Fermentation: The Daily Wine Blog

The Right Reason To Get Out of Bed

Worst case scenario is you get up in the morning and shuffle off to a job you despise. I've done that. Believe me, it's the worst possible career/work scenario.

Best case scenario is you get up in the morning and you know that through your job today you get to be a part of something groundbreaking, something you are excited about and something that's going to drive real change.

That was today.

Today I got up knowing I would be sending out a press release that would hit, literally, 10,000 journalists', wine writers', magazines' and wine bloggers' email boxes and would deliver a message of hope and change.

Inertia Beverage Group is a client at Wark Communications. Today they officially announced to the world the birth of a system that allows restaurateurs and retailers in New York to order wine directly from wineries in California. It will eventually--soon--be deployed for other states too.  I know, it sounds mundane. But it's not.

For the past five billion years a winery has had to procure the services of a wholesaler in New York in order to sell their wine to retailers and restaurants in that HUGE market. If you are a new winery or a small winery it has generally been very difficult to obtain the services of a wholesaler. They represent tons of wineries already and if the winery doesn't stand to deliver enough immediate profit to the wholesaler, which they likely don't, they simply don't bother with new or small wineries.

Plus, restaurants and retailers in New York often can not get their hands on 1000s of wines for this same reason.

Inertia Beverage Group's new REthink Wine Trade System changes all that. This launch has been a long time coming, involved countless man hours of programming as well as significant discussion with the regulatory powers that be in New York in order to make it a reality.

But today was the day.  I got to send out a press release that LEGITIMATELY included the words 'historic", "paradigm change" and "groundbreaking". We don't get to do that very much. No PR person gets to do that very often. So you can see why today was a Best Case Scenario work day.

Describing this new web-based software that Inertia has created, discussing its implications and trying to explain the complexity of the wine distribution system in America that it changes forever is not an easy thing to do unless you are talking to folks who already get it. Those were the folks I tried to talk to first today. In the coming days we'll be explaining this system to those who aren't so well informed. That will be tougher. But just as fun. More good reason to get up in the morning.

Why am I writing about this given I rarely write about Wark Communications clients?   I've been thinking a lot lately about how too often our careers tend to drive our interests, rather than our interests driving our careers. I think the later is clearly preferable, yet the former seems unavoidable. Isn't the ultimate goal, when it comes to career, to move the slider as far as possible toward being engaged in what we enjoy? Shouldn't figuring out how to do that occupy at least as much time as figuring out how to make sure you are out of the office by 5:00pm?

This has been my goal for the past two years. Today I was reflecting on the the degree of success I've had making my career meld into interests. Anyone who has read FERMENTATION for a while knows that I"m deeply interested in legal implications of wine distributing and the necessity of an equitable system. The REthink Wine Trade system Inertia is deploying helps level the playing field without plowing it up. It means more sales for small wineries, more access to great wines for restaurants and retailers and the potential for wholesalers to help incubate a brand without a significant outpouring of capital. When I can be involved in even a tangential way in launching this kind of system, you know it is a real "happy-to-get-out-of-bed" kind of day.

An Eye-Popping Wine Suggestion

A group of French lawmakers have issued a report recommending that school children be taught "how to appreciate wine" and the commencement of "education programs to inform young people about the origins, history and characteristics of French wines."

Can you imagine the hysterical outrage that would be aimed at those who suggested such a thing here in America. The folks at MADD would...well...go mad.

The justification for this proposal in France is pretty obvious. Their industry is ailing to a degree and they need future wine drinkers. But they say it like this:

"Teaching our children about regional products, about how they are cultivated and transformed to acquire their taste can only help them keep their health and promote demands for quality and respect for nature."

Given the demands on our educational system to "teach the tests" it's unlikely such a program could be accommodated even if there were no outrage, unless of course we could some how gets questions about terroir, malolactic fermentation and Zinfandel into the exit exams for science and social studies.

Wine education in America will probably always be left to the private sector. That's the best we can hope for and likely the best way to handle it anyway. Still, I'd like to see someone suggest a high school-based wine appreciation course here in America only because I've never actually seen a person's eyes actually pop out of their head. And even the suggestion would have some people's eyes popping before the picketing and protesting ever began.

Can 1,129 Postings on wine be fun? YES!!

I sure hope my fellow wine bloggers are having as much fun as I am!

This day marks the 2nd anniversary of my first blog post. This very short amount of time, the 1,129 posts, the countless typos, the three different URLs, the ongoing interaction with a readership far more astute than I and the chance to deliver my own brand of hubris into the blogosphere all adds up to GREAT FUN.

What's next for Fermentation?

Certainly more of the same. After all, the way in which wine, culture and I mix never ceases to amaze me.  But I have been thinking about this question.

Maybe I'll find a reputable palate that reviews wine for Fermentation.
Maybe I'll attempt to organize wine bloggers and bring them together.
Maybe I'll take it upon myself to evangelize on behalf of wine bloggers using ads and PR.
Maybe I'll produce an annual learning conference on wine blogging for wineries and bloggers.

Maybe I'll ask my readership, what should be next for Fermentation. Yes, that's it!!

Here's the question:
What would you like to see happen, evolve, change, be added to or be promoted here at Fermentation?

Tell me!

In the meantime, I want every reader of Fermentation, even those who arrive here after a search at google for "sex in the back seat", to know how grateful I am for your attention.

The Most Magical Vineyard in the World

Jack at Fork & Bottle tipped me off to this very interesting tidbit at Dr. Vino's Blog (leave it to the good Doctor to find the really magical and fascinating things about the wine industry).

Apparently Gallo is marketing a wine in Europe, Asia and Canada that appears to come from the "Sierra Valley" appellation here in California.

What's really cool is that Gallo is the first winery in America (the world?) to actually get the trademark for a specific appellation. This means that no matter who uses grapes from the Sierra Valley appellation, they can't use the name of that appellation on the bottle the way Gallo has.

It's almost as though it's a phantom appellation.

But...This reporter has actually been to "Sierra Valley" and can report that it really is an amazing and unique terroir:

To get to Sierra Valley you have to travel down the Deep End Road in the Central Valley. Eventually you have to go off of the Deep End and follow Cockamamie Street. That will take you directly into the heart of Sierra Valley.

