In wake of some of the latest chatter about The Wine Trials 2010 (this one from Joe Briand, wine buyer for New Orleans’ excellent Link Restaurant Group, e.g. Cochon, Herbsaint, with a response from Wine Spectator executive editor Thomas Matthews), I thought it was time for a quick clarification of first principles here.

People have sometimes (often, maybe) misinterpreted The Wine Trials (and The Wine Trials 2010) as making the claim that no expensive wines are worth the money, or that cheap wine is generally “better” than expensive wine. In fact, I make neither one of those claims in the book.

Rather, my basic points are these:

(1) Evidence has shown that most everyday wine drinkers (not wine professionals) don’t prefer more expensive wines to cheaper wines in blind tastings. This is separate from the question of whether the properties of expensive wines are aesthetically superior in the minds of experts.

(2) Many (but certainly not all) expensive wines, such as the luxury brands from LVMH—which are advertised much like the group’s TAG Heuer watches, De Beers diamonds, Guerlain perfume, or Louis Vuitton handbags—are overpriced because such a large portion of their cost base is spent on marketing. This doesn’t just go for superpremium wines like LVMH’s Château d’Yquem, Krug, and Dom Pérignon; it also goes for brands like Cloudy Bay, a straightforward New Zealand Sauvignon Blanc whose price—without any apparent change in the production method—rose from about $15 per bottle to about $30 per bottle after LVMH acquired the brand in 2003 and began marketing Cloudy Bay as a luxury product.  To me, when the consumer dollar is going more toward advertising than toward materials or production, it’s a paradigm case of overpricing. It bothers me that the mainstream wine media doesn’t take brands to task for this. (more…)

We may disagree about our favorite artists and musicians, but it’s relatively easy to agree that a particular color is blue, or that a particular note is C-sharp. They’re described by wavelengths and frequencies along a clearly defined spectrum. That’s why the technologies of visual and auditory reproduction—photo, video, audio—work so well, relatively speaking.

Worth a thousand words?

With taste and smell—the so-called “chemical” senses, which are more complex (humans have about 400 different types of olfactory receptors) and less well understood than the others, we don’t have the luxury of those points of reference. That’s why we so often resort to loose analogies—“tastes like chicken”—and it’s also why reproducing tastes and smells is so difficult (grape soda doesn’t taste much like grapes, and nobody’s yet synthesized a bottle of 1945 Pétrus—an activity that would surely yield tremendous profit).

To challenge this barrier, we resort to analogy. Coffee tastes like nuts and chocolate; Sauvignon Blanc smells like grapefruit and cat pee. In a Sauternes, you might sense the brine of the first green olive you tasted in Italy; in a Pedro Ximénez sherry, the viscous maple syrup that your grandmother once drizzled on your pancakes.

But how carefully are we really choosing these adjectives and analogies? (more…)

One of the most thought-provoking papers at this year’s meeting of the American Association of Wine Economics was presented by Günter Schamel, a professor at the Free University of Bolzano.

Not empty for long?

Schamel’s study, which is still in progress, has thus far looked at a data set of 260 eBay auctions of empty wine bottles. In his model, the most powerful predictive variable—explaining both the incidence of sale and the final auction price of an empty bottle—is “the price a full and presumably authentic bottle could potentially fetch in the marketplace.”

Schamel argues that this is “powerful evidence that the empty bottles might go on to be refilled. Why otherwise would someone want to pay more than 100 euros for an empty bottle of 1982 Chateau Lafite-Rothschild rated with 100 Parker points? Presumably, because it is worth a lot more once it is filled up again.”

Certainly, notwithstanding a recent incident in which a customer at a London restaurant sent back a £18,000 magnum (more…)

Ethics scandals are politico porn. They’re also fertile ground for undeserved scapegoating. But there’s one category in which, across the board, there’s not nearly enough public stoning going on: the world of information intermediaries. On the government side, that means regulatory agencies; in the private sector, it’s the critics, the expert witnesses in capitalism’s de facto justice system.

Information intermediaries, we’re to understand, are society’s check against puffery. They make careers of trustworthiness and accountability. In society’s service, they apply rigor to the claims of corporations and analyze their standards. For this hard work, they’re rewarded by the marketplace and by the United States—sometimes handsomely, sometimes not.

Two bits of recent news bring about two otherwise disparate intermediaries, both preeminent in their niches—Robert Parker’s Wine Advocate, the publication whose critical appraisals are one of the central determinants of a wine’s success or failure on the marketplace, and the Federal Aviation Administration, the agency whose critical appraisals are the primary safety check against America’s airlines—systematically abusing that authority.

Jay Miller: Disfrutando?

