Premiumization Creates Pricing Opportunity for Low-End Wines

In recent years, consumer-driven premiumization trends have allowed wine companies to increase prices and reduce the number of promotions while maintaining healthy growth. The "higher priced the wine, the more quickly it is growing," per the most recent note from RBC analyst Nik Modi.RBC believes consumers purchasing wine over $40 a bottle are making a "lifestyle choice" as opposed to buying a "consumer staple." And even more interesting, the consumers who are willing to pay more than $40 for a