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San Francisco Chronicle
4 days ago
- Business
- San Francisco Chronicle
How the new CEO behind Two Buck Chuck plans to ‘win' the wine crisis
Dom Engels has got to have one of the toughest jobs in California wine right now. In November, he became CEO of Bronco Wine Co., which produces an estimated 3.5 million cases annually of some of the country's most famous bargain-priced brands like Crane Lake, Salmon Creek and Charles Shaw, a.k.a. Two Buck Chuck. Engels has arrived at a moment when the wine industry is in a tailspin. The sub-$10 category, Bronco's bread and butter, is experiencing some of the sharpest sales declines. Since the beginning of the year, Bronco, which is owned by the Franzia family, has laid off 227 employees from its Central Valley headquarters. But Engels claims to relish the challenge. 'I love the complexity of trying to win in a difficult environment,' he said. 'Because there are always winners.' The vision he has for Bronco runs counter to much of the industry's conventional wisdom. Engels believes that 'premiumization,' the march toward ever-higher prices, did a 'disservice' to consumers. That the fast-growing ready-to-drink category, which encompasses canned cocktails like High Noon, is overrated. That organic wine will always remain a 'niche.' His perspective is largely one of an outsider. Although Engels worked at the Wonderful Co. when it acquired Paso Robles' Justin Vineyards and Sonoma's Landmark Vineyards, he has mostly worked in other fields. Before joining Bronco he served as the CEO of the school-lunch producer Revolution Foods, and before that as CEO of Stone Brewing, a behemoth of craft beer. Looking at the wine industry, 'honestly, I draw a lot of analogs from the craft beer dynamics over the last eight or nine years,' Engels said. When he joined Stone in 2016, craft beer was consistently seeing double-digit annual growth. That changed somewhat abruptly, a couple of years before the wine industry's own wake-up call. The luxury tier is way outperforming the value tier right now: Sales of wines over $50 increased 1% last year, according to the Wine & Spirits Wholesalers of America, while wines priced $8-$10.99 dropped 12.7%. Many of Bronco's best-selling products are under $5. But Engels is undeterred. 'We firmly believe that the value segment is very important for creating lifelong loyalists,' he said. The premiumization trend completely ignores 'the funnel of new 21-year-old consumers.' That said, Bronco is also inching up, a little bit. 'We are probably overindexed in value,' Engels admitted. Without abandoning Two Buck Chuck, he hopes to also play more in the $15-$20 range. In February Bronco acquired Wine Hooligans, a Santa Rosa winery whose bottles sell for $12 and up. Recognizing that Bronco's value-priced wines have been treated 'more like labels than as true brands,' Engels is building out his brand marketing teams. Crane Lake Chardonnay, $4.49 at a local Total Wine, may not have seemed like a strong branding opportunity in the past, but Engels believes wines like these could benefit from a bigger social media footprint. He also plans to open more tasting rooms — a priority informed by his time working with beer taprooms. Of the more than 100 brands Bronco owns, the only public space in California is Rosenblum Cellars in Oakland. He imagines opening something at Wine Hooligans, in a Santa Rosa industrial park, and at the home winery in Ceres (Stainslaus County). 'I think we should have a couple of billboards on the 99, really invite people to see what we're doing here,' Engels said. Does that mean we can expect a Two Buck Chuck tasting room? Engels laughed. 'Not sure about Charles Shaw,' he said. More likely is a 'multi-brand specialty store,' spanning the Bronco portfolio. At the same time, like many of its peers, Bronco is contracting. The company has removed some of its vineyards, a response to California's grape surplus, and 'moth balled' others — pruning them short and letting them lay dormant until the company has the need for the acreage again. Bronco is a major California landholder, with the capacity to farm 'a significant five-digit number of acres,' Engels said, but is currently farming 'in the middle four digits.' All of the grapes Bronco farms are 'sustainable,' Engels said, a term that adheres to certain environmental standards but still permits the use of synthetic herbicides like RoundUp. A small amount of Bronco's vineyards are organic, and Engels doesn't have plans to expand that. Organic farming requires such high costs that it necessitates higher-priced wines, in his view, 'and I don't think the market necessarily always rewards that premium price,' he said. The company is also contracting its workforce, new brand marketers notwithstanding. The 227 workers laid off in Ceres included mechanics, lift truck operators and viticulturists. 'It's hard, but I don't think the winery's ever really adjusted its workforce in the 50 years before I joined, and I think there are a lot of wineries like that,' he said. 'You go on a diet first before you reach the lifestyle change phase.' In Bronco's case, that lifestyle change will not involve ready-to-drink, the ultra-fast-growing category of beverages that encompasses canned cocktails and hard seltzers. The space is too crowded. 'They're churning very fast and it's very difficult to build something there,' he said. 'We're not seduced.' He is intrigued, however, by half-bottles and boxed wines. (Despite being owned by the Franzia family, Bronco does not own the boxed-wine brand Franzia.) Tough as his job may sound, don't feel bad for Engels. He's having fun, he swears. 'When the tide is ebbing, that's what really separates great operators from folks that participated as a passenger in the category growth,' he said. 'I love that.'
