A sign of consumers drinking local?

I came across the article “Off-Premise Wine Sales Slightly Decrease in November versus Same Period Last Year” on WineBusiness.com a couple of days ago, mainly just doing some research for my retail wine gig. Within the article it was pointed out that although sales dropped overall, domestic wine sales rose while imports fell. I didn’t think much of it at first – thinking that price could be a factor during these economic times. Imports can tend to be higher priced (there are exceptions) and people are less likely to explore unfamiliar regions/wines/countries when they are strapped for cash. Thinking back on the article today I thought maybe there was another underlying message here, are people starting to buy more local wines?

image source: winebusiness.com

Unfortunately I don’t think so. If you look at the next graph from the article you will notice that most of the rise in domestic sales is driven by wines in the price range of $3 – $5.99 and $9 – $14.99. Unfortunately most local wines, at least here in Virginia, are not in this price range specifically not the $3 – $6 category which saw the largest growth for the year at 9.0%. I have a feeling it is being driven by brands like 2 Buck Chuck, local if you live in California I guess.

image source: winebusiness.com

Not sure if my interpretation is correct – just my two cents.

Cheers!

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Categories: wine industry issues | Tags: , , , | 1 Comment

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One thought on “A sign of consumers drinking local?

  1. JollyJuicer

    I think you’re right, there is virtually no local VA wines (or wines from most other non-CA states) in that price range. People are probably going to the cheap (2-Buck chuck) and the convenient (grocery store wines). It’s too bad because this may build a tolerance-indeed a preference-for really bad wine. I would exhort people to challenge their wine shops; walk in and ask for their best $8 or $10 wine. If they don’t have anything to give you, walk away. But there are so many delicious, different, and inexpensive wines these days that it’s sad to see people duped by false savings on inferior wines.

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