Issue link: http://winesandvines.uberflip.com/i/513570
Sauvignon Blanc was the fastest growing varietal in value, showing a 31% gain since a year ago. Buoyed by New Zealand's fast growth with this varietal, Sauvignon Blanc added 3 points of market share in a year. Chardonnay's growth rate was 3% in value but just 1% in volume, reflecting the same dispar- ity between dollars and volume that the entire market has been experiencing. While those are not big growth percentages, Chardonnay domi- nates the market so much that it's instructive to look at which price segments within the varietal account for the most sales and which are con- tributing most to its expansion. Overall sales are highest for Chardonnay priced at $5-$7.99 per bottle; the next two higher priced segments are in second and third place. But the huge $5-$7.99 category shrank by 3% during the past 12 months, while every higher priced segment grew. The change in sales data for Chardonnay captures the dynamic of the market as a whole: very slow volume growth but a definite move up the price ladder by the average consumer. Examining all varietals and types of domes- tic table wines, those in the $20-plus category grew by 20% in value. The three lower priced segments increased 9%-15% in sales. IRI reports on off-premise wine sales at super- markets, drugstores, mass-market retailers, gas and convenience stores, military commissaries and select club and dollar retail chains. —Jim Gordon METRICS June 2015 WINES&VINES 11 Direct to Consumer DtC Shipments Rise 17% in April, 15% for 12 Months D irect-to-consumer (DtC) shipments from U.S. wineries rose 17% in value in April compared to April 2014, ac- cording to Wines Vines Analytics. The 12- month total through April rose 15% compared to the previous period. Volume increased 13% during the 12 months. Wines & Vines looked at DtC data about white wines for this beginning-of-summer issue. All the major white varietals/wine types saw in- creased sales in the DtC shipment channel dur- ing the 12 months through April. Chardonnay led sales by far, and Riesling grew at a much faster rate than in the off-premise channel. Among white wines, Chardonnay domi- nates the DtC channel even more than in off- premise sales and earned an average bottle price of $31.03. Sauvignon Blanc averaged $21.50 per bottle and is No. 2 in market share. OFF-PREMISE CHARDONNAY GROWTH RATE BY PRICE SEGMENT OFF-PREMISE CHARDONNAY SALES BY PRICE SEGMENT Source: , Wines & Vines. All table wine in glass packaging, 52 weeks through April 19, 2015, multiple-outlet and convenience stores. Percentage Bottle Price -6% -3% 0 3% 6% 9% 12% 15% $20+ $15-$19.99 $11-$14.99 $8-$10.99 $5-$7.99 $3.50-$4.99 Source: , Wines & Vines. All table wine in glass packaging, 52 weeks through April 19, 2015, multiple-outlet and convenience stores. $ Million Bottle Price 0 $100 $200 $300 $400 $500 $20+ $15-$19.99 $11-$14.99 $8-$10.99 $5-$7.99 $3.50-$4.99 <$3.49 <$3.50 Source: Wines Vines Analytics/ShipCompliant model. 12 months through April 2015. DTC SHIPMENT VALUE SHARE Sauvignon Blanc Pinot Gris White Blends Riesling Chardonnay Source: Wines Vines Analytics/ShipCompliant model. 72 months through April 2015. $ Million 0 $30 $60 $90 $130 $150 Chardonnay Sauvignon Blanc White Blends Pinot Gris Riesling WHITE WINE DTC SHIPMENT VALUE n = 2015 n = 2014 n = 2013