Miami Herald
6 days ago
- Business
- Miami Herald
Major alcohol distributor quits California, signals warning
If you think everyone's still obsessed with craft beer and California cabernets, the stats say something else entirely. Americans are rethinking their relationship with booze, and the numbers don't lie: Beer and wine sales are sliding. Wine, in particular, is at its least popular point in 30 years. Don't miss the move: Subscribe to TheStreet's free daily newsletter Beer is not doing much better, especially craft beer. For four consecutive years the number of new brewery openings declined, with 434 new breweries opening and 501 closing in 2024. Why? People are more health-conscious, especially after the pandemic years when alcohol consumption was at concerning levels for many people. Now, "mindful drinking" is trending, and younger people are leaning into moderation or skipping alcohol altogether. Related: Coca-Cola doubles down on growing new category "Why would I put that toxin my body?" my daughter's boyfriend mused recently. He's a personal trainer and takes his fitness and nutrition very seriously. I had a few good comebacks but I didn't share them. Perhaps a discussion best had over a cold IPA? Anyway, the "California sober" lifestyle, where people ditch alcohol but might still enjoy cannabis or just drink less, has gone mainstream. Maybe in part due to the drink-less trend, one of the biggest names in alcohol, and in wine distribution in particular, just announced it's pulling out of California. For a state that's basically synonymous with wine, this is a big deal. Republic National Distributing Co., the nation's second-largest alcohol wholesaler, announced last week that it will not do business in California after Sept. 2. The news sent more than 2,500 beverage brands, including hundreds of winemakers, scrambling to find a new distributor in the state, as reported in The San Francisco Chronicle. While the Grand Prairie, Texas-based Republic National has not suggested that politics played a role in the decision, the news may be resonating so widely in part because of the narrative it presents: A Texas company wants nothing to do with California. Related: Coca-Cola makes controversial move to win customers Republic CEO Bob Hendrickson cited "rising operational costs, industry headwinds, and supplier changes as reasons for the move," per the Chronicle. Recently Republic National Distributing Co. also reportedly lost the rights to sell popular spirits like Tito's vodka, High Noon, Cutwater Spirits, and Jack Daniel's, among others, which was likely a big financial blow to the company, according to VinePair. VinePair also called the news "corporate catastrophe basically without precedent in the United States' typically stable beverage-alcohol distribution business." The VinePair story further quotes Republic National employees as saying the Texas owners of the company were both arrogant and incompetent and thought they could do business in California the way they do in Texas. So, what does this shakeup mean for California's booze business? It is seen as a wake-up call for the whole industry. California's wine business has been hit hard by slumping sales and a new generation that's reaching for canned cocktails, which are often lower in alcohol than beer or wine. Spirits are definitely having a moment, so the party isn't totally over. Ready-to-drink (RTD) canned cocktails are everywhere, and even companies like Coca-Cola are jumping in. RTDs are convenient, lower in alcohol, and fit right in with the new, chill approach to drinking. As for the companies being left behind in California, many wineries in California and distilleries will now try to jump onto the lists of the other two big distributors, Southern Glazer's Wine and Spirits or Breakthru Beverage Group. Related: Las Vegas Strip adds food hall of famous names The Arena Media Brands, LLC THESTREET is a registered trademark of TheStreet, Inc.
