Wines & Vines

METRICS March 2015 Wines&Vines 11 Direct to Consumer Sales of DtC Shipments Decrease Slightly as Volume Rises D irect-to-consumer (DtC) shipments of wine dipped 3% in January compared to January 2014, while the 12- month performance was still 15% higher than a year ago. Volume rose 8% during the same month, and average bottle price de- creased by 10%. It was the first month since March 2013 that monthly sales dropped compared to the previous year. The rise in volume during January measured 15,851 cases, making the total volume 205,128 cases. Volume rose by 13% during the 12 months through January to reach 3,965,184 cases. The average bottle price for all DtC shipments tracked by the Wines Vines Analytics/ShipCom- pliant model was down by 10% in January to $30.47. Both sales and bottle price for DtC shipments tend to dip in the middle of summer and the middle of winter, when wineries avoid shipping due to severe weather. In each of the past three years, the lowest average bottle prices occurred in July. In those same years the next-to-lowest average bottle prices occurred in June. Average bottle price by winery region grew for four out of six regions in the 12 months ending in January. Bottle price in Wash- ington state was flat, and Sonoma County, Calif., saw the average bottle price decrease by 8% to $30.47. This was due to wineries with lower average prices ex- p a n d i n g t h e i r u s e o f t h e channel. The highest 12-month volume of DtC shipments was 817,495 cases in the $20-29.99 segment. The lowest volume was at the very high end, $200 per bottle and higher, with 43,145 cases. —Jim Gordon Source: , Wines & Vines. Total table wine in 750ml format, 52 weeks through Jan. 25, 2015, multiple-outlet and convenience stores. Source: Wines Vines Analytics/ShipCompliant model. 12 months through January 2015. DtC ShIPment bOttle PrICe Change by regIOn Percentage 6% 4% 2% 0 -2% -4% -6% -8% Napa $58.31 $28.66 $39.63 $35.68 $18.39 $30.47 Rest of CA Oregon Washing- ton Rest of U.S. Sonoma Off-PremISe PrICe Change by varIetal Chardonnay Cabernet Sauvignon Red Blends Pinot Noir Pinot Gris Merlot Sauvignon Blanc Riesling Zinfandel Syrah 0 1% 2% 3% 4% Percentage Off-PremISe vOlume Change by varIetal -10% -5% 0 5% 10% Percentage Chardonnay Cabernet Sauvignon Red Blends Pinot Noir Pinot Gris Sauvignon Blanc Merlot Riesling Zinfandel Syrah

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