What alcohol is hot and what's not? Some interesting trends.
Views of a local who has been in the hospitality side of the wine biz full- or part-time for about three decades. Maybe more importantly, an avid consumer of the local wines for over 40 years. Mostly general comments on the California wine business because that's what I know.
2020 was a weird year for consumer products -- that's not news. People turned to buying online, cooking at home, and stocking up on toilet paper (raise your hand if you still have 50 rolls of Charmin in the house). Some wine varietals went up in sales, some down for no apparent reason other than it was 2020.
So you've read all about the fires and smoke and tainted grapes that were thrown away or left to rot on the vines. My God, you're thinking, their 2020 wines aren't gonna be any good! Well, now that things have settled, wines are in the barrels, and some even bottled, we see a different story.
At the end of 2020 the California Sustainable Winegrowing Alliance reported 80% of the state's wine production and 32% of the wine grape acreage are certified sustainable. Sustainability in agriculture means you can fulfill current needs while still allowing future generations to meet their needs. This is based on knowledge of the ecosystems.
With the lock downs and otherwise not much traveling or even dinners out what were people buying for that new pandemic lifestyle?
This graph shows where alcohol was purchased in 2020. It's a percent change in 2020 vs the previous year. After a big bump during the spring lock down online purchases have shown a decline as bar/restaurant purchases increased.
Definitions:
Off-premise - Not to be consumed where purchased; as in a wine shop, liquor store, or grocery.
On-premise - Buying alcohol meant to be consumed on-site; like a bar or restaurant.
DTC Online - Direct-to-consumer online purchase; such as buying from a winery's website.
Click on graph to enlarge
The past couple decades of beer, spirits and wine revenue numbers are shown on the graph. Beer is in a nosedive. If it hadn't been for craft beer it would have been worse.
Click on graph to enlarge.
You can find wine for five bucks. You can find wine for $100, $500 or more. Most of us that shop in the ten to twenty dollar range wonder what a $300 wine would taste like. What can you expect? Is more expensive wine worth it? Where are the diminishing returns?
This isn't a scientific study. It's mostly opinion so I can't really answer those questions, but maybe help you figure it out for yourself.
Sonoma County is doing better than the rest of the state and is predicted to recover faster. The local economy is largely tourism-based and it's hoped this will recover this summer. There are numerous ads from businesses hiring for hospitality jobs.