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	<title>Comments for The Wine Economist</title>
	<atom:link href="http://wineeconomist.com/comments/feed/" rel="self" type="application/rss+xml" />
	<link>http://wineeconomist.com</link>
	<description>How Globalization is Reshaping the World of Wine</description>
	<pubDate>Thu, 20 Nov 2008 07:35:43 +0000</pubDate>
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		<title>Comment on GOOD News and the Grapes of Economic Wrath by John Sosnowy</title>
		<link>http://wineeconomist.com/2008/11/19/good-news-and-the-grapes-of-economic-wrath/#comment-210</link>
		<dc:creator>John Sosnowy</dc:creator>
		<pubDate>Wed, 19 Nov 2008 23:14:10 +0000</pubDate>
		<guid isPermaLink="false">http://wineeconomist.wordpress.com/?p=363#comment-210</guid>
		<description>Mike,
Your posts are always timely and informative. This one on trading down and switching over was especially good. Keep them coming!
John</description>
		<content:encoded><![CDATA[<p>Mike,<br />
Your posts are always timely and informative. This one on trading down and switching over was especially good. Keep them coming!<br />
John</p>
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		<title>Comment on The Rise (and Fall?) of Celebrity Wine by steve kirchner</title>
		<link>http://wineeconomist.com/2008/11/08/the-rise-and-fall-of-celebrity-wine/#comment-209</link>
		<dc:creator>steve kirchner</dc:creator>
		<pubDate>Mon, 17 Nov 2008 19:15:42 +0000</pubDate>
		<guid isPermaLink="false">http://wineeconomist.wordpress.com/?p=328#comment-209</guid>
		<description>i'm almost fifty and i barely remember Fess Parker the actor.  I think the 'resort wine' business has probably done more for him than Davey C. ever did.  Thirty years from now Lil Jon and the others may well be completely forgotten - unless they make really good wine...</description>
		<content:encoded><![CDATA[<p>i&#8217;m almost fifty and i barely remember Fess Parker the actor.  I think the &#8216;resort wine&#8217; business has probably done more for him than Davey C. ever did.  Thirty years from now Lil Jon and the others may well be completely forgotten - unless they make really good wine&#8230;</p>
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		<title>Comment on Everybody’s Selling Wine by David Boyer</title>
		<link>http://wineeconomist.com/2008/11/01/everybody%e2%80%99s-sellling-wine/#comment-208</link>
		<dc:creator>David Boyer</dc:creator>
		<pubDate>Sat, 15 Nov 2008 17:43:33 +0000</pubDate>
		<guid isPermaLink="false">http://wineeconomist.wordpress.com/?p=315#comment-208</guid>
		<description>Hi Mike,

Indeed everyone seems to be jumping on the bandwagon to sell wine. One of the biggest barriers to entry however seems to be the archaic statutes and regulatory requirements on the books of most every state. One would think that the fairly recent US Supreme Court rulings would have resolved this, which it did to an extent, but mostly for the benefit of wineries - not retailers.

Costco's strategy might be to slow down the spending on legal fees to defend their right to ship. From what I can see, they have been big proponents of trying to keep the Prohibition fringe from reemerging  in this country and have devoted substantial resources to the fight.
We are not going to make progress in commerce until we can change laws at a state level, not the least of which is the traditional three tier system of distribution: winery, distributor and retailer. Distributors have a lot of muscle in terms of political capital (read: contributions to politicians); thus the influence to protect their turf, even to the detriment of consumers.

Of course more retailers mean more competition for my dollar, which translates into more choices and better prices for me. The caveat is however, if I can get it shipped to my state or not. The downside of having more retailers is that there is more potential for duplicity and shabby business practices, especially when it comes to the issue of a wine's provenance.

I have come to trust certain retailers and auction houses over the years. These companies stand behind their wines as much as reasonably can be expected. One company even spent several days with me to track down the origin of a wine I purchased but suspected was counterfeit; it was not. So Amazon may get in the game but I doubt seriously if they care about wine like a fine wine merchant does. I would much rather pay a few dollars more to keep smaller wine merchants in business and know that my purchases are the quality I expect and am paying for.

As with most purchases, and perhaps more-so with internet purchases: buyer beware!

