Wednesday, May 31, 2006

PART II OF SURVEY MONKEY

Thanks again for the wonderful reaction to our first ever survey. WSD received many more responses over the holiday weekend, and we greatly appreciate your feedback.

When asked about the future of screwcap wine closures, readers responded with equally mixed feelings. Some of you feel that the mainstream public already accepts non-cork closures, while others think it may never happen. Here are some of the responses:

“Until more of the larger companies, like Gallo, Constellation and Diageo, as well as high end producers around the world begin to use the screw cap, it will not be fully accepted in the mainstream.”

“Mainstream and "early adopters" (those that like to try new things) consumers already do. It is the "older" (not by age, but by amount of time drinking wine) wine drinker that has been turned off by cheap wines that have notoriously been in screwcaps over the years. I think it will be at leat 5 years before those stodgy wine drinkers try something new."

Others, however, think mainstream acceptance of alternative wine closures will either “never happen” or is already “widely accepted.”

Most feel that wine will soon show package innovation like that of the spirits industry, with a few alternations. While some readers feel that wine is already in equal footing with spirits packaging, others think wine will advance in “convenience and bag in box packaging” and “bottle shape and label shape.” However, several individuals noted that wine is too traditional to rely heavily on packaging innovation.

Consolidation seems to be the name of the game. When asked how wine and spirit wholesaler consolidation will end up, most said that less than 5 national players will lead a pack of smaller players.

“3-4 big national players and lots of small innovative wholesalers handling emerging brands and the on premise arena,” said one reader.

“I believe that the wholesaler network will continue to mirror supplier structure.”

Most respondents feel that chains like Super Wal-Mart, Costco and Trader Joe’s widen wines horizons, while the majority of the rest feel it both widens wine’s horizons and cheapens its image.

“They're great for wine's horizons--more people consume, the prices are attractive, and the retailers make profits that induce them to merchandise wine.”

“Cheapen wine's image and reduce availability of brands. The big boxes brand the store not the winery. This is not a positive development.”

“They do both. They increase exposure to uneducated buyers and cheapen to educated buyers.”

The majority of readers also think Fred Franzia – founder of Bronco Wine Co., maker of the Two Buck Chuck – widens wine’s horizons instead of cheapen its image.

“He forced wineries to justify the price and quality of their products,” said one reader.

“Though I don't see much future in marketing wine in this fashion, in the long term, cheap wine won't hold wine or its image back.”

And finally, 75% of those that took the survey do not think that the ever increasing list of vodka flavors will dampen growth rates.