Wales Online
01-06-2025
- Automotive
- Wales Online
people watch on as rows erupt on infamous 'Swearing Bridge'
Our community members are treated to special offers, promotions and adverts from us and our partners. You can check out at any time. More info For best views of the action, locals recommend the Tu Hunt i'r Bont tearoom or the Eagles beer garden. From here, there's a reasonable chance of seeing a 'hilarious' row erupting on Llanrwst's 17th Century bridge over the Afon Conwy. For as long as anyone can remember, High Noon showdowns have been taking place on the apex of a humpback bridge that's a Welsh icon. When drivers approach the single-lane bridge, there's no way of knowing if a vehicle is also crossing from the opposite direction. A recent video shared online showed the inevitable outcome: two motorists gesticulating, each insisting they have right of way. A few hours later, an almost identical scenario played out, this time involving a truck and a queue of cars. Some residents shake their heads sadly, others draw up their seats and watch the unfolding dramas. 'Who needs Netflix...?' noted one man online. Another added: 'We used to sit on the bridge watching them argue, it was fun!' Impasses on Pont Fawr bridge are part of local folklore – so much so that it's been dubbed Pont y Rhegi (The Swearing Bridge). One celebrated individual used to arbitrate disputes and for a while the bad language dissipated. Attempts to find a solution have done little to ease the problems. Sensors embedded in the bridge asphalt near the A470 trigger a flashing amber light on the other side of the bridge, warning oncoming drivers to stop. But by then it's often too late: two or more drivers are trundling towards each other en route to yet another Mexican stand-off. Regular users have long lived by the rule of 'first to the top wins' – first to the apex has the right of way and the other motorist must reverse off the bridge. 'I've reversed 6 times in a row before now,' sighed a local woman. 'Saves arguments.' Join the North Wales Live Whatsapp community now It's not a perfect system and increasing numbers of tourists not familiar with the local rule means the number of stand-offs is on the rise. There are other issues too: as well as endangering pedestrians on the bridge, drivers reversing onto the A470 are contravening Highway Code rule 201, which advises motorists not to back up onto main roads. Aberconwy MS Janet Finch-Saunders has asked the Welsh Government to intervene on 'numerous occasions'. 'Our understanding is that Conwy Council was working with the Welsh Government to find solutions for the A470 side of the bridge,' said a spokesperson for her office. 'But in the last 12 months we've heard nothing, so Janet will be raising further questions in the hope of reducing the risk of bridge stand-offs in the future.' (Image: Wayne Thorley) A joint project between local and national government was announced in February 2024 by Lee Waters, the former deputy minister for climate change. Its main aim was to assess new A470 and pavement markings to prevent turning vehicles from scraping the bridge parapet. The study, which would also examine traffic priorities, was 'subject to prioritisation and funding'. Former Llanrwst mayor Cllr Mostyn Jones, now chair of the town's finance committee, would prefer a solution involving three-way traffic lights – one on the Trefriw side, the other two on the A470. The latter pair would need to be sited so as to give sufficient room for traffic turning on and off the bridge. It follows years of bridge strikes by long-axis vehicles: the most recent involved a coach said to have sent mortar tumbling into the river last week. (Image: Google) Worried about constant repairs to a listed structure and a scheduled ancient monument, Cllr Jones has been lobbying heritage body Cadw for action. While Pont Fawr's 18-stone limit can accommodate two-axle HGVs and coaches, its narrow nature means slight misjudgements can have serious impacts. 'For the last two or three years I've been complaining to Cadw about the poor state of the bridge,' he said. 'With the high volume of traffic now seen in the Conwy Valley, a sustainable solution needs to be found urgently. 'Pedestrians use the bridge and we've seen that funding can be sourced for active travel schemes. A list of potential ideas must be drawn up and put out for public consultation.' Booming tourism in Eryri has brought more traffic into the Conwy Valley and its road infrastructure can struggle to cope. Notoriously, all four river crossings between Conwy town and Betws-y-Coed involve either single-lane bridges (Pont Fawr and Pont-y-Pair) or single-lane approaches (Talycafn and the Conwy town wall arch). 'There needs to be a more strategic approach to getting traffic across the river from the west side of the valley,' added Cllr Jones. Sign up for the North Wales Live newsletter sent twice daily to your inbox See what's on in your area
