The downturn in the economy, so far, is not a big deterrent for consumers when purchasing alcohol on-premise. New research from Nielsen indicates that the declining economy has only a “mild impact” on consumers buying wine, beer and liquor at grocery and liquor stores, convenience stores, warehouse clubs and other stores.Nearly half of consumers surveyed … Continue reading “Alcohol “Somewhat Recession Proof””

Based on a report by Macquarie Research’s Andy Kovacs, Australian imports, particularly Foster’s Group, has underperformed in the tough U.S. market so far in the second half of 2008. U.S. WINE MARKET. Andy remarked that the U.S. wine market is holding up under pressure but there is some disparity within, namely between states. In January … Continue reading “Australian Imports Stall in U.S.”

President Nicolas Sarkozy and the French cabinet approved a five-year plan to modernize its wine industry by simplifying marketing, production and labeling techniques. The proposal was written by the country’s Agriculture Ministry as a way to gain back international market share from other wine producing countries, most notably the New World. The measure has been … Continue reading “France Takes the New World Approach”

‘Just call me Bob or Robert,’ Mr. Mondavi would often tell people, despite being one of the most distinguished winemakers in California’s history. Needless to say, the impact Robert Mondavi has had on the California wine industry is enormous. He managed to lead Napa from a jug wine producing cottage industry to a global market … Continue reading “Industry Says Goodbye to Bob Mondavi”

Today is a sad day for the California wine industry. We regret to inform you that the legendary Robert Mondavi passed away this morning at his home in Yountville, California. He was 94. Mr. Mondavi was a visionary who paved the way for what Napa and the California wine industry is today. Known for his … Continue reading “Robert Mondavi Dies at 94”

Tennessee-based Sapphire Brands is on a mission to acquire ten California wineries over the next five years. The June 2 issue of Forbes reports that Jeff Hopmayer, ceo of Sapphire, is “prowling California’s wine country” for candidates. He needs a production level of at least 1 million cases a year to gain leverage with distributors, … Continue reading “Napa a Buyer’s Market”

Fortune’s preliminary injunction again V&S will not delay the acquisition between V&S and Pernod, despite earlier reports that claimed otherwise. “We don’t anticipate this having any effect or delay on closing” of the V&S transaction, a Pernod spokeswoman told Dow Jones Newswires.”The stake in Beam are not part of our transaction. The dispute has nothing … Continue reading “V&S Acquisition in Tact”

In a presentation at the Baird’s Growth Stock Conference today, Fortune Brands ceo Bruce Carbonari talked about the spirits biz today and tomorrow. The company’s top initiative is growing its major premium spirits business, where Fortune is #4 in the world. But is premium spirits growth possible during a recession? Here’s what Bruce had to … Continue reading “Fortune: Spirits “Sustainable” in 2008″

Berry Bros. & Rudd, Britain’s oldest independent wine merchant, made several predictions about the state of the wine world in 2058 in its “Future of Wine Report.” Among its many predictions, Berry believes China could one day rival Bordeaux, while England could be a new champagne region in just 50 years.In the world of volume … Continue reading “Wine in Fifty Years: China, Plastic and English Champagne”

In a wide-ranging presentation to analysts at the Goldman Sachs consumer goods conference, Constellation Brands’ chief Rob Sands painted a pretty good picture for premium wine and spirits, which happens to be the sandbox in which Constellation plays. Summarizing their strategy in one sentence, Rob said: “The foundation of our strategy is based on generating … Continue reading “Constellation Makes Its Case”

Any rumors of Diageo selling its beer unit were laid to rest today after the company announced plans to invest £520 million ($1 billion) in a new brewery near Dublin. Once it is completed in 2013, the new brewery will be the largest in the country, says Diageo. The company also plans to renovate its … Continue reading “Diageo Reaffirms Commitment to Beer”

Which imports are suffering due to economic weakness? Which varietals are posting growth and which ones are dropping off?IMPORTS SCALE BACK. After years of speedy growth, imports showed signs of slowing in the four weeks to April 5 2008, according to Nielsen scan data. Dollar sales of domestic wine grew 5.5% in April 2008, while … Continue reading “U.S. Getting Tougher for Imports”

So far, 2008 is looking like an unpredictable year. Some people in the industry think the recession will have little impact on wine, while others contend it will leave a huge stamp on the U.S. wine biz. What about fine wines versus high-volume wines? Will imports manage to power through the recession? And how will … Continue reading “SVB Remains Optimistic in ’08”

How is wine performing during the weak economic climate? Are consumers still trading up? According to Nielsen’s food, drug and liquor scan data, wine and even high-end wine is still growing but at a much slower rate. To get an idea of the difference, we took a look at Nielsen data in the period to … Continue reading “Wine Growth Slowing”

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 … Continue reading “French Millennials Stray from Wine”