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Sunday, December 11, 2011

New FauxVoixVinCuisine writer tells all about wholesale-retail wine pricing

TRAWNA – (GOSH Wine News Services) – The Foxy Wine News Network, enjoyed by over 4,000 viewers on a nightly basis, is proud to announce its latest wine writer: government auditor Jim MacCarter. Truth is stranger than fiction: You simply cannot write this kind of parody/spoof…


He files this story from Queens Park--


"Recently I tabled my annual report with the Ontario Legislature, which (with the consent of the Grate McGinty) runs the Have-Not Province of Ontario. One of my highlights was noting that the alcohol wholesale pricing structure meant that wine, spirits, and beer cost more than necessary and that the monopoly makes lower profits than it could.


"In effect, I'm taking the Liberal Control of Beverages in Ontario, A Have-Not Province Controlled by The Grate McGinty, to task for purchasing policies and pricing structures that mean booze is too expensive yet revenues are not maximized.


"A Wal-Mart would certainly go back to their supplier and say: 'Would you sell it to us cheaper?' We think a lot of suppliers would sell it to us cheaper, basically to get that shelf listing. The provincial monopoly is one of the biggest alcohol retailers in the world.


"Nobody else has that buying clout. The purchasing differs from private-sector retailers, which try to find the lowest wholesale prices. Instead, the Board focuses on the retail price it wants to charge for a product. Suppliers then work backwards and, at the Board's request, will raise or lower the wholesale cost of the product to fit within the company's price structure."


Apparently, The Grate McGinty's Finance Minister agrees. The Treasurer added that the Board's pricing polices are "counter-intuitive."


Stay on board for this one, folks -- it's compelling…

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