Buyer’s Guide to Vintages November 16th Release

Privatization’s Next Milestone – Price Competition

By David Lawrason, with notes from Sara d’Amato, Megha Jandhyala and Elsa Macdonald MW

“Did you know that Costco is now selling wine [in Ontario]?”

The question came from an LCBO cashier I have come to know as I shop every two weeks for samples of the Vintages releases — including the intriguing selection of excellent wines that we recommend below. Jump right to our picks if you are fatigued by the privatization story

“Yes, I do know Costco is selling wine,” I replied, “and the prices are lower than for the same wines at the LCBO.” I told her that Veuve Clicquot Champagne is six dollars cheaper at Costco.

I have spent my entire career calling for wine retail privatization and competition in Ontario, so this is an historic moment. Since Oct. 31, all licensed grocers, supermarkets and big box stores are allowed to sell wine, beer and ready-to-drink mixed spirits. Convenience stores were given the green light on Sept. 5, now the rest of the much bigger market can weigh in. About 4,000 retailers including the LCBO and Ontario winery outlets exist now. This is expected to double in the years ahead.

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The LCBO remains the wholesaler, selling wines to private retailers for 10% less than the wine would sell for at the LCBO. Private retailers are then free to set their selling price. Most convenience stores likely match or perhaps even exceed the LCBO price, as you are paying for convenience.

Costco on the other hand has wasted no time implementing its volume based discounting model. Be aware however, that the shelf prices listed at Costco and other private retailers do not include HST, or the 20-cent bottle deposit. Veuve Clicquot is listed on shelf at Costco for $69.99. At the check-out it is $79. At the LCBO it is $86. A notable difference. On less expensive wines the savings are marginal, but savings, nonetheless.

So, in Ontario we now finally have location and price competition. But the third and final barrier around choice is still in place because all these new private retailers must purchase from an LCBO catalogue that mirrors the LCBO general list, which is hardly inspirational for wine lovers. This practice must end, but I will save this argument for another article.

True, there are a growing number of bottle shops selling non-LCBO selected wines, but they are concentrated for now in downtown Toronto neighbourhoods and tend to be more expensive because their margins are also very thin. But they are the embryo of private fine wine retailing beyond the LCBO, and must be allowed to prosper, and be patronized by wine lovers.

And now to the Vintages Nov. 16 release, which has a few more new wines than we usually see, at generally higher, seasonal prices than Vintages norm. With John and Michael away last week we called upon Master of Wine Elsa Macdonald to join in. The wines are presented in ascending price order.

Buyer’s Guide November 16: White, Sparkling and Sweet Wines

Maria Papoila Loureiro/Alvarinho 2023, Vinho Verde, Portugal
$17.95, The Vine Agency
Megha Jandhyala – This Vinho Verde is fresh, lively, and delicious! Positively brimming with supple orchard and stone fruit, its fleshy palate is enlivened by citrusy acidity and a lingering, refreshingly bitter finish.

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There are 17 other Vintages Release recommendations this week that are currently only available to our premium members. This complete article will be free and visible to all members 30 days after publication. We invite you to subscribe today to unlock our top picks and other Premium benefits

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And that’s a wrap for this edition. John returns in two-week’s time with a review of the November 30th release. – David

Use these quick links for access to all of our November 16th Top Picks in the New Release. Non-premium members can select from all release dates 30 days prior.
Lawrason’s Take – November 16th
Megha’s Picks – November 16th
Sara’s Selections – November 16th

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