There is really something magical about this appellation. I was particularly taken with one vineyard that is identified as The Emperor's Clothing Estate. The vineyards were perfectly manicured. In fact, the vineyard is actually "sun drenched"; that is, the sunshine ACTUALLY drips off the leaves on the vines. I know this sounds miraculous, but I read it myself.

Now, if you follow Cockamamie Street and go Around the Bend, you'll find another vineyard site in the Sierra Valley: Farciville Valley Vineyards. Most remarkable about the Farciville Valley planting is that in between the rows of vines they have planted Beanstalks. Jack, the caretaker of Farciville Vineyards, explained to me that the grapes, when harvested, each weigh over 20 lbs, all because of the special beanstalk cover crop planted between the rows.

For more information on this wonderful California appellation, check out Dr. Vino's Blog.

Wine Ratings: Who Loves Them...Who Doesn't?

Anyone who doubts the power of numerical wine ratings, particularly the 100 Point system, just isn't living in the same world as me. Let me explain what I, a wine marketer, see when I look at numerical ratings:

1. The opportunity to become an overnight success with a single rating from the right reviewer

2. The opportunity to have my entire brand dismissed with a single wrathing from the wrong reviewer.

3. The chance to sell out 1000s of cases of wine on the back of one good rating and little marketing.

4. An enormous incentive to make a wine that mimics those that get high ratings.

5. The most powerful sales tool in the history of winemaking, more important even than the quality of the wine.

In our recent "Tough Wine Questions" survey here at Fermentation I asked three questions about numerical wine rating. In the first question I wanted to know what people thought of the utility of wine ratings in terms of choosing a wine. The responses were split down the middle with 51% saying they are helpful in choosing a wine and 49% saying they are of no use.

WOW.

What's really interesting is what happens when we examine those who thought them useless. These people are 1) far more likely to believe numerical ratings are HURTING the wine industry, more likely to believe numerical ratings promote "sameness" in wine styles and...importantly...much more likely to work in or around the wine industry.

It may be that by being in the wine industry you are more likely to have been affected in some way by a bad review and this taints your view of the utility and effect of numerical wine ratings. But I think there might be more to it than that.

WHY THE INDUSTRY IS SKEPTICAL OF RATINGS
First, it's likely that if you are in the industry or around wine a lot or drink a lot of wine you simply don't need reviews to help you find a wine. Maybe you even resent their ubiquity. I also am convinced there is a genuine concern that numerical wine ratings are promoting greater sameness of style among wines from various terroirs and varietals. When we asked if numerical wine ratings promote "sameness" in wine 78% of respondents said yes. Of those who find ratings of no use in choosing a wine, 85% said it promotes sameness. It's no surprise that those who said ratings promote sameness in wine styles were more likely to say the wine industry was hurt by ratings.

As with the issue of high alcohols in wine there appears to be a concern INSIDE the wine industry over the utility and effect of numerical wine ratings. Of those who identified themselves as not being in the wine industry, they were much more likely to think ratings were helpful in choosing a wine and that ratings made wine more accessible.

I don't think there is any question that numerical wine ratings make wine more accessible to more people. Folks that just want a good wine stare up at a shelf of over 50 cabernets, 50 chards and hundreds of other wines all on the same shelf. Which to buy? That 90 point Pinot must be good.

I"LL KEEP USING RATINGS
Will the skepticism of the industry filter down to the buying public? Not in my lifetime. What's more, I'll continue to use numerical wine ratings to help promote the wines of Wark Communications clients, even though I'm one of those folks who think they hurt the creativity and diversity in the wine industry. Not using these scores would simply be letting my clients down given their huge potential to gain customers from them.

Who Wants High Alcohol Wines?

By my reckoning and perspective, both personal and from within the industry, the biggest issue facing the wine business is the emergence of high alcohol wines as the norm.

This was why I included two questions about them this blogs recent "Tough Wine Questions" survey. I could, and probably should, have included more questions on the the topic.

If it's not clear, I should spell out my general objections to the trend that is higher and higher alcohol levels in wines.

1. I can't drink as much wine when the alcohol level is 14.5%
2. Hi brix (leading to high alcohol) appears to diminish the more interesting nuances in wines
3. Hi brix (leading to high alcohol) appears to diminish terroir characteristics in wine
4. Hi brix (leading to high alcohol)  seems to come with higher pH which  reduces aging potential.

I don't think it's worth discussing whether or not alcohols have risen over the past decade or so. It's a objective fact. Survey takers realized this too as 86.1% said they have seen the increase.

Yet, it seems my objection to high alcohol wines is a minority view. Of those taking the survey who were asked to identify how they react to these wines, 54% said they "didn't mind" or they "liked" high alcohol wines. Thirty-six percent of respondents said their either "don't like" or "don't buy" high alcohol wines. As a side note, 8% of respondents said their best description of how they react to high alcohol wines is "they are hurting the wine industry".

It is very interesting to note that those who seem to approve or not mind higher alcohol wines are also much more forgiving of numerical wine ratings than the average survey taker. They are more likely to believe numerical ratings are helpful in choosing a wine to buy and that numerical ratings are making wine more accessible to more people.

One of the common reasons given for the rise of higher alcohol wines is that high alcohol tends to be associated with the kinds of bigger, more extracted wines embraced by wine critics.

There are in fact a number of reason that conspire to bring more high alcohol wines to market today.

1. More efficient yeasts
2. New clones
3. Better canopy management
4. Fewer virused vines in the vineyard

These reasons however don't address the change in style that has overcome the industry and why. This is a complicated matter that has much to do with ratings, true and false perceptions of why high ratings are given to high extract wines, the way wine is sold at retail, and the experiences of the newer wine drinkers that came into the fold in the 1990s.

Yet there is no question that those in the industry do seem to be sparking a backlash against high alcohol wines. There is certainly anecdotal evidence found in various articles on the subject and in talking to those in the industry.

And in the survey just ended here, those who identified themselves as "in the wine industry" are much more likely to say that they don't like or don't buy high alcohol wines. They are also more likely to say that wine ratings are of no use in helping to choose a wine and that numerical ratings hurt the wine industry.

The question is will this industry trend that seems to be moving against high alcohol wines spill
over into the minds of the consumer. I have no good answer for this question.

