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How different bottle sizes impact your wine investment returns

  • Larger bottles have a longer shelf life, meaning that there is more time for price appreciation.
  • They are also available in smaller quantities, adding an element of rarity that drives up demand and price.
  • Champagne and Bordeaux are the regions leading the investment market for big bottles. 

When choosing a wine for investment purposes, the region, producer reputation and vintage quality are among the first things to consider. However, one factor that is often overlooked but can have a significant impact on the investment value is the bottle size.

Investing in larger wine bottle formats can enhance the longevity and quality of the wine, and lead to higher returns compared to standard bottles. Below we explore the reasons why size matters in the world of wine investment.

How bottle size affects wine investment

The science behind bottle size and wine quality is well-established. Larger bottles have a smaller surface-area-to-volume ratio, meaning less exposure to oxygen, which slows the wine’s ageing process. This slower ageing allows the wine to develop more complexity over time, preserving its character better than smaller formats.

This benefit makes large-format bottles, such as magnums and jeroboams, highly sought-after. Not only can these bottles offer superior quality, but they also come with a scarcity factor that often results in significant price premiums. The rarity of these formats adds an element of collectability, making them a lucrative investment option.

The price performance of larger bottles

Larger bottles have enjoyed a growing demand in the wine investment world. The two main regions that dominate this market segment are Champagne and Bordeaux. 

During Champagne’s recent bull run (2021-2022), secondary market trade by value of big bottles rose from 7% to 15%, which in turn impacted prices. The average value of a magnum case rose an impressive 78%. 

Magnums of Louis Roederer Cristal 2008 saw a 54% premium over standard bottles, while Dom Pérignon 2008 magnums commanded an 18% price uplift. Larger formats like Methuselahs (6 litres) of Cristal 2008 enjoyed a staggering 175% premium. 

Meanwhile, some of the most sought-after Bordeaux wines in large format include the First Growths Château Lafite Rothschild and Château Mouton Rothschild, the latter of which has highly collectible, vintage-specific artist labels.

From Burgundy, Domaine de la Romanée-Conti produces large bottle formats that make them a prime choice for high-end collectors. Other in-demand large format bottles from the rest of the world include Penfolds Grange and Opus One. 

Size options and investment opportunities

Wine bottle sizes graphic

While standard bottles are more commonly traded, investing in magnums and larger formats offers several advantages. For example, three magnums of Pétrus 1995 traded for £17,200 in July this year, yielding a 16.5% premium compared to their 75cl counterparts.

Rare formats like Balthazars and Nebuchadnezzars can fetch even higher premiums due to their scarcity, particularly for sought-after vintages and regions.

Why larger formats can lead to better returns

There are several reasons why larger bottle formats can offer better investment returns. 

Slower ageing process: Larger bottles slow down the wine’s exposure to oxygen, allowing for better preservation and longer ageing. This makes the wine more desirable over time.

Rarity and collectability: Large-format bottles are often produced in smaller quantities, adding an element of rarity that drives up demand and price.

Increased longevity: Investors can hold onto these bottles for longer periods without worrying about the wine deteriorating. This allows them to take advantage of market peaks and secure higher returns.

Visual appeal: Large-format bottles make a statement at auctions or in private collections. Their grandeur and rarity often make them more attractive to high-end buyers.

Timing is everything

Given the current market conditions, larger formats are particularly attractive. Prices for these bottles are often discounted during dips in the market, making them an affordable entry point for investors looking to capitalise on future growth. As demand for rare and collectible wines continues to rise, investing in larger formats now could pay off significantly in the long run.

If you’re looking to diversify your portfolio, now may be the time to consider going big on bottle sizes.

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Fine Wine Investment Tips

If you’re considering fine wine investment, here are some tips to help you get started.

How to get the right information?

It is important to do your own research and stay up-to-date on fine wine investment trends but where do you get started?

Looking into wine types, growing regions and brands is a useful first step. Researching average prices for the wines you want will help you make sure you are being quoted a reasonable price when you come to buy them. Nowadays there is a wealth of pricing data online for investors to navigate.

Meanwhile, regional fine wine investment reports and vintage overviews can help you understand the fine wine market in more depth. WineCap’s Academy provides a resource on producers and their wines so your knowledge grows, as your portfolio does. News websites like The Drinks Business, Decanter, Bloomberg, and the Financial Times, regularly cover topics related to fine wine investment. Critical coverage can also help you navigate the world of fine wine and inform your investment decisions.

Regularly researching the fine wine market and identifying emerging trends will help you find the best investment opportunities available.

Should I use a wine investment company?

Wine investment companies have years of experience dealing with the fine wine market and its intricacies. Relying on the latest digital innovations, wine investment experts can share their unbiased knowledge with you and advise you on the best wine investments. WineCap’s unique proprietary technology analyses over 400,000 wine prices a day to identify buying and selling opportunities across the global market.

Working with a reputable fine wine investment company helps you get the wines that you want. WineCap has access to the top investible allocations and an extensive portfolio of wines stored in secure government bonds.

While it is possible to conduct your own research, find your own storage and buy your selected wines, investing in fine wine through a trusted specialised company saves you time and money.

Looking for a wine investment guide? 

Our Fine Wine Investment for Beginners guide can help you get started. The guide provides an overview of the fine wine investment market and how it works in practice. It also outlines the wine investment process in four simple steps.

Get started now you’ve discovered these top fine wine investment tips. Speak to one of WineCap’s advisors to find out more about next steps.