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Wine Sales Grow as Consumers Trading Up
Jun 14, 2018
(Wines&Vines) - Sauvignon Blanc exemplifies trend of consumers willing to spend more for wine
San Rafael, Calif.—Data from market research firm bw166 reported that $3.2 billion worth of U.S. wine sold in May, driven by a 2% increase in table wines. Sparkling wine and bulk imports increased 3% and 13%, respectively, but represent a minor portion of the market. The activity kept U.S. wine sales in the latest 12 months steady at $41 billion, unchanged from a year ago.
But drilling down into sales of Sauvignon Blanc, which has a reputation as a refreshing tipple during the warmer days of late spring and summer, the ongoing shift to premium wines is evident. Consumers are trading up, even for varietals such as Sauvignon Blanc, which saw the most growth over the past year in the top price tiers.
Sauvignon Blanc logged sales of $623 million at multiple-outlet and convenience stores in the 52 weeks ended May 20, according to market research firm IRI. This was 7% higher than a year ago. Growth was more than twice as great for bottles priced $20 and up, however, increasing 16% to exceed $23 million.
Similarly, the most expensive box brands of Sauvignon Blanc — those priced $4.50-plus per 750 ml. — enjoyed a 41% lift in sales to more than $19 million. The shift is even more dramatic considering that boxed Sauvignon Blanc priced less than $4.50 saw sales drop 29%, while bottles retailing for $7.99 and less saw sales drop 4%.
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