"OLD VINES": A Term In Need of A Meaning

What does it mean when you see the term "Old Vine" on a wine bottle? The answer is, nothing you can count on. It falls into the same category as the term "Reserve". "Old Vine" is a term you often see on the front of the wine label, yet unlike the varietal, appellation and vintage, the government plays no role in dictating what that term should mean.

Should it?

The question we asked in our latest survey of Fermentation readers was: The criteria for labeling a wine "Old Vine" should be?

In addition to offering the choices of 20, 40, 60, 80 or 100 for the age of the vine we also let folks choose "None, there should be no criteria".

Clearly this question should have been broken up into to questions, first asking if the govt. should regulate the use of the term, then asking what criteria should be used.

Nine Percent of respondents said there should be no criteria for the use of the term. I'm not one of the 9%. I think there should be a criteria for putting the term "Old Vine" on your bottle simply because it implies the wine is special in some way that others aren't. You could say the same about the term "reserve", but you could not so easily verify what it is about a "reserve" wine that made it special without laying down a whole slew of regulations and dictates on who the wine was made. With old vines, you'd need only say how old the vines must be to be considered "old" and what percent of the wine must contain juice from those older vines.

For the record, I'd go with the vines must be 80 years old and the wine must be 100% from these Old Vines.

"But this is an arbitrary age," you say. Indeed it is. And that's one of the real mysteries of "old vine" wines. Although most folks attribute something special to their character, there really is no solid determination of what that special quality in the wine really is.

Are they more intense?
Are they spicier?
Are they more balanced?

I don't know. But, I should know that they are made from older vines.

What's interesting about "old vine" vineyards in California that tend to be at least4 60 years old is that they seem likely to be field blends with Zinfandel carrying most of the load. This is particularly true of vineyards that have been in the ground for more than 80 years. This is not so much the case with 40 years old vines and certainly not the case with 20 year old vines.

And by the way, 13% of respondents in the survey said the vines should need to be only 20 years old to be called "old vine". These folks tended to be overwhelmingly male, more educated, more likely to not mind high alcohol wines and much more likely to attribute the meaning of terroir to simply soil characteristics. Interesting, but I don't know what that means.

What I do know is that it is very unlikely to seen any regulations on the term "old vine" appear any time soon. The outcry against regulating the term would be HUGE. All those folks that own vineyards or buy grapes from vineyards that are about 30 years old and call them old vines would protest. They'd claim any requirements regarding age are arbitrary. And they'd be right.

America's MOST Infuential Critic: Robert Parker?

The December 2006 issue of the Atlantic Monthly (a magazine any self-respecting intellectual-minded person should read) has a fascinating cover story on the 100 Most Influential People in American History. There are no wine-related people on this list.

However, there is an interesting series of sidebar stories such as Most Influential Poets, Filmmakers and...Critics. Inside this sidebar story comes the following sentence:

"No critic in history has ever wielded as much influence as Robert Parker."

Clearly the author of his sidebar story, Atlantic Monthly Managing Editor Robert Messenger, is referring to American Critics. However, I don't think he's merely suggesting that Mr. Parker is the most influential  WINE Critic. I think he's say that in terms of overall influence, no other critic in American history has ever wielded a much influence than Parker:

"His ratings send customers scurrying to wine shops and drive price skyward. Wines are being made on five continents to suit his preferences. With his exceptional palate and Nader-like devotion to the consumer, he revolutionized an industry that was dominated by insiders, obfuscation, and hyperbole twenty years ago. He's been attacked from all sides but it hard not to admire his consistency and his independence."

With the exception of the third sentence in this love letter, it's hard to disagree with Messenger's appraisal of Robert Parker. But it's that 3rd sentence that gets to me.

First, I think you can make  a significant argument that Parker does have a devotion to the consumer. However, so do the folks who make the "Girls Gone Wild" videos.  I often wonder if what seems like a commitment to bestowing high scores on wines from across the globe that have similar characters is a benefit to the consumer.

Also, I'm unclear what kind of "obfuscation" was inherent in the wine business 20 years ago and what Mr. Parker did t save us from that. Finally, is there really less hyperbole, as Mr. Messenger implies, in the wine business today and, if there is (which there is not) how did Mr. Parker rid us of that?

The list of most influential critics in the Atlantic Monthly is an inspired effort. I'm a BIG fan of learned criticism. Among the others on the list are Bernard Berenson, the man who introduced the classic art world to Americans; Clement Greenberg, the author of "Art and Culture" and who championed the contemporary abstract art movement; John Hammond, the man who introduced Jazz to America; and Randal Jarrell, the modern American Poet's critic.

And yet, I'm still stuck wondering about the nature of influence and Robert Parker when I read, again, this sentence in the sidebar:

"No critic in history has ever wielded as much influence as Robert Parker."

ANSWERS To Tough Wine Questions

The recent Fermentation Survey on "Tough Wine Questions" was issued to to look at questions about wine that interest me as a marketer. In this post I want to deliver an overall look at what the 238 folks who answered the survey had to say.

ON TERROIR
For the avid wine drinker and wine enthusiast the question of Terroir looms large. Without it there really is little meaning to our relationship with wine since if all wine is the same, no matter where it is grown, well, then who cares.

I asked you to identify which statement best describes your own understanding of the concept of terroir. 70% said:

"The influence that the entire natural environment (soil, climate, slope, rain, etc) has on the character of a wine."

This is a New World concept of terroir insofar as it tends to give equal weight to both climate and soil. In Europe you are far more likely to see soils given more credit for the character of the wine. Also, you will see deference given to local and regional winemaking traditions in any descriptions of terroir. These two descriptions of terroir were given by 11% of respondents respectively.

OLD VINES
In my mind, the term "Old Vine" is among the most abused and misunderstood terms you will ever see on a label. What constitutes "old vines" and what character do they add to a wine? I didn't examine the latter, but only the former in this survey when I asked what criteria should exist for labeling a wine "Old Vine?"

38% said the vines should be 40 years or older, while 28% said 60 years or older. Upwards of 78% or respondents believed the vines producing the grapes for a wine labeled "Old Vine" should be older than 40 years.

