What is it costing you?

cost of goods calculations and systems

Research shows that many wineries are under-estimating the cost of their products. Bottles, cartons, grapes etc are relatively easy to calculate, but overheads and the value of your time are much harder to include in the cost of goods.

Knowing the real cost is essential when it comes to product pricing, deciding whether a new product is worth it, scaling production, or as simple as whether you can discount a product for a large sale.

Often wineries just use their accounting software to get a number and then split it evenly. But accounting software is limited to an annual tax-based approach – what you really need is to consider the cost of wines over the full vintage, maturation and bottling cycles. And some wines may need more allocation than others.

I’ve worked with wineries to get data out of the accounting system and calculate actual costs. It can be as simple as calculating a per-litre cost up to allocating almost every cost to individual products (though you need to consider what the benefit is).

The costing can be done as a once-off, or it can be set up to be updated each year as things change. The system can be as complex as you like, but bear in mind that more detail doesn’t always mean more value.

The assessment services can be provided remotely using video conferencing and offsite calculation and can be very cost effective. Alternatively, for more complex projects I can visit on site (costs may apply).

Bottles going down bottling line

Wine Costing Spreadsheets

Professional Services

Whether you need business planning, cost analysis, or to streamline your day-to-day processes, the combination of your knowledge with my analytical skills will deliver value to your business.

winemaking knowledge

As both an engineer and a winemaker I am uniquely placed to work with you to review and improve all aspects of your winery practices, so you can make the best wine possible.

Areas to look at include refrigeration systems, inert gas management, hoses and pumping, and fermentation management.

Wine analysis

In addition to my advisory services, I run a small winery lab with automated enzymatic analysis (YAN, malic, g+f, acetic) and rapid free sulphur dioxide measurement. This technology is fast and cost-effective, allowing rapid analysis across individual barrels or identifying areas of oxygen pickup.