Wine Sales Rebound in December, Says IRI
The wine industry, particularly imports, fared better in December after experiencing a bit of a slowdown in the rate of growth in November. Of course the holidays are always a busy time of year for wine (and spirits), and this December was no exception.
The rate of growth for imported wines recovered in the four weeks to December 30 in supermarkets, according to IRI scan data. Value of overall wine grew 5.1% in the four week period, while domestic wines grew 5.7% (as compared to 4.8% in November) and imports grew 3% (after growing only 1.5% last month). Domestic dollar share of the category grew 0.5% and imported dollar share declined -0.5%.
Volumes of domestic table wines grew 2.5% (compared to 1.5% in November), which could suggest that consumers were buying more expensive wines or may have something to do with tough comparisons. Imports, meanwhile, were up 0.7% (versus -1.1% in November) in volume. During the four weeks, domestics gained 0.3% of volume share and imports lost -0.3%. The average price per volume rose 3.2% for domestics in December and 2.3% for imports, says IRI.
EUROPEAN IMPORTS. French imports were down -2.1% in dollar sales in the four weeks to December 30. Volume declined a whopping -5.3%, but still improved from November’s decline of -8.4%. Dollar sales of Italian wines grew 3.5% in December, while German wines grew 5.6% with the rate of growth slowing slightly from November. Spanish wines grew 8.2% in value as compared to dollar growth of 18% the month before. Portuguese wine sales grew 5.7%. German volumes were down -3.4%, Italian volumes were up -0.3%, Spanish volumes were up 6.3% and Portugal was flat.
NEW WORLD IMPORTS. Dollar sales of Australian wine were down -2.4% and volume was down -1.6%. Average price per volume for Australian imports decreased -0.9% in December. Argentina, meanwhile, saw value climb 35.5% and volume rise 24.3%. Chilean and South African sales grew 14.5% and 49%, respectively, while volumes rose 8.3% and 56.1%, says IRI. Dollar sales of New Zealand wines grew 32.4% and 22.5% in volume.
HOMEGROWN. Dollar sales and case volume of California wine grew 5% and 2.2%, respectively, in the four weeks, but shares were flat. Oregon and Washington wine value grew 23.5% and 14.8%, respectively. Oregon volumes were up 13.8% and Washington volumes were up 11.3%.
COLORS AND VARIETALS. Dollar sales of red wine grew 5.8%, while volumes were up only 3%. Surprisingly, white wines grew 5.9% in value and 3.5% in volume.
Major wine varietals experienced the following dollar sales growth or decline in the four week period: Cabernet Sauvignon (8%), Chardonnay (3%), Sauvignon Blanc (13%), Merlot (-1.7%), Pinot Grigio (13.7%), Pinot Noir (20.3%), Syrah/Shiraz (-3.5%), White Zinfandel (-4.4%) and Zinfandel (17.5%). French Champagne’s value declined -0.4% and volume decreased -1.3%.
PRICE SEGMENTS. When it comes to price segments, super-premium ($15-$20) reigns supreme, jumping 18.5% in dollar sales. Ultra-premium ($20 and up) grew 6.1% and premium ($11-$15) wines increased 11% in December. The rate of growth for wines priced below $3 to $8 was in decline.
WSD BRIEFS:
CHANGES AT BACARDI. Bacardi Corporation today announced two promotions to its executive leadership team. Angel O. Torres, currently president of Bacardi's Puerto Rico operations, has been promoted to chairman, while Joaquin Bacardi, currently a senior global brand marketing director, has been named as president and chief executive officer. Both promotions are effective April 1, 2008.
“I am certain there is too much certainty in the world.”
-Michael Crichton
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The rate of growth for imported wines recovered in the four weeks to December 30 in supermarkets, according to IRI scan data. Value of overall wine grew 5.1% in the four week period, while domestic wines grew 5.7% (as compared to 4.8% in November) and imports grew 3% (after growing only 1.5% last month). Domestic dollar share of the category grew 0.5% and imported dollar share declined -0.5%.
Volumes of domestic table wines grew 2.5% (compared to 1.5% in November), which could suggest that consumers were buying more expensive wines or may have something to do with tough comparisons. Imports, meanwhile, were up 0.7% (versus -1.1% in November) in volume. During the four weeks, domestics gained 0.3% of volume share and imports lost -0.3%. The average price per volume rose 3.2% for domestics in December and 2.3% for imports, says IRI.
EUROPEAN IMPORTS. French imports were down -2.1% in dollar sales in the four weeks to December 30. Volume declined a whopping -5.3%, but still improved from November’s decline of -8.4%. Dollar sales of Italian wines grew 3.5% in December, while German wines grew 5.6% with the rate of growth slowing slightly from November. Spanish wines grew 8.2% in value as compared to dollar growth of 18% the month before. Portuguese wine sales grew 5.7%. German volumes were down -3.4%, Italian volumes were up -0.3%, Spanish volumes were up 6.3% and Portugal was flat.
NEW WORLD IMPORTS. Dollar sales of Australian wine were down -2.4% and volume was down -1.6%. Average price per volume for Australian imports decreased -0.9% in December. Argentina, meanwhile, saw value climb 35.5% and volume rise 24.3%. Chilean and South African sales grew 14.5% and 49%, respectively, while volumes rose 8.3% and 56.1%, says IRI. Dollar sales of New Zealand wines grew 32.4% and 22.5% in volume.
HOMEGROWN. Dollar sales and case volume of California wine grew 5% and 2.2%, respectively, in the four weeks, but shares were flat. Oregon and Washington wine value grew 23.5% and 14.8%, respectively. Oregon volumes were up 13.8% and Washington volumes were up 11.3%.
COLORS AND VARIETALS. Dollar sales of red wine grew 5.8%, while volumes were up only 3%. Surprisingly, white wines grew 5.9% in value and 3.5% in volume.
Major wine varietals experienced the following dollar sales growth or decline in the four week period: Cabernet Sauvignon (8%), Chardonnay (3%), Sauvignon Blanc (13%), Merlot (-1.7%), Pinot Grigio (13.7%), Pinot Noir (20.3%), Syrah/Shiraz (-3.5%), White Zinfandel (-4.4%) and Zinfandel (17.5%). French Champagne’s value declined -0.4% and volume decreased -1.3%.
PRICE SEGMENTS. When it comes to price segments, super-premium ($15-$20) reigns supreme, jumping 18.5% in dollar sales. Ultra-premium ($20 and up) grew 6.1% and premium ($11-$15) wines increased 11% in December. The rate of growth for wines priced below $3 to $8 was in decline.
WSD BRIEFS:
CHANGES AT BACARDI. Bacardi Corporation today announced two promotions to its executive leadership team. Angel O. Torres, currently president of Bacardi's Puerto Rico operations, has been promoted to chairman, while Joaquin Bacardi, currently a senior global brand marketing director, has been named as president and chief executive officer. Both promotions are effective April 1, 2008.
“I am certain there is too much certainty in the world.”
-Michael Crichton
--------- Sell Day Calendar ----------
Today’s Sell Day: 8
Sell days this month: 21
Sell days this month last year: 20
This month ends on a: Fri.
This month last year ended on a: Wed.
YTD sell days Over/Under: 0
WINE & SPIRITS DAILY
Subscribe or check back issues at: www.winespiritsdaily.com
Send news and comments in confidence to: megan@winespiritsdaily.com
© 2008 Wine & Spirits Daily, all rights reserved. May quote with attribution.
posted at 12:41 PM
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