Tag Archives: Andre’s

Millennial Math — Where’s the value in wine?

A few days ago I wrote about the “Boredom Factor” that is sapping Millennials’ enthusiasm for wine. But engaging Millennials with things that are new, interesting and authentic is only part of the battle. The industry also needs to reframe the discussion about value and pricing.

Photo by Ecole polytechnique Université Paris-Saclay. Uploaded to Wikimedia Commons under CC-BY-SA-2.0

Let’s face it, wine delivers horrible “bang for the buck”–especially compared to other alcoholic beverages. This is true at all price points, but particularly at the low-end (and ironically titled) “value wine” segment.

For smaller boutique wineries, worrying about “value wine” might not seem like a big deal. But the issues impacting the top shelf take root on the bottom.

If you want to know why $100+ bottles of Napa Cab are in danger, head to your local grocery store and look around.

Millennial Math in the Grocery Store

I’ll get to our boutique and more premium wine brands below. But let’s start with a cash-strapped Millennial who want to spend less than $10 for something to drink. You could go to the wine aisle and find stuff like this.

Yellow Tail and other under $10 wines

Then there are other options as well–like Barefoot, Arbor Mist, Cooks, Andre’s and more. At this one grocery store, I estimated that around 40% of their wine selection was sub $10. So, diversity, yeah?

But they all fall into the same “sameness” of sweet, simple or boring Cabs, Chards and Red Blends. Sure, you have the occasional gimmick of things like the “living labels” of Treasury Wine Estates’ 19 Crimes. However, after the novelty of a cute label wears off, it’s still the same boring juice in the bottle.

Now right next to the wine department in many stores is a beer department which has likely been greatly expanded thanks to the craft beer boom.

Let’s see what under $10 options our Millennial shopper has there.

22 oz Beer bomber singles

These are 22 oz “bomber” sizes of beer which is only a tad smaller than the standard 750ml (25.4 oz) bottle of wine. In this one Albertsons grocery store, I counted over 80 different SKUs of at least 20 different styles of beer among under $10 bombers. And this was a rather small grocery selection for the Seattle-area market.

If you think of beer styles (Belgian Tripel, New England IPA, Oatmeal Stout, etc.) like grape varieties, the beer department has the wine industry smoked when it comes to answering the “Boredom Factor.”

Even among the same style (like IPA), you are far more likely to find distinct personalities and differences (hoppiness) among various brews than you ever would dream of finding among under $10 Cabs, Chards and Red Blends.

I have a fair amount of industry folks who read this blog so I’m going to ask you to step back and take off your “wine hat” for a moment. If you were a young post-college Millennial shopper with no personal connection (like having visited a winery) or long-term relationship with drinking wine, what would you spend your $10 on?

Are we just waiting for better times?

Yeah, things suck right now for the broke 20-something Millennial. But can we really predict their future buying potential based on the habits of their 20s?

It’s true that most Millennials have not entered their peak earning ages. Likewise, most have not reached the ages when previous generations started embracing wine.

Jason Haas, of Tablas Creek, makes that later point particularly well as he points out some of the silver linings amidst the gloom and doom assessments about Millennials.

The median age of a Millennial is 30, but the Millennials at the peak of the demographic bubble are just 24. Were many Baby Boomers drinking wine at age 30, let alone 24? No. How about GenX? Not much. Millennials are drinking more wine than preceding generations were at the same age, which should be a positive enough trend. — Jason Haas, Are the gloomy messages about the state of the wine industry warranted? I say not for wineries like us. 2/4/2019

I concede Haas’ point and appreciate his optimism. I’ve certainly not hidden my affection or admiration for Tablas Creek’s business acumen. Though Haas is a “proud Gen Xer,” he pretty much runs Tablas Creek like a Millennial with a brand that embraces transparency, authenticity and sustainability along with pushing the envelope for new and exciting wines.

Without a doubt, if more wineries followed Tablas Creek’s example, the Boredom Factor would almost be a non-issue.

But what I fret that Haas’ optimism overlooks is the habits and perceptions that are being ingrained into Millennial consumers right now. Haas’ generation (and the Boomers) had the benefit of a promising economic outlook before them–where there was the potential for growth in earnings and career development.

