All posts filed under: Bulk wine

Incredible bulk: The changing nature of the international bulk wine market is creating opportunities

It’s estimated that roughly 25 percent of the world’s wine production is sold as bulk wine, a segment that’s described by one broker as the industry’s “soft underbelly” and exists for most consumers in the form of virtual brands. With the rise in popularity of bulk wine-derived, private label brands (brands developed for retailers, hotel chains, and restaurants, which sell them directly to consumers) and more producers entering the market in recent years, bulk wine has shed its low-rent image and become a hot commodity. With a healthy 6 percent annual growth rate for the last six years—and no signs of lagging—capitalizing on the continuing growth that’s predicted for the global bulk market depends largely on where you sit in the value chain. Identifying opportunities means navigating between the supply side of producers, brokers, and contract suppliers, and the demand side that includes retailers and on-premise operators. Short-term supply outlook Staying one step ahead of expansions and contractions of the bulk wine market is key for short- and long-term planning. Increasingly, brokers and contract suppliers …

Red blends: Greater than the sum of their parts

While researching the current popularity of blended wines in preparation for a talk at the 2017 International Bulk Wine and Spirits Show about blends that begin life as bulk wine, I discovered white blends emerged as the exception rather than the rule. Consumer preferences for monovarietal white wines—Sauvignon Blanc is currently the fastest-growing white variety—are the likely drivers there, but that doesn’t stop winemakers from creating successful proprietary blends. In 2014, blended wines accounted for more than 40 percent of new entries to the U.S. market, with the lion’s share going to reds (29.3 percent) and whites accounting for just 1.9 percent. When surveyed, domestic consumers said they liked blended wines because they are experimental, interesting and trendy with better value. But it’s not the classic blends from regions like Bordeaux, the Southern Rhône, Valpolicella and Rioja they’re referring to; it’s the under-$25 blends that are marketed as nothing more than just that—blends. One striking example of success with modern blends is Dave Phinney’s Locations Wine portfolio, which goes even further by eliminating vintage and relying …

IBWSS Recap: a first for California

The IBWSS was the first-ever bulk and private label wine and spirits event in California Close to 1500 wineries, distilleries, importers, distributors and retailers met in San Francisco for the debut of the highly anticipated International Bulk Wine & Spirits Show on July 26 & 27. At the event, suppliers and buyers traded and attendees learned about the latest trends in bulk wine and spirits, including methods to use private labels as a way to win over customers, boost loyalty and drive new sources of revenue. The event saw unprecedented success with most exhibitors walking away with deals or potential contacts with buyers. Exhibitors had the chance to meet buyers from Gallo wines, Trader Joe’s, Kroger’s, Bevmo amongst many others.  Buyers came from all over the United States and were not limited to the vicinity of the Californian wine industry. In the post-event survey, 80% of the exhibitors reported a high level of satisfaction with the show quoting that they were pleased with the number and the quality of buyers that they met at the …

Day 1 of the IBWSS

The International Bulk Wine & Spirits Show (IBWSS) kicked off in San Francisco on July 26 with a packed exhibition hall and a keynote address from Bobby Koch, President and CEO of the Wine Institute. That led to a full day of presentations, workshops and master classes from some of the top names in the bulk wine and spirits industry.

Q & A with CEO Sid Patel, The International Bulk Wine and Spirits Show

San Francisco continues to be one of the world’s most important destinations for leading players in the wine industry, so it’s no surprise that a major conference dedicated to the private label and bulk trade is making its way to the city on July 26-27.