Our last post on Dutch Henry Winery drew a comment from Dutch Henry owner and winemaker Scott Chafen. We mentioned in the post that we thought the Dutch Henry wines were priced on the high side. Scott responded by saying, “organically farmed, hand picked, barrel aged, and hillside grown all has its price.”
This leads to the subject of wine pricing in the Napa Valley or in any wine country. How is the price of wine set by a winery? Is there a set formula that takes into account the cost of wine production, how much profit to make, and other factors? Or, is the process totally subjective?