Master Sommelier Peter Granoff on Curating Exceptional Wines and the Future of Fine Wine Retail

30/01/2025 Inside the Mind of a Master Sommelier: Peter Granoff on Consumer Trends, Unique Selections, and the Challenges Facing Independent Retailers

Peter Granoff, a Master Sommelier since 1991, has had a pioneering career in the wine industry. He co-founded Virtual Vineyards in 1995, one of the first online wine retailers, processing the first secure credit card transaction on the internet. With over 25 years in hospitality, including time in Burgundy and Switzerland, Granoff has been affiliated with the Ferry Plaza Wine Merchant and DBA Oxbow Cheese and Wine Merchant, both of which sport an exquisite portfolio of small artisanal producers from around the world. A respected educator, speaker, and judge at the Sommeliers Choice Awards and USA Wine Ratings, he shares his global expertise with the USA Wine Ratings.

What factors influence your decision to stock certain wines in your shops, particularly when considering independent, regional, or national brands?

When selecting wines for our shop, we prioritize taste above all else, choosing to rely on our own judgment rather than critics' opinions. We intentionally avoid stocking national brands, preferring wines that are less exposed to the mass market. The more niche or regional a wine is, the more likely we are to feature it in our selection.

Also read: Top US Wine Merchants Elevating the Retail Experience

What trends in consumer preferences have you noticed over the years, and how do you adapt your offerings to align with these shifts?

Over the years, we've noticed several shifts in consumer preferences, including a move away from heavily oaked wines as well as growing interest in low- or no-alcohol options. There's also a demand for crisper whites, easy-drinking reds, alternative packaging, and even “orange” wines. While we adapt our offerings to accommodate these trends, there are certain boundaries we maintain—particularly when it comes to wines that don’t meet our quality standards, such as some of the natural wines that don’t resonate with our palate.

What strategies have worked best for cross-promoting wine and cheese in your stores? Can you share a few specific examples of wine and cheese pairings that resonate most with your customers?

One of the most effective strategies we've found for cross-promoting wine and cheese is offering pairings as a curated package, allowing customers to enjoy a seamless experience. Additionally, our Flight Night events, where we pair select cheeses with complementary wines, have been hugely popular. These events give customers the opportunity to explore the perfect balance between flavors in a fun, interactive setting. 

Also read: Matching Food & Wine: It’s All in Good Taste

How do you differentiate your stores from other fine wine outlets in the competitive San Francisco and Napa markets? What steps do you take to ensure customer satisfaction and loyalty in such a competitive industry?

We differentiate ourselves by offering our wine clubs, which provide customers with the opportunity to explore a wide variety of wines, often from smaller production producers with unique stories behind them. Many of these wines have limited retail exposure, which adds to their exclusivity. To further enhance customer satisfaction and loyalty, our Wine Club members enjoy 10% off most of our inventory and 15% off club selections still in stock. This approach helps us build strong, lasting relationships with our customers while providing them with exclusive access to exceptional wines.

What role does collaboration with local producers, winemakers, or cheesemakers play in your business strategy? Can you discuss any partnerships you’ve established that have had a significant impact on your brand?

Collaboration with local producers, winemakers, and cheesemakers is a cornerstone of our business strategy, particularly in our Napa store. We work closely with several local wineries that operate by appointment only, creating a curated selection of cheeses to pair with their wines. We also offer cheese platters upon request for guests, ensuring a seamless and enjoyable experience. Additionally, our flight nights have proven to be a valuable way to foster collaboration. We invite guest producers or importers to join us, offering customers the chance to taste a flight of featured wines while engaging in an informal conversation with the guest. It’s a relaxed, educational experience that encourages participation. Those who order the flight typically receive 15% off the retail price of the featured wines that evening, creating a unique and rewarding experience for our customers.

Oxbow Cheese Wine Merchant

Image: Oxbow Cheese Wine Merchant 

Are there any unique initiatives or collaborations you’re planning in the near future?

We're currently working on our Flight Night calendar for 2025. While we don't plan to introduce anything radically new, we're sticking with what has proven successful. Our focus remains on providing great wine experiences that our customers enjoy, so we’ll continue to refine and expand on our popular Flight Night events, ensuring they remain engaging and enjoyable for everyone involved.

How do you train your staff to deliver exceptional service and knowledge that distinguishes your stores?

We believe that ongoing training is key to maintaining a high level of service and knowledge, and we’re always striving to improve. Our staff is drawn to us because of the incredible exposure they get to a diverse range of wines, which is an educational experience in itself. Before each Flight Night, the guest producer typically presents a brief tasting for our staff, giving them deeper insights into the wines featured that evening. We also invite staff to attend trade tastings when appropriate and host staff seminars whenever time allows, ensuring they’re continuously learning and developing their expertise.

How has the role of a fine wine retailer evolved since you opened Ferry Plaza Wine Merchant 22 years ago?

Over the past 22 years since opening Ferry Plaza Wine Merchant, the role of a fine wine retailer has become increasingly competitive. As the market grows, differentiation in our offerings has become more critical than ever. We've seen a gradual erosion of the power of traditional critics, largely due to the rise of social media and influencers. While these platforms offer great visibility, they often lack the credibility that comes from a knowledgeable critic. To stay ahead, flexibility and adaptability to market shifts are essential. Additionally, travel has had a significant impact on consumer preferences, broadening their palates. However, misinformation and confusion about wine—particularly regarding the use of SO2—are rampant, which makes it even more important for retailers to provide accurate, reliable knowledge to their customers.

How do you see the role of independent wine merchants evolving over the next few years, and what can stores do to stay ahead?

The role of independent wine merchants is only going to get more challenging in the coming years. Deep discounters, who often don't even stock the wines they advertise, have made online sales less viable. Rising insurance costs are also putting a strain on small businesses, making it harder to stay afloat. On top of that, consolidation at the wholesale level continues, increasing the market power of the largest wholesalers. In many cases, these wholesalers wield that power in ways that can feel almost predatory, resembling "mafiosi thugs" in their tactics. To stay ahead, independent wine merchants will need to continue focusing on their unique offerings, exceptional customer service, and adaptability, as these qualities will differentiate them from the growing dominance of large-scale, impersonal players.

Header image sourced from Peter Granoff, MS

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Grow your wines in the off-premise channels of the USA. The international submission deadline is May 31, 2025, and the domestic submission deadline is June 30, 2025. Here is how to enter.