2024 Craft Wine Direct Sales Annual Report

2023 emerged as a pivotal year for the American Direct-to-Consumer (DTC) wine market. It was marked by resilience and innovation, as wineries navigated through the complexities of a market shaped by evolving consumer preferences and persistent legislative constraints. The report highlights the sector's success in adapting to these dynamics, underscored by growth in both average order values and reaching consumers where they are.

Nonetheless, this tale of growth plays out in the shadow of historical three-tier regulations, which continue to act as bottlenecks, impeding the sector's full potential. The report highlights a significant paradox; while DTC sales continue to climb, they are simultaneously throttled by legislation that goes back to a bygone era, stifling growth and innovation. There is a clear call for regulatory reform from throughout the industry, advocating for a market where the sector's capabilities are not just maximized but unleashed.

Key Information

• This report offers insights into the American DTC wine market, serving both as a historical account and a strategy guide.

• In 2023, wineries shipped to an average of 13 states, with individual state averages ranging from 6 to 23.

• There was a noticeable trend of increasing average order discounts, hinting at a strategy to boost larger purchases through discounts.

• Orders outside of wine clubs consistently showed a higher average order value (AOV) than club orders, suggesting an opportunity for producers to enhance their club offerings or develop more exclusive tiers to match rising customer spending habits.

• Customized club orders typically included 1-2 more units than standard club orders.

• There was a 6.37% increase in overall average order values in 2023, despite no change in the average number of units per order.

• There continues to be a shift towards premium products, witnessed by an uptick in spending for higher-priced wines.

• The sparkling white wine category saw remarkable growth, with a sales value increase of 26% and a 5% increase in liters sold.

About the Data

The statistics in this report are based on direct-to-consumer (DTC) transactional data from 3,000 clients across 47 states and Washington D.C. The data does not rely on extrapolations or survey data. Other than where stated, this report contains data on still and sparkling wine.

For data on the 2023 Cider Industry, find our latest report here.