Old World Wines Gaining Share Across US On-Premise

CGA by NIQ’s latest On-Premise Measurement Research explores the share of total wine, with a focus on domestic white and red wine categories across the US, to highlight the opportunities for suppliers as old-world wines continue to gain share.

Using insights from the latest 52-week period of CGA’s OPM data to 12/31/2022, it is apparent that domestic wines account for the largest share of total wine across the US On-Premise (66.4%), but opportunities emerging for suppliers and operators to capture changing consumer preferences as they explore and consume old-world origin varietals.

At a total US level, domestic wines still hold the largest share of the market, however, old-world wines have continued to gain share. While domestic share has largely been maintained (-0.8pp), recent share changes demonstrate that US consumers are increasingly opting for old-world wines, specifically of regions including Italy (+0.5pp), New Zealand (+0.3pp) and France (+0.2pp).

Within red, domestic wine continues to hold a significant proportion (72.8%) of the share of red wine, up 0.8pp vs YA – continuing to increase its importance in comparison to all other major origins. Within the category, international origin wines tracked are losing share, including Italy (-0.1pp), Argentina (-0.4pp) and Spain (-0.1pp).

Whereas, white domestic wine has lost share (-1.6pp) and holds 61% of total share of white wine. Consumers are increasing looking to old world regions for white varietals in the US On-Premise. Most notably, from Italy (+0.9pp) has seen the largest increase in share gain, followed by New Zealand (+0.5pp) and France (+0.3pp).

Andrew Hummel, Client Solutions Director for North America, states: “Category and varietal insights are so important to help shape effective strategies for the On-Premise. Consumer preferences are changing, and being armed with the knowledge and insight to adapt offerings will enable success in 2023. While domestic wines still hold the largest share of the market across the US, increasing competition and innovation is gaining traction with consumers. OPM data tracking over time gives a comprehensive view of how the channel is evolving and helps identify opportunities for growth.”

Here is the research link: https://cgastrategy.com/unlock-the-potential-of-opm/

 

 

Germany’s Ahr Wine Region Needs Our Help!

The devastating impact of last week’s flooding in Germany has seen 200 people lose their lives across Germany and Belgium, while causing extensive damage to businesses, including the wine producers of the Ahr Valley.

According to a report from the German Wine Institute, the floodwaters have been particularly destructive to the wine producers of the Ahrweiler and the surrounding villages of Mayschoss and Dernau.

In these areas, barrels, wine bottles and machines, have been washed away, destroying entire wine-producing businesses and livelihoods, although th full extent of the damage on the entire Ahr region, and its 563 hectares of vineyards, will take weeks to quantify.

The managing director of the German Wine Institute (DWI), Monika Reule, was stunned by the images of the devastation and the fate of the people living there who are now struggling for their livelihoods, and has set up a bank account to accept donations of support for those affected.

The donation account is being held at the Farmers and Winegrowers’ Association of Rhineland-Nassau, which incorporates the Ahr Winegrowing Association.

Should you wish to make a donation, the details can be found below. The DWI has noted that the proceeds from the numerous aid campaigns will directly benefit the Ahr winegrowers, who urgently need money for the reconstruction of their businesses, which will certainly take a long time.

  • Donation account details:
  • Beneficary (field 59)
  • Account: DE14 5519 0000 0619 7860 15
  • Beneficary: Deutsches Weininstitut GmbH
  • Beneficary Bank (field 57a)
  • BIC: GENO DE FF
  • Bank Name: DZ Bank AG, Frankfurt / Germany
  • Bank-to-Bank-Information (field 72)
  • /acc/ Mainzer Volksbank eG, Mainz / Germany
  • Purpose: Donation Ahr Flooding

Aside from financial assistance, winegrowers from across Germany have offered support to those most seriously affected by the flooding, with growers already on-site with forklifts, vineyard tractors or pumps to rescue what can be saved. Outside helpers are also on duty to help with any urgently needed vineyard work in order to secure the upcoming vintage.

 

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