French Millennials Stray from Wine
As U.S. wine consumption continues to grow, France – typically thought of as a country synonymous with wine – is drinking less wine then ever before as young adults turn to beer and spirits. Unlike in the U.S., French millennials (young adults aged 21 to 31) aren’t so hot on wine. Since 1980 French wine consumption has decreased by more than 50% from 120 liters per capita to today's rate of 55 liters per capita, according to Winebusiness.com’s Daily News Links. As a result, French wine producers are having a harder time finding a market in their own country.
A qualitative research project was jointly organized by Sonoma State University and Montpellier in an attempt to find out why French millennials aren’t drinking wine. Here are the top reasons why young French adults are choosing not to drink wine.
1) Many French millennials consider wine to be a drink for older people. As a result, they prefer to drink other beverages (beer or spirits) but will still have a glass of wine with their family several times per month.
2) According to winebusiness.com, several interviewees referenced the strong anti-alcohol movement that has been in effect in France since 1991. The impact on wine consumption has been particularly strong and led some young consumers to steer clear of wine altogether.
3) Some French millennials simply do not like the taste of wine. In fact, when they did drink it, most said they preferred sweet white wines such as muscat, moelleux, or Sauternes.
4) Also, good wine tends to be too expensive while beer is cheaper.
5) Surprisingly many of the young French adults said wine is confusing.
On the positive side, most respondents said they never drink wine without food. They also described wine as a drink for relaxation with friends and family.
A few recommendations to help boost France’s domestic wine industry included: starting a Buy Local Wine Campaign; launching a national French wine brand at a premium price point; enhancing wine education and culture in schools and universities; offering smaller bottles on-premise; and making labels more colorful.
GEORGIA SHIPPING BILL AWAITS GOV. SIGNATURE
A Georgia bill that would allow direct to consumer wine shipments has passed the legislature and awaits a signature from Gov. Sonny Perdue. If passed, Georgians could order as many as 12 cases of wine a year directly from wineries over the internet or telephone. Gov. Perdue is notoriously conservative but has not stated an opinion on the wine bill. The Christian Coalition did not oppose the internet bill and will reportedly not ask Perdue to veto it (unlike the Sunday sales bill).
Under current law, Georgia residents are required to make face to face purchases at wineries in order to have wine shipped home. Georgians who visit a winery can ship as much as five cases of wine home. Similarly, Georgia wineries can't ship wine to customers unless they show up at the winery to buy it.
The Senate also gave final approval Monday to legislation allowing wineries with tasting rooms to serve beer and liquor.
SPIRITS STILL TAKING SHARE FROM BEER AND WINE, BUT AT A PRICE
Even with this lousy economy, spirits is taking share from beer and wine. If you look at YTD IRI scans of spirits, wine, and beer in supermarkets, spirits has 3.6% growth as compared to 0.8% for both wine and beer and a 1.2% growth for total alcohol, says Morgan Stanley's Bill Pecoriello. In the latest 8 weeks, spirits drove 40bps of volume share while wine share declined 10bps and beer share declined 20bps. Ah, but at what price? It ain't easy being cheap. The average price per volume increased a paltry 1.5% for spirits, 2.5% for beer, 4.4% for wine and 3% for total alcohol.
HISPANIC POPULATION GROWING ORGANICALLY
Hispanics now account for more than 15% of the U.S. population, and the increase is largely the result of births from Hispanics already in the country, according to new Census Bureau data.
In an annual report, the Census said there are 45.5 million Hispanics in the U.S., up from 35.7 million in 2000, when they made up 12.6% of the population. It said growth among Hispanics was responsible for half of the U.S. population gains between 2000 and 2007.
BOTTLED WINES FROM AUSTRLIA SLOW
The Australian wine industry is facing a host of problems as the rising Aussie dollar, drought and foreign competition result in mounting pressure. Bottled wine exports are still growing but at a declining rate and some experts believe the growth may stop within two months, according to news.com.au. Cheaper brands are taking the biggest hit while premium wines are less impacted by the exchange rate.
Importers and retailers in the U.S. have tried to swallow extra costs from the exchange rate but eventually higher prices had to be passed to the consumer.
LAWRENCEBURG DISTILLERY TO BOTTLE SEAGRAM’S VODKA
Lawrenceburg Distillery, owned by Caribbean rum producer Angostura, has signed a contract with Infinium Spirits to begin bottling Seagram’s Vodka. Recall that Pernod sold the brand to Infinium Spirits in 2005.
Bottling operations began in April 2008. LDI expects to produce 1 million cases of Seagram’s Vodka in the next year, increasing total plant production from 1.7 million cases to 2.6 million cases.
FLORIDA REMAINS THE SAME
The Florida legislature adjourned Friday (May 2) without passing a direct wine shipping permit bill, which means wineries can continue shipping as they have been since 2006.
Several bills were considered for direct wine shipping, but most included a capacity cap on annual production for wineries – something winery advocates strongly oppose.
THERE’S A GREAT ARTICLE ON THE PETER MONDAVI Jr. family in the LA Times by Jerry Hirsch. To check it out, click here.
Until tomorrow, Megan
“In politics, absurdity is not a handicap.”