David Boyer</description>
		<content:encoded><![CDATA[<p>Hi Mike,</p>
<p>Indeed everyone seems to be jumping on the bandwagon to sell wine. One of the biggest barriers to entry however seems to be the archaic statutes and regulatory requirements on the books of most every state. One would think that the fairly recent US Supreme Court rulings would have resolved this, which it did to an extent, but mostly for the benefit of wineries - not retailers.</p>
<p>Costco&#8217;s strategy might be to slow down the spending on legal fees to defend their right to ship. From what I can see, they have been big proponents of trying to keep the Prohibition fringe from reemerging  in this country and have devoted substantial resources to the fight.<br />
We are not going to make progress in commerce until we can change laws at a state level, not the least of which is the traditional three tier system of distribution: winery, distributor and retailer. Distributors have a lot of muscle in terms of political capital (read: contributions to politicians); thus the influence to protect their turf, even to the detriment of consumers.</p>
<p>Of course more retailers mean more competition for my dollar, which translates into more choices and better prices for me. The caveat is however, if I can get it shipped to my state or not. The downside of having more retailers is that there is more potential for duplicity and shabby business practices, especially when it comes to the issue of a wine&#8217;s provenance.</p>
<p>I have come to trust certain retailers and auction houses over the years. These companies stand behind their wines as much as reasonably can be expected. One company even spent several days with me to track down the origin of a wine I purchased but suspected was counterfeit; it was not. So Amazon may get in the game but I doubt seriously if they care about wine like a fine wine merchant does. I would much rather pay a few dollars more to keep smaller wine merchants in business and know that my purchases are the quality I expect and am paying for.</p>
<p>As with most purchases, and perhaps more-so with internet purchases: buyer beware!</p>
<p>David Boyer</p>
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		<title>Comment on The Rise (and Fall?) of Celebrity Wine by larry schaffer</title>
		<link>http://wineeconomist.com/2008/11/08/the-rise-and-fall-of-celebrity-wine/#comment-195</link>
		<dc:creator>larry schaffer</dc:creator>
		<pubDate>Sat, 08 Nov 2008 18:45:16 +0000</pubDate>
		<guid isPermaLink="false">http://wineeconomist.wordpress.com/?p=328#comment-195</guid>
		<description>Thanks for the kind comments about our winery and our wines. I am on the winemaking team at Fess Parker Winery and our sister label, Epiphany Cellars. We are very proud of the quality of the wines we produce and are happy to put them up against any 'non-celebrity' wine.

We are also proud of our namesake and the vision he had to put the winery together. The winery will be celebrating its 20th Anniversary next year, and Fess and his children, Eli and Ashley (along with Ashley's husband, Tim Snider, our President), will be around often to enjoy the fruits of their labor. The next generation have helped take the winery to a new level quality-wise.

Thanks again!

Cheers!</description>
		<content:encoded><![CDATA[<p>Thanks for the kind comments about our winery and our wines. I am on the winemaking team at Fess Parker Winery and our sister label, Epiphany Cellars. We are very proud of the quality of the wines we produce and are happy to put them up against any &#8216;non-celebrity&#8217; wine.</p>
<p>We are also proud of our namesake and the vision he had to put the winery together. The winery will be celebrating its 20th Anniversary next year, and Fess and his children, Eli and Ashley (along with Ashley&#8217;s husband, Tim Snider, our President), will be around often to enjoy the fruits of their labor. The next generation have helped take the winery to a new level quality-wise.</p>
<p>Thanks again!</p>
<p>Cheers!</p>
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		<title>Comment on The Bottle Shock Effect by David Boyer</title>
		<link>http://wineeconomist.com/2008/09/30/the-bottle-shock-effect/#comment-192</link>
		<dc:creator>David Boyer</dc:creator>
		<pubDate>Tue, 04 Nov 2008 22:47:32 +0000</pubDate>
		<guid isPermaLink="false">http://wineeconomist.wordpress.com/?p=255#comment-192</guid>
		<description>There can be no question about the importance of this event to the California wine trade. But honestly I can't say the '70s is considered even an okay decade for French wine. Comparing Stag's Leap with a 1970 Mouton or Haut Brion, one can see how it would be possible for this California Cabernet Sauvignon to fare better in a blind tasting. In 1986 Spectator gave the Mouton a score of  85 and in 1991, it scored 84. Apparently by 1993, it had improved with age to score a 96. In 1986 Haut Brion was given an unbelievable 67 points, recovering by 1997 to score 90 points. Critic's scores are certainly also open to criticism and scrutiny but really how far off could they have been? These revered Bordeaux were not good wines to begin with and more often back then,  it was a struggle to produce high quality wines, especially in decades like the '70s.

As much as I appreciate CA wines, let's not delude ourselves with the results of this monumental event. A good vintage 1st Growth Bordeaux will blow away anything in its genre I can think of. It is the epicenter of great wine, which is why California and other great wine regions work so hard to emulate it.