HIGH ALCOHOL WINES
There is a debate in the industry right now as to whether the current concern often expressed in the wine industry over higher and higher alcohol wines will eventually trickle down to the consumer who will then reject them. It's definitely an open question. In this survey I wanted to know how Fermentation readers responded to high alcohol wines.

You are aware of them. Over 80% of you say that wines have drifted up in alcohol content over the past few years. However, over 50% of you say you either "Don't Mind" them or "Like them". 35% of you say you react to these wines either by not liking them or by not buying them.  Another 7% of you think high alcohol wines are hurting the wine industry.

WINE RATINGS
There is a significant split among Fermentation Readers over the utility and impact of numerical wine ratings. Half say they are useful in helping choose a wine to buy, while half say they are of no value. Half of you say they are hurting the wine industry while half say they are making wine more accessible to more people, something that is clearly beneficial to the wine wine industry.

Now here's something very interesting: Nearly 80% of respondents believe that numerical wine ratings promote sameness in wine. Less than 1% of respondents believe numerical wine ratings promote a diversity of style in wine.

DEMOGRAPHICS
You are overwhelmingly male. You are likely by a margin of over 80% to have an undergraduate college degree or better. You are likely to be middle aged. You probably live on the East or West coast. Well over half of you have an annual household income of $100K and..... more than half of you work in the wine industry or an industry that serves the wine industry in some capacity.

I have more to say on these findings. There are some very interesting nuggets when you break down the questions and parse them. They also give rise to some very interesting questions, which I will be raising in later posts.

In the mean time, you can view the results of the Survey HERE.

"Tough Wine Questions" Survey Ending Today

The current survey underway, "The Tough Wine Questions", will close tonight at 9pm PST.

If you've not already taken the survey I would be most pleased if you did. It won't take more than 3 or 4 mintues.

CLICK HERE TO TAKE THE "TOUGH WINE QUESTIONS SURVEY

The "Top 100 Wines" Impact

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Russ Bebbe over at the Wine Hiker Blog has done a preliminary assessment of the effect on a wine's aftermarket price when it hits the Top Ten of the Wine Spectator Top 100 list.

The Top 100 came out Monday. What was unique about the list is that the #1 wine was relatively inexpensive Ar around $69 (2001 Casanova Di Neri Brunello Di Montalcino Tenuta Nuova).

Russ has some interesting comments to make and his run down of current pricing two days out might surprise.

On this same issue, I had a conversation with a small specialty retailer yesterday. It turned out he had a couple cases of the wine on Monday. In fact, he had over the past few months sent out three emails to his customers that highlighted the wine. The announcement of the top 100 Wine Spectator Wines happened early Monday morning East Coast time.

When the retailer arrived in his store here on the West Coast around 10am he had over 100 messages on his answering machine and his website had crashed due to the number of folks that had been ordering the wine (he didn't have a system on his website that tracked inventory).

According to the retailer, the messages on his answering machine offered just about everything short of sexual favors in exchange for the #1 wine. He has had the #1 wine in stock when the list was announced for the past few years but never received this kind of response. He suspects the $69.00 price tag had something to do with it. He also noted that at the time this year's list was announced, they importer still had over 100 bottles in stock.

The building Franchise that is The Wine Spectator's Top 100 List is nothing less than a benchmark and a powerhouse in the retail wine sector.

Check out the Wine Hiker Blog.

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Magic Bullets and Poisoned Bordeaux

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For those of you who stay attuned to the more morbid moments in American History you'll have already noted that today is the 43rd anniversary of the assassination of President John F. Kennedy. I had the opportunity in college to spend an entire semester in a class devoted to this specific topic. It was, for the most part, the opportunity for myself and 25 other students to engage in one of my professor's more interesting obsessions: Conspiracy Theories.

This date never fails to come without me stopping and considering its implications. My impression of Kennedy was that he was more important as a symbol than as an actor in the history of America. I've occasionally looked into his relationship with wine and found what every one seems to know: Kennedy was something of an aficionado of the classic sensualist delights. His taste in wine ran to Bordeaux, the wine that was most often poured at his White House dinners, along with Champagne. This appreciation for French wine stayed with him even after a bottle of Bordeaux, given to him by General Secretary Khruschev n 1962, had to checked to make sure it was no poisoned.

So there it is. A reminded that today is the 43rd anniversary of the Death of a President, the birth of the mother of all conspiracies, an a little bit of wine info to go with it.

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2007: The Year of Winery Direct Sales

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If the new poll of Wine Industry CEO carried out by Scion Advisers is any indication, we can say with some confidence that 2007 will be the year that the wine industry discovers the utility of e-commerce.

Of the over 116 Wine Industry CEO's queried, 44% said the top issue they are talking about is the benefit of investing more in E-commerce systems. If you take out those respondents that head companies making more than 100,000 cases the slice of those CEO thinking about on-line commerce rises beyond 50%.

My hope is that many of these CEOs are not standing around, scratching their heads and asking themselves or their minions, "Will folks buy wine on line?"

The only question they need to be asking is: "How fast can we recoup our initial investment in technology when we institute a serious direct-to-consumer/e-commerce-based initiative?"

Yesterday I crafted and sent out an e-mail to a client's email broadest e-mail list: wine club members, previous purchasers and tasting room sign ups who did not buy. The incidental cost of sending out this e-mail was somewhere in the neighborhood of $30. As of this moment, as I type, the email has generated over $3000 in sales via their on-line store. I've not checked the sales that came from folks who would rather call the winery, and there are always a few who prefer that method of purchase.

This figure will rise over the next two to three days. The result of both on-line and phone in purchases as a direct result of the email will be somewhere in the neighborhood of $6000.00.

Hmmmm?

Things change. There was a time when a great number of folks in small towns obtained their milk, butter and eggs from the "milkman". The dairies bought trucks and made their rounds. It was profitable. However, the emergence of the Grocery Store and modern refrigeration changed everything. It became more profitable for Dairies to sell directly to grocery stores and more convenient for Mrs. Smith shop for all her food items in one place, even if it meant forgoing a bit of afternoon delight. It was a significant change in the way commerce and distribution of products occurred.