That is a luxury that many Millennials don’t have and this is something that we are all too aware of. Even if things get a little bit better into our late 30s and 40s, it’s going to be very difficult to shake the mindset and spending habits of our formative 20s and early 30s.

Valuing “Value”

While things are not as bad as they were during the Great Depression, social scientists and economists are already drawing parallels to the spending habits and mindset of Millennials with those of the Silent Generation born between 1925-1945.

Even though the Silent Generation benefited from the post-war boom, many kept the spending habits imprinted on them during the hardship of the Great Depression. Prominent among those retained habits was the idea of stretching your dollar–even when you had more dollars to stretch.

Millennials certainly like to be entertained. We want experiences and to feel connected. And we avoid boredom like the plague.

But we deeply value “value.”

The $15-25 Sweet Spot

Let’s go back to the grocery store and look at the more premium $15-25 “sweet spot” range of wine pricing–with emphasis on the sweet.

Meiomi & 7 deadly with cheaper spirits

Usually, Meiomi is not over $25 so, for the sake of argument, I’m including it here.

When you get up to the higher price points, wine’s competition is not just beer (with many interesting six and twelve packs available in this price range) but also spirits as well. But spirits adds another dimension because they’re far less perishable and the servings are much smaller.

With wine and beer, you ideally want to enjoy it the same day that it was opened. But a comparably priced spirit can last weeks or even months.

Now I can hear wine folks scoffing at the idea of Captain Morgan or Deep Eddy taking away throat share from anyone older than 23. Yeah, I get it. The “Fireball crowd” eventually grows up. But for those folks who lose the sweet tooth and want something with more complexity, the spirits department still offers numerous options–especially among whiskeys.

Plus, because of how long a bottle of whiskey last, a Millennial could even stretch their $25 drinking budget to $40 and still get some very compelling value.

Old Forester and Woodford reserve

Personally not a fan of the Redneck Riviera but I’d take it over Meiomi any day of the week.

Granted, you have to sometimes deal with the inconvenience of getting the product out of lockup. Also, in some states (like Washington) there are crazy high liquor taxes to account for too.

However, this is all part of the sum-value Millennial Math that we deal with on every trip to the store. What the wine industry needs to concern itself with is how all these figures are adding up.

Banking on Premium Spenders

I want to embrace the optimism that as Millennials feel financially secure, they will turn to wine and start spending in the premium category. That means not only a strong wine industry but also a strong economy overall.

But I can’t shake the feeling that even if Millennials have more money to spend, that they’re not going to be impressed with the value they see in high-end wines. This is something that I’ve personally experienced myself. I’m very fortunate in my financial situation to where I can occasionally splurge on bottles like Opus One, Silver Oak, Cristal and Petrus.

You know what? I’d rather drink Pappy.

I feel this way even though I’m a highly-engaged wine drinker with a personal connection to wine. I’ve been bitten hard by the bug and have a healthy cellar to show for it.

But if you ask me for my brutally honest choice of whether to spend another $2600-4000 on a bottle of Petrus or something like the 1981 Glenmorangie Pride, I would choose the Glenmorangie every time.

And this is coming from someone that keeps a picture of Petrus as their background banner on Facebook!

However, when I step back and let my Millennial nature take over–when I think about the sum-value of what I’m getting compared to what I’m paying–whiskey beats out wine.

If that’s the case with someone like me, then how do you think the math is playing out with my co-horts?

The Petruses of the World are not the ones that need to worry.

Petrus is not going to have problems selling their wine. Even if Millennials aren’t spending at levels of past generations, wineries like Petrus make so little at such high prices that they only need a few folks to bite the bullet each vintage. There is always going to be enough people like me who shell out thousands to attend our Super Bowl–even if it ends up being a 13-3 snorefest.

The real hurt is going to be felt by all the wineries making NFL regular-season and playoff-type wines. They’re the ones that are going to have to convince Millennials that their wines are worth the price of the ticket.

Let’s go back and look at our supermarket shelf at some of the $50-100 options.
$50 to 100 wine vs spirits

That is an excellent price on the Grgich. The only thing that kept me from pulling the trigger was wondering how long it had been standing upright under the supermarket’s harsh lights.

Again, why spend $50-100 for something that needs to be enjoyed mostly in one night (unless you spend another $200+ for a preservation system like the Coravin) over something you could stretch for months?

