Abbot’s Passage has found younger consumers prefer a casual atmosphere.
Dos’ Bar in Sonoma offers a laid-back space for wine lovers to hang out.
The agency tapped Quest Mindshare out of Ontario to conduct an extensive study, gathering results from over 1,600 domestic wine drinkers focused on the similarities and differences between how Gen X and millennials consume wine. When asked why they decided to home in on these two generations, DeMatei explains, “Gen X is underreported but they’re an incredibly lucrative potential audience.” With the so-called Great Wealth Transfer upon us, this fickle generation will soon be inheriting upward of $30 trillion, according to estimates by the consulting firm Cerulli Associates. And yet their wine-consuming habits are difficult to understand, and thus to market to. DeMatei wanted to take a stab at better understanding them and their habits surrounding wine so she could advise wineries on how to capture their attention. The study purposefully left out Gen Z, opting to focus on what they consider to be the two closer targets, while the so-called Zoomers continue to come of age. The most surprising aspect of the survey, according to DeMatei, is: “How clear [the results] are.” She says the opinions illuminated by the study paint a distinct picture: Gen X and millennials understand and enjoy wine, they don’t seek further education; and, in fact, they find it alienating. These younger generations are largely confident consumers who crave variety, confidently purchase online and don’t need their hands held along the way. DeMatei expresses hope that their findings will help wineries concentrate efforts and improve strategic planning. She acknowledges that the wine industry needs to update its direct sales model to better engage with these generations. These survey results, along with anecdotal evidence from three local wineries, suggest that with new approaches—such as improvements to online offerings and diversification of tasting room
experiences—the industry can shepherd in a new era of success for domestic wine businesses.
OK, boomer! Millennials and Gen X don’t want wine-splaining The findings on millennial wine-drinking habits are both revealing and optimistic. Millennials frequently enjoy wine, with many imbibing multiple times a week. They are also willing to spend more on wine, often exceeding the benchmark $20 price point, even happily spending over $40 on a special-occasion bottle. On top of that, they’re not drinking less wine. The majority of respondents are drinking the same as a year ago, and 35% of millennials reported drinking more than last year. For millennials, wine is, first and foremost, a casual and social drink—as opposed to a precious commodity. They value variety and opt for wine as a healthier alcoholic option, reaching for a glass in lieu of a higher-ABV (alcohol by volume) cocktail. They focus on flavor and craftsmanship, but prefer casual enjoyment over traditional wine-tasting formats. In other words, they don’t care about soil types, terroir and vinification as much as boomers. For them, wine information is accessible at the touch of a button: they’ll go down that rabbit hole if they so choose—they don’t need a docent guiding the way. As DeMatei explains, “There’s a difference between learning and discovery.” Millennials are looking to discover new wines, but they don’t want to be talked at or lectured to in order to do so. This is a generation that has grown up with ample information at their fingertips; they are a lot less eager for education than their parents. According to the survey, millennials also show a strong interest in organic and sustainable wine options, aligning with their overall preference for healthier choices and environmentally conscious products. Sonoma-based winemaker—and millennial—Jack Sporer confirms
38 NorthBaybiz
October 2024
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