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METRICS July 2018 WINES&VINES 11 D irect-to-consumer (DtC) shipments rose 7% in May versus a year earlier to $229 million, Wines Vines Analytics/Ship- Compliant by Sovos reported. Case volumes increased 9% to 544,724. The slower growth relative to previous months reflected a sea- sonal shift as summer arrived with its warmer temperatures. The price of the average bottle shipped in May fell 2% versus a year earlier to $34.96. Napa County wineries were the single big- gest source of DtC wine shipments in the 12 months through May, with a value of $1.3 bil- lion. This represented nearly 47% of the chan- nel, which overall saw shipments worth $2.8 billion. Shipments from Napa account for 56% of California wines shipped DtC. The primary destination for Napa's wines is California itself, at 30%, down two percentage points from last year as deliveries to other states increased. Outside of California, Texas, Florida and New York were the top three destinations for DtC shipments from Napa in the past 12 months. This was unchanged from last year, with ship- ments increasing in step with overall growth of DtC activity. Consumers in these three states also spent the most per bottle, with prices av- eraging more than $70. Napa wines shipped DtC averaged $63.71 a bottle overall, up 3% from last year, but shipments to Florida ex- ceeded the national average by more than $10 at $74.94 a bottle. New York was second, at $70.75 a bottle, a slight decrease from last year. Texas, the biggest destination for Napa wines after California, received $143 million worth of shipments in the latest 12 months. These wines averaged $70.18 a bottle, up 7% from last year. The fact reflects strong demand and confidence from consumers in an established market for Napa vintners, well known for that most-popu- lar of DtC varietals, Cabernet Sauvignon. —Peter Mitham Direct to Consumer O ff-premise sales through multiple-out- let and convenience stores in the four weeks ended May 20 totaled $656 mil- lion, market research firm IRI reported. This was up 2% versus a year earlier, but the lowest monthly tally since last October. Case volumes were flat at 8.3 million. Nevertheless, pur- chases kept 52-week sales 2% above a year earlier at $8.9 billion. Domestic sparkling wine sales posted the strongest growth, rising 2% in the month and 3% in the year. Domestic table wine sales, a much larger segment, rose 2% in both the month and the year, consistent with overall sales. With the arrival of warmer weather, upper- end Sauvignon Blanc brands are showing promise. Consumers seeking the varietal stepped up the price scale in the latest 52 weeks, resulting in 16% growth for Sauvignon Blanc at $25-plus a bottle and 15% growth in the $20-$24.99 segment. Indeed, all price seg- ments from $8 up saw greater sales. The trend was seen most dramatically in sales of boxed Sauvignon Blanc, which saw 41% growth among wines selling for $4.50-plus per 750 ml., which represent a total of $19 million, and a 29% drop decline in sales of cheaper boxed brands (a mere drop in the barrel with sales of just $317,166 in the latest 12 months). Sauvignon Blanc sales rose 7% by value in the period to $623 million. The majority of sales, 69%, occur between $8 and $14.99 a bottle. —Peter Mitham Source: , Wines Vines Analytics. Domestic table wine sales in multiple-outlet and convenience stores; 52 weeks ended May 20, 2018. OFF-PREMISE SAUVIGNON BLANC SALES $ Millions 0 $50 $100 $150 $200 $250 $25+ $20-$24.99 $15-$19.99 $11-$14.99 $8-$10.99 $4-$7.99 <$4 Box $4.50+ Box <$4.50 DTC SHIPMENTS FROM NAPA WINERIES BY DESTINATION STATE—VALUE SHARE Source: Wines Vines Analytics/ShipCompliant by Sovos. 12 months through May 2018. Georgia 3% California 30% 7% Texas 5% 11% 35% Other Colorado 3% New York 6% Florida Illinois Source: , Wines Vines Analytics. Domestic table wine sales in multiple-outlet and convenience stores; 52 weeks ended May 20, 2018. OFF-PREMISE SAUVIGNON BLANC GROWTH (VALUE) Percentage -30% -20% -10% 0 10% 20% 30% 40% 50% $25+ $20-$24.99 $15-$19.99 $11-$14.99 $8-$10.99 $4-$7.99 <$4 Box $4.50+ Box <$4.50 Off Premise Off-Premise Sales Increase 2%; Sauvignon Blanc Rises 7% DtC Rises 7% in May as Napa Broadens Reach