Interesting read. Hits on some of my concerns.
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Read it…liked it. I guess I was a bit shocked that Napa produces 4% of the wine made in CA. Numbers on DTC and pricing we’re big news to me, but shows the bubble might be ready to pop.
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Further to the point of percentage of (California) wine production, this article was even more eye-opening:
[IMPORTED FOREIGN BULK WINE: THE DIRTY SECRET NO ONE IN CALIFORNIA WINE IS TALKING ABOUT | Lodi Growers]
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That is a surprise to me and specifically for Napa.
I could see it being that high in places like SBC or Paso. Temecula is probably significantly higher.
by far the most important sales channel for premium wineries, with 31% of the total revenue, was the tasting room.
A couple of things:
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Where are they pulling their data from and who is providing it? Most of the time, some wineries submit and some don’t - and these are most likely ‘numbers submitted by the wineries’, not pulled from other means
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There is no doubt that Napa has pushed as hard as any other region post Covid, and possibly more to make up for the fires, for direct tasting room sales - and my guess this also includes the ‘exorbitant’ tasting fees that are charged too.
Cheers
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