Wine prices are still too high
Everybody knows that housing prices are still too high, especially in Sun Belt places like Las Vegas, South Florida and certain parts of California. Prices won’t stabilize until demand equals supply, and supply was way overbuilt to begin with. So housing prices continue to fall. You can only conclude that they were too high to begin with, and must plunge further before the bottom is reached.
The situation is analogous to California wine prices. There are simply too many wines out there in the $20-$50 and higher range that aren’t worth it. Once again, I’m not going to mention any names, because that would be unfair; for every “ABC winery” that’s overpriced I could name 5 dozen others.
First, let me start with a general observation that wines scoring between 83 points and 86 points are, by Wine Enthusiast definition, “good.” And the definition of “good,” in our view, is “Decently made, with varietal identity, serviceable. At most, minor deficiencies.” Now, there’s nothing wrong with a “serviceable” wine, but my Webster’s dictionary defines “serviceable” as “useful; usable; durable; ready for use,” which is not exactly a glowing endorsement. For example, if you drive a car, you probably want something that’s more than “useful.”
The majority of California wines are serviceable. They’re what a Frenchman might call vin de table or vin ordinaire, the kinds of wines most people drink on most days with very little fuss or clamor. A decent dry red, a crisp fruity white, or maybe a perky little rosé is a serviceable wine. How much should a serviceable wine cost? It’s in the eye of the beholder, but in my view, an everyday wine should be less than $15. And there are tons of everyday wines out there that go for less than $15, not only from California but from around the world.
Here’s the problem. Over the last few months I’ve reviewed a lot of wines I scored at 84 points, which is right in the middle of the “serviceable” spectrum. Here are a few (without specific identities) and their prices:
a Central Coast Bordeaux blend with tutti-fruity flavors and tons of weird oak: $28
a Napa Valley single-vineyard Cabernet that had sharp, green tannins: $50
a Russian River single-vineyard Chardonnay that was too oaky and popcorny: $38
a Napa Valley rosé that tasted like cola: $35
a Paso Robles Viognier that was practically a dessert wine, it was so sweet: $29
a Sierra Foothills Syrah that was pleasant and simple, for $32
a Dry Creek Zin that should have been about $15 but was $40
Well, you get the idea. Each of these wines was basically decent, but why on earth would anyone pay the asking price? And keep in mind, these are prices that were established (either by the producer or someone along the distribution chain) after this past Spring — in other words, when the country already was deeply mired into a Recession, and everybody knew that consumers were diving down in terms of the prices they’re willing to pay for wine.
How do you account for a wine that’s overpriced and mediocre (definition: ordinary, average) being sold for so much money during a Recession? I, myself, don’t know how to. Is it blindness? Whistling past the graveyard and hoping there are enough gullible consumers out there who will buy it anyway? Is it simple ignorance of reality, a kind of cellar-vision whereby a winery owner lives in his own little world and doesn’t understand what’s going on? Is it a desperate act forced upon vintners by their banks? Is it the belief that their own particular wine — their love child — is actually worth the price they’re asking? Is it a form of lethargy? All the above?
Whatever the explanation, the fact is that every day I review wines that are average and ordinary, and when I see their prices I’m shocked and appalled. If a Recession is indeed a time for correction, of the same kind that housing is experiencing, then wine prices are going to have to be seriously corrected, and not just at the super-ultra-premium end. They’re going to have to be corrected in the $20-$40 tier, where, as Ricky Ricardo might have said, there’s a lot of ‘recting to do.
Conde Nast is closing Gourmet magazine!! The N.Y. Times announced it this morning. This is a major event in print publication. Gourmet in its time was required reading, especially for wine lovers who could revel in everything the great Gerald Asher wrote. Gourmet will be missed.