 5.99 or $50……This varies greatly as a percentage.

]]> By: Jo http://www.wine-blog.org/index.php/2010/01/07/the-cost-of-a-50-bottle-of-wine/comment-page-1/#comment-2602 Jo Sat, 16 Jan 2010 23:26:10 +0000 http://wine-blog.org/?p=5853#comment-2602 I agree, Wine-of-the-Month Club. With the thousand upon thousands of wine brands wanting self space and the attention of each one's wholesalers, the numbers just don't add up. ECONOMY OF SCALE: Those with the most marketing dollars will get the most attention. Those on the lower end of the totem pole, find yourself a great direct sales strategist, and get on with your lives. The future of your company depends on a great direct sales strategist, not a great wholesaler, per se. If you find a great wholesaler, be prepared to work the market with lots of capital. It's that cut and dry, I'm sorry to announce. (Truth always hurts, but if someone is actually listening and is this demographic, s/he will be much better off.) I agree, Wine-of-the-Month Club.

With the thousand upon thousands of wine brands wanting self space and the attention of each one’s wholesalers, the numbers just don’t add up.

ECONOMY OF SCALE:

Those with the most marketing dollars will get the most attention. Those on the lower end of the totem pole, find yourself a great direct sales strategist, and get on with your lives. The future of your company depends on a great direct sales strategist, not a great wholesaler, per se.

If you find a great wholesaler, be prepared to work the market with lots of capital.

It’s that cut and dry, I’m sorry to announce. (Truth always hurts, but if someone is actually listening and is this demographic, s/he will be much better off.)

]]> By: wine of the month club http://www.wine-blog.org/index.php/2010/01/07/the-cost-of-a-50-bottle-of-wine/comment-page-1/#comment-2601 wine of the month club Sat, 16 Jan 2010 22:40:49 +0000 http://wine-blog.org/?p=5853#comment-2601 Always interesting to dig into the facts and figures. This article combined with some of your other social media articles only belabors the need for wineries and partner organizations to do more with social medial and brand building in order to capture their customers more directly and eliminate the margins lost to the wholesaler and retailer. It's not to say that I advocate the disposal of the wholesaler and retailer as I am one, but I do think wineries should give more thought to what partners and methods they use in order to capture more sales directly for themselves. Always interesting to dig into the facts and figures. This article combined with some of your other social media articles only belabors the need for wineries and partner organizations to do more with social medial and brand building in order to capture their customers more directly and eliminate the margins lost to the wholesaler and retailer.

It’s not to say that I advocate the disposal of the wholesaler and retailer as I am one, but I do think wineries should give more thought to what partners and methods they use in order to capture more sales directly for themselves.

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