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Tag Archives: prosecco

Winebits 395: Prosecco shortage, sweet wine, label fraud

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Prosecco shortagePlenty of bubbly: The Wine Curmudgeon has not mentioned the news reports over the past several months heralding a Prosecco shortage, mostly because the “shortage” made my reporter’s stomach hurt. It’s the just the kind of “news” that offers an excuse for price increases — coincidentally, as the euro drops — and it turns out my hunch wasn’t far from the truth. The head of the Prosecco consortium, which oversees production of the Italian sparker, told Wine Business Monthly that supply increased almost 18 percent in 2014, and that there is no shortage. “We call on those who write, market and educate people about wine to do their part to inform the public about what Prosecco represents as a specific wine of place year,” he said.

Deciding what is sweet: Sweet wine is making an impression in Canada as well as the U.S., as Bill Zacharkiw writes in the Montreal Gazette: “There still seems to be some confusion about the role of sugar in wine, as many of these emails ask what the relationship is between residual sugar and quality. But there are other interesting questions as well.” Which he answers quite intelligently, noting the same thing that I have found. It’s not sweetness itself that is the problem with sweet wine, but how badly made too many sweet wines are. Says Zacharkiw: “I cast no judgment here. In the end, you choose what you want to drink. I simply want people to know the facts, and believe you should have access to all the information in order to make an informed choice.” Couldn’t have said it better myself.

Fix the label: Remember how those “artisan” spirits were going to fight to the bitter end the lawsuits accusing them of not being especially artisan? Templeton, the Iowa producer using whiskey from Indiana, has settled, and I would expect more settlements to follow now that a precedent has been set. The Templeton co-founder said his whiskey’s marketing “should have provided more clarity,” in one of those wonderful understatements that I so enjoy. Hopefully, the wine industry, with its artisan and hand-crafted claims for brands that make hundreds of thousands of cases, is paying attention.

Winebits 389: Three-tier, lower alcohol, Prosecco

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Three-tierNevermore! What happens when the state booze cops arrest alcohol vendors at a food and wine event? The event gets canceled, and no one is quite sure what happened. That was the case at one of Sacramento’s most popular festivals, when the 2015 event was canceled after the 2014 arrests. Organizers said wine and beer vendors didn’t want to participate this year, given the threat of arrest. Why were the vendors arrested in 2014? Something to do with what are called tied-house laws, which regulate the relationship between alcohol producers and alcohol retailers and are integral to three-tier. The story is fuzzy about exactly what happened, but tied house enforcement can be capricious and over stupid things — even something as simple as a retailer using a producer logo that he or she got from the producer, and not through the distributor.

Not just for wine writers: The knock against the push for lower alcohol wines is that it is being powered by elitist wine critics (overlooking the fact that the most elitist of us started the high alcohol thing). The latter insist that consumers either don’t care or like high alcohol wines. Hence the welcome that Australian researchers, working with Treasury Wine Estates and a leading British retailer, are trying to develop lower alcohol wines that consumers will like. Said one researcher: “We would love to produce a wine with zero percent alcohol that tastes like 15 percent, but even if we get a quarter of the way, that would be good. Ten percent or 5 percent is also desirable.”

Alternative Prosecco: Apparently, there is a Prosecco shortage, though the Wine Curmudgeon has a difficult time believing this when he sees row after row of Prosecco, the Italian sparkling wine, on grocery store shelves. In which case, several leading Prosecco producers will make Prosecco-style wines from other countries, showing just how un-wine the wine business has become in its quest to confuse us to make money. One of the brands, called Provetto, is from Spain, and sounds about as tasty as its name implies. It will also sell for about the same as a quality bottle of cava, the Spanish sparkling wine, which raises all sorts of questions that would make me too cranky if I answered them.

 

Winebits 381: Direct shipping, consolidation, Prosecco

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direct shippingLots of kinks to work out: Direct shipping, despite its successes over the past decade, is still a tiny part of the wine business, just single percentage points of the $17 billion in sales. One reason for that, of course, is three-tier, which makes it difficult for wineries to ship to consumers in different states. And three-tier has more to it than even those of us who think we know it can imagine; witness the lawyer suing Illinois wineries for not charging sales tax on shipping fees. This is perfectly legal in Illinois, where the law allows private attorneys to recover unpaid taxes on behalf of the state. Much of the coverage has been critical of the attorney, but that misses the point. Illinois law is vague on whether sales tax should be charged on shipping fees, so how how can direct shipping ever become more than a niche business if laws crucial to its success are as vague as the Illinois law? Because, given three-tier, this is certainly not the only vague, poorly written, or unclear law dealing with the subject.

Retailer buyout: Majestic Wine, one of the biggest retailers in the United Kingdom, has bought another British retailer, Naked Wine. This is bigger news than it seems, since Naked Wine has a trendy U.S. division that sells what can best be described as craft wine on-line at discounted prices to its members. It means that Majestic, facing tremendous competition from grocery stores, is trying to find wine that consumers can’t buy at grocery stores. Given the increasing importance of supermarket wine sales in the U.S., this may be a sign of things to come in this country (within the confines of three-tier) as retailers look for exclusive products to fend off grocery stores. It’s also another indication that retailers want to get bigger to fend of the Costcos, Walmarts, and Aldis of the world.

Nuts to Champagne: Prosecco has passed Champagne in sales at British grocery stores in news that is so shocking — given the British love affair with Champagne — that it should worry not only the Champagne business, but retailers around the world. If the British are buying Prosecco, the Italian bubbly that is at least half the price of Champagne, what does that means for retailers elsewhere? Has Champagne priced itself out of some markets? Do consumers prefer the softer, sweeter taste of Prosecco? Or are grocery stores playing a role in what’s going on? Even the story, from a British trade magazine, had a panicked tone.

 

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