Market Watch: Wine Supermarket Surge seems to stay here
April 2, 2021
By 2020, supermarket wine sales had accelerated significantly as more consumers turned to real one-store grocery stores, and dedicated wines and spirits began to travel further to retailers. On IRI channels, the top 25 table wine brands in supermarkets grew by 17.5%, with dollar sales rising to $ 3.79 billion last year. Bright wine froze even faster, with dollar sales of the top 20 bubble brands on the supermarket channel increasing nearly 20% to $ 846 million.
Of the top ten table wine brands in supermarkets for the 52 weeks ending December 27, half were available exclusively or in part in alternative packaging. These alternatively compiled brands have released some strong growth overall, with dollar sales and volume rising. For example, the Boda Box of Telecado Family Wines, whose supermarket volume increased by 47.4% last year to 4.57 million cases, said dollar sales rose by another 48.4% to $ 252.8 million, according to Impact Databank. On the supermarket shelves were the No. 4, -5, -6, and -7 wine brands, respectively, behind the boda box, by Woodridge Robert Montavi, Francia, Blackbox and Sutter Home, all of which offer at least some form of alternative packaging. All of the above were steady upwards in 2020.
“Customers stuck with well-known brands, which means they tried their money and wanted to spend it for real,” says Jason Freemstadt, vice president of Walmart Adult Drink. “In the meantime, one of the major wine sales changes we’ve seen is customers buying 3-liter items like the Boda Box and the Black Box; this 3-liter trend is certainly not new, it’s definitely accelerated.” Walmart operates more than 4,700 stores in the United States alone, most of which sell beverage alcohol. , However the types allowed vary from market to market.
“Consumers continue to be drawn to brands they know and trust, but have switched to buying larger packaging sizes on all types of soft drinks,” says Jason Milburn, director of Grocer’s adult drink. With a focus on Cincinnati, Crocker operates approximately 2,800 stores across the United States, and the choice of beverages varies from store to store based on local laws.
Josh Sellers, the No. 2 supermarket wine brand owned by Deutsche Family Wine & Spirits, made huge profits on the supermarket channel by 2020, an increase of 36.1% to 1.67 million cases. According to Peter Deutsche, CEO of Deutsche, significant efforts have been made to rebuild Josh, and the brand has greatly benefited from the off-prime boom related to the epidemic, which reached a total of 4.5 million cases last year. Supermarket leader Toys’ Yellow Tail also saw steady growth in the channel last year, up 9% to 2.7 million cases. Gallo’s barefoot and apothecary, Jackson Family Wines’ La Crema and Kendall-Jackson Winners Reserve and 19 treasures from the Treasury wine estates fill the list of the top 25 supermarket wines. Most importantly, the major supermarket brands are from California and are falling somewhere in the 10- $ 15 price range, although price points have risen in recent years. Market Watch Wine is high on the growing supermarket channel.-Julia Higgins
Tagged: boda box, josh, market tracking