Wine’s saving grace has been that only a small segment of drinkers have developed a taste for brown spirits like whiskey, tequila and rum. But those categories are growing–especially among Millennials and women.

If the boredom factor doesn’t kill off the $100+ Napa Cab, brown spirits certainly will.

But it all starts back in the beginning, with the spending habits and perception of value that Millennials are developing now with their under $10 and $15-25 options. Here is where wineries are losing the battle before the war even begins.

Yeah, Millennials wanderlust is great and can definitely help wineries that are offering different and exciting wines. But that same wanderlust also fuels our openness in trying other beverages like craft beer and brown liquors. The more we try them, the more those other options become players in the “sum-value” game of Millennial Math.

And, right now, that math is seriously working against the wine industry.

Subscribe to Spitbucket

New posts sent to your email!

Geek Notes — Five Essential Books On Champagne

Champagne is the benchmark for all sparkling wine. Any wine student studying for advance certifications needs to be able to explain what makes Champagne unique. They also should be familiar with important producers–both big houses and influential growers.

Important Champagne books

While there are certainly online resources available, few things top a great reference book that can be highlighted and annotated to your heart’s content.

One of the best tips for wine students (especially on a budget) is to check out the Used Book offerings on Amazon. Often you can find great deals on wine books that are just gently used. This lets you save your extra spending money for more wine to taste.

Since the prices of used books change depending on availability, I’m listing the current best price at time of writing. However, it is often a good idea to bookmark the page of a book that you’re interested in and check periodically to see if a better price becomes available.

Here are the five most essential books on Champagne that every wine student should have.

Christie’s World Encyclopedia of Champagne & Sparkling Wine by Tom Stevenson & Master of Wine Essi Avellan (Used starting at $29.97)

The Christie’s encyclopedia is ground zero for understanding the basics about Champagne (production methods, styles, grape varieties, etc). But, even better, it is a launching pad for understanding the world of sparkling wine at large and seeing how Champagne fits in that framework.

While Champagne will always be a big focus of most wine exams, as my friend Noelle Harman of Outwines discovered in her prep work for Unit 5 of the WSET Diploma, you do need to have a breadth of knowledge of other sparklers.

In her recent exam, not only was she blind tasted on a Prosecco and sparkling Shiraz from Barossa but she also had to answer theory questions on Crémant de Limoux and the transfer method that was developed for German Sekt but became hugely popular in Australia & New Zealand. While there are tons of books on Champagne, I’ve yet to find another book that extensively covers these other sparkling wines as well as the Christie’s encyclopedia.

Changes in the new edition
Chapel Down wine

Global warming has made England an exciting region for sparkling wine. The revised edition of Christie’s Encyclopedia has 17 page devoted to the sparklers of the British Isles.

Tom Stevenson wrote the first Christie’s Encyclopedia of Champagne & Sparkling Wine back in the late 1990s. That edition tallied 335 pages while the newest edition (2013) has 528 pages with more than half of those pages covering other notable sparkling wine regions like England, Franciacorta, Tasmania and more. The new edition also has a fresh perspective and feel with the addition of Champagne specialist Essi Avellan as a significant contributor.

In addition to covering the terroir and characteristics of more than 50 different regions, the Christie’s encyclopedia also includes over 1,600 producer profiles. The profiles are particularly helpful with the major Champagne houses as they go into detail about the “house style” and typical blend composition of many of their wines.

Champagne [Boxed Book & Map Set]: The Essential Guide to the Wines, Producers, and Terroirs of the Iconic Region by Peter Liem. (Used starting $36.57)

The long time scribe of the outstanding site ChampagneGuide.net, Peter Liem is the first author I’ve came across that has taken a Burgundian approach towards examining the terroirs of Champagne.

For a region that is so dominated by big Champagne houses who blend fruit from dozens (if not hundreds) of sites, it’s easy to consider terroir an afterthought. After all, isn’t Champagne all about the blend?

But Champagne does have terroir and as grower Champagnes become more available, wine lovers across the globe are now able to taste the difference in a wine made from Cramant versus a wine made from Mailly.

In-depth Terroir
Pierre Gerbais Champagne

Several of the most delicious Champagnes I’ve had this year have came from the Côte des Bar–like this 100% Pinot blanc from Pierre Gerbais.
Yet, historically, this region has always been considered the “backwoods” of Champagne and is given very little attention in wine books.

