Comments on: How will the Economic Crisis affect Wine? http://wineeconomist.com/2008/10/04/how-will-the-economic-crisis-affect-wine/ Fri, 07 Jun 2013 11:14:08 +0000 hourly 1 http://wordpress.com/ By: nielwino http://wineeconomist.com/2008/10/04/how-will-the-economic-crisis-affect-wine/#comment-261 Wed, 18 Feb 2009 06:18:42 +0000 http://wineeconomist.wordpress.com/?p=276#comment-261 I’m a fan of your posts Mike…..have your site bookmarked. Also as a link on my blog site http://wineideas.wordpress.com/.

All the best.

]]> By: David Boyer http://wineeconomist.com/2008/10/04/how-will-the-economic-crisis-affect-wine/#comment-191 Tue, 04 Nov 2008 21:55:51 +0000 http://wineeconomist.wordpress.com/?p=276#comment-191 Hello Mike,

Always provocative and insightful topics found here! I would not say with certainty that wine is recession proof but I would say that drinking pretty much is. The beverage of choice may change with supply and demand as you stated, along with changes in disposable income. But really why would, or why should, the wine industry be exempt from the credit crisis?

Maybe this recession can be productive in a couple of ways: weeding out the weaker players would not be a bad thing necessarily in terms of just ridding ourselves of some of the clutter. Truly, there is an enormous overgrowth of really poor quality wine out there and $4 to $10 wines are not contributing to the quality of wine in any conceivable way. I don’t mean to sound elitist but I want to say that there probably is not a whole lot of brand loyalty (or even loyalty to wine as a beverage) in this price range. If a $4 dollar bottle suddenly goes up to $6 a bottle, and someone can buy a twelve-pack of beer for $6 or $8 dollars, there goes your customer.

Secondly, perhaps a correction is due in the wine market and new release prices can come back down to earth again. $800+ for a 2005 Bordeaux that I should wait 15 years to enjoy? I can (and do) buy mature Bordeaux that can be enjoyed now for the same price or less. A $200 California Cab that less that five years ago was $50? A $180 dollar Malbec from Argentina? Do we really think this is sustainable? I don’t, and the middle of my wall is $50 to $100.

Personally, I’m not sorry to see markets correct because they have been driven by corporate and shareholder greed, and CEOs wearing 90 day glasses, for far too long. I am sorry however to see innocent hardworking men and women that had no part in the meltdown get hurt. As for the wine industry, I just don’t see a downside.

]]> By: boyce http://wineeconomist.com/2008/10/04/how-will-the-economic-crisis-affect-wine/#comment-174 Thu, 16 Oct 2008 16:55:10 +0000 http://wineeconomist.wordpress.com/?p=276#comment-174 Interesting post, Mike,

I’m living in China and concerned about what’s going to happen here, especially as I think any downturn will have an even bigger impact on wine, given that it is considered a luxury good, and isn’t really a part of daily life here. It looks like it would be one of the first items to go.

Cheers, Jim

]]> By: Mike Veseth http://wineeconomist.com/2008/10/04/how-will-the-economic-crisis-affect-wine/#comment-173 Wed, 15 Oct 2008 22:27:17 +0000 http://wineeconomist.wordpress.com/?p=276#comment-173 More links on this topic:
From Canada
http://www.theglobeandmail.com/servlet/story/RTGAM.20081015.l-decanter15/BNStory/lifeFoodWine/

From Argentina
http://winesur.com/ver_nota.php?nota=17559

]]> By: Mike Veseth http://wineeconomist.com/2008/10/04/how-will-the-economic-crisis-affect-wine/#comment-168 Sat, 11 Oct 2008 14:44:37 +0000 http://wineeconomist.wordpress.com/?p=276#comment-168 This Decanter.com article suggests that the high end of the wine market is experience the trade down effect, too.
http://www.decanter.com/news/269828.html?aff=rss

]]> By: Mike Veseth http://wineeconomist.com/2008/10/04/how-will-the-economic-crisis-affect-wine/#comment-167 Wed, 08 Oct 2008 18:30:11 +0000 http://wineeconomist.wordpress.com/?p=276#comment-167 Here are more links to news and opinion on this topic:

From Brazil: http://soniamelier.blogspot.com/2008/10/crise-e-os-vinhos.html

And a Wine Spectator report: http://www.winespectator.com/Wine/Features/0,1197,4633,00.html

]]> By: Mike Veseth http://wineeconomist.com/2008/10/04/how-will-the-economic-crisis-affect-wine/#comment-166 Mon, 06 Oct 2008 19:40:59 +0000 http://wineeconomist.wordpress.com/?p=276#comment-166 An interesting follow up to this post is found on the Wine Enthusiast magazine’s Unreserved blog:

http://blog.winemag.com/steve/2008/10/06/in-a-sinking-economy-a-local-wine-scene-sours/

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