Friday, June 26, 2009

In a Recession—Red and White Won’t Make You Blue

In today’s economic climate, people are opting to stay home rather than go out to restaurants. Thus, retail sales of wine has gone up.

"We still kind of put wine in the category of an affordable indulgence," said Danny Brager, a VP at the research firm The Nielsen Co.

However, people are buying more from supermarkets and big chains. Independent wine shops, which tend to focus on more-expensive wines, have struggled.

Some good news: A barometer that the economy is doing better lately is that higher-priced wines are starting to sell better. “Customers are starting to spend up again," Brager said. "I think it's a sign people are getting a little bit more comfortable with spending money."

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