Price Elasticity: Should I Raise the Price of My Wine?

“What will happen if I raise the price of my wine?”

It’s the kind of question that keeps decision makers up at night.

There’s no crystal ball that will help you see into the future.

But there is the business intelligence of big data, to reliably and empirically track performance and pricing trends over time, that can point you in the right direction.

Here’s what we mean.

Let’s say you’re thinking about raising the price of your Cabernet Sauvignon from $40 to $50.

Working with millions of wine consumer data records gathered from our partners, here are five key themes that we can work to discern:

  1. Consumer demand for wines of that varietal at both price points.
  2. The competitive set for the wines, that is, who you would be competing against in the eyes of consumers.
  3. Geographical distribution, that is, the markets where the wines are heavily consumed.
  4. How often the wines are available on restaurant wine lists.
  5. The words consumers use to describe the wines (both positive and negative connotations).

It’s the kind of information, in other words, that’s worth basing decisions on. It’s also information that’s available and within reach right now.

Can we help you, and get the information into your hands?

Let us know. We love equipping business people with actionable, relevant intelligence like this.

Thank you for reading, and for your continual feedback and questions. We’re listening.