Why Case Discounts on Wine Are a Ripoff

3 Jun

Sale signYou’ve seen it at the grocery store.  You’ve seen it at the local wine shop.  And you’ve seen it at the wine superstore:  Buy 6 or more bottles and get 10%, even 20% off.  “How can they afford to do this?”, you’re asking yourself.  Here’s how:

The vast majority of wine retailers make out-sized margins on the casual shopper- the people who are looking for a bottle for a party or picking something up to drink with their steak on Saturday night.  Because of this, they are able to discount “bulk purchases” significantly and STILL make a healthy margin.

Have you ever gone into Costco and expected a bulk discount because you are buying six cases of paper towels instead on one?  Of course not.  You know that they are already selling that case of paper towels at a lowest possible price, and you are getting a good deal whether you buy one or six.  The same should go for your wine shop.  If you find a place that never has sales and doesn’t offer case discounts, you can almost guarantee that you are getting a great deal.  Are good deals available at retailers that offer bulk discounts?  Occasionally.  But you should always check their pricing.  Personally, I’d rather shop somewhere where I know I’m always getting a good deal and don’t have to go through the trouble of price shopping.  Remember: their costs don’t change with the quantity you buy, so why should yours?

That’s why you will never find a sale or case discount at LA Wine Company.  Every wine in stock is always sale priced whether you buy one bottle or 10 cases.  Compare for yourself!

2 Responses to “Why Case Discounts on Wine Are a Ripoff”

  1. Dennis Schaefer 08. Jun, 2010 at 12:37 am #

    Stevie B: I’ll beg to differ on this subject. While YOU always buy in full case lots, many others (esp restaurants and smaller retailers) do not. If you only order “six of these bottles,” “three of those,” and “oh yeah, three of those too,” you will be billed for an uptick charge for not ordering a case of each at one time. Thus instead of being able to charge 19.99 for the Pali Huntington Pinot 2008, you now have to charge 21.99 to make up for being dinged by the less than case lot bottle charge.

    Make no mistake, I luv you man for all you’ve done for rock bottom consumer pricing in L.A. I was your customer for 25 years, until I moved away…and I wish you continued success and I am subscribing here because I know you the mojo and the say so!

    Best,
    winedoofus

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