FRESNO, CA--(Marketwired - August 28, 2013) - Hispanics are projected to be the fastest growing ethnic minority in the U.S. over the next 20 years, but under-index on wine consumption. According to a new report by Rabobank's Food & Agribusiness Research and Advisory group, if the wine industry were able to bring Hispanic wine consumption up to the level of the broader U.S. population, annual wine consumption among Hispanics would increase by nearly 50 million cases over the next 20 years. That would put annual wine consumption by U.S. Hispanics at nearly 95 million cases, by Rabobank calculations.
The report, "Marketing Wine to U.S. Hispanics: The 50 Million Case Growth Opportunity," by Stephen Rannekleiv, Rabobank wine analyst, says that reaching the U.S. Hispanic market also has implications for international growth markets, such as Mexico.
"If U.S. wineries can develop strategies that positively affect the wine consumption rate of U.S. Hispanics, those strategies will have far reaching, positive benefits in other Hispanic markets," said Rannekleiv. "There is an increasingly affluent market of over 111 million consumers in Mexico who could be influenced using the same strategies that were initially targeted at the U.S. Hispanic market."
Rannekleiv went on to outline key considerations which U.S. wineries should consider as they develop strategies to reach this promising Hispanic market. Some of these considerations include:
- Does the brand's flavor profile match Hispanic taste preferences?
- How will the brand attract Hispanic millennial consumers?
- What support will be given for pairing wine with Hispanic food?
- How does this marketing strategy align with distributor interests?
The report concludes that if the wine industry fails to engage the Hispanic population, it risks losing this fast growing segment of the U.S. population to the beer industry.
A full copy of the report is available to the media upon request. Please note that the report is for informational purposes only and may not be reproduced, distributed or published in whole or in part, for any purpose, except with prior written consent by Rabobank, N.A.
About Rabobank, N.A.
Rabobank, N.A. is a California community bank and a leading provider of agricultural financing and full-service banking products to California consumers, businesses and the agriculture industry. With nearly 120 retail branches, we serve the needs of communities from Redding to the Imperial Valley through a regional structure that promotes local decision-making and active community involvement by our employees.
Rabobank, N.A. is a division of the Rabobank Group, the premier lender to the global food and agricultural industry and a financial services leader providing commercial, retail and agricultural finance solutions in 48 countries around the world. From its century-old roots in the Netherlands, Rabobank has grown into one of the world's largest and safest banks. www.rabobankamerica.com.
About Rabobank Group
Rabobank Group is a global financial services leader providing wholesale and retail banking, leasing, real estate services, and renewable energy project financing. Founded over a century ago, Rabobank is one of the largest banks in the world, with nearly $1 trillion in assets and operations in more than 40 countries. Rabobank is a premier bank to the global food, beverage and agribusiness industry, and has been financing leading food and agribusiness companies across North America for over 30 years. Rabobank's Food & Agribusiness Research and Advisory team is comprised of more than 80 analysts around the world who provide expert analysis, insight and counsel to Rabobank clients about trends, issues and developments in all sectors of agriculture. Rabobank is also a leading financial partner to the renewable energy sector worldwide, providing financing for wind, solar and biomass energy projects in North America and other international markets. www.Rabobank.com.
- Consumer Discretionary
- Banking & Budgeting