Wine Prices too high??

[ginagirl]

DH and I are frequent cruisers who do order bottles in the dining room, and I think there is a very pertinent issue that has not been mentioned on this thread. Since many of the posters are comparing wine and alcohol prices on cruises with the prices at local restaurants and hotels, isn't it a fact that cruise lines buy these products duty free? Whereas local restaurants do not receive that financial advantage. Therefore, in my opinion, cruise lines are being a wee bit greedier with their pricing structure :cool:

[Palms2Pines2Sea]

As in almost all forums where goods are purchased for resale (including wine on HAL ships), it is volume purchasing power that drives the wholesale prices. So yes, HAL is purchasing wine at a much lower price that your neighborhood liquor store, but they are probably paying almost exactly the same price as Costco, Total Wine, Marriott Hotels, and any other volume buyer. Duty free does not really enter in to the equation at that level.

[Cruisin Kay D]

In addition to observing that wine prices seemed to be about $5 per bottle higher than our last cruise, my group of 3 couples was EXTREMELY disappointed that we were not informed about the wine-by-glass card by the wine steward until one of my group ASKED steward about it on the 7th night of 10 nt cruise!!! Then he said OH Yes I can sell you one....and every night so far those 2 couples were ordering wine by glass, while Mike & I had a wine-bottle pkg.

[gizmo]

As in almost all forums where goods are purchased for resale (including wine on HAL ships), it is volume purchasing power that drives the wholesale prices. So yes, HAL is purchasing wine at a much lower price that your neighborhood liquor store, but they are probably paying almost exactly the same price as Costco, Total Wine, Marriott Hotels, and any other volume buyer. Duty free does not really enter in to the equation at that level.

 

Why doesn't duty free come into it ? IMO Hal is paying much less than Costco, Total Wine and Marriott because of duty free prices.

[gizmo]

Double the retail price is usually the fair restaurant price.

 

$15 dollars in a wine store should sell for $30 to $35 in a restaurant. .

 

I agree. Double is fair. Look at Odd Ball's example. Double isn't even close for those bottles of wine listed.

[Palms2Pines2Sea]

Gizmo,

 

Duty free doesn't apply, primarily because the entire concept of duty free was created to benefit the "end" consumer. The only purchasing power it gives to the retailer ("duty-free shop") is a reduction of sales taxes and international trade duties. And as we become part of an increasingly global economy, those international duties are decreasing with frequency.

HAL buys most of its wine from wholesalers in Florida. They pay no tax on that transaction. There is minimal international duty (less than 5 cents per 750ml bottle) on wine, and that cost would be absorbed by the importer. Of course, no duty at all on domestic wines. If you have looked at prices of wines in duty-free shops, you've probably noticed that they are no cheaper than most retailers. The big savings are usually on hard liquor, which is taxed at much higher rates when it crosses borders.

And BTW, most restaurants, bars, hotels, and cruise ships will now shoot for a cost basis of 25% on still (not sparkling) wine. If the wine costs less than $6 wholesale, it is common to mark it up even more than 4x cost. As a rule, the mark-up percentage is a sliding scale as the cost basis of the wine increases.

A bottle of Beringer White Zinfandel (wholesale about $3.50) usually is marked up to about $18 to $20.

A bottle of Far Niente Chardonnay (wholesale about $33.00) usually is marked up to about $75.

A bottle of Dom Perignon (wholesale about $115.00) usually is marked up to about $200.

Hence while the most dollars are realized on the sale of a bottle of Dom, the greatest margins are on the cheaper wines.

Hope this helps!:)

[garardo]

Gizmo,

 

Duty free doesn't apply, primarily because the entire concept of duty free was created to benefit the "end" consumer. The only purchasing power it gives to the retailer ("duty-free shop") is a reduction of sales taxes and international trade duties. And as we become part of an increasingly global economy, those international duties are decreasing with frequency.

