What is a Pringle? According to Procter & Gamble, its makers, a Pringle is a kind of food, to be categorised alongside cakes and biscuits. The UK tax authorities beg to differ. They reckon that its 42% potato content makes a Pringle a potato crisp (or “chip” if you prefer), an edible savoury luxury that’s subject to the 15% Value Added Tax from which other kinds of food in the UK are exempt. Sadly for P&G, the UK Appeals Court recently agreed with the taxman, but, and this is my point, the vast majority of people who eat these distinctively shaped savoury snacks really couldn’t care less what category they fall into. They simply enjoy them – and pay a relatively high price to do so.
Pringles, like iPods, Gilette Razors, Starbucks, Nike, Campari, Krispy Kremes, Baileys Irish Cream and Coca Cola, are in the happy state of transcending their class. People buy them for what they are rather than, or certainly more than, the category into which they fall. Stated simply, the buyers would rather have them than an alternative. Few Coke fans happily accept Pepsi – and far fewer would drink any other kind of Cola. How many Campari drinkers outside Italy are even aware of the vast range of Italian bitters most of whose colours and flavours would be hard to distinguish from the global brand leader? How many Guinness drinkers would be as happy to accept an alternative dark beer?
The wine world has a few players with this kind of strength. A top-of-my-head list – excluding Champagne - would include Cloudy Bay, Penfolds Grange, Vega Sicilia, Romanée-Conti, Screaming Eagle, Mas de Daumas Gassac, anything by Gaja, Guigal’s single vineyard wines, and the top super Tuscans. But these are the exceptions to the rule. Most wine producers – unlike their counterparts in the worlds of beers and spirits – have traditionally been far keener to shelter under the umbrella of their region, style or country. Even the most illustrious Médoc chateau is a lot more bothered about being classed as a Bordeaux than Bacardi is to be seen as as a rum or Baileys as a cream liqueur.
For those lucky enough to be in a region that carries a premium, the umbrella can, of course, work well. Exploiting the fact that it is situated in Margaux or Napa can be as useful to a minor wine estate as a St Paris address might be to a modest perfumier. When Tequila is in fashion, there can be a lot to be said for a small brand hitching a free ride on a bandwagon driven by the people with the deeper pockets. But some categories rings no quality bells with the potential audience. There is little international value in being Bulgaria’s best –selling cheese? Few New Yorkers set out specifically to buy wine from Cabardes, or Castilla la Mancha.
Of course, there can be a lot to be said for pioneering and championing a category or region, as Mondavi did with the Napa Valley, Rosemount did with the Hunter Valley and Cloudy Bay did with Marlborough. If your fellow pioneers share your quality aspirations your critical mass could build an international reputation for your collective brand that few individuals could ever dream of.
But what happens when others within your region intentionally or inadvertently damage its image? Sometimes, as happened in Austria in 1984, a few cheats can temporarily bring down an entire industry. The Californian firm Bronco threatened the premium character of the Napa Valley when it marketed a cheap brand called Napa Ridge that was not made from that region’s grapes. Legal action eventually restored Napa Ridge’s authenticity, but there are plenty of Australians who fear the impact on their industry of Bronco’s imminent launch in the US of a $3 Aussie brand called Down Under to stand alongside its Californian Two Buck Chuck. The New Zealanders who sold Dan Jago of Tesco two million bottles of surplus Marlborough Sauvignon Blanc at a fire-sale price may be interested to hear what he Tesco had to say about the deal. If they cared about the long term value of their wine, Jago said, the producers should have poured every drop down the drain.
If you have already created a genuinely strong brand like Cloudy Bay, you should be able to survive some very hefty dents to your category or region. But if you haven’t, these are the times to focus your effort on building an identity sets your brand apart from its peers. Take a look at the label of a bottle of Bonterra, unarguably the world’s biggest and best organic brand. The reference to its organic credentials has shrunk over the years, for the simple reason that consumer’ unhappy experiences with organic wines has deterred many from buying them. So, Bonterra’s image is as a good, reliable wine that just happens to be organic.
Somebody once gave me a brutal but useful bit of advice: “Know where you are going. And who you are going with. And in that order”. Or to put it another way, when in doubt, emulate the Pringle.
