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Impact Databank: Solid Gains For The U.S. Market’s Largest Wine Brands

March 1, 2021

After eight consecutive anemic annual gains of less than 1%, the U.S. wine market rose a modest 2% in volume terms in 2020, even as its share of the total beverage alcohol industry fell for the second consecutive year. An unprecedented spike in the off-premise resulting from heightened demand during the Covid-19 pandemic was just enough to overcome the outsized loss of volume from the on-premise. As the pandemic continues this year, the industry may post yet another modest gain in 2021, but Impact Databank projects that total wine volumes will start to fall next year due to increased competition from hard seltzers and other flavored malt beverages, as well as the spirits category.

Franzia continues to lead all brands in volume terms, with an impressive 7.6% increase in 2020 to 24 million 9-liter cases, led by gains from its Rich & Buttery Chardonnay and Dark Red varieties, as well as from its Pinot Grigio and Pinot Noir labels. Franzia’s strong performance resulted in a 4.2% increase for The Wine Group, the industry’s second-largest marketer in the U.S. at 42 million cases. E. & J. Gallo remains far and away the number-one player, and its Barefoot Cellars brand continues to be the top brand in value terms, the only wine to exceed $1 billion at retail, according to Impact Databank. Gallo extended its firm lead in the U.S. wine market after completing the acquisition of 30 wine labels from Constellation Brands in January.

The fastest-growing wine brand among the top 10 last year was Delicato’s Bota Box, which surged 41% to 11.3 million cases in 2020 and moved up two spots to become the third-largest selling label in the U.S. Boxed wines rose 14.3% last year in Nielsen channels—to 41.3 million cases—and accounted for one in every five wines sold at retail.

Other fast-growing segments include canned wines, and in particular wine-based cocktails, which enjoyed triple-digit growth from brands such as Rancho la Gloria and Barefoot Seltzer in 2020. The super-premium sector ($20 and above a 750-ml.) also grew by double-digits last year, led by Decoy by Duckhorn (+27%) and Meiomi (+17%).—Juan Banaag

The Top Seven Wine Brands In The U.S. By Volume
(millions of 9-liter case depletions)
Rank Brand Company Origin 2019 2020E Percent
1 Franzia The Wine Group California 22.3 24.0 7.6%
2 Barefoot2 E.&J. Gallo Winery California 15.2 17.0 12.0%
3 Bota Box Delicato Family Wines California 8.0 11.3 41.2%
4 Sutter Home Trinchero Family Estates California 10.2 10.2 0.2%
5 Woodbridge
by Robert Mondavi
Constellation Brands California 9.6 9.4 -1.9%
6 Black Box3 E.&J. Gallo Winery California 6.8 7.9 14.7%
7 Yellow Tail Deutsch Family Wine & Spirits Australia 6.6 7.1 6.6%
Total Top Seven 78.7 86.8 10.3%
1 Based on unrounded data.
2 Excludes Bubbly, Spritzers, Wine to Go, Seltzer, and Barefoot on Tap.
3 Acquired from Constellation in 2021.

Source: IMPACT DATABANK © 2021

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