\n<\/p>\n
The Baby Boomer generation, which has been one of the biggest wine-drinking groups, is also getting older and drinking less, he said. When they do drink, it\u2019s generally at a higher price point than the majority of the bottles that go through large distributors, including Republic.<\/p>\n
It\u2019s not that people \u2014 or young people \u2014 who Republic\u2019s brands appeal to aren\u2019t drinking at all, though.<\/p>\n
In recent years, seltzers, ciders and other canned \u201cready-to-drink\u201d alcoholic beverages have gained popularity with drinkers of all ages.<\/p>\n
\u201cThere\u2019s more options,\u201d McMillan, who has studied the wine industry for forty years, said. \u201cI\u2019ll have a [ready-to-drink] once in a while. I\u2019m not just a wine drinker, and that\u2019s a change from the past.<\/p>\n
He said that a young person looking to purchase a drink they know they will like, without breaking the bank, might opt for a canned Moscow Mule or another classic cocktail with a familiar taste, rather than a bottle of wine whose notes may be new.<\/p>\n
\u201cThat\u2019s where you\u2019re going to make that entry,\u201d into alcohol, he said. \u201cWe [the wine industry] just haven\u2019t done, I don\u2019t think, as good a job as the spirits category.\u201d<\/p>\n
While spirit sales are up compared to wine, the whole category of alcohol sales is down. Aside from people choosing to be sober in higher numbers, McMillan said, alcohol is also now rivaled by drinks infused with other psychoactive properties, like cannabis and psilocybin mushrooms.<\/p>\n
In the near future, he said, the wine industry needs to recalibrate with what consumers now want.<\/p>\n
\u201cWhat happened to RNDC isn\u2019t an isolated thing,\u201d according to McMillan. \u201cFewer consumers, fewer distributors, fewer gallons made \u2014 the whole thing has to adjust essentially. It doesn\u2019t mean the whole thing is falling apart, but we\u2019re going through an adjustment.\u201d<\/p>\n<\/div>\n