Christie’s, an established wine auctioning firm, turns approximately seventy five million dollars in profit a year from the sale of their products. However, according to Per Holmberg, a large portion of that is attributed to their implementation of online auctions. An article recently completed by Wine Searcher detailed the effect online wine auctions are having on the entire industry, but in particular, Christie’s wine auctions.
According to Holmberg, online auctions are the best way to get started in buying wine at auctions. Prices are
generally lower, particularly when the consumer considers what is for sale. Vintages can be quite a deal via online auctions; wines produced in 2007 and 2008 that were very expensive upon their initial release have come down remarkably in price via online auctions.
Online auctions have also infused a younger generation with a passion for
Christie’s holds six online auctions annually. In these auctions, a variety of products are offered, often mixed cases with a variety of bottles. E-Sniping can be an issue, however, according to Holmberg; in the closing moments of a bid, outside parties make top bids, beating out a dedicated enthusiast who has followed the auction for quite some time. Christie’s resolution for this issue relies on the computer, which can recognize when e-sniping is occurring and automatically adds an extra three minutes to the auction, providing the dedicated bidder with a chance to regain the top bid. Counterfeit wines can also be an issue, although not one specific to just the world of online auctioning. Holmberg says the wine industry is no different than watch or purse productions; fakes are always a possibility. However, he does reassure that Christie’s does their very best to prevent profiting off of a bottle that has been counterfeited.purchasing wines. Typically, theaverage buyer of wine is a male within the ages of thirty-five and fifty-five. However, online auctions increase the ease and price wine can be purchased at, which has brought in significantly younger buyers.