Liem’s work goes far beyond just the the terroir of the 17 Grand Cru villages but deep into the difference among the different areas of the Côte des Blancs, Montagne de Reims, the Grande Vallée, the Vallée de la Marne, Côteaux Sud d’Épernay, Côteaux du Morin, Côte de Sézanne, Vitryat, Montgueux and the Côte des Bar.

Most books on Champagne don’t even acknowledge 6 of those 10 sub-regions of Champagne!

Not only does Liem discuss these differences but he highlights the producers and vineyards that are notable in each. No other book on Champagne goes to this level of detail or shines a light quite as brightly on the various terroirs and vineyards of Champagne.

The best comparisons to Liem’s Champagne are some of the great, in-depth works on the vineyards of Burgundy like Marie-Hélène Landrieu-Lussigny and Sylvain Pitiot’s The Climats and Lieux-dits of the Great Vineyards of Burgundy, Jasper Morris’ Inside Burgundy and Remington Norman’s Grand Cru: The Great Wines of Burgundy Through the Perspective of Its Finest Vineyards.

Liem’s book also comes with prints of Louis Larmat’s vineyard maps from the 1940s. While I’m a big advocate of buying used books, these maps are worth paying a little more to get a new edition. This way you are guaranteed getting the prints in good condition. I’m not kidding when I say that these maps are like a wine geek’s wet dream.

Bursting Bubbles: A Secret History of Champagne and the Rise of the Great Growers by Robert Walters (New available for $18.14)

I did a full review of Bursting Bubbles earlier this year and it remains one of the most thought-provoking books that I’ve read about wine.

Photo by victorgrigas. Uploaded to Wikimedia Commons under CC-BY-SA-3.0

If you think I get snarky about Dom Perignon, wait till you read Walters take on the myths surrounding him and the marketing of his namesake wine.

Walters believes that over the years that Champagne has lost its soul under the dominance of the big Champagne houses. While he claims that the intent of his book is not to be “an exercise in Grandes Marques bashing”, he definitely heaps a fair amount of scorn on the winemaking, viticulture and marketing practices that have elevated the Grandes Marques to their great successes.

Throughout the book he “debunks” various myths about Champagne (some of which I personally disagree with him on) as well as interviews many of influential figures of the Grower Champagne movement.

While there is value in Bursting Bubbles from a critical thinking perspective, it is in those interviews where this book becomes essential for wine students. There is no denying the importance of the Grower Champagne movement in not only changing the market but also changing the way people think about Champagne. Growers have been key drivers in getting people to think of Champagne as a wine and not just a party bottle.

Serious students of wine need to be familiar with people like Pascal Agrapart, Anselme Selosse, Francis Egly, Jérôme Prévost and Emmanuel Lassaigne. Walters not only brings you into their world but puts their work into context. While other Champagne books (like Christie’s, Peter Liem’s and David White’s) will often have profile blurbs on these producers, they don’t highlight why you need to pay attention to what these producers are doing like Bursting Bubbles does.

Champagne: How the World’s Most Glamorous Wine Triumphed Over War and Hard Times by Don and Petie Kladstrup. (Used starting at $1.90)

In wine studies, it’s so easy to get caught up in the technical details of terroir, grape varieties and winemaking that you lose sight of a fundamental truth. Wine is made by people.

Of course, the land and the climate play a role but the only way that the grape makes its way to the glass is through the hands of men and women. Their efforts, their story, marks every bottle like fingerprints. To truly understand a wine–any wine–you need to understand the people behind it.

Photo scan from a postcard with unknown author. Uploaded to Wikimedia Commons under Anonymous-EU

During the height of World War I, when the vineyards and streets of Champagne were literal battlefields, the Champenois descended underground and lived in the caves that were used to aged Champagne.
This photo shows a makeshift school that was set up in the caves of the Champagne house Mumm.

While there are great history books about Champagne (one of which I’ll mention next), no one has yet brought to life the people of Champagne quite as well as the Kladstrups do in Champagne.

Set against the backdrops of the many wars that have scarred the region–particularly in the 19th & 20th century–the Kladstrups share the Champenois’ perseverance over these troubles. Even when things were at their bleakest, the people of Champagne kept soldiering on, producing the wine that shares their name and heritage.

