Which factors affect the price of wine?

Many factors, some a little surprising, affect the price of wine. Obvious factors include a lack of wine, the cost of production of grapes and wine and the cost of the vineyards itself. Less obvious factors that can affect the price of wine include the perception of consumers about the cost of quality wine, the costs of oak barrels in which the wine ages, and the costs of designing and packaging labels.

The wine producer must decide on the appropriate price for every variety of wine. This price point not only considers the profit of the distributor, retailer and the winery itself, but also what the consumer pays. Stanford Graduate School of Business and California Institute of Technology found that consumers who were introduced two tastings from the same bottle of wine, but said they were different bottles of wine with different prices, perceived more expensive wine better.

The important violator that affects the price of wine is where the grapes are grown. In many areas you can grow grapes for cheaper bottles of wine but the highestSewer quality of grapes can only be grown in a few places; to do so rare these grapes. Other studies have shown that the designation of wine or association to the fact where grapes were grown has a significant impact on the price of wine.

For example, a study of the Center for Agricultural Problems of the University of California found that NAPA Valley wine was on average significantly higher than the wine simply marked in California. High price wines are also produced in small doses, which can bring a higher selling price.

As wine ages, the winery basically invests in their product, but they do not bring income yet, so the amount of necessary aging can also affect the price. The wine ages in oak barrels, which can vary greatly in the price, from $ 350 in USD (USD) to $ 750. As expected, packaging, thickness of glass bottles, type of cork or labels used, can also affect the price of wine.