Panelists included Noel Schaff, B2B Sales Manager at O’Neill Vintners and Distillers; Manveer Sandhu, Director of Winemaking, Rack & Riddle Custom Wine Services (specializing in sparkling, canned and carbonated wines); and Cathy Ference, Senior Manager, Bulk Wine Supply, Constellation Brands.
While bulk wine prices are at record low prices–with Napa Cab bulk going for half off normal pricing this year ($20-30 a gallon versus $50-60)–panelists said they’re seeing consumer interest in no and low alcohol wines, sustainability, vegan friendly wines, wine based RTDs, sweet wines (to pair with Asian foods), and more white wines than red. Private label wines are big. Flavored wines were another hot category.
High level: focus on producers' values, sweeter wines and green trends
“We really focus on sustainability as a certified B Corp,” said Schaff. “So we're utilizing that as some leverage right now in the market to differentiate ourselves for what customers are looking for.”
“Consumers are becoming a little bit more educated and wise to what they're putting in their body,” said Sandhu. “So I think a big shift that we've seen growth in is the no alcohol industry, and consumers looking for beverages to consume every day without ingesting alcohol and the effects of that.”
In addition to that, he said consumers like alcoholic drinks in a social situation on the weekends.
“Ready to drink products are definitely growing exponentially. There's a lot of variety out there. The sky's the limit really on what you can put together.”
Consumers are also focused on practices in vineyards and wineries, speakers said.
“Sustainable, organic, low additive, no additive, and no SO2 wines are definitely pretty trendy right now,” Sandhu said. “I don't expect that trend to die down. I just feel that it's just going to be another layer to the beverage business.”
Said Ference, “Lightweight packaging such as lightweight glass or using materials lighter than glass is a trend that will become the norm. The younger generation understands that handling materials need to be good for the environment. Organic, no additives, etc. are valued not only for the personal health benefits but also for the seemingly environmental benefits.”
Schaff echoed that, adding that foreign producers were ahead of the curve compared to U.S. producers.
“Younger generations seem to be a little bit more aware of packaging choices, recyclability and what's convenient to carry around the beach or the park. But as a whole I think we're a little bit behind domestically from where the export market when it comes to lightweight glass, PET bottles, bag in box.”
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