and a brand which insists on its uniqueness. The producers cannot keep all the
profit for themselves, as A) they would be the only people willing and able to
brag about its uniqueness and B) they would be unable to a
ff
ord a global dis-
tribution network which is expensive to maintain, multiplies production costs
and forces the profit curve into a downward trend. So they have twenty, thirty
or fifty merchants on hand who must all sing the same tune for advertising and
distribution purposes. In return, they must be paid, which is no problem at all as
they simply increase the purchase price.
As investment in a brand is only worthwhile if it is spread out consistently
over a long period of time, clever merchants corner the market on certain wines
(those viewed as the most legendary, most expensive or most sought-after) be-
fore harvesting has even finished. This is what is now called ‘vente en primeur',
presented with great fanfare in the spring after the harvest. It involves purchase
via subscription, previously called ‘vente sur souche' or ‘option' and simply
means hogging the wines before they have even been bottled. This brings a
third partner into play, namely the broker or courtier, acting as a link between
Château Montrose
41
Brand and style History
estates and merchants. Why not sell direct? Quite simply because the broker
is a neutral party representing the interests of both partners, who would other-
wise be trying to get the better of one another. Brokers themselves do not sell
wines but simply take a fixed margin of four per cent, so it is in their interest to
regularly procure su
ffi
cient quantities, correctly assess the sales situation, the
demand and also the quality of the wine, and in the best cases justify a high
price (which helps the owner) whilst also ensuring that the wine remains af-
fordable to trade partners, who would otherwise go bankrupt or take their busi-
ness elsewhere. And to prevent brokers from deciding to engage in dumping
and undermine prices rather than following the unwritten rule of adhering to
a price guideline, sly sellers have been known to offer their daughters' hands
in marriage: the world of top Bordeaux is one huge family and solidarity rules
among family members, at least o
ffi
cially. Despite all the gloomy predictions,
this system which is so often written off has never functioned so well as over
the past twenty years, with the piper being paid (whether we like it or not) by
Bordeaux fans like us all over the world.
The theatre of aging
The road to success is a rocky one made of gravel, up to ten metres deep. The
benefits of this soil are that it drains water yet still always remains damp, is a
good heat store on frosty nights, requires the two or three grape varieties which
for centuries have proven their ability to root properly in the capricious climate,
and allows the grapes to ripen at leisure, so slowly that they become crisp and
thick-skinned, assimilate sugar (but not too much) and break down acidity be-
fore over-ripeness and rot set in. Wine pressed from these grapes and drunk
immediately turns out ink black, tart and almost undrinkable, tasting of grape
stems and pomace – ugh – one for the masochists. Instead, you would be better
sticking to fruity Burgundy, meaty Spanish examples or wines from the areas
around Saint-Emilion or Pomerol, which have smoother tannins (other than all
the New World copies which are now thankfully becoming rarer: the fashion
for over-extracted wines which reached its peak between 1995 and 2005 has
faded as quickly as it arrived). However, if you allow great Bordeaux from these
special soils to mature then it becomes unbeatable in terms of balance, airiness,
elegance and finesse, making it ideal for speculation, as great Bordeaux (particu-
larly Cabernet-based wines) goes on and on and keeps as well in a cellar as gold
bars, only tasting much better. And because modern winery technology now
means that the wines taste pleasant earlier but lose none of their aging ability,
great Bordeaux has remained ultra-modern and the whole world cannot get
enough of it. However, not even God knows how many cases are sold and drunk
and how many are stored and hoarded – perhaps because Peter is speculating
42
with Bordeaux on the Lord's behalf. If the flyers advertising special offers and
premium-price cellar clearances which land in our mailboxes at times of crisis
are anything to go by, there is no shortage of great Bordeaux.
Profit calculations
Contrary to popular belief, there is no real correlation between wine quality
and selling price in Bordeaux. ‘Année vert, année cher', the elderly can be heard
to say: the less there is available, the more expensive the wine becomes. Bor-
deaux is a prime example of the law of supply and demand, and thus a strong-
hold of assets. The fact that Engels was a fan of Margaux (as claimed by Karl
Marx's daughter) is a peculiar irony in the history of winemaking, as speculation
with great Bordeaux does pay off: anyone who has gambled with skill over the
past 20 years will have pocketed healthy profits. Running a Grand Cru is there-