WINE FLOWING LIKE WATER IN THE U.S.
Wine popularity is up, up, up in the U.S. as Americans continue drinking better wine and more of it, according to a story in the Washington Post. In all, U.S. consumption is projected to have risen to a record 304 million cases in 2007 for the 15th consecutive year, after a 4% gain in 2006. That will, for the first time, place the United States ahead of Italy in per-capita consumption, trailing only France. At the current rate of growth, Americans will overtake the French by 2015.
The Post cites the usual factors for increased consumption: health benefits of red wine, an increase in wineries, improved wine quality, a higher number of legal drinkers, a growing number of women with high incomes in the work force and better wine marketing (think critter labels).
"Highfalutin turns people off," says wine consultant Jon Fredrikson, publisher of the Gomberg-Fredrikson Report, to the Washington Post. "People see Yellow Tail, the largest-selling brand in U.S. food stores based on volume, and they say, 'Gee, this is down-to-earth.' "
So not only are a lot of people attracted to more approachable wine labels, but quality is important as well, and apparently, now better than ever. Wine lovers who are looking for a deal can usually find good quality in less expensive wines, while other drinkers are more willing to spend an extra buck or two for a better perceived brand.
"I call it the Costco definition of value. They are not looking for cheap wine. They are looking for a deal on quality," said Barbara Insel of MKF Research in St. Helena, California.
Overall, chardonnay still reins as king, but not so much among younger drinkers. A survey released in December by Wine Opinions showed that chardonnay’s most devoted drinkers are 60 or older, with 38% counting it as a favorite .
"There is a decided trend away from the overblown, unctuous, often sweet chardonnay with too much oak, and greater interest in chardonnay without oak or barrel fermentation," Gillespie says.
But it appears that younger drinkers aren’t really loyal to anything when it comes to wine.
"And these young people have little brand loyalty. They don't care where it comes from or about the label," continued Insel.
The Post went on to say that South American and Australian wines will continue to be popular among Americans, but European wines will likely drop in favor since they are projected to rise in price by 10% to as much as 30% in the coming year due to the weakening dollar.
The Post cites the usual factors for increased consumption: health benefits of red wine, an increase in wineries, improved wine quality, a higher number of legal drinkers, a growing number of women with high incomes in the work force and better wine marketing (think critter labels).
"Highfalutin turns people off," says wine consultant Jon Fredrikson, publisher of the Gomberg-Fredrikson Report, to the Washington Post. "People see Yellow Tail, the largest-selling brand in U.S. food stores based on volume, and they say, 'Gee, this is down-to-earth.' "
So not only are a lot of people attracted to more approachable wine labels, but quality is important as well, and apparently, now better than ever. Wine lovers who are looking for a deal can usually find good quality in less expensive wines, while other drinkers are more willing to spend an extra buck or two for a better perceived brand.
"I call it the Costco definition of value. They are not looking for cheap wine. They are looking for a deal on quality," said Barbara Insel of MKF Research in St. Helena, California.
Overall, chardonnay still reins as king, but not so much among younger drinkers. A survey released in December by Wine Opinions showed that chardonnay’s most devoted drinkers are 60 or older, with 38% counting it as a favorite .
"There is a decided trend away from the overblown, unctuous, often sweet chardonnay with too much oak, and greater interest in chardonnay without oak or barrel fermentation," Gillespie says.
But it appears that younger drinkers aren’t really loyal to anything when it comes to wine.
"And these young people have little brand loyalty. They don't care where it comes from or about the label," continued Insel.
The Post went on to say that South American and Australian wines will continue to be popular among Americans, but European wines will likely drop in favor since they are projected to rise in price by 10% to as much as 30% in the coming year due to the weakening dollar.
posted at 2:24 PM
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