Non-wine costs
Posted: 23:36 Sat 12 Mar 2022
SourceThe Wine Society wrote:The fixed costs of wine production and duty are similar for all wines, whatever the price bracket. It follows, therefore, that the more you spend, the more (proportionally) goes to the actual value of the wine. For example, less than 5% of the cost of a £4.95 bottle goes into the wine itself; spend £14.95 and this rises to 43%. Increasing your spend from £6 to £9 (50%) delivers approximately a 200% increase in the value of wine in the bottle. And you can taste that difference. That is why so many of our wines are in this quality (and value) heartland.
The graph below shows the exponential rise in value as you spend more. The figures quoted will vary a little from merchant to merchant and from wine to wine, and will of course change as costs and duty fluctuate. We show the breakdown for a £4.95 bottle even though we no longer sell wine at this price. Hopefully the graph illustrates why!
