The biggest wine market in the world hasn’t been stopped by a corona virus game or a blockade – but how will wine spread in the coming economic storm?
Good news in the US wine category is currently lacking, and small producers are struggling to make ends meet with most of the hotel industry. The only positive sign is retail sales, which rose to an unprecedented level in March when consumers filled their fridges and cupboards.
The question that arises from this increase in retail sales is whether all shares purchased are completely exhausted – and whether wine buyers will return in April. Our first US Covid 19 impact report shows that inventory of refrigerators has actually been used and buyers will return after more. At the forefront are highly committed wine drinkers who buy more than they want and young people who replace glasses in their favorite bars with new inventions from online delivery services and local liquor stores.
The new US COVID-19 Impact Report from Wine Intelligence tested a sample of 2,000 nationally representative monthly wine drinkers in the United States in March and April to determine how their wine drinking behavior changed due to the limitation of the corona virus. The results paint a picture of a country finding new opportunities to drink wine – at lunch or when meeting friends online or when changing trips to restaurants with a more degrading dinner.
According to the study, an increase in the volume of wine purchased was calmed by a slight decrease in the average price of bottles paid in total. However, within this average there are significant differences based on the type of user. More committed and dedicated wine drinkers, who usually spend between $ 15 and $ 20 per bottle, tend to spend a little more than usual, while less frequent wine drinkers tend to spend a little less.
Online shopping has increased significantly in all age groups, with the most likely users of online channels being younger, urban, and wealthier users. The same demographics, which tend to drink wine in social settings such as bars and restaurants, tend to spend more on home purchases.
Overall, US wine drinkers are careful to go to bars and restaurants as soon as restrictions are lifted – around 40% say they tend to go to restaurants, while 27% say they are more likely. . American wine drinkers are also very careful about their household finances and the idea of boarding a plane. Fortunately for the wine category, their intention seems to be to replace large items such as holidays and large events with smaller items such as a better bottle of wine.