The Internet has wrought a similar change. For years only a handful of wineries sold wine direct, most via their tasting rooms and a much smaller number via a mailing list. Today, the Internet provides a new channel that does exactly what the rise of the grocery store and modern refrigeration did: It makes the producer more profitable and offers more convenience to the the consumer.

Why has the wine industry not jumped on this paradigm shift in the same manner that that the book industry, toys, music has? I suspect there are many reasons. Wine is a VERY traditional industry that has at its foundation farmers; not exactly an innovative group. Their most important supplier is a large fiery ball in the sky.

Then there is the traditional sales structure called the three tier system whereby states have mandated that alcohol be sold by the producer to a distributor to the retailer then to the consumer. This middleman-heavy system has been in place and supported by the state for more than 70 years. A lot of very powerful folks have a lot invested in maintaining this structure. Selling direct to consumers is the antithesis of the three-tiers system. It's subversive to the very structure of the wine industry.

These are just two of the reason why the wine industry has been slow to surge headlong into the world of e-commerce.

But eventually. CEO who are selling upwards of 80% of their production through the three tier system look at the implications of e-commerce. Consider this:

Chateau SunGod produces 10,000 cases annually.
Chateau SunGod sells 80% to wholesalers and 20% Direct to consumer
The average case of Chateau SunGod sells for a suggested retail price of $300.
Chateau SunGod realizes Sales of $600,000 from its 20% direct to consumer sales
Chateau SunGod realizes sales of $1,200,000 from its 80% wholesaler sales.
Grand Total for a vintage: $1,800,000

If Chateau SunGod can convert 38% of its wholesale sales to direct to consumer sales it's annual sales increases to $2,250,000 annually.

The other benefit of going direct is that one's marketing expenses will in the long run decrease significantly.

Yes, 2007 is poised to be the year that the wine industry, particularly the small to medium-sized players get serious about selling direct to consumers.

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Don't Drink...Oh...and don't drive either.

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I've always been suspicious of the motives of the folks at Mothers Against Drunk Driving (MADD). I've always had the sneaking feeling that their main concern was stopping the consumption of alcohol, rather than stopping drunk driving.

My suspicion grew when MADD led the charge to lower legal blood alcohol limits (BAC) to .08 from .10 . It struck me that the only difference this would make would be to create a new class of criminals who previously play a very small roll in drunk driving statistics. It was a move the simply scared people and reduced their ability to enjoy a glass of wine or  snifter of single malt without guilt and fear.

MADD was also behind a law enforcement tactic called ""administrative license revocation", a ruled that allows the state to confiscate your vehicle not if you are convicted of drunk driving but if you are merely accused of drunk driving. For those Constitutional scholars out there, I'd suggest there might be a 5th Amendment issue here.

Now I read that MADD is instituting a push to have "ignition interlock devices" put in every vehicle. The idea is that if you are at the .08 limit your car's IID will recognize this and stop your care from starting. Without falling into the kind of conspiratorial mindset that might allow me to claim the earth is round, is it out of line to think that these devises might one day be used to stop ANYONE who has had ANY AMOUNT of Alcohol from getting their car to start?

Candy Lightner, the woman who founded MADD, had this to say about the organization she is no longer affiliated with:

"MADD has]ecome far more neo-prohibitionist than I had ever wanted or envisioned ...I didn't start MADD to deal with alcohol. I started MADD to deal with the issue of drunk driving," she said. 

The Greatest Wine & Greatest Rock Band Ever

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If you are in the wine business you get asked all the time, "What's the greatest wine you've ever tasted?" or "What's the greatest wine in the world?"

I get asked this question fairly frequently, and I don't even review wines for a living. I never have an answer for this question.

However, were I asked "What's the greatest Rock n Roll Band Ever" well for that I'd have an answer. It's so obvious: TENACIOUS D!

I'll be attending a live performance of Jack Black's legendary band tonight in San Francisco. What do I expect? PURE ROCK N ROLL! I'm also going to get kudos from my son who thinks my love of Jazz in evidence of a complete lack of taste.

Diversity Day

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I considered making this an obligatory post about the obligatory media story about thanksgiving wines. But what fun is that?

I think the only way to properly treat the topic of what to drink on thanksgiving day is to treat it the same way we treat the food we eat on this day: Celebrate Diversity!

There's nothing better, nothing more visually Americana than a picture of a Thanksgiving table, decked out with a big brown Turkey, a pile of mashed potatoes, two kinds of stuffing (one for the meat eaters and one for the vegetarians), green beans shinny and lathered in something, a boat or two of gravy, a bowel of cranberry sauce, a lonely vessel of something that contains tiny marshmallows and Mandarin oranges, the round doughy rolls stacked high, a collection of pattern-splattered plates from the buffet encircling the table, the special salt and pepper shakers that have not had their salt and pepper replaced n a decade or more (but they are pretty), a plate with a stick of stick of soft butter, the special water glasses, and...the wine glasses.

If you've never done it, put some tall candles down the middle of the table, light them all and take a picture. Remember this scene. The combination of the occasion and the way the candlelight bounces off the buffet plates, crispy turkey, glasses and cranberry sauces is pretty cool.

Yes, the wine.

The meal itself is about diversity, isn't it. Look at all that stuff on the table. You can choose a wine to match just one dish (usually the turkey), a wine that attempts to match everything on the table (impossible) or...you can break out bunches of wine. This latter option is the ticket. And it's my plan of attack this year.

Playing it safe would be getting a Gewurztraminer with a hint of sweetness and  nice Pinot and stop there. But let's face it, if you are putting something on the table that is made with small marshmallows and Mandarin orange slices then playing it safe really isn't what this meal is about, is it.

I think I"ll go deep this year. Besides the Gewurztraminer (2005 Bucklin) and Chardonnay (1997 Calera), I think I'll also be breaking out the 1998 Ravenswood Old Hill Zinfandel (It is an American Holiday, after all), a 2001 Bordeaux blend (Astrale e Terra), 2001 Merlot (Guilliams),  a nearly dry Hook & Ladder White Zinfandel (there is a dish with marshmallows and tiny mandarin orange slices on the table after all), and an Aussie Tokay.

Diversity and lots of it. As a meal, this is how the Thanksgiving feast strikes me. There's just no sense denying it.

