Wine Industry Survey Indicates Resilience

By Robert Whitley

May 5, 2020 6 min read

WineAmerica is a trade organization based in Washington, D.C., that lobbies the federal government on behalf of the wine industry. Despite soaring supermarket sales, many wineries have been impacted by the near nationwide shutdown due to COVID-19.

To assess the damage, WineAmerica conducted a survey of member wineries, asking for information between March 15 and April 15 of this year. There were 727 responses from 727 wineries across 45 states. The vast majority of respondents (70%) were small wineries producing fewer than 5,000 cases annually.

Small wineries are potentially the hardest hit by lockdown because they are more dependent than larger wineries on tasting room revenue. But WineAmerica characterized what it found as "resilient and creative."

Some examples gleaned from an email from WineAmerica President Jim Trezise: "Most inspiring were the innovations wineries adopted to help offset the losses caused by having to close their tasting rooms. With many states relaxing regulations to allow new marketing opportunities, 84% of respondents initiated curbside pickup, 63 percent reduced shipping costs, 60 percent special Direct-to-Consumer promotions, 54 percent home delivery by winery personnel, 53 percent wine club specials, and 28 percent virtual tastings — with only 5 percent saying 'none of the above.'"

That said, WineAmerica painted a bleak picture of the overall financial damage.

More from Trezise: "Still, it's been a tough time. Production has continued at 85 percent of wineries, but slowed at 62 percent of them. The average winery normally employs 12 people, but has had to lay off 5 (though 25 percent said they didn't have to lay off any). Tasting room visitors dropped by 90 percent, and sales by 75 percent, with an average loss during the period of $51,201.

"Worse yet, if the current situation continues through the end of May, the average winery expects to lose $134,626 in that month alone, and believes it would take over four months to return to normal business levels in terms of employees, visitors, sales, and other factors."

There's an old joke about the wine business that's never been more appropriate. It goes something like this: How do you make a small fortune in the wine business? Easy. Start with a large fortune.

Best Value

Wines are rated on a 100-point scale. Wines are chosen for review because they represent outstanding quality or value, and the scores are simply a measure of this reviewer's enthusiasm for the recommended wine.

A to Z Wineworks Rose Bubbles, Oregon ($5) — This parkling wine in a can at a dirt-cheap price (it comes in a four-pack at $20 retail, so $5 per 250 milliliter can) tastes very, very good. Impressive. This product is primarily pinot noir with a touch of chardonnay, all Oregon-grown grapes. It is fresh and refreshing, well-balanced and clean, perfect for a summer picnic. Rating: 88.

Tasting Notes

Tongue Dancer 2017 Chardonnay, Bacigalupi Vineyard, Russian River Valley ($50) — Winemaker James MacPhail is up to his old tricks, which usually means he's made another brilliant wine. This 2017 chardonnay from the iconic Bacigalupi vineyard qualifies on that score. MacPhail specializes in knowing the great vineyards of California's Sonoma County, and he knows what to do when he scores a few tons of exceptional fruit. This wine exhibits the intense aroma of lemon creme, a touch of brioche, and subtle nuances of oak vanillin and wood spice. Beautifully balanced, beautifully crafted, beautifully delivered, it is an example of California chardonnay at its very best. Rating: 97.

Paraduxx 2016 Red Wine, Rector Creek Vineyard, Napa Valley ($82) — Just another sensational red wine from Paraduxx, ho hum. Seems like it's effortless for the Paraduxx team, which pretty much lets the vineyard speak and gets out of the way. This vineyard is certainly one of the finest in the Napa Valley, and the blend of zinfandel and cabernet sauvignon that Paraduxx pioneered some two decades ago is a winning combination. The 2016 shows notes of blueberry, blackberry and raspberry, loads of wood spice and a savory earthiness that is subtle but inviting. Rating: 95.

Col Vetoraz Prosecco Valdobbiadene Superiore di Cartizze DOCG, Italy ($26) — This is a rare dry prosecco from the prosecco region's most coveted vineyard district, and it's a stunner. The nose shows stone fruits and tropical fruits with a touch of spice, although the wine never sees the inside of a barrel. On the palate, this prosecco is fresh, generous and beautifully balanced, with impressive length and a soft mousse. Rating: 94.

Chateau Malescasse 2016 Haut-Medoc AOC, Bordeaux, France ($22) — Given current prices for classified-growth Bordeaux, it makes sense to seek out good Bordeaux that doesn't come with all that expensive cachet! Chateau Malescasse is a Left Bank Cru Bourgeois beauty that costs less than $25, and it's worth every penny and then some. This vintage offers classic aromas of blackberry and black currant, firm tannins and impressive palate weight. Notes of graphite and cedar complete the puzzle. It's beautifully crafted and more beautifully priced. Rating: 90.

J. Lohr 2017 Cabernet Sauvignon, Hilltop, Paso Robles ($35) — Another beautiful cab from J. Lohr is hardly a surprise. And this one fits in with Napa and Sonoma cabernet sauvignons at double the price, so it has tremendous value to go along with its ripe, juicy cabernet fruit. Rating: 90.

Follow Robert on Twitter at @wineguru. To find out more about Robert Whitley and read features by other Creators Syndicate writers and cartoonists, visit the Creators Syndicate website at www.creators.com. Email Robert at [email protected].

Photo credit: Bru-nO at Pixabay

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