What wines do Americans buy?

In the United States, wine consumption is displaying several interesting trends, influenced by both seasonal factors and shifts in purchasing habits. While sales in restaurants and bars have remained relatively stable, showing a 5% increase in July compared to the previous year, the direct-to-consumer (DTC) market presents a more varied picture. According to the 2024 Direct-to-Consumer Wine Shipping Mid-Year Report from SOVOS, DTC wine sales declined by 11% in volume between January and June, although the total value of the bottles sold only dropped by 5%, suggesting that consumers are opting for higher-priced wines. The average price per bottle reached $48.96, marking a 6% increase.

The data also highlights that larger wineries, those producing more than 500,000 cases annually, have seen a 14% rise in the average price of their bottles, while smaller wineries, producing fewer than 1,000 cases per year, recorded a 13% increase. Despite the significantly higher prices of small wineries, averaging $68.96 per bottle, larger wineries still lead the market with a much lower average price of $22.12 per bottle. Some states with lower overall consumption, such as Alabama, have shown notable growth in sales.

In terms of popular wine varieties, Sauvignon Blanc stands out as the only one among the 15 best-selling wines to continue growing, with a 3.3% increase in sales. This trend is particularly evident in sales outside of restaurants and bars, signaling a preference for fresher wines. Chris Schmid, Vice President of Prestige Ledroit Distributing Co, reported a 150% rise in Sauvignon Blanc sales in their portfolio, surpassing even Cabernet Sauvignon, indicating a shift toward lighter, fresher wines.

Conversely, traditional varieties like Cabernet Sauvignon, Pinot Noir, and Chardonnay, which make up 54% of wine shipments, have seen declines in value, with drops ranging from 3% to 6%. However, varieties such as Cabernet Franc, Fumé/Sauvignon Blanc, and Sangiovese have shown more modest growth, increasing by 13%, 2%, and 11% respectively.

The sparkling wine market is also experiencing an interesting divide. While Champagne sales have dropped by 8.2% over the past year, with LVMH reporting a 15% decline in the first half of the year, alternative sparkling wines such as Prosecco and Cava are booming. La Marca, a leading Prosecco brand, remains the top-selling wine in the U.S., with a 6.7% increase in sales through September. Meanwhile, Cava is seeing explosive growth in terms of sales.

On the international front, French wines have performed well, particularly reds from Burgundy and Bordeaux, which posted a 3.4% increase in volume, despite a general decline in table wine sales in the U.S.

Overall, while wine consumption and purchasing patterns in the U.S. are shifting, American consumers appear to be seeking both affordable options and more exclusive, high-end wines, with a growing preference for fresher and sparkling varieties. Wineries, especially smaller ones, are adapting to these changes by carefully segmenting their offerings to meet the tastes of their loyal customers, allowing them to remain competitive in a constantly evolving market.