If you wonder why wine folks have a tough time taking sparkling wines like Korbel, Cook’s and Andre’s (so called California “champagnes”) seriously, read this book. I guarantee that you will never use the word Champagne “semi-generically” again.

It’s not about snobbery or marketing. It’s about respect.

But First, Champagne: A Modern Guide to the World’s Favorite Wine by David White (Used starting at $6.00)

David White is known for founding the blog Terroirist. He gives a great interview with Levi Dalton on the I’ll Drink To That! podcast about his motivations for writing this book. While he acknowledges that there are lots of books about Champagne out on the market, he noticed that there wasn’t one that was deep on content but still accessible like a pocket guide.

While the producer profiles in the “pocket guide” section of the book overlaps with the Christie and Liem’s books (though, yes, much more accessible) where White’s book becomes essential is with his in-depth coverage on the history of the Champagne region.

A Tour of History
Photo from Département des Arts graphiques ; Sully II, Epi 5, Fonds des dessins et miniatures. References Joconde database: entry 50350213446. Uploaded to Wikimedia Commons under PD-Art (PD-old-100)

A watershed moment for sparkling Champagne was in 1728 when Louis XV struck down the laws that prohibited shipping wine in bottles. Prior to this, all French wines had to be shipped in casks.
Soon after, as White’s book notes, the first dedicated Champagne houses were founded with Ruinart (1729) and Chanoine Frères (1730).

The first section of the book (Champagne Through The Ages) has six chapters covering the history of the Champagne region beginning with Roman times and then the Franks to Champagne’s heritage as a still red wine. It continues on to the step-by-step evolution of Champagne as a sparkling wine. These extensively detailed chapters highlights the truth that sparkling Champagne was never truly invented. It was crafted–by many hands sculpting it piece by piece, innovation by innovation.

There are certainly other books that touch on these history details like Hugh Johnson’s Vintage: The Story of Wine (no longer in print), Kolleen M. Guy’s When Champagne Became French, Tilar J. Mazzeo’s The Widow Clicquot as well as previous books mentioned here. But they all approach Champagne’s history from different piecemeal perspectives while White’s work is a focused and chronological narrative.

I also love in his introduction how White aptly summarizes why Champagne is worth studying and worth enjoying.

“From dinner with friends to a child’s laughter or a lover’s embrace, every day has moments worth the warmth of reflection—and worthy of a toast.

Life is worth celebrating. And that’s why Champagne matters.” — David White, But First, Champagne

It is indeed and, yes, it does.

Subscribe to Spitbucket

New posts sent to your email!

Pink Washing in the Booze Industry for Pride Month

“You know you matter as soon as you are marketable.”

I found that quote scribbled in the margins of a used copy of Wine Marketing & Sales I purchased from Amazon. I have no clue about the original author. However, a cynical corollary to that proverb often gets bantered about during Pride Month.

“Businesses start paying attention when they realize you can be marketed to.”

The origins of Pride is about the LGBT community overcoming obstacles and affirming our right to live openly and without fear. It’s something that is still needed even today. Yet every year there are concerns that the significance of Pride is lost in lieu of having a big ole party.

But this conflict isn’t unique to Pride. Many religious and secular holidays such as Christmas and Memorial Day have drifted far from their original meaning.

Far from sitting on the sidelines, the alcohol industry is often at the forefront in this crass commercialization of holidays with producers and retailers banking on the uptick of sales during the winter holidays to make their financial year–which is why things like “reindeer wine,” boozy ornaments and whiskey advent calendars exist.

Likewise, every Memorial Day will prominently feature large liquor displays at stores–not necessarily to help people remember the sacrifice of service members but rather to “toast the beginning of summer” with a packed cooler and a 3-day weekend.

Eat, Drink and Be Gay

Even with the many challenges we still face (especially globally), the LGBT community has indeed moved beyond being universally shunned and shuttered into the closest. We’re now a very marketable demographic that businesses eagerly seek. With an estimated purchasing power of nearly $1 trillon in the US, on a global scale, the LGBT community would have the 4th largest GDP of any country at $4.6 trillion.

Photo by puroticorico. Released on Wikimedia Commons under CC-BY-SA-2.0

A pride float in Chicago featuring Absolut Vodka

Is it any wonder why businesses see Pride Month as “Gay Christmas”?

