Executive Briefings

This Winemaker Is Pulling Back The Curtain On The Price Of Wine

In the fall of 2015, after all his grapes had been grown, picked, and bled into big oak barrels, Mark Tarlov started doing math. Like any good vintner, he tallied his costs - for labor, equipment, even packaging - and broke it all down by the bottle. Finally, he calculated a price, with a 45 percent profit margin, and set about building a website he'd use to sell it.

This Winemaker Is Pulling Back the Curtain on the Price of Wine

This small batch of pinot noir from Oregon's soggy Willamette Valley, called Alit, sells for $27.45 a bottle, and Tarlov may be the only vintner in the world telling drinkers exactly why it costs what it does.

The barrels cost $1.11 per bottle. The farming and harvest soak up another $5.66. And the packaging, intricate cardboard shipping boxes that require no extra padding, runs $2.88.

Alit is sold directly to consumers — but then, lots of wines are. It's cultivated using old-fashioned, all-natural techniques; those are fairly common now, too. What really sets it apart is how it's priced.

“I don’t know of anyone else who’s really doing what he’s doing,” said Joshua Greene, editor and publisher of Wine & Spirits magazine.

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This small batch of pinot noir from Oregon's soggy Willamette Valley, called Alit, sells for $27.45 a bottle, and Tarlov may be the only vintner in the world telling drinkers exactly why it costs what it does.

The barrels cost $1.11 per bottle. The farming and harvest soak up another $5.66. And the packaging, intricate cardboard shipping boxes that require no extra padding, runs $2.88.

Alit is sold directly to consumers — but then, lots of wines are. It's cultivated using old-fashioned, all-natural techniques; those are fairly common now, too. What really sets it apart is how it's priced.

“I don’t know of anyone else who’s really doing what he’s doing,” said Joshua Greene, editor and publisher of Wine & Spirits magazine.

Read Full Article

This Winemaker Is Pulling Back the Curtain on the Price of Wine