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W i n e s & V i n e s M A R C H 2 0 1 4 19 S anta Rosa, Calif.—Americans may be buying fewer 12-packs of mass-marketed light beer, but they are buying more six-packs of special-release IPA—and that could be at the expense of bottles of Cabernet. Those who sell craft beer are also taking their cue from some of wine's strongest selling points to earn a greater share of the market. "From a shelf-space perspective, we need to hold our ground," said Danny Brager, senior vice president of Nielsen's Beverage Alcohol Practice Area. Brager's comments came during the W i n e M a r k e t Council's annual presentation about U.S. wine consumer trends. Brager said craft beer sales are up nearly 23% in volume and 20.6% in value, and in regions like San Francisco and Portland, Ore., craft beer has seen growth of 30% or more. Those strong sales, however, can't buoy the general beer market, which continues to decline at a slow rate. In 2002, 60% of Americans favored beer, 27% preferred spirits and 13% favored wine, Brager said. By 2013, beer had slipped to 51.1%; spirits rose to 33.7% and wine grew to more than 15%. People who enjoy craft beer say it offers a broader selection of choices, and they view it as a local product that pairs well with food, according to John Gillespie, president of the Wine Market Council. Based on survey information from the most active beverage buyers, Gillespie said 66% of high-frequency wine drinkers enjoy craft beer, and 49% of those said they enjoyed several craft brews per week. Brager said Nielsen's data show that 13% of shopping carts with wine also contain craft beer. While the growth of craft spirits and beer should be of concern to wineries, Gillespie recalled the microbrew boom of the 1990s that prompted similar worries. "I don't see it as a huge threat to the industry," he said. The "high-frequency wine drinker" is a term coined by the council to describe consumers who drive wine sales in the United States. Gillespie said these wine drinkers enjoy wine daily or several times per week as opposed to "occasional" wine drinkers who imbibe once per week or less. The council estimates the number of high-frequency drinkers in the United States at 34 million and occasional drinkers at 67 million. Of wine drinkers, about 30% are "high-end wine buyers" responsible for buying most of the wine priced higher than $20, but these buyers purchase wine across all segments. While they may be stocking the cellar with Harlan Estate and E. Guigal Côte Rôtie, they also are buying everyday red wines from Trader Joe's for $9.99. —Andrew Adams Craft Beer: Wine's New Competition Experts urge wineries to stand their ground against rival in beverage sector Our barrels are works of art, crafted with expertise and perfection to honor wine. Partner with Tonnellerie Quintessence to create your masterpiece. THE ART LIVES ON… 8 route de Canteloup—33750 Beychac & Caillau www.tonnelleriequintessence.fr To effect the quality of the day, that is the highest of arts. —Henry David Thoreau { } Forty-nine percent of high-frequency wine drinkers drink craft beers several times per week. —Wine Market Council survey results M A R C H N E W S