Saturday, September 18, 2010

Why do people buy wine in restaurants?

Like over-priced popcorn at the movies, over-priced alcohol at restaurants is a way of price discriminating--charging higher prices to high value consumers who identify themselves by their desire to consume alcohol at restaurants.  Here is colleague Mike Shor's survey of wine prices in Nashville:


Nashville Restaurant Wine Prices
Restaurant
Notes, link to wine list
bottles
(by the
glass)
Price
Ratio
(lower
is better)
Café Margot116 (16)186
Great bargains throughout the list, but the best are in the higher-end reds, which rival retail prices. [list (pdf) found here  $28-$135]
J. Alexander's78 (27)193
Cheapest Conundrum of any list at $40. Lowest-priced wines have high markups, but the $40+ range is great. [list (pdf) found here  $26-$65]
Tin Angel78 (27)204
Large variance, with some great bargains mixed in with less favorable markups.[list (pdf) found here  $26-$75]
Flyte103 (90)209
Fairly consistent pricing. The $50-$60 range has the lowest markups. Upper-end sparklers have the highest. [list  $24-$110]
Valentino's145 (15)216
Very large variance in markups, ranging from about 20% to nearly 300%.[list (pdf) found here  $27-$230]
P.M.22 (12)220
Best Veuve Clicquot price at $80. Very reasonable given that lower-priced wines are usually the most marked up. [list  $27-$30]
Mirror23 (17)222
Small, unpretentious list with reasonable prices on lower-priced wines.[list  $25-$42]
Old Hickory Steakhouse (Opryland)160 (20)225
Highly variable pricing, ranging from 50% over retail to well over 300%.[list (pdf) found here  $34-$200]
Old Hickory Steakhouse (Gaylord Orlando)114 (25)228
NOT IN NASHVILLE [list (pdf) found here  $47-$490]
Ombi45 (24)228
Strangely, the better deals are on several under-$40 wines. [list  $32-$80]
Watermark380 (33)232
Some of the lowest Nashville prices on several $30-$60 wine-list staples.[list (pdf) found here  $32-$300]
Tayst78 (24)237
Fairly consistent markups across the list, and lowest prices on several champagnes. [list  $32-$135]
Bound'ry222 (44)239
Eclectic pricing with some of the best deals alongside some of the worst markups in Nashville. A few very good bargains at the high end. [list  $26-$250]
Carraba's (Nashville & Cool Springs)37 (30)241
Highly variable markups. [list (pdf) found here  $20-$42]
Yellow Porch54 (36)243
Fairly consistent pricing. Mostly common wines, all priced in the middle of Nashville range. [list  $26-$64]
Rumours75 (74)247
A couple of bargains in the $60 range offset some 200% markups n the under-$40 range. [list (pdf) found here  $26-$60]
Amerigo53 (29)247
No real bargains under $80, but a couple of high-end wines rival retail prices.[list  $26-$65]
New Orleans Manor37 (21)250
Damning a nation with faint praise, the list featuress Blue Nun as "Germany's most famous wine, Soft and mellow with a natural sweetness." [list  $22-$49]
F. Scott's270 (40)251
Very deep list, but what it has in common with other Nashville restaurants is usually priced higher than the competition. [list  $30-$475]
Mafiaoza's129 (62)251
Reasonable prices. No real bargains, but nothing outrageaous, either.[list  $22-$135]
Caffe Nonna34 (23)251
Top half of the list is pretty reasonable, while on the bottom half of the price range, 200% markups are the norm. [list  $29-$57]
Sunset Sam's (Gaylord Orlando)42 (29)254
NOT IN NASHVILLE [list (pdf) found here  $31-$52]
Saffire101 (16)254
750 ml of Conundrum will run $72, worse than any other restaurant. Several other wines also have highest prices in Nashville. [list  $28-$100]
Cabana75 (35)255
[list  $20-$42]
Buca di Beppo46 (24)256
[list  $24-$39]
Sperry's Belle Meade144 (32)258
Highest prices on Opus One, Roederer Brut, Moet White Star, etc.[list (pdf) found here  $24-$280]
Sperry's Cool Springs250 (54)258
The same Nashville-leading markups as its sister location, though with a few extra markups. Cavit Pinot Grigio is $30, highest in Nashville. Strangely, the other Sperry's location has it at $22. [list (pdf) found here  $32-$310]
Zola108 (32)260
No bargains to be found. [list  $24-$120]
Park Café62 (24)260
Veuve Clicquot Posardin NV for $140? That's more than a case of Brut Rose (which is a better wine). [list  $31-$115]
Midtown Café130 (50)261
Very consistent (high) markups, top to bottom. [list (pdf) found here  $26-$199]
Eastland50 (23)264
[list  $29-$90]
Radius1067 (25)273
Cheapest bubbly, an $8-$9 Barefoot for $38??? [list (pdf) found here  $35-$130]
Anatolia16 (16)278
Low-price wine lists have a disadvantage since the markups are usually higher, but Yellow Tail for $25? [list (pdf) found here  $23-$37]
Sunset Grill241 (68)279
Seasonal 50% off wine sales suggest regular prices are not too great. Several wines over four times retail. [list (pdf) found here  $25-$400]
Merchants133 (48)279
[list  $25-$215]
Sambucca95 (23)283
Come on! You can't offer a bottle of Lafite Rothschild ($400) without listing a vintage! [list (pdf) found here  $28-$150]
Jimmy Kelly's61 (25)291
Several wines have highest prices in Nashville. [list]
Acorn69 (46)316
If you search long enough, you may find a wine price that is merely insulting. $70+ reds have some of the highest markups on the menu. [list  $26-$120]


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