table wine competition heats up while sparkling wine surges
Source: Technomic Blog
The pace of expansion in the wine industry may be slowing, but competition is heating up in the largest category — domestic table wine — as new product introductions ramp up and cost figures more heavily into consumers’ decision process.
“Consumers today are very engaged with wine, and table wine suppliers are marketing brands aimed at specific groups. It’s especially competitive in the $10-$20 retail price range, and many brands are going head-to-head on price,” observes Donna Hood Crecca, Senior Director at Technomic. “It’s a very crowded marketplace, which can be overwhelming for consumers. The fastest-growing brands are those with an attractive price-value proposition or a unique point of differentiation that creates a connection with consumers.”
Momentum continues in sparkling wine. The category is outpacing the total market as domestic and Italian sparklers realize additional volume gains. Italy now holds the largest share of the imported table wine and imported sparkling wine categories.
“Sparkling wine is on an upward trajectory, and is appealing to consumers in restaurants and bars and for at-home consumption,” says Crecca. “The advent of brands with accessible flavor profiles and price points is opening up the world of sparklers to many consumer groups, who are starting to incorporate it into more everyday occasions.”
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