Wine DM Sales Topped $1 Billion in 2006: Study
Consumers purchased $1 billion in wine shipments through direct channels last year, according to a new study.
Wine sales through clubs, Internet and direct mail or telephone channels increased 58% in 2006 over the previous year’s levels, while revenue generated through tasting rooms and events fell 18%, according to VinterActive, a wine marketing advisory firm.
Total direct-to-consumer sales for the year amounted to $2.4 billion, or roughly 10% of all wine sold during 2006.
Online sales rose 45%, topping out at $197 million for the year. Wine club sales amounted to $598 million, up 66%. But tasting room sales at wineries fell 18%, to $1.3 billion, and events at wineries drove only $100 million, a 30% drop.
VinterActive surveyed more than 230 bonded wineries from 35 states about their revenue and sales practices between December 2006 and February 2007.
Compliance with direct shipping regulations, and a ban on liquids in carry-on airline luggage remained among the top hindrances for wine merchants. But a 2005 Supreme Court 2005 opened many states to receiving wine through the mail, providing the impetus for increased direct marketing sales, according to VinterActive’s survey. Additionally, wine clubs and e-commerce flourished among wine distributors.