Tough Question: A Wine Survey

It's Survey Time at Fermentation. This time we tackle THE TOUGH WINE QUESTIONS (aka..the ones that keep the geeks talking)

You Can Take the Survey Here

Thanks in Advance. We'll be posting the results here immediately after it closes.

Change the world...one sip at a time

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Meet the new Fermentation Sponsor:

I know...it's a tease. You'll just have to click on the ad and find out who wants you to change the world one sip at a time. These aren't just good folks, they are wonderful winemakers. I opened a bottle of their 2000 Pinot two nights ago and it was like sipping of liquid cherry silk.

Sponsors help this blog keep at it. So thank them by at least clicking on their ad above or over there on the left.and checking out their world.

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Survey: The Tough Wine Questions"

Writing a wine blog day in and day out you tend to find reason to contemplate the "tough questions" associated with wine. I know my own feelings on these issues. But I want to know yours!

Take the FERMENTATION'S "TOUGH WINE QUESTIONS" SURVEY

It's very short and won't take more than three or four minutes. Or, if you are a deep thinker, it might take you up to five minutes.

We will post the results of the "TOUGH WINE QUESTIONS" Survey right here at Fermentations.

Thank you in advance for participating. It should be interesting.

CLICK HERE TO TAKE THE "TOUGH WINE QUESTIONS" SURVEY.

The Zinfandel Survey est Arrive

The folks at Zinfandel Advocates and Producers (ZAP) have released to the media the fascinating results of a survey of Zinfandel producers. In it we see on display the hopes, concerns and views of one of the more interesting slices of the winemaker universe.

There is a great deal of information in this survey report. So much so that I don't want to go into all of it. But I do want to hit some highlights...or at least highlight some findings.

THE ZIN BASED BLEND
Over 25% of respondents to the survey reported making a wine with Zin that held less than 75% Zinfandel. This means they can not call that wine "Zinfandel" on the label. How much you want to bet these folks are downright fanatical about winemaking? There just isn't much of a market for a non-Bordeaux style blend. Sure, you've got Ridge Geyserville and Bucklin's Mixed Blacks. But you really have to want to make something different and have confidence in your sales abilities to carry this one off. I say bring it on.

A LITTLE PETITE WITH YOUR ZIN
The survey confirmed what we've known for decades: Zinfandel and Petite Sirah are partners in crime. 60% of respondents said they prefer to blend Petite Sirah into thier Zin. And if the survey were of Petite Sirah producers I guarantee you'd find that they prefer to blend in a little Zin with their Petite. Syrah was the second most preferred blending grape to go with Zin, followed by Cabernet.

"OLD VINE ZIN"
What does "old vine" mean. What should it mean? It appears this question was not asked in the survey, but I wish it had been. Rather, they asked why they label a wine "old vine"? Fully 25% responded they do this because the wine features a distinctive "old vine flavor". This is a maddeningly confusing response. IS there an "old vine flavor"? Is that flavor actually just intensity? Is that flavor a result of older zin vineyards tending to be field blends that include other varieties that get into the wine? The question I would have loved to have seen is this: Were the term "Old Vine" to be regulated what age do you think a vineyard should have to be to be called "Old Vine"?

HIGH ALC ZINS AN ISSUE?
When asked to name the three most important issues facing Zinfandel producers, 57% of the producers responding to the survey said: Perception of Zin as high alcohol, ultra-ripe wines. An analysis that came with the survey results suggests that this concern may only be something producers think about because they here the trade talking a lot these days about high alc wines and questioning their value. This is  probably a spot-on interpretation of the data and the producers' mindset.

However, while I do believe that the backlash against high alc wines will continue to grow among the wine trade and eventually make it into the minds of wine lovers, I'm not convinced this is something that Zinfandel producers need to be as concerned about as Pinot Noir, Chardonnay and Cabernet producers should be. Zinfandel is a varietal that handles higher alcohols better for a number of reasons, not the least of which is its tendency to retain acidity. Also, wine lovers and members of the trade tend to accept higher alcohols in Zinfandel while being less forgiving when it comes to Pinot, Chard and Cabernet.

The survey was of 222 Zinfandel producers in California, easily a majority of the producers.

The survey was conducted by Christian Miller of FullGlassResearch.com. Miller is as good as they come in the business of looking over the wine industry trends and opinions. This survey sure bears out this opinion of him. It's very good stuff, and very thought provoking. I'll be publishing a link in a future post that you can use to look over some of the results yourself. Congrats to Zap on some great info!

The Picasso of Wine's Sameness

I've written about that company called Enologix before. Not too flatteringly either.

However, that doesn't mean I'm not fascinated by the subtext of the Enologix story: delivering sameness of style is merely a proper response to what the consumer demands.

Enologix is a company that has essentially mapped out the chemical elements of wines that score well with Robert Parker and the Wine Spectator Magazine. The company helps a winery deploy manipulations in the vineyard and cellar to come as close as possible to creating a wine that mimics other wines that have scored well with Robert Parker and the Wine Spectator.

It's easy to see how this service works on behalf of sameness in wine. It is trailing indicator of critics preferences rather than a leading indicator of what's good.

Why do I bring up Enologix again? I came across a really interesting dialogue between the owner of Enologix (Leo McCloskey) and Nancy, who writes the Goosecross Cellars Blog. (I should have know about this dialogue earlier since Goosecross is a client.

The dialogue offers a fascinating window into the philosophical and economic justification of an Enologix service. Did you know, for example, that the work of Enologix is comparable to that of Picasso?  Did you know that the sameness that comes out of the sorcery that is Enologix is one that helps the artistry of the winemaker? I didn't.

Read this dialogue. It's fascinating.

Nancy Pelosi, Right Wingers and a Bad Understanding of Napa

With the prospect prior to the last election and confirmation afterward that Representative Nancy Pelosi would be come Speaker of the House of Representatives, lots of attention is now being paid to the congresswoman from San Francisco. It turns out that much of that attention has been turned to the fact that Speaker Pelosi and her husband Paul own a vineyard in Napa.

But not just that she owns a vineyard. The folks writing on Right Wing blogs, for Right Wing Internet publications and those who comment on Right Wing blogs are fascinated by the report that Pelosi's small vineyard holdings apparently employ non-union labor. The Speaker's long defense of labor has spawned many to call her out on charges of "Hypocrisy". These charges can be found Here, Here, Here and Here.

