Tag Archives: beverage service

How Do You Perceive Value in Wine?

I find this topic very interesting, when the discussion includes someone from the supply side of the wine biz… I think there is a heavy dose of cynicism that the industry tends to develop regarding the consumer’s view of value. I work in only a part-time ancillary role to the industry and perhaps because of this, I see the irony… In my experience, the people truly passionate about wine are usually the consumers!

Wine and Brand Loyalty

Perhaps my view has been colored by 20 years of wine travel, meeting small winery owners and hearing their stories. I feel very connected to their life’s mission and can relate to their journey in some small way. Maybe, it is even envy for that kind of passion… to produce something exceptional. I can justify premium wine costs in my mind, based on the additional steps to quality many smaller wineries employ. I am also willing to spend my wine dollars based on a sliding scale associated with my enjoyment of the product.

I know bulk wine and mass distribution can introduce you to the least appealing side of the industry. This post is the direct result of a conversation regarding a vehement inability to find the value in wine over $40/btl. I have had a different experience, with winery visits, wine dinners, wine collectors groups, education programs and interaction with wine enthusiasts that have all been fun, built friendships and perhaps even romanticized the industry a bit for me. Perhaps, THAT is where the real value in wine lies. Early in my wine years, I would derive great pride in finding the lowest priced wine of the best quality to fill my cellar. Today, I think more about the wine I can enjoy best with my friends. Heck, I buy wine for my wife that I would never drink by myself, let alone pay top dollar for. I admit it, sometimes I buy wine just because I am fascinated by the winemaker’s passion for the trade.

Today, so much premium wine is sold without an understanding of who and why the consumer buys the product. Building brand loyalty at the upper end of the market demands an understanding of your customers and why they buy…

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Can We Make Heads or Tails Out of Wine Labels?

I am often flabbergasted at the “wine-speak” on so many labels. This is not a complete listing, just a shot over the bow at the most misused. Here is a go at cutting through the B.S.

American Wine Descriptors

Reserve

So, just what exactly are they reserving? Many wineries have you thinking this is the winemaker’s personal stash. Real meaning: this is the stuff we charge you more for, just because we can. Wineries are famous for including additional descriptors on this one, like “select reserve”, “private reserve”, or “premium reserve”.

Vintner Select

OK, would you really believe this one, if you saw it on a bottle? I have tasted wine from only one winery that uses this designation and fulfills the expectation: Pride Mountain Vineyards.

Estate Bottled

This is roughly what it says. The winery makes this wine from vineyards they own and control. The thought process here is, if the winemaker cares about the quality of the wine, he/she will watch over and tend to the quality of the fruit. While many of these wineries do produce very high quality wines, don’t count on it. There is a huge difference between a knowledgeable vineyard manager vs. a savvy winemaker.

Single Vineyard

All fruit used in the making of this wine came from one specific named vineyard. This CAN be a tool in selecting quality wines. If you track where the fruit originates in the wines you drink and you notice you consistently enjoy wines made from a specific vineyard… you just hit the veritable wine-o jackpot.

Single Block

All fruit used in the making of this wine came from one row, or section of one specific named vineyard. See Single Vineyard.

AVA – American Viticultural Area

This is the point of origin, such as the Napa Valley, Dry Creek, or Paso Robles (etc.) designation you see on the label. So guess what, only 85% of the fruit must come from that area to be referenced on the label. Here is another good one… by law in the U.S., if it says Cabernet Sauvignon on the label – only 75% of the wine must be made from that variety. The only restriction for the balance is, it must come from the same AVA. The possibilities stagger the mind.

Meritage

This applies when somebody paid the Meritage Association to use the name. For red wines, it represents a wine blended from any two or more of the following grape varieties: Cab Sauv, Cab Franc, Merlot, Petit Verdot, Malbec or Carmenere. Absolutely no implication of quality.

Bordeaux Blend

For red wines, it represents a wine blended from any two or more of the following grape varieties: Cab Sauv, Cab Franc, Merlot, Petit Verdot, Malbec or Carmenere. Absolutely no implication of quality. Geez, does that sound familiar? See Meritage.

European Wine Descriptors

Cru

A vineyard of notable quality, or specific terroir. Nothing to do with the quality of the wine. Single Cru – see Single Vineyard above.