HAL buys most of its wine from wholesalers in Florida. They pay no tax on that transaction. There is minimal international duty (less than 5 cents per 750ml bottle) on wine, and that cost would be absorbed by the importer. Of course, no duty at all on domestic wines. If you have looked at prices of wines in duty-free shops, you've probably noticed that they are no cheaper than most retailers. The big savings are usually on hard liquor, which is taxed at much higher rates when it crosses borders.

And BTW, most restaurants, bars, hotels, and cruise ships will now shoot for a cost basis of 25% on still (not sparkling) wine. If the wine costs less than $6 wholesale, it is common to mark it up even more than 4x cost. As a rule, the mark-up percentage is a sliding scale as the cost basis of the wine increases.

A bottle of Beringer White Zinfandel (wholesale about $3.50) usually is marked up to about $18 to $20.

A bottle of Far Niente Chardonnay (wholesale about $33.00) usually is marked up to about $75.

A bottle of Dom Perignon (wholesale about $115.00) usually is marked up to about $200.

Hence while the most dollars are realized on the sale of a bottle of Dom, the greatest margins are on the cheaper wines.

Hope this helps!:)

Thank you for restating my post. It tells everyone that I am not full of beans.

Still, I have not been told of the vinetages on some of the wines quoted.

Another thing to think about is the $7.95 bowl of soup in a restaurant that only cost $.50. Maybe we can start a thread on that.

If you think the price is too high then do not buy it.

[Boytjie]

Thank you for restating my post. It tells everyone that I am not full of beans.

Still, I have not been told of the vinetages on some of the wines quoted.

Another thing to think about is the $7.95 bowl of soup in a restaurant that only cost $.50. Maybe we can start a thread on that.

If you think the price is too high then do not buy it.

 

And how much does that cup of coffee at Starbucks really cost?

[ginagirl]

How come duty-free did come into play years ago when the cost of drinking on cruises back then was much less expensive than any other local venues in the states???? It was well known back then that that was the reason why drinking on cruises was so affordable.

[billfish]

Is it possible that the profits from Drinks and Wine help support other things that make Crusing such a GREAT VALUE??? After paying over $100 for a ticket to a NFL Football game ticet I get to pay between $7.50 and $10 for a Beer. Now there is a rip off

[AirGorilla]

Four things:

 

1. I must correct my earlier post -- HAL doesn't charge $29 a bottle for a wine that retails in Fort Lauderdale for $9, they Charge $39 a bottle.

 

2. Wine sales might improve if HAL took some time and trained the wine stewards. All these guys know is the price of a bottle of wine and have always recommended the highest priced bottle in a category when asked for a recommendation. If you ask for a fruity wine -- highest price. If you ask for an oaky wine -- highest price.

 

3. In general the wine service on HAL is very poor WRT the knowledge of the service personnel. In addition, they are spread too thinly across the dinning room to provide good service.

 

4. Finally, take the kitchen tour and see where the wine is stored; then order a bottle of red wine at dinner. It comes out kitchen temperature -- like 80 -85 degrees F -- way too hot.

 

High prices, poor service, poor handling of the wine all equate to a reduced volume of wine sales.

 

Totally agree with you -- the "wine steward" service is terrible. Usually, they're late arriving at your table, and then they're CLUELESS about the characteristics of the wine. I always order our dinner wine earlier in the day, from the bars or at the wine tables. That way, I don't have to interact with the wine stewards, except when they open our bottles. And, the bottle is at the table when we arrive.

 

AG

[Odd Ball]

If you think the price is too high then do not buy it.

 

;) I knew someone would have to say it sooner or later. LOL :D I beat you to it.

 

 

Before someone says it, I know I don't have to buy it and I don't. If it were 10.00 - 13.00 I would. I wonder how many others would buy it if the pricing were more reasonable ?

 

 

 

[LAFFNVEGAS]

Totally agree with you -- the "wine steward" service is terrible. Usually, they're late arriving at your table, and then they're CLUELESS about the characteristics of the wine. I always order our dinner wine earlier in the day, from the bars or at the wine tables. That way, I don't have to interact with the wine stewards, except when they open our bottles. And, the bottle is at the table when we arrive.

