BEERNET

If both I-1100 and I-1105 pass the November vote in Washington, the resulting law could be a mashing of the two. TVW spoke with the secretary of the state Sam Reed who said the Initiative with the most votes wins, even if they both pass. So that means the privatization of spirits sales would become a reality regardless. But differences between the two measures would be incorporated in the ultimate law.

The spirits industry “appears close” to a return to positive mix and premiumization but promotions “are still high,” according to research from Trevor Stirling of Bernstein Research. Shipments in control states grew 0.4% in May and rolling 3 month trends grew 2.2%, according to NABCA data. Trevor notes that NABCA growth trends were broadly in line with the overall market in 2009, so we would assume the same holds true in 2010.

“It’s a fantastic industry…. It is part art, part science, part agriculture, and part business,” Ted Baseler, ceo of Ste Michelle Wine Estates, told us when describing the wine industry. WSD recently sat down with Ted who gave us some insights on his business, which managed to post growth in the recession, and the wine industry in general. Here’s what he had to say as you, gentle reader, are a fly on the wall:

The on-premise is beginning to flatten out, said Constellation chief Rob Sands this morning during the company

And we don’t mean spiders or snakes. We mean what worries you about the industry and your business? In our May survey we asked you “what are your major concerns for the industry going forward?” and this is what you said:

It all comes down to this week, folks. I-1105 has until Friday (July 2) to raise enough signatures and turn in their petitions to the secretary of state’s office. Campaign leaders say it will happen. Meanwhile, the wholesalers that have publically backed I-1105, Southern-Odom and Young’s Market, upped the ante with new donations to “Washington Citizens for Liquor Reform,” which is the group behind I-1105. New donations were made June 23

Barefoot Wine kept chugging along in the period to June 13, according to SymphonyIRI food, drug and c-store scan data. Out of the top 20 wine brands in terms of dollar sales, Barefoot saw the most growth and also took the most share. Dollar sales in the 4-weeks to June 13 grew 30.9% while volumes gained 33.2%. It also gained 0.9 dollar share points and 1.0 volume share points, which is far beyond anyone else.

We’re happy to report that California wines gained almost a full dollar share point in the four weeks to June 14, according to SymphonyIRI food, drug and c-store scan data, but gained only 0.3 volume share points. That’s because the average price per volume grew 1.1% for California wines. Those price gains are mainly coming from wines priced $5-$15, otherwise known as the “sweet spot.” Dollar sales were up 6.1% and volumes grew 4.9%.

Diageo is targeting the popular, lower-tier vodka category with its latest launch, Ursus Vodka. It sells for $11 per 750ml bottle, which is just below Svedka

Diageo has entered into a sale and leaseback arrangement in respect to certain land and facilities located in Napa Valley, the company said this morning. Its value is estimated at approximately $260 million (£174 million).

We are told that passions ran high at the normally sleepy NCSLA regulators conference in New Orleans yesterday. Audience members yelling comments out, heated back-and-forth on the panel, lively moderators, and one regulator when pressed on an issue, ducked out of the room. It was dramatic and intense – the type of scenario a reporter (or conference attendee) dreams of. Here’s a synopsis of what the panel had to say:

All sides of the privatization issue in Washington are kicking things up a notch with new donations, WSD has learned. This shows that the landscape is mighty competitive in the state, and that Costco, wholesalers and the unions (along with others that oppose privatization) understand what’s at stake.

Table wine had a much better month in May than it did in April, with sales up 4.2% and volume gaining 3.2% in the four weeks to May 29, according to Nielsen off-premise scan data. That’s compared to sales and volume declines of -0.5% in the four weeks to May 1. Wine also outperformed spirits growth in May, which you may recall from our write-up last week.

They went to the courts, and didn’t get most of what they wanted. They went to the legislature, and didn’t get what they wanted. Now they’re going to the people where they have the most power. Right now Costco is focused on privatizing spirits sales and cutting out distributors in Washington (among other things), but this could be just the beginning.

The spirits industry saw improved growth in the period to May 29 when compared to the prior month, but momentum is still slow. That’s according to Nielsen’s most recent off-premise scan data. In the 4-weeks to May 29, sales grew 1.6% and volumes gained 1.8%. Although it’s not much, it’s better than the 4-weeks to May 1, where sales declined -0.8% and volumes fell -0.2%.