Grand Cru

A vineyard producing an unusually high quality of fruit. Has a more specific meaning in the Burgundy region in France. See reference Beaune Committee of 1861, then forget you read it. You just have to ask yourself, who exactly is deciding this stuff? Also, just because the fruit is of high quality does not mean the wine is.

Premier Cru / 1er Cru

A vineyard producing an unusually high quality of fruit, just not as good as the Grand Cru. What? See reference Beaune Committee of 1861 and then forget it again.

1st Growth

Oh boy, here we go… best, most prestigious wineries in Bordeaux France. In reality, these were just the most expensive wineries at the time this classification was established – 1855. See Bordeaux Classification of 1855.

Be Skeptical of Wine-Speak and Make Your Own Evaluation

My guess is, at this point you have already lost interest, but for those of indomitable spirit… we trudge on with a few final comments.

By now you have probably figured out, what is on a wine label is so full of marketing gibberish, it is hard to distinguish what is of real relevance. Good luck on that one. In the U.S. vs. Europe, it is particularly a serious concern. In many parts of Europe, individual wine producing areas actually enforce practices to improve the quality of the wine from that area, unlike the U.S. with no such requirements.

I hear more and more from the industry that consumers are relying on their own tastes and making fewer buy decisions based on professional wine critics’ recommendations. In the same vein, it would be smart not to trust the wineries own professional claims printed on wine labels too! If you would like to share additional suspicious verbiage seen on a wine label, please email them to me at winedocg@cox.net.

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Wine: The New Breakfast Drink?

World Wine Culture

Consumption patterns across the world are so different it can be startling. Here in the U.S., the largest share of the wine market is Chardonnay as an aperitif. Last year I was in Alba, Italy and was lucky enough to witness a few local winemakers having a discussion about the proper wine to pair with breakfast! They settled on a Dolcetto table wine at 10% ABV

Wine, its place with cuisine and its socially acceptable consumption is perceived very differently from country to country. I was in Germany earlier that year at a wine festival in Stuttgart and there must have been 100 producers there, with a 1000+ Germans very happily drinking sweet Riesling and Spatburgunder with their schnitzel & spatzele (very little dry wine). What an awful wine-food pairing, based on the U.S. palate. To a large extent, wine demand represents local preference, i.e. the weak market for import wines in California.

Breakfast of Champions, or NOT

So, could a wine producer develop a market in the U.S. for a very light, low alcohol red wine with a minimum of fruit, like the breakfast Dolcetto in Italy? Doubtful… but it sure has me thinking about the lifestyle associated with that kind of demand. I may be living in a shack on the beach in Italy soon! Wait, it would never work. My wine cellar would never fit!

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Filed under German Wine, Italian Wine, Wine Education, Wine Industry, Wine Tasting, Wine Travel

Restaurant Wine Service and Profitability

Formula for a Successful Restaurant

So many restaurant owners ignore the potential of their beverage service. Yes, it requires an investment, but I have run the numbers many times… and it is just too difficult to hit the necessary gross profit margin without at least a 30% revenue and 40% profit contribution from beverage. Business plans become tortured, when based on food alone. I don’t care how good the product is. U.S. business statistics show, only one out of seven new restaurant start-ups last past the first five years.

Attitude and Passion

To run a beverage program at a fine dining restaurant requires an infectious passion and an ability to be a wine ambassador to draw your clientele into wine culture to succeed. The fine dining experience is all about superior service, telling stories and relating to the customer, all with an eye on education – not only regarding wine/beer/spirits, but also appropriate food pairings too. This seems to overwhelm many owners, but the result is worth the effort and may even be the key to long-term survival.

Business Planning in the Restaurant Trade

So often businesses lose sight of the financial viability of their annual budget and business plan (if they have one). I think, especially so in the restaurant trade. As a business owner, the tendency is to focus on a comfort zone and day-to-day operations, while overlooking whether the right plan is in place to achieve success. Having owned businesses and managed organizations in the past, even those with highly motivated employees, it is easy to lose track of the need for financial planning, marketing and experimenting with ways to enhance customer loyalty. Beverage is one of those keys to success.

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Filed under Cool Climate Wine, Restaurant, Wine Industry, Wine Tasting