Napoleon Bonaparte
--------- Sell Day Calendar ----------
Today's Sell Day: 3
Sell days this month: 22
Sell days this month last year: 23
This month ends on a: Fri.
This month last year ended on a: Thurs.
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.
A qualitative research project was jointly organized by Sonoma State University and Montpellier in an attempt to find out why French millennials aren’t drinking wine. Here are the top reasons why young French adults are choosing not to drink wine.
1) Many French millennials consider wine to be a drink for older people. As a result, they prefer to drink other beverages (beer or spirits) but will still have a glass of wine with their family several times per month.
2) According to winebusiness.com, several interviewees referenced the strong anti-alcohol movement that has been in effect in France since 1991. The impact on wine consumption has been particularly strong and led some young consumers to steer clear of wine altogether.
3) Some French millennials simply do not like the taste of wine. In fact, when they did drink it, most said they preferred sweet white wines such as muscat, moelleux, or Sauternes.
4) Also, good wine tends to be too expensive while beer is cheaper.
5) Surprisingly many of the young French adults said wine is confusing.
On the positive side, most respondents said they never drink wine without food. They also described wine as a drink for relaxation with friends and family.
A few recommendations to help boost France’s domestic wine industry included: starting a Buy Local Wine Campaign; launching a national French wine brand at a premium price point; enhancing wine education and culture in schools and universities; offering smaller bottles on-premise; and making labels more colorful.
GEORGIA SHIPPING BILL AWAITS GOV. SIGNATURE
A Georgia bill that would allow direct to consumer wine shipments has passed the legislature and awaits a signature from Gov. Sonny Perdue. If passed, Georgians could order as many as 12 cases of wine a year directly from wineries over the internet or telephone. Gov. Perdue is notoriously conservative but has not stated an opinion on the wine bill. The Christian Coalition did not oppose the internet bill and will reportedly not ask Perdue to veto it (unlike the Sunday sales bill).
Under current law, Georgia residents are required to make face to face purchases at wineries in order to have wine shipped home. Georgians who visit a winery can ship as much as five cases of wine home. Similarly, Georgia wineries can't ship wine to customers unless they show up at the winery to buy it.
The Senate also gave final approval Monday to legislation allowing wineries with tasting rooms to serve beer and liquor.
SPIRITS STILL TAKING SHARE FROM BEER AND WINE, BUT AT A PRICE
Even with this lousy economy, spirits is taking share from beer and wine. If you look at YTD IRI scans of spirits, wine, and beer in supermarkets, spirits has 3.6% growth as compared to 0.8% for both wine and beer and a 1.2% growth for total alcohol, says Morgan Stanley's Bill Pecoriello. In the latest 8 weeks, spirits drove 40bps of volume share while wine share declined 10bps and beer share declined 20bps. Ah, but at what price? It ain't easy being cheap. The average price per volume increased a paltry 1.5% for spirits, 2.5% for beer, 4.4% for wine and 3% for total alcohol.
HISPANIC POPULATION GROWING ORGANICALLY
Hispanics now account for more than 15% of the U.S. population, and the increase is largely the result of births from Hispanics already in the country, according to new Census Bureau data.
In an annual report, the Census said there are 45.5 million Hispanics in the U.S., up from 35.7 million in 2000, when they made up 12.6% of the population. It said growth among Hispanics was responsible for half of the U.S. population gains between 2000 and 2007.
BOTTLED WINES FROM AUSTRLIA SLOW
The Australian wine industry is facing a host of problems as the rising Aussie dollar, drought and foreign competition result in mounting pressure. Bottled wine exports are still growing but at a declining rate and some experts believe the growth may stop within two months, according to news.com.au. Cheaper brands are taking the biggest hit while premium wines are less impacted by the exchange rate.
Importers and retailers in the U.S. have tried to swallow extra costs from the exchange rate but eventually higher prices had to be passed to the consumer.
LAWRENCEBURG DISTILLERY TO BOTTLE SEAGRAM’S VODKA
Lawrenceburg Distillery, owned by Caribbean rum producer Angostura, has signed a contract with Infinium Spirits to begin bottling Seagram’s Vodka. Recall that Pernod sold the brand to Infinium Spirits in 2005.
Bottling operations began in April 2008. LDI expects to produce 1 million cases of Seagram’s Vodka in the next year, increasing total plant production from 1.7 million cases to 2.6 million cases.
FLORIDA REMAINS THE SAME
The Florida legislature adjourned Friday (May 2) without passing a direct wine shipping permit bill, which means wineries can continue shipping as they have been since 2006.
Several bills were considered for direct wine shipping, but most included a capacity cap on annual production for wineries – something winery advocates strongly oppose.
THERE’S A GREAT ARTICLE ON THE PETER MONDAVI Jr. family in the LA Times by Jerry Hirsch. To check it out, click here.
Until tomorrow, Megan
“In politics, absurdity is not a handicap.”
Napoleon Bonaparte
--------- Sell Day Calendar ----------
Today's Sell Day: 3
Sell days this month: 22
Sell days this month last year: 23
This month ends on a: Fri.
This month last year ended on a: Thurs.
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 1:15 PM
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