The movie was typical Hollywood fluff, trying to pick up the Sideways demo segment. Not only were there gross inaccuracies, but it tried to be too many things to too many people, and ended up not doing any of it well. Hollywood would probably be offended if winemakers tried to make a feature film. Conversely, filmmakers generally should stay out of the wine world.</description>
		<content:encoded><![CDATA[<p>There can be no question about the importance of this event to the California wine trade. But honestly I can&#8217;t say the &#8217;70s is considered even an okay decade for French wine. Comparing Stag&#8217;s Leap with a 1970 Mouton or Haut Brion, one can see how it would be possible for this California Cabernet Sauvignon to fare better in a blind tasting. In 1986 Spectator gave the Mouton a score of  85 and in 1991, it scored 84. Apparently by 1993, it had improved with age to score a 96. In 1986 Haut Brion was given an unbelievable 67 points, recovering by 1997 to score 90 points. Critic&#8217;s scores are certainly also open to criticism and scrutiny but really how far off could they have been? These revered Bordeaux were not good wines to begin with and more often back then,  it was a struggle to produce high quality wines, especially in decades like the &#8217;70s.</p>
<p>As much as I appreciate CA wines, let&#8217;s not delude ourselves with the results of this monumental event. A good vintage 1st Growth Bordeaux will blow away anything in its genre I can think of. It is the epicenter of great wine, which is why California and other great wine regions work so hard to emulate it.</p>
<p>The movie was typical Hollywood fluff, trying to pick up the Sideways demo segment. Not only were there gross inaccuracies, but it tried to be too many things to too many people, and ended up not doing any of it well. Hollywood would probably be offended if winemakers tried to make a feature film. Conversely, filmmakers generally should stay out of the wine world.</p>
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		<title>Comment on How will the Economic Crisis affect Wine? by David Boyer</title>
		<link>http://wineeconomist.com/2008/10/04/how-will-the-economic-crisis-affect-wine/#comment-191</link>
		<dc:creator>David Boyer</dc:creator>
		<pubDate>Tue, 04 Nov 2008 21:55:51 +0000</pubDate>
		<guid isPermaLink="false">http://wineeconomist.wordpress.com/?p=276#comment-191</guid>
		<description>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.</description>
		<content:encoded><![CDATA[<p>Hello Mike,</p>
<p>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?</p>
<p>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&#8217;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.</p>
<p>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&#8217;t, and the middle of my wall is $50 to $100.</p>
<p>Personally, I&#8217;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&#8217;t see a downside.</p>
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		<title>Comment on Everybody’s Selling Wine by Kelly Lentz</title>
		<link>http://wineeconomist.com/2008/11/01/everybody%e2%80%99s-sellling-wine/#comment-190</link>
		<dc:creator>Kelly Lentz</dc:creator>
		<pubDate>Mon, 03 Nov 2008 23:04:35 +0000</pubDate>
		<guid isPermaLink="false">http://wineeconomist.wordpress.com/?p=315#comment-190</guid>
		<description>can't wait to see what comes next</description>
		<content:encoded><![CDATA[<p>can&#8217;t wait to see what comes next</p>
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		<title>Comment on Trading Down: Wine and Recession by Mike Veseth</title>
		<link>http://wineeconomist.com/2008/10/25/trading-down/#comment-189</link>
		<dc:creator>Mike Veseth</dc:creator>
		<pubDate>Thu, 30 Oct 2008 16:33:00 +0000</pubDate>
		<guid isPermaLink="false">http://wineeconomist.wordpress.com/?p=301#comment-189</guid>
		<description>Here's an article on trading down in the UK market:
http://www.telegraph.co.uk/finance/financetopics/financialcrisis/3280475/Wine-shoppers-opt-for-cheaper-bottles-as-credit-crisis-bites.html

and another one here
http://www.decanter.com/news/271167.html?aff=rss</description>
		<content:encoded><![CDATA[<p>Here&#8217;s an article on trading down in the UK market:<br />
<a href="http://www.telegraph.co.uk/finance/financetopics/financialcrisis/3280475/Wine-shoppers-opt-for-cheaper-bottles-as-credit-crisis-bites.html" rel="nofollow">http://www.telegraph.co.uk/finance/financetopics/financialcrisis/3280475/Wine-shoppers-opt-for-cheaper-bottles-as-credit-crisis-bites.html</a></p>
<p>and another one here<br />
<a href="http://www.decanter.com/news/271167.html?aff=rss" rel="nofollow">http://www.decanter.com/news/271167.html?aff=rss</a></p>
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		<title>Comment on The Swedish Solution by Andrew Cheese</title>
		<link>http://wineeconomist.com/2008/10/11/the-swedish-solution/#comment-181</link>
		<dc:creator>Andrew Cheese</dc:creator>
		<pubDate>Tue, 21 Oct 2008 04:40:19 +0000</pubDate>
		<guid isPermaLink="false">http://wineeconomist.wordpress.com/?p=289#comment-181</guid>
		<description>As in other countries with state monopolies, e.g. Canada, you will find upon visiting a Systembolaget store (even the numner one store in Regeringsgatan in Stockholm, that the choice is very limited (though prices on the high-end premium wines that are available are very good).</description>
		<content:encoded><![CDATA[<p>As in other countries with state monopolies, e.g. Canada, you will find upon visiting a Systembolaget store (even the numner one store in Regeringsgatan in Stockholm, that the choice is very limited (though prices on the high-end premium wines that are available are very good).</p>
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		<title>Comment on How will the Economic Crisis affect Wine? by boyce</title>
		<link>http://wineeconomist.com/2008/10/04/how-will-the-economic-crisis-affect-wine/#comment-174</link>
		<dc:creator>boyce</dc:creator>
		<pubDate>Thu, 16 Oct 2008 16:55:10 +0000</pubDate>
		<guid isPermaLink="false">http://wineeconomist.wordpress.com/?p=276#comment-174</guid>
		<description>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</description>
		<content:encoded><![CDATA[<p>Interesting post, Mike,</p>
<p>I&#8217;m living in China and concerned about what&#8217;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&#8217;t really a part of daily life here. It looks like it would be one of the first items to go.</p>
<p>Cheers, Jim</p>
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