Welcome to Global Wine Match
Here's some daunting issues facing US wineries:
- The largest 20 distributers control 70% of US distribution. Small production wineries have often experienced frustration in obtaining representation.
- Direct sales, while a growing channel, is not expected to expand much beyond 10% of the total wine market. Even with loosening regulations, direct sales will be prohibitive for many price segments and markets.
Most US producers have traditionally focused little on exporting. Conversely, many foreign wineries are gaining increasing sales and skills in marketing and selling their wines internationally, These foreign wineries are not only increasing their market share in the US, but also gaining expertise and leverage to compete in other countries' markets that could be served by US winemakers. In particular:
- While US consumption of wine is growing, foreign wines' share of the domestic market is increasing at an even faster rate.
- While US wine exports have recently increased, this growth still lags that of many other foreign competitors.
- Specialty distributors, export brokers and others looking to purchase from wineries have their own frustrations. They must find the right products to represent from over 2000 US wineries, many of whom are constantly changing their product mix, pricing strategies and brand identities. While this challenge may be less of a problem for a local purveyor, the specialty distributor in Massachusetts or the buyer for a U.K. grocer does not have the same access.
Our aim is to help with these challenges.
Global Match will assist wineries in finding partners to increase distribution within the US and to export abroad. Potential partnerships will be qualified based on product attributes and targeted areas of distribution. This program will be made available to participants free of charge, allowing wineries to gain representation in international markets they are effectively barred from and providing incentives for distributors and brokers to participate. For an overview of the project goals and the activities to date, see our presentation to the Wine Institute.
We have analyzed participant data and present a summary of the findings about the market, including most sought after varietals, appellations, price points and distribution markets. No individual wineries, distributors or other participants are identified by name and all data is presented in aggregate.
Pending further funding, our next step is to redesign the program to allow participants to search the database online and define their own queries.