DALLAS, July 30, 2018 – Historically having a short harvest period that sets Texas Vineyards behind, a shift in both wine demand and production methods in the wine industry has recently helped the region sustain a healthy harvest cycle. Now celebrating their annual grape harvest in the summer months of July – that’s four months ahead of growers in the ever-popular Napa region – the state has had one of their most successful seasons producing 38% more than 2017 and is continuing to grow each year.
With the market developing a growing taste for different blends including varietals that have a shorter hang cycle, the state’s wine businesses are reducing their loss caused by those blends that require much lengthier dry times. “Paired with advances in winemaking technologies, mid-west wine producers are able to maximize efficiency and production costs helping them compete better inside and outside of their local markets.” shares Texas-based award-winning wine collector, Marcus Hiles.
Outside support to these state-run growers from commercial organizations has also helped them serve the market faster while ramping up production. One big contributor to the Texas wine industry comes from grocery store giant Whole Foods, now owned by Amazon.
No longer selling wine on the Amazon ecommerce platform, Whole Foods has developed new on-demand, online services that make wine consumption easier and faster than ever. Introducing their latest one-day wine delivery service, the new consumption model has encouraged the national grocery chain to choose local suppliers who can fill demand quickly over competitors across the country that have long dominated the industry. This focus on pushing the region’s local wine businesses has helped supplement Texas growers and their need to turn over product quickly, helping yield greater profits and reducing losses.
As local markets such as that of Texas make their place in the wine business, other industry changes are causing fluctuations on a national and international level.
One of the biggest factors pushing change is the expanding market of millennials that now makes up the majority of consumers across today’s industries. Different than their baby boomer predecessors, these younger demographics are creating a shuffle in the traditional wine market by straying away from an importance on origin, brand and exclusivity and putting more value on availability and convenience.
No longer focused around location-based operations, the new model is moving towards direct-to-consumer services and has opened up a whole new segment in the industry. Much like Amazon and Wholefoods’ new one-day wine delivery model, other services such as monthly subscriptions, personalized blends ordered via app or online wine purchases have focused in on the buying experience becoming more about convenience and accessibility.
Together with technological improvements and new market demographics, this new consumer importance on quicker convenience helps put players in the Texas wine business ahead and on the track towards making a permanent impact on the industry in the years to come.