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dining out
Sluggish economy affects wine choices
Published Thursday, 09-Sep-2004 in issue 872
What wines are Americans drinking in restaurants? With our growing taste for boutique wineries that specialize in small productions, the answer may startle many connoisseurs.
According to Master of Wine Ronn Wiegand, who publishes Restaurant Wine Magazine, labels such as Beringer, Kendall-Jackson, Sutter Home, Inglenook and Franzia (yikes!) appear as the top four brands on a list of 100 others that penetrated the market most in 2003. The recently concluded study, drawn from industry sources and hundreds of interviews with restaurateurs, distributors and importers, reflects increased sales on the so-called “animal brands,” such as wines that come in a box. Wiegand’s study reveals that those varietals more than doubled in popularity compared to 2002.
Experts are split in their explanations as to why the numbers favor mass-produced and sometimes low-scored wines. Price point is a key factor. Consumers typically face double markups in restaurants on wines that could retail for under $10 in grocery stores. “Dining out in a sluggish economy forces many consumers to keep their wine tabs under $25 a bottle,” says Ray Bradley, a food consultant from San Francisco.
Others take into account the national scope of Wiegand’s study, which included areas of the U.S. where restaurant goers aren’t as wine savvy as those in states such as California or New York. “What is considered a fine acceptable wine to somebody in Tulsa, Oklahoma, might be a laughable product to a native San Franciscan or New Yorker,” Bradley adds.
Whatever the reason, Wiegand’s numbers are significant in showing that on-premise sales of cheaper wines jumped from 375,000 cases in 2002 to 890,000 cases in 2003. But the vino at least remained flowing, say food industry analysts, citing that overall restaurant wine sales increased from 55 to 58 million cases last year.
Other key findings in the study include:
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The wines we choose don’t always match their fine-dining surroundings
The top 100 brands represent approximately 50 percent of all wine sold in U.S. restaurants by volume.
Wines from the U.S. account for 68 of the top 100, and 77 percent of the sales volume on the list.
Brands owned or marketed by 15 companies account for 73 of the top 100 brands.
The report included all types of wines, including vermouth, sparkling, table and dessert wines from the U.S., France, Italy, Australia, Chile, Argentina and Germany. None of the French wines, however, ranked in the top 25.
Some of the wines that landed in the top 25 list are: Inglenook, Corbett Canyon, Woodbridge, Yellow Tail, Martini & Rossi Vermouth, Fetzer Vineyards, Sterling Vineyards, Stone Cellars and Paul Masson.
Concludes Bradley: “With the proliferation of wine bars opening throughout the country, combined with a hopefully improved economy, we may see very different results in a year from now if a similar study is conducted. Exposure to non-commercialized labels increases the knowledge base among consumers and allows them to hone their palates to new and exciting varieties.”
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