Given the economic crisis the world is experiencing, I have been reading/hearing about the “trading down” phenomenon within the wine world – where people are spending less on the wine they are buying. What I have not heard is that wine prices are dropping. While this is simple economics (as demand drops and and supply remains constant price will eventually have to drop as well) it is not something I have seen or anticipated.
Now I must admit that I am not intimately familiar with the prices and market for high end wines, it seems that the high end wine market is experiencing said price decline.
According to Forbes.com article “Not-so-fine Wine” fine wine is suffering from a loss of investor appetite. In fact, some prices have fallen so steeply that they are now available at nearly half their value from a year ago.
Thought this was interesting and I wanted to share. Now all us financially challenged people need is for wine prices to drop on sub $100 (or $30 for that matter) bottles.
Happy more affordable wine tasting!
Tags: trading down