This is the second and final part of my thoughts on appraising wine aptly titled;

Know Your Grapes – Appraising Wine 

Part Deux

 As with any appraisal, when selecting a qualified appraiser look for a formal, up to date, education in appraisal theory, procedures, ethics, and law. The appraiser you hire should also be familiar with the type of property you want appraised and know how to value it correctly.

 

Wine is no different.

 

Wine, like other asset classes including art, antiques and firearms includes the areas of product knowledge, market knowledge and appraisal methodology. In an attempt to keep this simple, personal property appraisal methodology, industry accepted standards, will be assumed. (I know the problem with assumptions, no need to remind me here) Your appraiser must be well versed in all three.

 

In this final article I’ll list just a few aspects of Market Knowledge. This is not meant to be an all-inclusive list, just things to think about. 

 

Does your appraiser know 

 

Wine Marketing – How are different wines from different countries marketed

                                   Winery Only, Wholesale, Retail, Restaurant?

Provenance – Where did the wine come from?

                                   Winery, Broker, Auction, Private Collector, Wholesaler, Retail

                       How did it arrive?  

                                   Planes, Trains & Automobiles, (sorry, that was a Steve

                                   Martin and John Candy movie from 1987!) Trucks, Ships

                        When did it arrive?

                                   What was the time of year shipped with respect to the

                                   countries Involved?  Was the Heat or AC on? (Stable climate)

                        How was it stored?

                                   Stored in a Basement / Closet / Basement Closet! / Refrigerator

Primary & Secondary Markets for Sales – Wineries, Retail outlets, Live/Online Auctions

Emerald Art Services, LLC provides wine appraisals for insurance, equitable distribution and liquidation. We also provide collection inventory management and related software.

Know Your Grapes – Appraising Wine

Know Your Grapes – Appraising Wine

Selecting an appraiser for your valuable assets is difficult enough; don’t get “tanked” over selecting one for your wine collection!

As with any appraisal, when selecting a qualified appraiser look for a formal, up to date, education in appraisal theory, procedures, ethics, and law. The appraiser you hire should also be familiar with the type of property you want appraised and know how to value it correctly. 

Wine is no different.

Where a wine retailer, wholesaler or importer may have “in depth” knowledge of the product and the trade, they may not know how to proceed in researching the proper values that you need for your purposes. This is where the formal appraisal methodology training comes in. On the other hand, a well-trained and otherwise competent appraiser may not have the necessary expertise in the trade or product. 

Wine, like other asset classes including art, antiques and firearms includes the areas of product knowledge, market knowledge and appraisal methodology. In an attempt to keep this simple, personal property appraisal methodology, industry accepted standards, will be assumed. (I know the problem with assumptions, no need to remind me here) Your appraiser must be well versed in all three. 

In this article I’ll list just a few aspects of Product Knowledge. This is not meant to be an all-inclusive list, just things to think about. 

Does your appraiser know

Wine Appellations – (DOC) Denominazione di Origine Controllata in

Italy, (AOC) Appellation D’Origine Contrôlée in

France, (AVA) American Viticultural Areas,

(DVAs) Designated Viticultural Areas in

Canada

Regional Classifications – Burgundy, Bordeaux, German

Grapes, Grapes & More Grapes – Cabernet Sauvignon, Chardonnay,

Merlot,  Malbec, Petit Verdot,

Nebbiolo, Niagara, Pinotage,

Delaware, Dolcetto, Sémillon,

Tempranillo, Pinot Noir

The Effects of…on the Product/Value – Climate/Micro-climate,

Tannins, Alcohol,

Bottle Size (size does

matter),  Storage

Temperature, Relative

Humidity, Bottle Color,

Vibration (trick question?

…or not), Foil/Label

Condition, Ullage,

Sediment, Corks v. Screw

Caps

*Watch for my next article where I will discuss Market Knowledge.

                   

Emerald Art Services, LLC provides wine appraisals for insurance, equitable distribution and liquidation. We also provide collection inventory management and related software.