Check out this report from Silicon Valley Bank, his Annual State of the Wine Industry Report for 2012-2013 predicts:
- “Imports taking larger market share in the U.S.”
- “Long-term steady growth in the fine wine business is expected; 7-11% sales growth in 2012”
- “Wine inventories evolving into a state of shortage that will last for some time domestically”
- “Increasing prices for grapes and bulk juice as growers finally start to see recovery”
- “Increasing plantings to feed the looming grape shortage”
- “Bottle price increases, but not a return to prices prior to the recession”
- “Increasing difficulty for third-party marketers that have sold with a culture of discounting”
- “Functional evolution of digital solutions, creating a ‘Fifth Column’ sales channel”
- “Millennials as a fine wine consumers are over-valued in their importance today”
A picture is worth a thousand words: http://www.svb.com/wine-report-2012-infographic/
About Silicon Valley Bank’s Wine Division
Silicon Valley Bank is the premier commercial bank for emerging, growth and mature companies in the technology, life science, private equity and premium wine industries. Its Wine Division specializes in commercial banking for premium wineries and vineyards and the industries that support them. SVB has the largest team of commercial bankers dedicated to the wine industry of any bank nationwide. Founded in 1994, SVB’s Wine Division has offices in Napa and Sonoma counties and serves clients in the fine wine producing regions of California, Oregon and Washington. By virtue of its dedication to the wine industry, Silicon Valley Bank is able to support its clients consistently through economic and growth cycles, and offer guidance on many aspects of their business, beyond traditional banking services. Silicon Valley Bank is a member of global financial services firm SVB Financial Group (Nasdaq: SIVB). More information on the company can be found at www.svb.com.
Silicon Valley Bank is the California bank subsidiary and the commercial banking operation of SVB Financial Group. Banking services are provided by Silicon Valley Bank, a member of the FDIC and the Federal Reserve. SVB Financial Group is also a member of the Federal Reserve.