tag:blogger.com,1999:blog-941731830705031230.post5788443455817133085..comments2024-03-25T02:53:48.654-07:00Comments on SVB on Wine: What if you Discount Wine and Case Sales Drop?Rob McMillan rmcmillan@svb.comhttp://www.blogger.com/profile/12396624790174552807noreply@blogger.comBlogger15125tag:blogger.com,1999:blog-941731830705031230.post-63585751088803085812016-01-12T11:35:34.695-08:002016-01-12T11:35:34.695-08:00Your welcome Q. And please .... Mr. McMillan was m...Your welcome Q. And please .... Mr. McMillan was my father's name. You can just call me Your Highness.Rob McMillan rmcmillan@svb.comhttps://www.blogger.com/profile/12396624790174552807noreply@blogger.comtag:blogger.com,1999:blog-941731830705031230.post-48217872629895108382016-01-12T11:26:13.425-08:002016-01-12T11:26:13.425-08:00Thanks Mr. McMillan. I was able to register look ...Thanks Mr. McMillan. I was able to register look forward to your presentation/talk.Anonymoushttps://www.blogger.com/profile/17574774199469309893noreply@blogger.comtag:blogger.com,1999:blog-941731830705031230.post-55596221519932174592016-01-12T08:29:43.906-08:002016-01-12T08:29:43.906-08:00For anyone who struggled with signing up for the A...For anyone who struggled with signing up for the Annual State of the Industry Report and Live Videocast, I think we have corrected the issue and have re-inserted new links, but just in case - The event code is: 623 396 315, in case you see that page.<br /><br />The new link is: https://svbmeet.webex.com/svbmeet/onstage/g.php?MTID=e910d89b3bd3411450781ccee1e92da88 That's the same one in the text above.Rob McMillan rmcmillan@svb.comhttps://www.blogger.com/profile/12396624790174552807noreply@blogger.comtag:blogger.com,1999:blog-941731830705031230.post-4247612818116796872016-01-12T08:27:11.339-08:002016-01-12T08:27:11.339-08:00Thanks for logging in and the kind comments.
Ther...Thanks for logging in and the kind comments.<br /><br />There is a market, but not a good one for selling and not a good one for our growers. The big wine companies can't be blamed for looking for cheaper production inputs when a segment is under pressure. Foreign wine has filled that, but that bulk part of the market at this point is also dropping. We'll see if that continues. I do talk about that in the upcoming report.Rob McMillan rmcmillan@svb.comhttps://www.blogger.com/profile/12396624790174552807noreply@blogger.comtag:blogger.com,1999:blog-941731830705031230.post-42404298438303605922016-01-12T08:06:02.165-08:002016-01-12T08:06:02.165-08:00Maybe they should rebrand themselves and change th...Maybe they should rebrand themselves and change the story. Obviously their seems to be a market for it since foreign wines are coming in to fill in the void so to speak.<br /><br />Thanks great blog though.Anonymoushttps://www.blogger.com/profile/17574774199469309893noreply@blogger.comtag:blogger.com,1999:blog-941731830705031230.post-10139380410294101272016-01-11T13:08:56.202-08:002016-01-11T13:08:56.202-08:00ALL - Sorry for the disconnect with some of your s...ALL - Sorry for the disconnect with some of your sign ups for the live videocast. It's inconsistent. I had a problem when I tried, then did it again a minute later and it worked.<br /><br />We think the issue is at a vendor and we are trying to sort it out, but keep trying that link. It will work ... maybe even now I hope?<br /><br />Thank you!!Rob McMillan rmcmillan@svb.comhttps://www.blogger.com/profile/12396624790174552807noreply@blogger.comtag:blogger.com,1999:blog-941731830705031230.post-1687928678723643862016-01-11T11:43:36.612-08:002016-01-11T11:43:36.612-08:00Still getting same page Rob, asking for an event n...Still getting same page Rob, asking for an event number.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-941731830705031230.post-844198650249429062016-01-11T11:10:02.843-08:002016-01-11T11:10:02.843-08:00Sorry - try this link: http://bit.ly/1W0nO2s