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Sunday, July 12, 2009
Transcendental Meditation
Friday, May 29, 2009
The Hydra Critics
Over the last few weeks, the vinous chattering classes, or at least some of them, have been obsessing about the fact that Jay Miller and Mark Squires, contributors to Robert Parker's Wine Advocate have both accepted hospitality from organisations representing wine regions and/or wines. The story which was first aired by Dr Vino, aka Tyler Colman has now received much wider airplay with the publication of a piece in the Wall Street Journal, a lengthy and useful contribution by Jancis Robinson and a response to the WSJ by Robert Parker himself. I'll write more about the general business of wine writing ethics in a separate post, but I thought it worth taking this opportunity to ponder an aspect of the story - and of the Parker/Advocate phenomenon that, apart from a good post by winezag is rarely discussed. When Parker started out, he was an individual wine enthusiast (no reference intended) with an unusually fine and above all consistent palate who wanted to share his opinions with others. The same could be said of Jancis Robinson, and of countless wine-focused bloggers who daily offer their opinions to anyone who cares to hear them.
The problem for wine opinions like Parker and Robinson is one of scale. As their success grows, so too will the range of wines they are expected to cover. Every day, a deluge of bottles arrives, as well as a flood of invitations to taste or visit. (I know, because in my previous life as a consumer wine critic I swam in this torrent, though never to the extent of Parker and Robinson).
At some point, the critic has to decide whether he or she is to continue to do everything themselves - and necessarily to place limits on that "everything" - or if they are to admit collaborators or, as Parker calls them "contractors" who can carry some of the additional load.
Parker's growing team is now quite well known, and Jancis Robinson frankly talks about her helpers - full-timer - Julia Harding MW - and occasionals, Richard Hemming, Walter Speller, Michael Schmidt, Mel Jones and Victoria Daskal. I am sure that both Parker and Robinson choose their running mates with care, both with regard to their personality and skills but, and this is my point, none of these people will ever share the famous critics' DNA, tastebuds and still-evolving experience. This is all too clear when Parker and Neal Martin his UK-based contractor disagree over Bordeaux.
These disagreements are fascinating to some but, I suspect, frustrating to a far greater number who are simply looking for a single consistent beacon by which to navigate the vinous ocean. I say this after years at Wine International of including occasional diverse Bordeaux en-primeur opinions from Charles Metcalfe, Derek Smedley and myself. Stated bluntly, no one really wanted to know that we couldn't agree over the long term potential of Chateau This or That. All they desired was a verdict they could use when deciding what to buy.
As Parker and Robinson - and others - evolve from individual human beings into multi-headed brands - as John Platter did a long time ago in South Africa, the consistency of what they offer will inevitably change. Do many of the consumers and retailers who glibly talk about "Parker" recommendations of Burgundies, Australian and German wines actually mind that the great man may never have tasted them? Does it matter?
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Thursday, May 21, 2009
Giant(s) Exodus from the UK?
Nothing ever stays the same. The wine scene in Britain - and, to a lesser extent the world - was radically altered with the arrival/development of multinational vinous giants like E&J Gallo, Fosters, Pernod Ricard and Constellation. Companies like these, with their portfolios of brands entered into initially happy relationships with the bigger UK retailers who gave them the shelf space they needed to sell their wares. Naturally, those shelves were the setting for a certain amount of robust competition, but essentially, the system worked. It all began to go wrong when, with the encouragement of the supermarkets, the wine companies descended into an orgy of discounting with BOGOFs - Buy One Get One Frees- Three-for-Twos and most recently Three-for-Ten (pound) offers. The blame for these usually goes to the supermarkets who are portrayed as evil torturers squeezing the lifeblood out of their suppliers. Those closer to the picture, however, recall plenty of occasions when the wine companies almost pleaded with the chains to let them offer their wines at rock bottom discounts.
But, as I say, nothing remains the same. Now that the great British public has become thoroughly used to getting its Lindemans and Hardys wines for unrealistically low prices, the companies that produce these wines have - reportedly - finally become fed up with the game of supplying them. So, the big companies are laying off staff, refusing to agree to the deals the supermarkets are proposing and taking steps to largely withdraw from the UK market. As one exec said to me, Poland may be a much smaller market, but it's actually looking a lot more attractive to us in profit terms at the moment... Some people will be sorry to see them go; others less so. But like the western troops that will one day have moved out of the Gulf, no-one can ever say that the giant wine companies won't have left their mark.
