Tag Archives: wine consumption

Winebits 408: Diageo sale, wine imports, French wine


diageo saleTreasury gets Diageo wine: Get ready for more Big Wine news in the wake of Diageo selling its handful of wine brands to Australia’s Treasury Wine Estates. The $351 million deal gives Treasury four million cases worth of wine in the U.S., which may move it into the top five of U.S. producers. The key is what Treasury will do with the brands, which include Sterling: Will it keep all of them, or sell some it sees as too cheap for its new focus on wine costing more than $10? Also, the purchase was as much about getting Diageo’s infrastructure in the U.S., including its bottling lines. Finally, there is this great quote from Treasury boss Michael Clark: “We remain committed to our strategic road map of transitioning our business from an order-taking agricultural company to a brand-led and capital-light marketing organization.” If anyone can explain what that means, I’ll send you a copy of the cheap wine book.

It’s all about Italy: We can argue about what wine consumers want, but we can’t argue with the numbers. Hence, Italy’s continued success in selling wine in the U.S., accounting for one-third of all imported wine in dollar terms the first six months of this year. The big losers? Australia, still, as well as Chile and Argentina. Americans want pinot grigio and Prosecco, and Italy is happy to give it to us at mostly cheap prices. The Aussies, on the other hand have little that anyone wants, as sales fell seven percent in dollars and six percent in volume. How the mighty have fallen.

The French are drinking again: Decanter reports that a government survey found a six percent increase in “occasional wine drinkers,” who accounted for half of the respondents. This is important news in a country where wine consumption has declined steadily for decades. This group included younger drinkers and women, who say they were more likely to have one or two glasses of wine a week. To put this in perspective, that one or two glasses of wine a week is more than bottle a month, which means an occasional wine drinker in France drinks more than the average adult in the U.S.

Winebits 376: Apothic, restaurant wine, wine consumption


apothicA revolutionary product? Gallo’s Apothic, which revolutionized sweet red wine when it was introduced in 2007, may be doing it again. The company has released Apothic Crush, a slightly sweet red wine with 14.5 percent alcohol. In this, it appears to be the first sweet high alcohol wine that actually admits to being sweet and high in alcohol. For most of wine’s history, sweet table wines had less alcohol than dry wines not only because that’s how fermentation worked, but because no one thought consumers would drink a high alcohol sweet wine. But that has changed, first with the trend toward riper, more alcoholic wines, and second, with improvements in winemaking technology. In this, who knew Robert Parker, who has championed riper, higher alcohol wines, would pave the way for a Gallo product? Or, as the noted philosopher Mick Jagger has said more than once, “You can’t always get what you want/But if you try sometime you find/You get what you need.”

Less hope for wine lists? Is the end coming for the independent restaurant? That may be one of the conclusions from a recent study, which found that the number of independents fell by two percent in the U.S. in 2014, and that the number of full-service independents dropped three percent. Chains, meanwhile, continued to grow in the low single digits. Why does this matter to wine drinkers? Because those independents, and especially the full-serves, are the last best hope for improved restaurant wine lists. Chains usually don’t care about wine and make decisions in a corporate office based on price, which means they have the crummiest and most overpriced wine lists. Independents, for all their problems with wine, generally do a better job than chains. So any drop in the number of chains should be worrisome for wine drinkers who want choices that aren’t from Big Wine.

Beer, wine, or spirits? This chart, from Ghost in the Data, should answer all questions about whether the U.S. (or any other country in the world) is a wine drinking country. We’re not — it’s still beer. In fact, save for part of western Europe, the world is mostly indifferent to wine. This is something my colleagues in the Winestream Media should pay more attention to, instead of patting themselves on the back because we drink more wine than any other country in because we have more people than France and Italy.

Winebits 351: Wine glasses, wine laws, and economic growth


wine news wine glassesDo wine glasses matter? The answer is no, says the Vinepair website in a post that includes the sentence, “Any industry that marries the existence of experts, the spending of cash, and the words ‘acquired taste’ as exquisitely as the wine industry does is bound to intimidate the uninitiated.” Which was a guarantee the Wine Curmudgeon would write about it. The post dismisses the idea that different shapes matter — a Bordeaux glass, a Burgundy glass, and so forth — and cites several studies and zings Riedel, the big glass company, repeatedly. Most of which makes sense, since I’ve never been convinced spending $100 for a glass is going to make all that much difference. The difference comes, I think, in whether you use well-made glasses instead of poorly-made ones. I buy the Forte from Schott Zwiesel, about $10 a glass, and am content. That’s about the twice the price of Libbey glasses, but the expense seems worth it.

Hell no, we ain’t reformin’: Pennsylvania’s state-controlled liquor store system has been the subject of much controversy as well as repeated demands for privatization. Reform seems as far away as ever, despite all the effort, and I’ve discovered the reason: Money. The Pennsylvania Liquor Control Board, which runs the stores, is a $2.24 billion business. Which is damned big — almost twice the annual sales of Crate & Barrel and only one-sixth the total of Whole Foods, even though the upscale grocer is a national company with more than 360 stores. How many state legislators, regardless of political persuasion, are going to throw away that much money? I’m not even sure I would.

Not just rich people drink wine: There’s a long and surprisingly boring post on Forbes discussing whether wine sales can predict economic growth. If someone can figure out what it actually says, let me know. As near as I can tell, it says that high-end wine sales are a predictor of U.S. economic health, which is not true and seems a silly thing for someone at Forbes to say. Because only five percent of the U.S. population buys wine that costs $20 or more, and the average price of a bottle of wine is about $10. So what the price of vineyard land in Napa Valley has to do with economic growth is beyond me. Which is probably why I do this and don’t write for Forbes.

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