I'm not so concerned about this. If you can find a politician anywhere who can't be charged in some small way with hypocrisy then you've probably found a dead politician.

What interests me about these writings is the way the writers and commentors tackle the wine industry in general. Specifically, I find THIS story that delves in deep to the finances of vineyards to come up with the conclusions that, among other things, Napa Grapegrower Andy Beckstoffer wants his Napa grapes to go into $10 and under wines, that Pelosi treats workers so bad they all quit and that it's possible Pelosi is laundering money through her vineyard.

Interestingly, the writer's source for this and other nonsense is identified only as "Our knowledgeable Napa Valley source."

I have to quote from this story...just because it's so damn funny:

" The congresswoman’s total planted grape acreage equals 9 acres x $13,500 income per acre of highest quality grapes = $121,500 total gross grape income for the two properties.

"More curiously however, our California wine country source revealed that “the AVERAGE cabernet price, however, is only $1,850 per ton x 4.5 acres x 9 acres = $75,000 total gross income for the Pelosi grapes from average quality fruit. So as you can see, the congresswoman may have some explaining to do about who buys their grapes and why they may be getting such an extraordinary price for them.”

"We were also told that “her vineyards are ’postage stamp’ sized and basically ‘irrelevant’ to the industry -- small, nuisance-sized parcels that at best are difficult to contract with any winery, and are in areas not known to produce quality fruit within the Oakville district. It is marginal land, which is why it was not planted historically.”

"The Napa source told us that “the biggest grape grower on Skellenger Lane [where one of the Pelosi vineyards is located] is Andy Beckstoffer -- and he likes to price his grapes to sell in a $10 per bottle of wine, for goodness sake. This is hardly an indication of extraordinary grape quality!” [suggesting that Pelosi’s Skellenger fruit is average at best.]

"Pelosi’s actual approximate “wine-grape income” is between $75,000 for average fruit and $121,500 for top-line fruit, given their reported planted acreage, and provided their fruit is of average quality -- if less than average quality, then income is even lower, suggesting that there is need of an explanation unless they show significant rental income from the vineyard properties. If Pelosi's tax return shows more that $200,002 income for the two vineyards, then there may be a significant problem.]"

You've got someone speculating on why in the world Pelosi could sell her grapes, farmed in the MIDDLE OF NAPA VALLEY, for more than $1,850 per ton, then concluding that there "may be a significant problem" with what Pelosi has reported as income. Anyone want to offer me some Oakville appellation Cabernet for $1,850 per ton? PLEASE!!!

Pelosi and her husband Paul recently sold their acreage on Skellenger Lane in Napa, but still own property on Zinfandel Lane in the middle of Napa. The property is described has having vineyards and residences. In reading the conspiracy theorists who tend to comment on the Right Wing writers' stories there is some speculation on where the vineyard is actually located, who buys the grapes and even what the name of the winery is. Though the Pelosis have apparently gotten a permit to build a 5000 gallon winery  the property on Zinfnadel Lane, it do not believe it is completed, up and running or even under construction.

There is no specific information on th Internet as to which piece of property on Zinfandel Lane is actually owned by the Pelosi's. However, I think I determined which it was by using the handy dandy Google search tool, Google satellite imagery and little common sense. I suppose I could have done the research down at the planning department in Napa, but that's not nearly as fun.

First, it appears that Liparita Winery in Napa has purchase the fruit from Pelosi's vineyard. Also, it appears that Jack Neal and Sons does the farming. The vineyard, if I am correct about its location, is in close proximity to vineyards owned by Heitz, Frogs Leap and Quintessa. This is hardly bad grape ground.

I suspect that over the next two years we will continue to hear a great deal about the "vineyard baroness" slash Speaker of the House. I suspect the issue of union labor will continue to arise. That's fine. That's politics. However, it would be nice if those doing their best to do some smearing of Pelosi would get their facts straight about the wine industry and grape growing.

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Wine Wholesalers Keep To Losing Strategy with New CEO

The Wine &Spirit Wholesalers Association (WSWA), the arch enemies of wine consumers, small wineries and emerging wine regions across the country, has appointed a new CEO and President to replace Juanita Duggan. Craig Wolf, the interim CEO and former General Counsel, will take over this position.

Wolf has been instrumental in shaping WSWA policy that opposed direct shipping of wine to consumers at every turn and has helped shape WSWA strategy of squashing emerging wine industries in states across the country by convincing legislators to mandate that wineries use wholesalers to get their wine to restaurants and retailers, rather than simply sell it to restaurants themselves.

In a press release issued by the WSWA, Wolf made a statement that needs bit of translation. Allow me:

"America's wine and spirits wholesalers are indispensable to the regulated alcohol distribution system in this country" (Unless that alcohol is produced by small wineries that want to distribute themselves...in that case WSWA is of no value).

"...We bring an amazing selection and availability of fine products from across this country and around the world" (except for those that don't provide wholesalers with much profit and in those cases we makes sure those wineries have little opportunity to sell their product to anyone beside their neighbors...after all, why should these wineries be able to sell their wine to a broad market if we can't make a profit off it?),

"...as well as provide local control and regulation to a socially-sensitive product" (We push paper in a way no one else could possible do).

"...We will be looking for new ways to communicate the value of our role in the distribution process. (We will continue to pay off legislators in order to maintain our state-mandated monopoly--ain't capitalism grand...you can buy the most amazing things).

Wolf made his name working for Sen. Orin Hatch of Utah before taking the position of General Counsel for WSWA. Working side by side with Juanita Duggan, he took part in one of the most amazing series of PR disasters in wine history: The concerted attempt to convince consumers, legislators and the nine justices of the Supreme Court of the United States that wineries were sending $100 bottles of wines into the hands of teenagers.

What will Wolf think of next?  Stay tuned.

Collecting Wine Blogs

There are a large, and I mean really large, number of wine blogs on the Internet that specialize in celebrating the lesser priced wines...affordable wines, value wines, wines under $20, etc, etc. I'm going to be a little bit obnoxious here and suggest that the reason there are so many of these blogs is because the  average blogger simply doesn't have much experience or access to more expensive or more COLLECTIBLE wines. These bloggers turn their current economic circumstances into their blog's raison d'etre.

