Discussion: Price vs Value

[Capn Jimbo]

It's like STP...

Some of you car nuts may recall the ubiquitous "STP" additives widely sold and almost literally mythologized. Add a relatively expensive, small can of STP to your oil, and no end of fantastic advantages will accrue to you and your car's engine. Longevity, mileage, increased performance. Hey, it'll even add an inch to your...

Enough.

An interviewer once asked the president, Andy Granatelli, what part marketing played in making his flagship products astounding success. "STP...", he said, "...is marketing". And so it goes with rum.

I just knew when my dear Mount Gay Extra Old decided to abandon its 300 year history and wonderful, traditional bottle/label design for it's marketing driven "new and improved" bottle, that we were in for a price increase. Never you mind that real marketers will do anything to preserve their franchise, these boys threw away tradition, cast doubt, offended and besmirched their three hundred year, hard won image, for what?

A crappy condescending design designed to look more expensive. Worse yet, the bottle's manufacture is lacking, so now it looks like a lwer cost bottle TRYING to look expensive.

A double whammy.

I hated it, and said so here and there. I said I'll continue to buy MGXO, even in this monstrosity of a bottle, but that I'd keep and refill my old bottle. I insisted a price increase was in the works. And guess what? I happened. MGXO now costs $39, or more. This is quite a jump from its former price point of $30-32. Will I pay it?

Read on.

It so happens that Sue Sea's and my two top rated rums are MGXO (me) and the the wonderful Seale's 10 (Sue Sea). Seales has been priced at around $39 for quite some time. And it was the only - I repeat only - rum for which I willingly will pay so dearly.

But that's changed.

MGXO - unchanged except for the container - is now a mind-boggling $40 (a 20+% increase). And Seale's is now available at - are you sitting down - $25! Amazing! I couldn't believe either of these changes, and hurriedly grabbed two Seale's. Although my MGXO is getting mighty low, and is my most purchased rum, the "new and improved" $40 version was left on the shelf.

As apparently, it should. Who's right?

Simple. Richard Seale. What was already a "10" - and barely justifying its former $40 tariff - and now at just $25 - has become perhaps one of the great values in rum enjoyment, alongside the likes of world class Barbancourt Five Star ($20), Ron Matusalem Gran Reserve ($25), Rum San Pablo ($11, yes $11) and a just a very few others.

I predict Richard will sell a boatload of his world class, pure product. As well he should. He long ago earned my highest respect and regards and continues to do so. His fine Seale's 10 will now be available to many more rum drinkers, and will certainly contribute to the slow demise of other lesser, secretly flavored offerings in this price range.

As for MGXO...

[Capn Jimbo]

MGXO has always been my #1, go-to rum. Complex, smooth and with all the great characteristics of a truly tradionally great product. There is no other rum that comes even close in terms of repeat purchases.

Until now.

I recently saw the repositioned MGXO for sale at - gulp! - $50! I kid you not. This is a HUGE increase from the $30 to $32 range MGXO has inhabited for some years.

It is untenable.

I'm serious. As The Compleat Idiot I speak to the masses - the hoi polloi - the average rum drinker - the rest of us. I don't send my driver into the store. Nope, I stop at many spirits purveyors, cruise the store and check prices. I know what the market is, and where I can find great selection at great prices.

And I know value.

I have learned and promoted the fact that it is not hard at all to enjoy true world class rums at prices bordering $20. You read that right and I won't waste your time renaming them. MGXO was one of the very, very few that pushed my limits to $30. Maybe it was the only one. And I loved it so much that even its slight increase to $32 remained - barely - acceptable.

But when - thanks to their idiotic marketing department - I saw it literally jump to $40, I truly had to pause. And that was the day I left the MGXO behind and walked home with two bottles of Richard Seale's Ten Year (at just $25 each).

And now yet another jump? To $50! God have mercy.

Are these guys drunk? Mad? Foolish? All of these? I think so. At $50 I can own and enjoy two Seale's Tens. Which is nearly just as good, or sometimes even a bit better, depending on the day. At $50 I just might have to say goodbye to my favorite - the one rum I'd take to a deserted island.

When later I found a retailer who had two of MGXO's old bottles - at the old price - I snapped em up. They may be the last. A sad, sad, sad day indeed...

[RT]

50 Bucks???

Even in the heavily controlled and taxed PA state stores its only $45.

And across the line in NY its $35-40.

But I agree with you, one of the best.

[Capn Jimbo]

Update!

Just yesterday I saw the new and improved bottle of MGXO selling for $53!

Keep in mind this rum sold for just over $30 less than two years ago; furthermore, this is in SE Florida where our great selection and ultra low prices are legendary. At the same time, Richard Seale's 10 Year is now just $19.95 and sells like hot rumcakes.

I have found a few "leftovers" of the old, classic bottle here and there for around $32 - but only in a few of the really small purveyors who don't know better.

Sad but true.

[Garick]

A google search (shopping results) shows it varying from $34 to over $100. I guess some stores hope to make up for lack of volume with a huge margin by one idiot... Most places were advertising it around $40, but it's available from several internet retailers for about $35, which isn't too bad.

[murchmb]

I paid $46+tax in TN for my bottle of MGXO. I beleive it's about the same price here in AL, but appears to be one of the unobtanium items on the ABC list that is there and has a price, but no one seems to stock.