Vineyard & Winery Management

November/December 2015

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There have been many innova- tions over the years for alternative wine packaging; but in terms of market share, aseptic packaging (i.e. Tetra Pak cartons) and bag-in- box containers (specifically, the 3 L format) still lead by a wide margin. During the 12 months ending June 20, 2015, Tetra Pak wine sales grew 24.9%, and 3 L bag-in-box wine sales increased 11.9% by volume. Five-liter boxes declined 2.9% by volume, and single-serve 187 mL wines increased by a modest 3%. Danny Brager, senior vice presi- raditional glass bottles are still the predominant packag- ing choice for U.S. wines, but the market for alternative pack- aging is growing. According to Nielsen figures, domestic bag-in- box wine sales totaled more than $442.8 million in 2011. That num- ber has increased each year since; and by June of 2015, it reached more than $639.2 million. By comparison, 750 mL bottles account for almost 50% of U.S. wine sales by volume, yet sales increased only 2.5%. dent of Nielsen's Beverage Alcohol Practice, noted that 3 L bag-in-box and Tetra Pak wines took some time to gain market share. The 3 L box now accounts for 5% of the category's volume. In 2010, there were only two bag-in-box brands with annual sales of $1 million or more. Now there are more than 16 significant bag-in-box brands on the market, Brager said, with five more nearly reaching the $1 million sales bracket. "Once an alternative starts to grow and get big, everyone else Beyond the Bottle Sales of U.S. wines in nontraditional containers continue to grow BY DANIELLE BEURTEAUX 9 2 V I N E YA R D & W I N E RY M A N A G E M E N T | N o v - D e c 2 015 w w w. v w m m e d i a . c o m

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