DtC Shipments Climb 12%; Total Wine Sales up 4%

Apr 17, 2016

(Wines&Vines) - Direct-to-consumer (DtC) wine shipments increased by 12% over the previous year to reach $283 million in March.

The 12-month total also grew by 10% to surpass $2 billion as wine club shipments and the return of warmer weather helped fuel the seasonal increase in DtC sales.

Off-premise sales of domestic wines in IRI channels grew by 4% to total $654 million, while total U.S. sales of domestic wines also rose by 4% to nearly $3.4 billion. All of the other key wine industry metrics tracked by Wines Vines Analytics stayed positive through March.

DtC shipment volume reached 509,622 cases, which is more than double January’s total and 37% larger than February’s shipment volume of 370,732 based on data from the model by Wines & Vines/ShipCompliant.

This month, Wines Vines Analytics focused on shipments and sales by wineries in the Pacific Northwest states of Oregon and Washington. When it comes to DtC sales, Oregon wineries are pulling away from their neighbors to the north.

Oregon DtC shipments have risen steadily in value since 2013 and topped $100 million in the past 12 months, while Washington state’s shipments totaled two-thirds of that in value and have grown at a slower rate. The two states are much closer when it comes to the average bottle price per DtC shipment. Oregon Pinot Noir is the leader by value at $48.20, but Washington state Cabernet Sauvignon is pretty close at $45.50.

Washington and Oregon follow California as the second and third wine producers by value, respectively. Washington’s DtC shipments increased 8% over last year to reach $66 million, while Oregon’s rose by 12% to pass $102 million. Washington’s direct-shipped case volume was 163,887 in the past 12 months, while Oregon’s was 217,144.


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