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Wednesday, May 20, 2009
Glass warfare
There are so many differences between the European and the US wine markets, but I'm beginning to think that one of the most significant is the popularity of serving wine by the glass in American cafes and restaurants. Around three quarters of wine drunk outside the home is sold in this way. Now, the figure in the UK is probably pretty high too, but on the east of the Atlantic those glasses are more likely to contain basic sweet pink wine or generic Pinot Gigio, Chardonnay or Merlot and to be consumed in bars as an alternative to Bacardi Breezers or beer. In the US, since the 1980s, the "wine-by-the-glass" programme has enabled countless people in restaurants to explore and discover wines they might never have dared to buy by the bottle. Sadly when they sit down to eat, Europeans remain far too committed to the 75cl bottle... Read more!
Wine and movies - and clever ways to sample wine
Lunch with very clever Jonathan Evans who has the tricky task of trying to promote Bordeaux - at every level - in the UK. He's just launched a brilliant scheme with Lovefilm. You buy a bottle of Bordeaux and you get a free Lovefilm movie and introductory membership - and another bottle of the same value Bordeaux. A win-win for everyone involved... I wish others were as clever. Evans also showed me a great idea in the form of 30ml wine tasting sachets. Watch out for their appearance on a bottle neck or being handed out at a railway station somewhere soon. Though probably not containing Bordeaux... Read more!
Tuesday, May 19, 2009
Virtually interesting
Tesco's announcement that its new "Virtual Wine Adviser" was proving an instant success (as reported in Just-Drinks) made me smile. At least six years ago I was invited to give a talk to the wine department of the Spar supermarket chain in Vienna. Visiting one of the chain's bigger stores (an immeasurably smarter effort than its UK counterpart) I was struck by a brilliant gadget in the wine aisle. Essentially it consisted of a bar-code reader and a computer screen. All you had to do was scan the code on any bottle, and up popped a page or two of information about its contents, ranging from where it came from to the dish it would best complement. I haven't seen Tesco's version yet. It may well be a lot more sophisticated than what I saw in Austria, but it probably doesn't need to be. The last tine I was in the Australian wine retailer, Vintage Cellars, it had its own clever low-tech way of providing information about its wines. Between the bottles, there were neatly printed narrow fact sheets to be torn off and carried home. Maybe that idea will be noticed and adopted elsewhere too. As Paul Theroux, the travel writer once wrote, to move between countries is to travel in time... Read more!
The Complexity Complex
Mindmesser, Benmummy, Humongosaur, Stinkfly, Toepick, Rubix-Dude... Do any of these ring any bells with you? If not, you obviously haven't spent any time with a child who's been watching the TV series Ben Ten. I owe my knowledge of Ben Ten to my four year old son Noah, who is obsessed by the eponymous hero and the 60 alien forms, such as the ones listed above, into which he can transform himself. At a time when producers of television shows are accused of playing down to the intellectually lowest common denominator, the creators of this show have done the opposite. As you discover when you go digging around on the net for answers to four year old questions such as "What can Stinkfly do?". According to one helpful wikia
"Stinkfly is... a Lepidopterran from the swamp planet Lepidopterra (a play on lepidoptera, the scientific name for butterflies and moths)... [and is] meant to be a combination of various Earth insects (dragonflies, crickets, and praying mantises specifically). His primary ability is flight facilitated by the four thin wings on his back, which grant Stinkfly high mobility and speed. Stinkfly also possesses disproportionate strength, enough to carry people and objects heavier than himself. In "Don't Drink the Water", the child form of Stinkfly (Stinkyfly) was able to unleash a powerful herbicide gas by farting. Stinkfly's four eye stalks give him a wide range of vision from the sky, including the ability to look directly behind himself. Pollen ducts in his eyes and mouth allow Stinkfly to excrete high-pressure streams of liquids. The type of liquid can range from a flammable toxin to an immobilizing jelly. His razor-sharp tail and pincer-like legs can also be used in melee combat. Stinkfly's primary weakness is water, which can negate his flight if it gets on his wings. In addition, while his body is fairly strong, his wings are not. A more minor inconvenience is Stinkfly's intense body odor (hence the name), which is a result of the oils he secretes to keep his joints moving."
Similarly detailed descriptions are provided for all of the aliens in Ben Ten - which will come in handy if you find yourself having a conversation with a five year old fan. Unless of course, the five year old in question has switched his allegiance to fooball. In which case, you might have to remember the names of every member of the Manchester United or Arsenal squads - and the details of every goal, misjudged foul and penalty.
So what's my point? Well, most people who deal with wine on a daily basis have discovered that, as a subject, it is generally thought to be too complicated. It is replete with just too many appellations, designations and grapes. Okay, there are anoraks and buffs who delight in the differences between Chassagne Montrachet and Puligny Montrachet, and between the wines of the domaines of Alain Chavy, Philippe Chavy and Hubert Chavy-Chouet but they are the rare exceptions. And, being a wine buff is somehow more nerdy, less socially acceptable for many, than knowing the arcane details of sport or music.