Again, you can look and find examples of the alcohol industry leading the way with vodka brands like Absolut and Smirnoff developing ad campaigns for the LGBT community since the 1980s and Anheuser-Busch being a fixture at Pride events since the 1990s.

In the wine industry, Clos du Bois (now part of Constellation Brands) began donating in the mid 1990s to LGBT causes like the AIDS Memorial Quilt project and highlighting their involvement in print ads. Over the next decade, more wine brands would regularly sponsor Pride events and advertise in LGBT publications. These included Beaulieu Vineyard (Treasury Estates), Domaine Chandon (LVMH), Rosemount Estate (Treasury Estate) and Merryvale Vineyards.

Travel and wine events catering to the LGBT community emerge such as Out in the Vineyard that started in Sonoma in 2011 with sponsorship from Boisett Family Estates, DeLoach, Gary Farrell, Iron Horse, J Vineyards, Jackson Family Estates, Lasseter Family Winery, Muscardini, Ravenswood, Sebastiani and Windsor Oaks among others.

It’s not just wine, it’s GAY WINE!

Most of these early marketing campaigns were based on promoting existing products. However, soon producers began developing exclusive products targeting LGBT consumers. Kim Crawford (Constellation) takes credit for creating the world’s first “gay wine” with its 2004 launch of a rosé named Pansy. Though not necessarily claiming to be a “gay wine”, Rainbow Ridge Winery in Palm Spring, owned by LGBT owners, may have beat them to the punch with their 2001 Alicante Boushet. They certainly win on the merit of having a far less offensive name.

In Argentina, the Buenos Aires Gay Wine Store partnered with a local Argentine winery to produce Pilot Gay Wine in 2006. While debates about gay marriage was carrying on globally, Biagio Cru & Estate Wines created a sparkling Cremant de Bourgogne named Égalité (meaning “equality”) in 2013 to celebrate the crusade for marriage equality.

Lest other segments of the industry get left behind, in 2011 Minerva Brewery in Mexico released what they called the “World’s First Gay Beers” with two honey ales–Purple Hand Beer and Salamandra.

Be cynical or celebrate?

I understand the instinct to chafe at the “Curse of Pink Washing” and the sense of being pandered to by corporate interests. That is my initial response to a lot of gay marketing. But I can still celebrate the meaning of Christmas while putting up snowmen and Santa decorations. Likewise, the solemnity of Memorial Day can still be observed while BBQing burgers and brats.

For me, I won’t begrudge any business for creating special “Pride packaging” or products. However, I won’t give them a free pass either. The quality still needs to be inside the colorful wrapping to merit a positive review or a second purchase.

In that vein, I decided to try Fremont Brewing Pride Seattle Kolsch and House Wine’s Limited Edition Rosé Bubbles Can and review them below.

The Beer

I’d definitely buy this even outside of Pride month.

Medium intensity nose with fresh wheat grain and some subtle lemon pastry notes.

The mouthfeel is refreshing. Very well balanced with the citrus notes more pronounced. Extremely session-able with low hops and plenty of malted grain flavor.

The Wine

Sourced from “American Grapes” of unknown variety or origins.

Medium-minus nose with faint and not very defined red fruit. There is also a tropical rind note that vaguely reminds me of cantaloupe rinds.

While certainly not “bottle fermented”, it’s very likely that this wasn’t made via the Charmat method or tank fermentation either.
Most likely Precept made this with straight carbonation like soda.

On the palate, the bubbles are very coarse and almost gritty. Slightly bitter phenolics brings up more of the rind note from the nose. It segues into apple peel with just a little bit of unripe strawberry representing the faint red fruit.

The Verdict

The Fremont Pride Kolsch was a very enjoyable beer in its own right. Even beyond Pride, it’s worth $8-10 for a four pack of 16 oz cans.

The House Wine “Rainbow Bubbles”, however, was very reminiscent of Cook’s or Andre’s. It honestly seemed like someone took a light rosé and put it through a Soda Stream. At $4-5 for a 375ml can, I’d much rather spend $3-4 more to get a bottle of Spanish Cava.

That would be something worth toasting Pride with.

Subscribe to Spitbucket

New posts sent to your email!