I go...Sorry - try this link: http://bit.ly/1W0nO2s<br /><br />I got the same question when I tested the link to the Survey and Videocast, then I got the right one when I tried again. Not sure what the issue is, but I changed the links and hopefully that will work.Rob McMillan rmcmillan@svb.comhttps://www.blogger.com/profile/12396624790174552807noreply@blogger.comtag:blogger.com,1999:blog-941731830705031230.post-55570792643349025882016-01-11T11:01:52.011-08:002016-01-11T11:01:52.011-08:00Thanks for the cogent thoughts RUS and for logging...Thanks for the cogent thoughts RUS and for logging in too.<br /><br />Of course over time inflation will drive up the price of $9 wines to $12. But we aren't in an inflationary cycle today so I wouldn't bet on that. What is true is the large wine companies want that premium space and I believe that will make for more ordinary wines marketed in the $12 space ... which could have been $9 a couple years earlier. So ... it's saying something close to what you cite, though different causes.<br /><br />The San Joaquin growers had one good period in the 2000's during the great recession. As I have said in several speeches, waiting for a recession is not a good business model.<br /><br />That said, your last point is a good one. Wine drinkers almost always begin with lower prices and trade up as their tastes evolve. The fear for me today is those interesting wines being made for new consumers are often foreign, while before they were wines from the Central Valley. What does that say about our wine consumer tomorrow?<br /><br />Thanks again for the comments!Rob McMillan rmcmillan@svb.comhttps://www.blogger.com/profile/12396624790174552807noreply@blogger.comtag:blogger.com,1999:blog-941731830705031230.post-57540949989549684262016-01-11T10:54:28.560-08:002016-01-11T10:54:28.560-08:00Thanks for the comments Ray. I appreciate them.
N...Thanks for the comments Ray. I appreciate them.<br /><br />Not sure I agree in this case. The high volume producers have made wine in partnership with growers who have planted and devoted long term assets to that production. For the past decade, that's been an increasingly difficult business for growers.<br /><br />If you go back to 1971, you find the growers were producing a quarter of a million tons of excess grapes annually. The large wine companies loved that of course because it drove down price. The growers didn't like it.<br /><br />From my vantage point, the growers in the San Joaquin have really been left at the alter in this latest revision of the business and a lot of acres will now be pulled. Everyone hopes to make a buck, so from that perspective - greed is good I suppose, but there isn't a lot of money to be made today in that market by our growers there. I hope they turn things around personally.Rob McMillan rmcmillan@svb.comhttps://www.blogger.com/profile/12396624790174552807noreply@blogger.comtag:blogger.com,1999:blog-941731830705031230.post-47126386518371264072016-01-11T10:48:09.718-08:002016-01-11T10:48:09.718-08:00Sorry - try this link: http://bit.ly/1W0nO2s
I go...Sorry - try this link: http://bit.ly/1W0nO2s<br /><br />I got the same question when I tested the link to the Survey and Videocast, then I got the right one when I tried again. Not sure what the issue is, but I changed the links and hopefully that will work.Rob McMillan rmcmillan@svb.comhttps://www.blogger.com/profile/12396624790174552807noreply@blogger.comtag:blogger.com,1999:blog-941731830705031230.post-29293947213230809332016-01-11T09:39:28.209-08:002016-01-11T09:39:28.209-08:00Event Number Please
Event Number Please<br /><br />Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-941731830705031230.post-86288411512109017502016-01-11T09:28:35.200-08:002016-01-11T09:28:35.200-08:00Even with low inflation, the under $9 bottle will ...Even with low inflation, the under $9 bottle will continue to loose market share. Yesterday's under $9 bottle is today's under $12 bottle. Judging from the sales of Santa Rita 120 and Penfold's Rawson's Retreat, I'd say there are still wineries interested in serving the under $9 market. Bring them in and move them up, over time. Also, when the economy turns down again the low end of the market will pick up. Many, many wine drinkers start out in the lowest price range. There is a place for it. RUSnoreply@blogger.comtag:blogger.com,1999:blog-941731830705031230.post-51935926136514744752016-01-11T09:22:27.645-08:002016-01-11T09:22:27.645-08:00 Making up losses with volume has been a favorite ... Making up losses with volume has been a favorite ploy practiced by San Joaquin Valley (and other areas of voluminous production) <br />growers and wineries for the fifty years I can recall “If you are losing $1.00 per ton or per case, just make more tons or cases.”<br />The quantitative fallacy is commonly embraced through greed, ego, desperation or just plain old ignorance. <br />Ray Krause, Westbrook Wine FarmAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-941731830705031230.post-711869098612797182016-01-11T09:11:58.565-08:002016-01-11T09:11:58.565-08:00What is the event number so you can register for t...What is the event number so you can register for the video replay and receive the report?Anonymousnoreply@blogger.com