More Americans drinking wine

More Americans than ever before are drinking wine at least once a month, though they are becoming increasingly price conscious, according to new research.

Around 80 million Americans sip wine every month, up 9 percent since 2009, according to a report by Wine Intelligence, a market research firm focused on the wine sector. The growth has been driven by younger adults taking up wine drinking.

At the same time, wine drinkers have become more price sensitive and are less likely to experiment with new wine styles and varieties, according to the report.

Over a quarter of monthly wine drinkers (27 percent) now agree with the statement “I don’t mind what I buy so long as the price is right,” compared to 17 percent in September 2009.

“I’m encouraged to see that the industry now has more wine consumers to target than ever before,” said Joyce Steers-Greget, USA Business Development Manager for Wine Intelligence.

Erica Donoho, also of Wine Intelligence, added: “The challenge ahead for growers, brand owners, distributors and retailers is to engage with this new wine drinker. The days of easy sales to buyers with large disposable incomes are over.”

State proposes new rules on taxing wine-based beverages
The state Board of Equalization has published its proposed criteria for determining when wine-based products should be classified as distilled spirits for state tax purposes.

The publication of Alcoholic Beverage Tax Regulation 2558.1 begins the formal rule-making process. The next step is a 45-day comment period before a public hearing in front of the board in May.

The regulation specifies that any wine-based product containing substantial amounts of distilled alcohol from sources other than grapes will be taxed as a distilled spirit, not as a wine.

The regulation would take effect Jan. 1, 2012 if approved by the Office of Administrative Law.

The proposal was crafted to update 2008 regulations that addressed the taxation of flavored malt beverages.

“This regulation will clarify the tax rule to apply it equally to both wine-based and beer-based products,” said Betty Yee, First District representative of the Board of Equalization. “Because most wineries do not use non-wine-based, distilled spirit additives as addressed by the original rule, standard wine products will be unaffected.”

Vineyard & Winery Management magazine adds two wine competitions
Vineyard & Winery Management magazine, which is based in Santa Rosa, has two added new two wine competitions to its portfolio of wine events.

The company will now produce the International Women’s Wine Competition and NextGen Wine Competition for Millennial Wine Drinkers. Both are expected to be held in Sonoma County.

The publishing company, Vineyard & Winery Services, already hosts the Grand Harvest Awards, West Coast Wine Competition, Wineries Unlimited and the Midwest Grape & Wine Conference.

The International Women’s Wine Competition will be held in November while the NextGen Wine Competition for Millennial Wine Drinkers is scheduled for June.

“Our company has been producing professional wine competitions since 1977,” said Robert Merletti, president of Vineyard & Winery Services. “We will apply the high standards of excellence established with our three existing wine competitions to these two demographically unique events.”

— Nathan Halverson