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Allegrini 2018
MASS MARKET RETAIL

Wine and MMR, 2018 all data show slump, but the first two months of 2019, recovery

Wine sales on supermarket shelves, according to the IRI research institute numbers: 2018, a tough year while 2019 shows recovery
GDO, IRI, VINITALY, WINE, News
Wine and MMR, 2018 data show downfall but recovering in the first two months of 2019

Following the slump in Italian wine sales on Mass Market Retail distribution in the year 2018, the first two months of 2019 are showing signs of recovery. Data are positive especially for controlled designation of origin wines, which marked 5.3% increase in sales, whereas packaged wine totals showed 1.7% increase.
The IRI Research Institute carried out a sector study exclusively for Vinitaly 2019, for which it collected numbers and data for the first two months of 2019 as well as for the trends in wine sales in 2018 on mass market retail distribution. Italian wine closed the year 2018 totaling more than 619 million liters and one billion 902 million euros in value. Two of the best sellers were Lambrusco and Chianti. The performances of Montepulciano d’Abruzzo, Muller Thurgau and Gutturnio were also quite good. In the list of surprises, or wines that recorded a proportionally higher sales increase on the growth curve, Lugana achieved the very good result of + 22.1% in volume and + 24.2% in value.
The ranking of the top 15 “revelation” wines showed Lugana in the lead, and an outstanding performance for Primitivo, in second place, recording + 20.6% in value. Passerina follows in third position at +14.8% in value and Negroamaro at + 14.7%, also in value. Then Riesling, Grignolino, Valpolicella, Cerasuolo, Refosco, Pecorino, Aglianico and Falanghina.
Sparkling wines were up 2.1% in volume, while, in general, DOC and DOCG wines closed at -0.7% quoting an average price of 4.74 euros per liter. TGI wines did not do well and were down -2.4%, and neither did generic wines, which were down -8.9%. The situation regarding organic and sparkling wines, instead, was positive. Sparklings showed +18% increase whilst generic wines marked +11.8% increase. However, overall sales of “organic wines” were limited to 5 million liters a year. Wines in cartons dropped down -5.6% while bag in box wines grew +10% in volume.
The IRI study indicated the reasons that caused the downfall in sales in 2018 as the scarce harvest in 2017 and the process of increasing value on the shelf producing a consequent increase in price and a reduction in promotions. “For years, wineries and distribution chains have been betting on the value card”, explained Virgilio Romano, IRI Business Insight Director, “to give the proper importance to the immense offer of grapes in Italy. This “means working on quality, on disciplinary rules of origin, reducing promotions and establishing the most appropriate prices”.

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TAG: GDO, IRI, VINITALY, WINE

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