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Auctions of selected wines have regularly taken place internationally and from natural reasons they have mostly involved the finest wines as e.g. the top wines from Bordeaux. In order to analyse specific auction wine prices, the Mouton Rothschild (Medoc Premier Cru Classé) has been selected for investigation, where auction data have been collected from the USA (The Chicago Wine Company), Denmark (Bruun Rasmussen, Selected Wines Auctions) and from other sources as well. The price development of this specific icon wine is expected to be influenced by many factors, although theoretically, investment decisions concerning e.g. icon wines, ought not to be highly sensitive to short‐run business conditions. The empirical findings exhibit that the auction prices of the Mouton Rothschild differ relatively much between the auction houses, and the time series analysis reveals only weak evidence of co‐movements between wine prices and selected business cycle indicators.

A dynamic econometric model of wine auctions is estimated to measure the informational signalling impact of a wine critic on the return to the investment in fine wines. United States data suggests that critic Robert Parker is an influencer on the auction price of Bordeaux wines. Furthermore it appears that American buyers look toward the much larger European market in order to establish values. In doing so they may be able to mitigate the effects of asymmetric information.

Commercial auctions of cultural goods are typically brokerage arrangements where potential buyers may consider pre-sale estimates (PSEs) in bidding. The economic theory suggests that PSEs should provide honest guidance – winning bids should, on average, equal PSEs – but available research from fine art and antique auctions finds otherwise. The authors examine this relationship for commercial auctions of fine wine – items which, unlike fine art and antiques, are widely traded so that bidders may more knowledgably interpret PSEs.

The paper examines the relationship of PSEs to winning bids econometrically for an iconic wine widely traded in several Chicago wine auctions, a novel setting for this analysis.

The relationship of winning bids to PSEs differs significantly between two neighboring auction houses, perhaps reflecting differences in how they do business; neither’s PSEs have a straightforward relationship to winning bids; PSEs have an influence on winning bids independent of a lot’s characteristics, reflecting perhaps an anchoring effect; the analysis suggests broad bidding strategies (with counter-strategies implied) and might guide auction house lot selection and ownership if more complete data became available.

The role and reliability of PSEs in auctions of other cultural goods, representing most of the literature, has limited application to auctions of fine wine whose markets differ categorically from those of other cultural goods.

The purpose of this study is to determine whether the fine wine market is efficient between homogeneous lots and heterogeneous lots.

Auction price data for homogeneous (or solid) lots of fine wines was analyzed to create price prediction models. Those models were used to predict the expected auction price for the bottles within heterogeneous lots. Lastly, models were created to explain and predict the differences between expected and realized prices for heterogenous wine lots.

The results show that large inefficiencies exist. The more complex and expensive the heterogeneous lot, the greater the discount relative to what would have been realized if the bottles had been sold individually. This discount can exceed 50% of the expected auction price.

Heterogeneous lots may arise as a practical requirement from the auction house. Restaurant buyers probably have little interest in such lots because of the inclusion of wines the restaurant will be unable to sell. Collectors may be uniquely positioned to benefit from this price discount.

These results are unique in the literature, because the price dynamics of heterogeneous (or mixed) lots of fine wines have not previously been studied.

Nederburg Wine Auction, celebrating its 20th event this year (1994), has truly established itself internationally alongside auctions in France, Germany and America. It was the brainchild of a past managing director of the giant winemaker wholesalers Stellenbosch Farmers Winery. Dignitaries from all over the world attend this South African fine wine showcase. The organisation involved in getting more than a thousand people together also includes a prestigious fashion show and, at the end, a charity auction. Preparations are ongoing throughout the year, for the occasion which is becoming increasingly ambitious and innovative.

The purpose of this paper is to analyze the specificities of wine forgery today and to show the perspectives offered to the different stakeholders in the wine industry.

Owing to the technical aspects of this paper, a literature review based on academic papers (history) and articles coming from the professional press, internet websites and public organizations was made.

It was found that frauds have always existed. Forgers are constantly in search of new ways of counterfeiting wines. Producers have had to adapt to the various forms of counterfeiting, mainly by resorting to modern technology. As the traceability of great wines is becoming crucial, a new type of relationships between producers anxious to offer genuine estate wines and consumers anxious to drink the bottles they ordered has developed. This new constraint became a marketing opportunity for producers.

It was difficult to obtain official data (interviews or surveys) because of the sensitiveness of the topic.

This paper, which offers an inventory of the methods used by forgers to deceive customers, makes both producers and consumers aware of the extent of the problem. The counterfeiting phenomenon is dangerous for producers’ image and the technological changes are a tool allowing producers to protect their wine and reinforce their relationships with consumers.

This paper gives an overview of forgers’ ploys in France. It opens a discussion about perspectives for the different stakeholders while most of the research tends to focus on technical solutions and the analysis of specific affairs which received media coverage.

This study aims to analyse how wine attributes affect prices of fine German Riesling wines, provide estimates of the magnitude and heterogeneity of the attributes' implicit prices and draw conclusions on the pricing of fine wine and the research methodology.

Implicit prices of attributes of fine German Rieslings are estimated with fixed-effects regressions and their heterogeneity across quantiles of the conditional price distribution is tested with quantile-regression techniques. The analysis is based on a unique online data set for prices and characteristics of collectible wines.

Quality levels according to the German Prädikat system, additional quality awards for exceptional quality, the wine region, age or vintage as well as ullage and the bottle condition are relevant when explaining the price of cellarable wine. Additionally, the influence of the firm's individual reputation is very strong. Relative price premiums for some major attributes of fine German Riesling change significantly across quantiles of the conditional price distribution. Other attributes are characterised by a rather stable relative (but not absolute) price premium.

This is, to the best of our knowledge, the first hedonic price analysis which concentrates exclusively on fine German Riesling wine. By applying both classical and quantile regressions, the authors are able to derive new insights on quality-price linkages in this growing segment of collectible wine and on the research methodology.

The wine sectors in Australia and New Zealand have developed a number of regional events in order to promote wine and build regional identity. Despite the popularity and long history of these events little research has been carried out on their role in wine marketing strategy. The purpose of this paper is to examine the use and evolution of regional wine events from a strategic perspective. Findings are based upon seven case studies from Australia and New Zealand. The authors argue that over time events evolve through a series of stages from regional awareness through to brand enhancement and customer loyalty. Implications of these changes for winery management and event organisers are explored.

The purpose of this paper is to examine the measures taken by legitimate wine investment companies and enforcement agencies to counter alternative investment scams.

The authors interviewed wine industry and law enforcement specialists to understand the nature of wine investment fraud and the characteristics of the victims. They also drew on secondary data in the form of government agency research and media sources.

The majority of wine investment frauds are boiler room operations, using social engineering techniques to draw victims into the fraud. The authors conclude that countering wine investment fraud requires public education by government, the wine industry and the police.

This is a small-scale study that uses interviews with experts in the industry and in law enforcement and secondary data as evidence. Despite the limitations in the number of interviews, the authors are able to comment on the social impacts of alternative investment scams and suggest a theoretical basis for future work in the field.

The authors make a case for regulators and investors to be part of collective action through education and public awareness campaigns to combat alternative investment fraud.

The authors outline how collective action theory might be extended to investigate fraud prevention measures in other financial and commodity markets.