The great English wine writer Andrew Jefford apparently addressed the issue of getting people to embrace or at least accept complexity. "If you're having difficulty teaching your kid chess, don't simply trade down to draughts. Look instead for a better way to get him excited by chess..."
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Sunday, May 17, 2009
The Luxury of Ignorance?
"Why pay more?" Suddenly, it's nagging at almost all of us: the line used in a million uninspired advertisements for products and services claiming to be as good as the ones carrying a bigger price tag. In straitened times, as money flows more slowly, there's more reason than ever to examine the rationale behind paying more for something than you need to. In this vein, I was interested to read Seth Godin's take on this in his most recent blog (kindly passed on to me by Catherine Monahan, creator of a wine and website called le beast)
Luxury vs Premium
Luxury goods are needlessly expensive. By needlessly, I mean that the price is not related to performance. The price is related to scarcity, brand and storytelling. Luxury goods are organized waste. They say, "I can afford to spend money without regard for intrinsic value."
That doesn't mean they are senseless expenditures. Sending a signal is valuable if that signal is important to you.
Premium goods, on the other hand, are expensive variants of commodity goods. Pay more, get more. Figure skates made from kangaroo hide, for example, are premium. The spectators don't know what they're made out of, but some skaters get better performance. They're happy to pay more because they believe they get more.
A $20,000 gown is not a premium product. It's not better made, it won't hold up longer, it's not waterproof or foldable. It's just artificially scarce. A custom-made suit, on the other hand, might be worth the money, especially if you're Wilt Chamberlain.
Plenty of brands are in trouble right now because they're not sure which one they represent.
When you apply Godin's theory to wine, it's interesting to consider which wines really enjoy premium status, and which are luxuries. Traditional European wines applied the premium system assiduously: you paid more for a Reserva or a Premier Cru, and still more for a Gran Reserva or a Grand Cru. All of these were supposedly from better vineyards and/or more expensively made and aged. Then a pesky little boy called Robert Parker came along and impudently - but accurately - pointed out that some of the emperors were more shabbily dressed than their supposedly humbler subjects. And that some of the smartest players carried no quality credentials at all - apart from the score Parker himself had given them out of 100.
Today, I'd say that top Burgundies and Bordeaux probably fit into Godin's classification of "premium" in much the same way as a custom-made suit. And the same might have been said for Penfolds' tiers of Bin numbers. But what about Cloudy Bay, which is now produced in prodigious quantities but maintains an extraordinary image of rarity. No longer the best wine in its region, it still carries a quality image that presumably satisfies those who pay twice as much for a bottle as they would for something from a neighbouring vineyard.
The cult California Cabernets and Australian Shirazes can at least usually stake a claim to genuine rarity and to - relatively - higher cost production, but are they premium or luxury products. Or are they uncomfortable mixtures of both? Premium in the extra perceived quality they deliver but luxury in the distance between their astronomic price and the price at which they could be profitably sold.
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Friday, May 15, 2009
Languedoc Pinot Noir - the silent scandal

If two out of every three cartons of Tropicana Orange Juice were made from something other than oranges, I guess there would be some kind of fuss made about it. When the same kind of thing appears to apply to wine, the noise seems to be far more subdued. In February of this year, the regional Les Depeches newspaper revealed that French authorities were investigating a major fraud. Or, to be precise, the gap between the 167m bottles of Pinot Noir the Aude Region exported every year between 2005-2008 and the 60m bottles that were actually produced by the entire Languedoc region, of which the Aude is a part. 100m bottles of fake Pinot is a sizeable number and the story was picked up by Decanter, Wine Spectator and winecurmudgeon among others. It also featured on the inner pages of US newspapers such as the New York Times. Since then, the silence has been deafening.
Now, I can understand the average US Pinot Noir buyer not having been affected by, or even noticing, this story, but I'd have imagined that a few wine store managers and a few wine enthusiasts might have been aware of it. I was personally rather more than curious about the impact of the fraud because - to declare an interest - I helped to create and have a third share of a French Pinot Noir - Le Grand Noir - that is on sale in the US. Its sales are brisk, and I wondered how much this success might owe to the fact that it's genuinely made from Pinot Noir. But apparently not. It seems that the booming US market for French Pinot Noir has not even been slightly bruised by the news that most of it is not what it claims to be.
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