What You Need to Know
- Reputation matters.
- Timing matters.
- Expert advice can help.
Wine and insurance? Similar? You must be kidding me!
Although one is a liquid and the other is a product, there are several areas where they cross over. Knowing about them might provide an “Aha” moment for your prospect or client.
Let’s make a few assumptions about fine wine.
We are talking about the fines wines in the world.
This means red Bordeaux wines like Chateau Lafite Rothschild. Fine ports and champagnes. Lets not forget red Burgundies from France.
These are the wines that are produced in small quantities, then encounter worldwide demand. When properly stored, certain ones can live almost forever.
1. Reputation matters.
Plenty of wine is made to be consumed the day it was purchased. You find these on the supermarket or wine store shelves. They aren’t kept under lock and key. These brands advertise a lot.
Fine wines: Their reputation precedes them. They don’t do any advertising because the small supply is unable to meet overall demand.
Life insurance. The reputation and quality of the firm matters. You are buying something that won’t pay off in your lifetime. You want the company’s safety rating and reputation to be perfect.
2. It gets better over time.
Food comes with a sell-by date. You’ve discovered foods you’ve forgotten in the back of your refrigerator. You hesitate to touch them.
Fine wine: It’s made to improve over time. It’s a living liquid trapped in a bottle. It evolves. The tannins soften and the fruit becomes prominent.
Life insurance. Whole life insurance builds cash value over time. That point’s obvious.
3. It costs more the longer you wait.
You’ve probably discovered this yourself when you put off repairing your house or buying a piece of diamond jewelry.
Fine wine: 1982 was a great year for Red Bordeaux wines. The bottle that cost $60 upon release will probably cost you about $1,000 now.
Life insurance. This one’s obvious, too. The $500,000 policy purchased at age 25 will have lower premiums than the $ 500,000 policy purchased at age 55.
4. You might not be able to get it later.
You know all about scarcity. When something is gone, it’s all gone.