Thursday, 5 April 2007

Lies, Damn Lies And Wine Prices

The Guardian looks into how supermarkets and off-licences price their wines and doesn't like what it sees:
One wine importer, who asked to remain nameless for obvious reasons, is more open still: "I often find myself touting a £7.99 wine that will actually sell mainly at £3.99. The idea is that people will believe it might really be worth something in between those two prices - perhaps £5.99. It's not. It's worth £3.99 and not a penny more." In other words, anyone who pays full price for it is being very badly ripped off.

Oddbins gets a nod for not having promotions at all:
One retailer is trying to break the deadlock. Last summer Oddbins decided to sell all its still wines at the same price all year round. "Previously, a third of our wines were promoted," says head buyer Emma Nichols. "We worked out the average price, asked suppliers to meet that all year round, and dropped our prices accordingly. It encourages people to shop by taste rather than by promotion. The idea is that people can buy what they want, when they want, and at a fair price. And I can spend my time doing what I love: hunting out small wineries doing interesting things, rather than organising promotions."

But this approach, it seems can confuse some wine buyers. If they aren't getting some incentive, it seems, they'll stick to what they know.

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