Issue link: http://winesandvines.uberflip.com/i/562166
The $20-plus segment is where the majority of the 8,884 U.S. wineries price most of their products, however, so it's closely watched. Pinot Noir sales at $20-plus grew by 34% in the most recent 52 weeks, which was faster than all other major varietals or types, according to IRI. Sauvignon Blanc was close behind in growth rate among high-priced wines, but from a small base. Zinfandel was having a good run, too, growing by 20% in dollars and 24% in volume from a base slightly smaller than Sau- vignon Blanc. Cabernet Sauvignon is the juggernaut among high-priced wines in off-premise sales. It grew by 20% in value and 21% in volume during 52 weeks with the highest average price per bottle in the $20-plus segment: $32.11. —Jim Gordon METRICS September 2015 WINES&VINES 13 I n a traditionally slow month due to unfavorably hot ship- ping conditions, direct-to-con- sumer shipments from U.S. wineries increased 9% in value in July compared to the same month in 2014. The 12-month growth rate was 14% for the third month in a row, according to the Wines Vines Analytics/ShipCompliant model. The value of DtC shipments in July rose to $66 million from $61 million in July 2014, but still dipped to the lowest monthly level so far this year. Volume grew at a faster rate than value as wineries shipped 205,392 cases in July for a 20% higher total than the same month in 2014. C a b e r n e t S a u v i g n o n w a s clearly the powerhouse in terms of both growth rate and dollars earned among the major varietals and types being shipped. It gained 21% for a 12-month total of $578 million and accounted for 25% of all DtC shipments. Cabernet's performance runs counter to the norm in which a category leader with a large base is often one of the slower growing products. Cabernet's nearest com- petitor in total sales, Pinot Noir, sold $250 million less but had the second fastest growth rate of 19%. Red blends were third in total sales at $238 million and grew at 14%, which was the third fastest rate among the major varietals. Rosé was not a big enough seller to include in the accompa- nying chart, though the pink wine made from red grapes gained 24% more sales than in the previous 12-month period, but selling less than $18 million in DtC shipments. The struggle of Syrah in the DtC shipment channel—down 11% in value—is very similar to its shrinking performance in stores, where IRI most recently reported its growth rate as nega- tive 10%. While the DtC number is for domestic Syrah and Shiraz, the IRI number includes once- popular Australian Shiraz, yet they both seem to be suffering from the same discontent among consumers. —Jim Gordon Direct to Consumer DtC Shipments Grow as Cabernet Increases Dominance OFF-PREMISE SALES GROWTH RATE, $20-PLUS Pinot Noir Sauvignon Blanc Zinfandel Cabernet Sauvignon Red Blends Chardonnay Pinot Grigio Merlot Syrah 0 5% 10% 15% 20% 25% 30% 35% Percentage Source: Wines Vines Analytics/ShipCompliant model. 12 months through July 2015. DTC SHIPMENT GROWTH BY VARIETAL Percentage -15% -10% -5% 0 5% 10% 15% 20% 25% Cabernet Sauvignon Pinot Noir Red Blends Zinfandel Chardonnay Merlot Syrah OFF-PREMISE SALES GROWTH RATE BY VARIETAL -12% -9% -6% -3% 0 3% 6% 9% 12% 15% Percentage Source: . All table wine in multiple outlet and convenience stores, 52 weeks through July 12, 2015. Sauvignon Blanc Red Blends Sparkling Pinot Noir Pinot Grigio Cabernet Sauvignon Chardonnay Merlot Syrah