1. The vineyard and the grape offer
2. Making the wine
3. Selling the wine
Change the numbers or load the example, then click Compare the two routes.
Result
| Route | Revenue | Cost | Net | Net/acre |
|---|
Wine net if direct share and unsold bottles move (rows direct share, columns unsold)
| Direct share |
|---|
How the numbers work, and what they leave out
- Selling grapes = tons × price per ton − (farming cost × acres + harvest cost × tons).
- Making wine: gallons = tons × gallons per ton × (1 − loss); a case is 2.3775 gallons (9 litres). Net = bottles sold × blended net price − farming and harvest − winemaking and packaging on every bottle made − excise on bottles sold − marketing − fixed overhead.
- Blended net price = direct share × direct price × (1 − direct selling cost) + (1 − direct share) × wholesale net price.
- Not modelled: start-up capital for tanks, press, barrels and building, interest on aging inventory, vintage variation, bulk-wine sales, state excise tiers (you enter a per-gallon figure) and taxes.
Common questions
Should I sell my grapes or make my own wine?
Compare the same year both ways. Selling grapes nets tons times the per-ton price, less farming and harvest cost. Making wine nets bottles sold times your blended net price, less farming, cellar, packaging, excise, marketing and the fixed overhead of running a winery. Enter your own numbers; the tool shows both and which wins.
How many bottles come from a ton of grapes?
Roughly 150 gallons of finished wine per ton, about 63 twelve-bottle cases or 750 bottles, before losses. Pressing method, grape type and racking loss change it, so the tool lets you set gallons per ton and a loss percentage.
What is a break-even price per bottle for a small winery?
Total cost divided by bottles actually sold. Total cost includes the farming you already pay for, cellar and packaging cost on every bottle made, excise on bottles sold, marketing and fixed overhead. Unsold bottles still carry cost, which is why sell-through moves the answer so much.
Why does direct-to-consumer share matter so much?
A bottle sold in the tasting room or to a club keeps most of the retail price; a bottle sold through a distributor nets you far less. The tool finds the direct share at which wine profit equals the grape-sale profit.
What does this leave out?
Start-up capital for tanks, press, barrels and a building, interest on aging inventory, vintage variation, bulk-wine sales, and taxes. Those can decide the choice, so treat the result as the annual operating comparison only.
Where do the prices come from?
From you. The tool ships no grape price report, wine price data or tax tables. The example numbers are made up. Excise is a per-gallon figure you enter for your own situation.
Is my data uploaded?
No. Everything is calculated in your browser tab and nothing is sent anywhere. There are no accounts.
Is this financial or tax advice?
No. It is arithmetic on numbers you enter. Check excise, permits and tax treatment with the relevant agency and a tax adviser.