The wine industry in the U.S. may have gone under a two-year slump, but now, it seems to be that they are back on track. More consumers have reunited with their favorite vintages, spending on something their money’s worth.
The recession took a toll in American’s wine consumption with more consumers settling for cheaper wines rather than the more classy but expensive ones. But with the U.S. economy rising back to the occasion, the wine industry is getting through the flow as well. In 2010, domestic wine sales have increased to 7% and U.S. wine exports have leaped to almost 26% ($1.4 billion) from 2009 as release a San Francisco-based Wine Institute. This reflects the growing number of wine consumers in the U.S. and its production of domestic retail wines.
France, as we all know is the origin of the best grape varieties and best vintage wines. They have been all these years the biggest wine-consuming region all over the world. But now, the U.S. seems to be catching up with them in the wine consumption department. With all the facts and statistic sheets going crazy over the great increase in wine consumption in the U.S. ” they are now on top of everyone else in the wine consumption race, beating the wine-loving region of France. Though the French are still ranked 1st in terms of per capita consumption, more consumers have been ordering or buying wines in bottles in several restaurants in the U.S. So technically, in wine bottle sales and consumption, U.S. is No.1 but in terms of per capita consumption, France is still unbeatable.
If wine consumers in the U.S. continues to multiply, it wouldn’t be too far when the Americans will actually get the top position mainly because in terms of population, the U.S. is way ahead of France. The economic recovery of U.S. has turned their wine consumers back to the time when they are buying their favorite vintage instead of the cheaper ones. Consumers have also become smarter in terms of their lifestyle. When recession came to U.S., they had to cut down on their expenses, including purchase of some luxury items, including wines, they used to shop for. Now, some would actually spend to have some good quality wines on their table, something less expensive than a summer trip for two.
During the time of recession, some wine producers, suppliers, and retailers have cut down on their prices and tried cutting down the production. More people have been buying inexpensive wines that would range from an $8 Merlot to a $10 Cabernet. Now they could afford $15-plus wines and get the wine satisfaction they used to have before the economy crashed. The vast increase in wine consumption is a very exciting news especially for wineries and vintners. There will be a decrease in back-up inventories for the next few months which will totally relieve them from the stress of mass production with lesser sales to compensate for their expenses.
The economy is still trying to overcome a sluggish drought, still far away from the U.S. economy we have come to live for almost half of our lives, but the promising future of wine consumption and the overall wine industry in the U.S. is not impossible.