Shanken News Daily: Exclusive news and research on the wine, spirits and beer business
Impact's wine Hot Brands totaled 19 top-performing labels from across the domestic and import segments this year. Leading wine's Hot Brands is Deutsch Family Wine & Spirits-owned Josh Cellars, which is now above the 5-million-case mark, up from 3.2 million cases as recently as 2019. As large as the brand has become, Deutsch still sees opportunities for Josh Cellars to grow items like its Cabernet Sauvignon, Chardonnay, Sauvignon Blanc, and Pinot Noir as they gain an even wider distribution base. It has also expanded the range to include popular styles like Prosecco in recent years.
While the U.S. wine industry's recruitment of younger consumers has lagged that of spirits, Josh has been adept at bringing 21-35-year-olds into the mix, boasting a younger consumer base than is common within its accessible price tier. Deutsch is also intent on stoking further gains for higher-priced Josh Cellars Reserve, a Hot Brand in its own right that is now nearing 400,000 cases, up from fewer than 200,000 cases in 2019.
The second-largest wine Hot Brand is Decoy by Duckhorn, which crossed a key milestone by surpassing 1.4 million cases in U.S. volume. Along with Meiomi and La Crema, Decoy is among the leading $15-plus wine brands by volume in the U.S. It has been a key growth engine for parent company The Duckhorn Portfolio, which saw sales increase 11% to $373 million in its last fiscal year. "With premiumization tailwinds at our back, we believe we will continue to leverage our unrivaled brand strength and scaled omnichannel platform to further drive penetration of our considerable wholesale distribution whitespace opportunity and enhance our profitability," company chairman, president, and CEO Alex Ryan said recently.
In addition to Decoy, several other above-$15 wine labels earned Hot Brand honors, among them Sonoma-Cutrer and Daou Vineyards. Daou has almost doubled in size since 2019 to approach 600,000 cases. Situated on a 212-acre hilltop estate in the Adelaida District of Paso Robles, Daou is known for Cabernet Sauvignon and other Bordeaux varieties.
Sonoma-Cutrer, a 540,000-case brand known for Russian River Valley Chardonnay, last fall unveiled a new creative platform and campaign, "Bonjour Sonoma," created in partnership with advertising agency Energy BBDO and focused on "paying homage to the brand's strong roots in a modern, elegant way," according to the company. "The new campaign really captures the essence of Sonoma-Cutrer and will work to elevate us with consumers in a crowded category," said senior brand manager Tracy Thornsberry. "We’re excited to bring our world to life outside our vineyard."
Chloe, from The Wine Group, is best known for white wines and likewise reached Hot Brand status by climbing past the 500,000-case threshold in 2022. From WX Brands comes Bread & Butter, which has soared past 1.3 million cases, up from fewer than a half-million cases pre-pandemic. Most recently, Bread & Butter added a California Pinot Grigio ($16), sitting alongside Chardonnay, Pinot Noir, Cabernet Sauvignon, Merlot, Sauvignon Blanc, Rosé, and Prosecco in the portfolio.
Delicato Family Wines’ Bota Box has two innovations on the Hot Brands list. Bota Box Breeze, competing in the light wines segment, jumped 51% to 550,000 cases in the U.S. last year. It has recently been extended with a Chardonnay retailing at $24 a three-liter box, including at national retailers like Kroger, Total Wine & More, and Meijer. Bota Box Minis, meanwhile, climbed past 600,000 cases last year on continuing double-digit growth.
Trinchero Family Estates is represented by Seaglass and Fre. Seaglass cracked the 500,000-case mark in 2022, rebounding strongly over the past few years amid the on-premise return, while Fre is among the brands driving gains in the dealcoholized wine segment.
We’ll have more on Wine's "Hot Brands" in an upcoming issue.
GET YOUR FIRST LOOK AT 2021 DATA AND 2022 PROJECTIONS FOR THE WINE AND SPIRITS INDUSTRIES. ORDER YOUR 2022 IMPACT DATABANK REPORTS. CLICK HERE.
Previous : News Briefs for June 6, 2023 Next : News Briefs for June 7, 2023
Impact's "Hot Brand" Domestic Wines Above 500,000 Cases Source: IMPACT DATABANK © 2023