Northwest Wine Industry Symposium

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• Northwest Wine Industry Symposium
• March 24, 2005

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Wine Market Council Mission Statement
to establish the widespread
acceptance of wine as a rewarding part of
American culture and to encourage the responsible
enjoyment of wine by current and future
generations of adults in the United States.
3
Wine Market Council Key Facts
All Tiers of the Industry Involved Promotion of
Imported and Domestic Wines Focus on Expanding
U.S. Consumer Market for Wine
4
Wine Market Overview
5
Total Table Wine Consumption
(Millions of cases)
242
233
220
208
205
195
189
184
177
164
2004
2002
2000
1998
1996
Source Adams Business Media
6
Percentage Growth in Total Table Wine Consumption
7.2
5.6
5.7
5.4
4.7
4.5
4.1
3.8
3.4
2.5
1.3
-2.9
93 94 95 96 97 98 99 00
01 02 03 04
Source Adams Business Media
7
U.S. Adult Per Capita Table Wine Consumption v.
Population Growth
205
194
184
173
164
154
147
Adult Population
134
2.77
2.58
2.46
2.29
2.13
1.96
1.78
Gallons per Adult
1.05
1970 1975 1980 1985 1990 1995
2000 2004
Source U.S. Census Bureau, Adams Business Media
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Consumer Segments, U.S. Adults - 2003
87.4
Millions, 21 - Plus
62.2
28.2
25.4
Core
Marginal
Non-Drinker
Beer/ Spirits
Source Merrill Research Associates
9
Change in Consumer Segments 2000 2003
32
8
-2
-2
Core
Marginal
Beer/ Spirits
Non-Drinker
Source Merrill Research Associates
10
Consumer Segments by Age
Percentages in 2003
25
24
24
22
21
21
20
14
14
14
Source Merrill Research Associates
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American Generations
Age ranges in 2004
WW II (72 and over) 32 Million Swing (59-71) 30
Million Boomer (40-58) 77 Million Generation X
(28-39) 44 Million Millennial (10-27) 70 Million
Source American Generations
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Relative Size of Generations
WW II
Millennial
12
26
Swing
11
16
29
Gen X
Boomer
Source American Generations
13
Core v. Marginal Ratio by Generation
(Percentages by generation)
63.8
60.7
52.8
47.2
39.3
36.2
Source Merrill Research Associates
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Male v. Female Ratio of Core Wine Drinkers
(Percentages by generation)
66.0
56.3
51.0
49.0
43.8
34.0
Source Merrill Research Associates
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I really like the taste of wine.
(Percentages, Completely Agree)
67.0
65.9
62.2
Source Merrill Research Associates
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Moderate use of wine is actually good for you.
(Percentages by generation)
92.9
90.8
80.5
Source Merrill Research Associates
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Wine makes food taste better.
(Percentages by generation)
70.5
68.6
65.4
Source Merrill Research Associates
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How Likely to Drink Wine?
(Percentages by generation)
94
90
85
69
60
59
40
36
35
30
27
26
Source Merrill Research Associates
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I associate wine with fun times.
(Percentages by generation)
79.5
72.4
72.4
Source Merrill Research Associates
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Purchased screwcap wine in past 3 months?
(Percentages by generation)
25
20
20
Source Merrill Research Associates
21
Did your parents drink wine?
(Percentages by generation)
46
42
41
38
36
30
23
19
15
4
4
2
Source Merrill Research Associates
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Consumer Attitudes by Origin of Wine
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How often buy brand never seen or heard of?
(Top two box by segment)
69
53
Source Merrill Research Associates
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Most Recent Purchases
(Percentages by region, Core and Marginal)
87
74
46
43
36
29
22
23
22
20
16
15
11
11
Source Merrill Research Associates
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Purchase Motivator Statements
The wine I purchased is unique to the region
where it was produced I prefer the flavor of the
wine I purchased compared to similar wines from
other regions The wine I purchased is better
quality than similar wines from other regions The
wine I purchased is a better value than similar
wines from other regions
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Purchase Factors/Beliefs
(Percentages by world region)
61
59
59
56
55
54
54
53
53
51
49
47
42
41
38
33
Source Merrill Research Associates
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Purchase Factors/Beliefs California Wines
(Percentages, Core and Marginal)
63
62
57
56
51
50
47
38
Source Merrill Research Associates
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Purchase Factors/Beliefs Italian Wines
(Percentages, Core and Marginal)
66
54
52
51
49
49
45
37
Source Merrill Research Associates
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Purchase Factors/Beliefs French Wines
(Percentages, Core and Marginal)
69
50
49
45
41
35
35
31
Source Merrill Research Associates
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Purchase Factors/Beliefs Australian Wines
(Percentages, Core and Marginal)
56
55
54
54
54
53
52
49
Source Merrill Research Associates
31
Purchase Factors/Beliefs
(Percentages by U.S. region)
59
56
56
55
54
53
52
51
50
47
47
46
46
45
43
42
Source Merrill Research Associates
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Purchase Factors/Beliefs California Wines
(Percentages, Core and Marginal)
63
62
57
56
51
50
47
38
Source Merrill Research Associates
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Purchase Factors/Beliefs Oregon Wines
(Percentages, Core and Marginal)
65
56
55
52
50
47
44
41
Source Merrill Research Associates
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Purchase Factors/Beliefs Washington Wines
(Percentages, Core and Marginal)
54
52
48
48
46
43
42
41
Source Merrill Research Associates
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Purchase Factors/Beliefs New York Wines
(Percentages, Core and Marginal)
60
56
51
51
48
47
45
44
Source Merrill Research Associates
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• Northwest Wine Industry Symposium
• March 24, 2005