StateWays - March/April 2016

StateWays is the only magazine exclusively covering the control state system within the beverage alcohol industry, with annual updates from liquor control commissions and alcohol control boards and yearly fiscal reporting from control jurisdictions

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27 StateWays ■ ■ March/April 2016 2016 GROWTH BRAND AWARDS WINE GRAPE GROWERS By Kyle Swartz Several wine brands enjoyed strong showings in 2016 thanks to a number of emerging trends and marketing tactics. One theme is a renewed focus on highlighting unique stories and authenticity. "Smart brands allow their fans to make a personal connection by seeing where the grapes are grown, aged and bottled," explains Marina Velez, senior product manager, data and insights, The Beverage Information Group. The overall economy is improving, and with that customer interest in premium brands is expanding. Higher price points are no longer a turnoff, but a point of intrigue and a mark of quality. Much of the wine industry's growth last year came in the $10 to $15 price-point range. "Wine brands are comfortable raising their prices in a way they weren't during the recession," Velez explains. "Consumers are continuing to trade up to the premium tier in wine, and we'll continue to see that trend accelerate. We're also seeing winemakers emphasize quality ingredients and artisanal processes ESTABLISHED GROWTH BRANDS: WINE Winners must have exceeded 400,000 9-liter cases sold in 2015, and grown each of the last four years. All brands must be more than fi ve years old. (Thousands of 9-liter cases) % Growth Brand Supplier 2012 2013 2014 2015 p 2014/15 Barefoot Cellars E & J Gallo Winery 14,400 15,870 17,150 18,700 9.0% Woodbridge by Robert Mondavi Constellation Brands 8,450 8,970 9,150 9,300 1.6% Liberty Creek E & J Gallo Winery 2,200 2,350 3,075 3,425 11.4% Ménage à Trois Trinchero Family Estates 2,143 2,204 2,474 2,700 9.2% Barefoot Bubbly E & J Gallo Winery 940 942 1,150 1,200 4.3% Ruffi no Constellation Brands 820 900 1,025 1,130 10.2% Alamos E & J Gallo Winery 800 875 900 950 5.6% Mark West Constellation Brands 637 800 842 855 1.5% J. Roget Constellation Brands 636 706 777 850 9.4% Taylor Dessert Constellation Brands 775 808 814 820 1% Louis Martini E & J Gallo Winery 615 630 650 675 3.8% Chateau St. Jean Treasury Wine Estates 553 621 632 633 0.3% Simi Constellation Brands 470 540 550 590 7.3% Real Sangria (Cruz Garcia - Real) Shaw-Ross Int'l Importers 548 550 560 585 4.5% Decoy Duckhorn Wines 177 252 332 405 21.9% (p) Preliminary Source: The Beverage Information & Insights Group. For more data, visit Q&A with LUNETTA PROSECCO Sparkling wine benefi ted in 2015 from the prosecco boom. And brands such as Lunetta—which grew 15% last year and won a Fast Track Award—led the way for proseccos. We caught up with the Palm Bay brand team for a quick Q&A. SW: What is behind the prosecco boom? PB: Value. Approachability/accessibility. Italian intrigue. SW: Does Lunetta's price point intend to capture a certain demographic? PB: We think Lunetta appeals to a wide demographic. The price is consumer-friendly, and the new package lends a premium look while still feeling approachable. SW: How does Lunetta position itself more as an every-day wine, not just for celebrations? PB: Through our use of cocktails. Over this summer, we will be promoting cocktail booklets on the bottles that feature over 10 recipes, as well as savings on mix components. SW: What's next for Lunetta? PB: Next for Lunetta will be the launch of our Sparkling Rosé. This taps into two of the hottest categories in the wine industry.

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