 

AG

AG while yes out of 13 HAL cruises I think we might have had 2 Wine Stewards that were not great but I can honestly say that the last 3 Wine Stewards we had were fantastic. Neither Tom's nor my Bubbly glass ever went empty till the bottle was;) So I do think it is unfair to group one bad experience on all of them.BTW, if you order your wine earlier in the day and the bottle is waiting for you when you arrive just who do you think is bringing it to your table:rolleyes: :confused:

[billfish]

You may be correct . There is an expression I use quite frequently . I would rather make fast Nickles than slow Dimes

[fuzzywuzzy]

My sentiments exactly. That's why we don't buy the wine either !! I dare say that if the wine was more reasonable in price, more people would buy? It's just another way for the cruiselines to cash in as they take advantage of the mindset of vacationers - we tend to spend more than when we are at home because, what the heck, we are on vacation !!

[AirGorilla]

AG while yes out of 13 HAL cruises I think we might have had 2 Wine Stewards that were not great but I can honestly say that the last 3 Wine Stewards we had were fantastic. Neither Tom's nor my Bubbly glass ever went empty till the bottle was;) So I do think it is unfair to group one bad experience on all of them.BTW, if you order your wine earlier in the day and the bottle is waiting for you when you arrive just who do you think is bringing it to your table:rolleyes: :confused:

 

Well, I haven't been on 13 HAL cruises, but I have been on 5. My comments on the Main Dining Room wine stewards hold true for all five cruises. Let me color this by saying that I have had good, competent wine steward service in the PG on the Zuiderdam, so perhaps I was a bit harsh.

 

Regarding your comment about how the pre-ordered bottle gets to the table, I always assumed that it was delivered by the Captain!!!

[garardo]

And how much does that cup of coffee at Starbucks really cost?

 

Although it has been a few years, I feel the cost for a cup of esspreso is $.07-$.10 and we charge $3.25. Maybe we should all stop drinking coffee and eating soup because it is all too expensive.

 

Still no one has talked to me about the vintage question.

 

garardo

[jimgev]

For all those who think that HAL, or any other cruise line, is getting rich off the profits of thier wine sales, why don't you buy stock in the parent companies and share in the profits? If your premise is right, it could net you a few "free" trips.

[songanddance]

I guess the question to all those who think prices should be lower for absolutely everything in life - Are you willing to price yourself at a lower price or do you try to price yourself at the highest wage possible?

 

Works the same for businesses.

[fuzzywuzzy]

For all those who think that HAL, or any other cruise line, is getting rich off the profits of thier wine sales, why don't you buy stock in the parent companies and share in the profits? If your premise is right, it could net you a few "free" trips.

 

I'm sure we would. Wine sales or only a part of their profit making arrangements. Of course the cruiselines have to make a profit don't they, or they wouldn't be in business? Cruiselines getting rich??? Of course they are. Why do you think they are able to build bigger and better ships?

[LAFFNVEGAS]

Just to add a note about wine prices, today I was fortunate that I did not have to cook but instead we went to Wynn Las Vegas for their Thanksgiving Day Buffet. The price for the very nice gourmet buffet was $45.99 pp plus tax. It did not include champagne, they do of course hand you a drink menu. Commen beers were $8.00, a glass of Beringers White Zin was $9.00 with a bottle being $28.00 I would have ordered Pinot Grigio but at $12.00 a glass and $38.00 per bottle decided I could wait to have a glass once I got home. Some of the glasses of wine were $15. I only wished they would have excepted my HAL wine card I still have quite a few punches left;) After looking at their Bar menu prices several times I know that I will smile when I get on the Oosterdam in almost 3 weeks:)

[garardo]

Lisa, I glad you had the chance to see the real price of business. I do not think the prices will be that high on the 4th.

 

garardo

[garardo]

Correct me if I am wrong but I do not think there is any duty on a wine made in California and sold in California

 

garardo

[iceman93]

I do feel that HAL's prices are a bit high on low-end wines, but their upper echelons feature some incredible values. That used to be more true than it is now, but prices for Opus One, Caymus Special Select, Beringer Private Reserve Cab, etc. are still better than you'll find in just about any land-based restaurant.