Wine Folly’s Madeline Puckette: The three-tier system is rigged

Madeline Puckette

Madeline Puckette: The three-tier system gouges consumers

Says Puckette: The system gouges consumers with crappy wine and too high prices

Wine Retail Rant (Why Grocery Store Wines Are Rigged),” written by Wine Folly impresario Madeline Puckette is just the sort of thing that people who are more or less members of the wine establishment don’t write. It’s the sort of thing that I write, and we know what the Winestream Media and the wine establishment think of me.

Nevertheless, there it was, in all its incendiary glory. Wrote Puckette – who has initials after her name: The grocery store wine business is “a rigged market. … runs on Prohibition-Era policies that ultimately gouge the wine consumer, hurt independent wineries, and even hurt small retailers.”

Damn. Someone who isn’t a friend of mine actually agrees with me

The story is remarkable, and not just because of who wrote it. First, the Winestream Media doesn’t acknowledge wine is sold in grocery stores. Second, even if it did, it wouldn’t drink it. Third, it doesn’t acknowledge wine pricing, let alone complain that something isn’t a value. And to use the word “gouge”? Be still my beating heart.

Fourth, and most importantly, it almost never criticizes the Big Wine and three-tier system, and Big Wine makes almost all of the wine we buy in grocery stores. The wine establishment and the big producers and distributors that dominate three-tier are like the bird that eats the insects off grazing animals; each makes the other’s life easier, and both benefit. That they benefit at the expense of those of us who want quality wine at a fair price — and that is easy to buy — is not a consideration.

Yet Puckette is saying exactly that: “So basically, each transaction along the Three Tiers has a tax and a mark-up. The end result is that consumers pay $22 for a wine that the winery sold for $7. … Now, imagine that grocery store wine for $11.99? It was probably really crappy.”

Hmmmm. Where have we read this before?

I’m not as sanguine as Puckette is about some of the solutions she offers, which includes direct sales (though she does say nice things about private label wine). We need to tear three-tier down, not find a way around it. Still, Puckette’s rant is a fine start – in this effort, we need all the help we can get.

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One thought on “Wine Folly’s Madeline Puckette: The three-tier system is rigged

  • By Paul Vandenberg - Reply

    The three tier system. The flaw is the few big companies dominating the wine, grocery, and distribution companies.
    A wine leaving the winery at 6.99, it’s never $7, reaches the shelf at $13.99 or less. $22 is the gouging you get at a restaurant where the glass price is what they pay for the bottle. I’ve worked both as well as being a winemaker.
    It is an efficient system. I am trying to do direct to consumer, but it’s tough.
    Paul Vandenberg
    Paradisos del Sol

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