Parker’s is one of the few wine publications that don’t accept advertising, for which he deserves praise. And it’s certainly acceptable to take free samples of wine from producers—that’s often the only way to taste new releases before they’ve gone to market. But the recent transgressions of Jay Miller, Robert Parker’s right-hand man, are spectacular indeed. In another classic case of the traditional print media jumping on the bandwagon of a topic that had been exposed quite a bit earlier by an incisive blogger—in this case, Tyler Colman, who goes by “Dr. Vino”—Miller’s series of all-expenses-paid vacation/junkets, financed by wine producers, have finally been reported by the mainstream media in a recent Wall Street Journal article.

Some of rumors about Miller’s behavior in Argentina go quite a bit further in scandalousness (more…)

The New Yorker’s recent profile of Fred Franzia has sparked a debate amongst the wine pundits on the question of why it’s so hard to find good American wines under $10, under $12, or even $20. I had an interesting conversation on this topic with Tyler Colman the other day. There’s a debate on the topic on Tyler’s blog, Dr. Vino, where he asks his readers to weigh in on these potential theories:

“Short-ish history of American wine with relatively few small growers, recent industry consolidation, the soil and/or climate, high land prices, producer greed/pride, the three tier distribution system, or the consumer as chump.”

Beautiful place, for a placebo

Eric Asimov at the New York Times has also recently commented on the difficulty in finding good, cheap American wines on his blog and in print. In the print article, he seems to gravitate toward the “shortish history” explanation, together with a discussion of a dominant social/consumer norm in the US wine market that leads producers to gravitate toward a single, uninteresting style (a style that I think has been promoted by many wine magazines). Asimov writes:

“In modern American wine history — post-1960 — the selection of grapes is monochromatic…In effect, then, California produces a small amount of top-flight wine along with an ocean of generic wine that seeks to imitate the top echelon, often through artifice like oak substitutes and additives. All too often, the choices are expensive cabernet or chardonnay, and imitation expensive cabernet or chardonnay.”

A similar perspective on Asimov’s blog:

“Very little wine is flawed in this day and age, now that we understand the science of winemaking and the importance of hygiene and temperature control in the mass-production of wines. But it is insipid… (more…)

In Adam Gopnik’s excellent piece about Gillette razors and innovation in the New Yorker, he discusses the fact that each new generation of razors—Gillette’s latest, the Fusion, now has five blades and a “triple-A battery inside, which makes it vibrate delicately to no particular purpose, like an old electric football game” (probably the best simile I’ve read all year)—doesn’t seem to work any better than the previous one.

Am I just five times more likely to cut myself?

This Gopnik explains with what he calls the “Devil’s Theory of Innovation”: briefly, that “cutthroat…competition produces stasis,” and that “we are born to be inherently frivolous aesthetes, who like change for change’s sake.”

I am deeply sympathetic to this point of view. In fact, Gopnik’s piece reminded me of a long law-and-economics argument that I had seven or eight years ago with Yale Law professor (and erstwhile Microsoft consultant) George Priest on the same topic: Gillette’s farcical march of purported technological progress toward ever more blades. The argument happened over a lovely dinner (more…)

Should we stage a Boston Wine Party, and throw our wine into the Atlantic?

Perhaps the most striking aspect of the bewilderingly diverse wines on display at this week’s FENAVIN, Spain’s national wine fair, is the price range: 2€–5€ is most common, trailed slightly by <2€ (a significant category, with strong representation from La Mancha, the wine fair’s home region) and 5€–10€.

In the 2€–3€ range are a vast assortment of sometimes steely, often aromatic, almost always appropriately acidic whites from Castilla-La Mancha and other lesser-known regions. If you want a 1994 or 1995 Gran Reserva from La Mancha—an eminently mature Tempranillo, Cabernet Sauvignon, or Tempranillo-Cabernet blend—it might cost you up to 6€.

All of this is a prescient reminder of the three-tined gouging of the American wallet—and, by extension, of the American palate—that defines our wine industry.

The first tine is regulatory: the unconscionable customs duties imposed at our borders, and, worse still, the preposterous bureaucratic labeling and testing rules that are imposed by the Bureau of Alcohol, Tobacco, Firearms, and Explosives. (Is there anything that more clearly reveals our government’s still-Puritanical view of wine drinking as a vice than this agency’s name?)

The irony of these idiotic rules, (more…)

At FENAVIN, the Spanish wine industry fair, in Ciudad Real on May 15 (blog entry at Aprende a Catar Vino (Spanish); articles about the talk at El Día del Ciudad Real, Cava Argentina, La Comarca de Puertollano, and Vendimia), I will talk talked to the Spanish wine industry on the following topics:

1. Are most wine critics impartial judges of quality, or are they really serving as public-relations advocates on behalf of producers? With evidence from my own empirical work, expository journalism, and a survey of the industry, I argue that most wine critics are really in the business of advertising wine, not judging it impartially. Critics are for sale. (more…)