Two Buck Chuck

[Red Bigot]

Interesting brief article on just-drinks.com on the "Two-Buck Chuck" phenomenon in the USA and the unexpected research findings as to who is buying it. Very interesting second-last para too. Also the brief article on the Aus retail scene, immediately following the first one.

http://www.just-drinks.com/blogs.asp

[Rob]

Very interesting article. I do believe in that too. the price and quality ratio is not in linear relation, but more in expotential curve.

[ChrisH]

Quote from the article :

......was of a lady – probably in her late twenties – who hoped that by buying Two-Buck Chuck she was delivering a message to the wine industry. “Don’t take us for fools,” she said, “if you can make a good bottle of wine for $2 you can make a great bottle for $5.”

Great wine for US$5 - I'd like to see that !

regards
Chris

[Guest]

I was in California at the time the 2 Buck Chuck phenomena started.

quoting from the story:

Worse still is that 60% of Two-Buck Chuck drinkers said the wine had replaced other wines they once drank, in particular in the $6 - $10 price bracket.

This should not come as a surprise ...

If I recall correctly basically there was a glut of new smaller grape growers and lower end wines being produced in and around the Napa valley all hoping to cash in on the growth of the wine industry at the time.

The price of the wine grapes crashed and growers were desperate. The Charles Shaw phenomena bought up the grapes at next to nothing $2 being the lowest price Shaw could sell the wine and still make a profit.

The grapes that would have ended up in $6-10 range wines ended up being bought up and sold at $2.