That's fine.

But it has always struck me that there is a supreme lack of wine blogs that focus on the high end, the collector, the collectible wines. I suspect this is due to the fact that there are realistically very few folks who can talk on this subject authoritatively...essentially you have the opposite circumstance from those who blog about low end wines.

Enter The Wine Collector Blog.

A promotional/educational vehicle for a company called Vinfolio, The Wine Collector Blog has its sights set on delivering information about high end wines and the market for them. It's a fairly new blog but they seem to want to do it right. They have been posting on a regular basis (daily, actually) since October and their info is very good. For example:

Top Ten California Wines Sold At Auction
Overall Top Ten Wines Sold At Auction
Wine Inspection Guidelines
Returning Faulty Wine to Retailers

The blog is written in the service of Vinfolio, a company that stores, purchases, valuates collections and sells wines. And not just any wines....The Good Stuff.

Vinfolio is one very serious high-end collectors and retail establishment backed by some heavyweights in the wine industry including Jean-Michel Valette and Chuck McMinn. It strikes me that a blog attached to this kind of service business is precisely what business blogging is perfect for. The Wine Collectors Blog is similar to Fermentation, Inertia's REthink Wine Blog, WineLibraryTV and Mike Duffy's Winery Website Report Blog...all blogs that have serious wine related business behind them.

That said, those interested in collecting wine and the ins and outs of procuring sought after wines will find The Wine Collector Blog a great asset.

Embracing Your Inner Wine Geek

I spent a bit of time looking over Gary Vaynerchuk's Wine Library TV when it first launched. I thought it a good idea watching the first episode, but it also stuck me as a bit bland; as though Gary, the host and the focus of the show, hadn't found his stroke yet.

After WineLibrary TV placed an ad with Fermentation I went back and took another look. Gary has most certainly found his stoke!!

Before you label me a whore for pushing advertisers go watch a few episodes of Gary's WineLibrary TV. I don't believe I've ever seen anyone so completely and utterly embrace their inner wine geek in such an enthusiastic and un-selfconscious way as Gary.

Each episode, of which there are now 125, Gary sits at a little table in front of a camera with a few wines in front of him and tastes them on the spot. In this respect it's a pretty intimate experience for the viewer. You can almost see Gary doing mental warm ups as he approaches the wines in front of him. Then the sipping and mouth swishing occurs. (the audio is VERY good...you can hear the wine wash over each and ever taste bud Gary possesses). Then the review comes. On the spot. There's a wierd anticipation that overcomes the view as they wait to see what Gary will come up with in  response. It's fun.

And, clearly this man is having fun too!! But his viewers are too. The comment section attached to each episode is probably the most robust of any wine blog/podcast/winevideo site on the Internet. There is something of a cult following developing over at WineLibrary TV.

It's very hard to pick a favorite episode of WineLibrary TV.  Nevertheless, I've been converted. I know. That sounds like a publisher praising an advertiser. I don't care what it sounds like. This is really good stuff!!

UPDATE: Nov 13, 2006
If you want to watch a fantastic episode of WineLibrary TV that showcases what Gary does on his show, THIS IS THE ONE.

A Good Year...A Bad Wine Promo?

"Sideways" the movie was able to have such  huge impact on the wine market and on Pinot Noir sales primarily because it received such great reviews. It was not a big blockbuster so it too these kind of reviews to put rears in the theater seats where they could encounter the happless wine lovers and the picturesque vineyards of Santa Barbara. The Acadamy Award nomination sealed the deal.

There was hope that the new film, "A Good Year", might have a similar effect on consumption patterns and raising interest in wine. It still might do some of this but based on the initial reviews of the film it seems unlikely that the film will have anything near the impact as Sideways.

The initial reviews of the film are average to poor:

"...audiences will be checking their watches..."USA TODAY)

"Crowe tries a romantic comedy, manages neither." (SF CHRONICLE)

"You know what the filmmakers are trying to achieve and see the labor going into the attempt, but for them to fall so short is unsettling." (HOLLYWOOD REPORTER)

"...unbearably sweet and emotionally lifeless..." (CHICAGO TRIBUNE)

I've not seen the movie yet, but I plan too. By all accounts the film is beautful to look at.But based on the type of reciepts this "small' film with average to below average reviews is expected to reap, it seems likely that it might attract a few more folks to Provence rather than to wine in general. I had higher hopes for the impact this film might have. That said, as long as it doesn't bomb it will at least put the idea of wine in more artists' minds. And who knows what that might lead to.

"Pro-Choice Pinot Noir"?

Yes, I know. I said the last post would be the last post on the election and how it relates to wine. But I can't help myself. This has too much stuffing to let pass.

Mark over at Uncorked found an interesting discussion at Woot.Wine. Woot.Wine is similar to RadCru.com. Both offer one wine per day and sell it until it's gone at a somewhat discounted price. Well, apparently a day before the election Woot offered bottles of wine for sale under the Sierra Club label. As Mark relates, all hell broke lose among those who frequent the site and the comments section of the Sierra Club offer turned into a political battle ground.

As Mark notes, "And the flame war was on. Ahh, politics and wine — an incendiary mix, at least during Election Week. And here you and I thought wine was a uniter, not a divider."

The interesting question here is to what extent does a person's politics dictate their purchasing habits and is wine for any reason immune to being affected by political winds and leanings?

I don't think anyone will doubt that one's political leanings and inclinations often guide their purchasing habits. Boycotts are often a vehicle for allow folks to express their political feelings. But that's more of a protest non-purchase. The more interesting idea is how political leanings lead people to purchase specific products, categories of products or certain brands.

I can almost guarantee that there is a small contingent of folks out there that will not buy Gallo wines because they have been portrayed as unfriendly to unions. But it's a lot of work to undertake this kind of negative consumption habit. You'd have to be aware of all the brands that Gallo owns. Not many people are.

I also know folks that won't buy wine from Industrial sized wine corporations because they feel these mega corporations are bad for the both the artisan nature of the wine industry as well as being responsible for the "homogenization" of wine styles. This strikes me as an aesthetic statement as much as a political statement. And again it's more of a boycott than a positive political statem