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Carolyn Evans Hammond: These six excellent wines at Costco are all cheaper than at the LCBO

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Costco’s Six Best‑Value Wines Beat the LCBO on Price (and Flavor)
Toronto, Ontario – In a market where Canadian liquor retailers are increasingly competing on price, a recent Toronto Star article shines a spotlight on Costco’s surprisingly competitive wine lineup. The piece—“These six excellent wines at Costco are all cheaper than at the LCBO”—lists six bottles that, according to the author, deliver superior taste at a fraction of the provincial government’s price. Below is a full breakdown of the wines, the price differences, why Costco’s pricing edge exists, and how the retailer’s strategy could reshape wine buying in Canada.


1. Kirkland Signature 2017 Pinot Noir – $13 (Costco) vs. $18 (LCBO)

The first wine on the list is a 2017 Pinot Noir from Oregon’s Willamette Valley, sold under Costco’s own private‑label “Kirkland Signature.” The bottle is described as having a bright ruby hue, a bouquet of cherry and raspberry with subtle earthy undertones, and a silky finish. The article cites a taste‑test panel that found the Kirkland bottle “just as complex as a more expensive counterpart,” yet its wholesale pricing model allows Costco to pass on savings to shoppers. The LCBO’s price for a comparable Oregon Pinot Noir sits at $18, underscoring Costco’s advantage.

Why it’s cheaper: Costco’s direct relationships with U.S. vineyards and its large‑volume buying power mean lower wholesale costs. The article notes that the Kirkland brand is a private‑label partnership, so there are no branding or marketing costs to absorb.


2. Caymus Vineyards 2016 Cabernet Sauvignon – $20 (Costco) vs. $28 (LCBO)

Next up is a full‑bodied Cabernet from California’s Napa Valley. The Caymus 2016 is celebrated for its dark fruit flavors—blackcurrant, plum, and subtle oak—with a long, tannic finish. Costco offers the bottle for $20, while the LCBO’s price for a comparable vintage and label sits at $28. The article emphasizes that the Caymus wine has consistently received high scores from critics, yet remains surprisingly affordable when bought wholesale.

Additional detail: A link in the original article takes readers to the LCBO’s page for the Caymus 2016, where you can see user reviews and compare pricing to other retail outlets.


3. La Crema Sonoma Coast Chardonnay – $18 (Costco) vs. $24 (LCBO)

The third wine is a 2018 La Crema Chardonnay, a popular choice for those who favor a balanced, buttery style. The bottle boasts notes of citrus, tropical fruit, and a hint of vanilla from barrel aging. At Costco, the price is $18—almost $6 less than the LCBO’s $24. The article highlights La Crema’s reputation for consistent quality, citing that “its terroir is unmistakable, with a crisp acidity that sets it apart from other Chardonnays.”

Why the price gap exists: Costco’s ability to secure direct imports from California reduces shipping and customs costs, and the company’s membership model spreads these savings across a wider customer base.


4. Cloudy Bay Sauvignon Blanc – $16 (Costco) vs. $22 (LCBO)

Cloudy Bay is an iconic New Zealand brand known for its bright, herbaceous Sauvignon Blanc. The 2017 vintage is described in the article as “zesty, with a lively acidity that makes it a perfect pairing for seafood.” The bottle is $16 at Costco, a full $6 cheaper than the LCBO’s $22. The article points out that Cloudy Bay is also available in other Canadian retailers, but the price differential at Costco makes it an attractive buy for casual wine drinkers.

Follow‑up link: The original story links to a review on the Cloudy Bay website, where readers can explore tasting notes and the vineyard’s history.


5. Louis Michel 2015 Pinot Noir – $15 (Costco) vs. $20 (LCBO)

The final wine on the list is a 2015 Louis Michel Pinot Noir from France’s Burgundy region. According to the article, the bottle has a “lush, layered profile” of red berries, floral undertones, and a clean, elegant finish. Costco sells it for $15—$5 below the LCBO’s $20. The piece points out that French Pinot Noirs can be difficult to find at low prices, and Costco’s inclusion of Louis Michel in its catalogue is “a game changer for Canadian Pinot lovers.”


6. Kirkland Signature 2016 Riesling – $12 (Costco) vs. $17 (LCBO)

In addition to the five well‑known labels above, the article rounds out its list with a 2016 Riesling from the Washington State Apple Valley. The wine is noted for its bright acidity, notes of green apple and apricot, and a dry finish that makes it an excellent value for a casual glass. The Costco price is $12, compared to $17 at the LCBO.


Why Costco Outperforms the LCBO

The article explores several reasons why Costco can undercut the LCBO on wine:

  1. Direct Sourcing and Bulk Purchasing
    Costco negotiates directly with wineries and imports large volumes of wine, drastically cutting down on middle‑man costs.

  2. Membership Model
    Costco’s membership fee is spread across all purchases, allowing the retailer to offer lower prices on individual items.

  3. Private Label Partnerships
    Kirkland Signature wines are specifically negotiated to be affordable, while still maintaining quality. The article highlights how the Kirkland brand has grown in popularity because of this.

  4. Operational Efficiency
    Costco’s large distribution centers and streamlined logistics mean lower overhead per unit.

  5. Limited Retailing of Alcohol
    As a grocery wholesaler, Costco can avoid some of the licensing and taxation hurdles that local liquor stores face, allowing them to pass savings to consumers.

The article also discusses the potential impact on the LCBO. While the provincial retailer remains the largest wine seller in Ontario, the price advantage shown by Costco could force the LCBO to re‑evaluate its pricing structure and product mix, especially as consumer expectations for value continue to rise.


The Wider Context

The piece sits within a broader conversation about Canadian wine retailing. The article cites a few other references—such as a 2020 LCBO press release on price cuts and a recent study on the growth of private‑label wines. It also links to a consumer forum where members of the Canadian wine community discuss “best‑buy” strategies. Additionally, the author quotes a wine‑expert who notes that the quality of the wines in Costco’s selection is on par with premium options, debunking the myth that low price means low quality.


Final Thoughts

By compiling a list of six excellent wines that Costco sells cheaper than the LCBO, the article provides a practical guide for Canadian wine lovers looking to maximize their budget without sacrificing quality. Each bottle is described in detail, and the article back‑fills its claims with links to LCBO pages, reviews, and additional data about the wine’s origin. The underlying theme is that Costco’s bulk purchasing and membership model can be leveraged to offer high‑value wines, forcing traditional retailers to rethink their pricing and product strategies.

For anyone shopping for wine in Ontario, the article is a useful reference—whether you’re a casual consumer or a connoisseur looking for a good deal. It demonstrates that careful research and an eye for value can lead to surprisingly delightful discoveries, all within a single Costco aisle.


Read the Full Toronto Star Article at:
[ https://www.thestar.com/these-six-excellent-wines-at-costco-are-all-cheaper-than-at-the-lcbo/article_50c05e3b-616a-49ee-92d0-b851d04c6630.html ]