North Wales Live
01-06-2025
- Automotive
- North Wales Live
'Better than Netflix' - people watch on as rows erupt on infamous 'Swearing Bridge'
For best views of the action, locals recommend the Tu Hunt i'r Bont tearoom or the Eagles beer garden. From here, there's a reasonable chance of seeing a 'hilarious' row erupting on Llanrwst's 17th Century bridge over the Afon Conwy. For as long as anyone can remember, High Noon showdowns have been taking place on the apex of a humpback bridge that's a Welsh icon. When drivers approach the single-lane bridge, there's no way of knowing if a vehicle is also crossing from the opposite direction. A recent video shared online showed the inevitable outcome: two motorists gesticulating, each insisting they have right of way. A few hours later, an almost identical scenario played out, this time involving a truck and a queue of cars. Some residents shake their heads sadly, others draw up their seats and watch the unfolding dramas. 'Who needs Netflix...?' noted one man online. Another added: 'We used to sit on the bridge watching them argue, it was fun!' Impasses on Pont Fawr bridge are part of local folklore – so much so that it's been dubbed Pont y Rhegi (The Swearing Bridge). One celebrated individual used to arbitrate disputes and for a while the bad language dissipated. Attempts to find a solution have done little to ease the problems. Sensors embedded in the bridge asphalt near the A470 trigger a flashing amber light on the other side of the bridge, warning oncoming drivers to stop. But by then it's often too late: two or more drivers are trundling towards each other en route to yet another Mexican stand-off. Regular users have long lived by the rule of 'first to the top wins' – first to the apex has the right of way and the other motorist must reverse off the bridge. 'I've reversed 6 times in a row before now,' sighed a local woman. 'Saves arguments.' Join the North Wales Live Whatsapp community now It's not a perfect system and increasing numbers of tourists not familiar with the local rule means the number of stand-offs is on the rise. There are other issues too: as well as endangering pedestrians on the bridge, drivers reversing onto the A470 are contravening Highway Code rule 201, which advises motorists not to back up onto main roads. Aberconwy MS Janet Finch-Saunders has asked the Welsh Government to intervene on 'numerous occasions'. 'Our understanding is that Conwy Council was working with the Welsh Government to find solutions for the A470 side of the bridge,' said a spokesperson for her office. 'But in the last 12 months we've heard nothing, so Janet will be raising further questions in the hope of reducing the risk of bridge stand-offs in the future.' A joint project between local and national government was announced in February 2024 by Lee Waters, the former deputy minister for climate change. Its main aim was to assess new A470 and pavement markings to prevent turning vehicles from scraping the bridge parapet. The study, which would also examine traffic priorities, was 'subject to prioritisation and funding'. Former Llanrwst mayor Cllr Mostyn Jones, now chair of the town's finance committee, would prefer a solution involving three-way traffic lights – one on the Trefriw side, the other two on the A470. The latter pair would need to be sited so as to give sufficient room for traffic turning on and off the bridge. It follows years of bridge strikes by long-axis vehicles: the most recent involved a coach said to have sent mortar tumbling into the river last week. Worried about constant repairs to a listed structure and a scheduled ancient monument, Cllr Jones has been lobbying heritage body Cadw for action. While Pont Fawr's 18-stone limit can accommodate two-axle HGVs and coaches, its narrow nature means slight misjudgements can have serious impacts. 'For the last two or three years I've been complaining to Cadw about the poor state of the bridge,' he said. 'With the high volume of traffic now seen in the Conwy Valley, a sustainable solution needs to be found urgently. 'Pedestrians use the bridge and we've seen that funding can be sourced for active travel schemes. A list of potential ideas must be drawn up and put out for public consultation.' Booming tourism in Eryri has brought more traffic into the Conwy Valley and its road infrastructure can struggle to cope. Notoriously, all four river crossings between Conwy town and Betws-y-Coed involve either single-lane bridges (Pont Fawr and Pont-y-Pair) or single-lane approaches (Talycafn and the Conwy town wall arch). 'There needs to be a more strategic approach to getting traffic across the river from the west side of the valley,' added Cllr Jones.
Boston Globe
29-05-2025
- Entertainment
- Boston Globe
Finding a bar for every taste is a tough task, but Somerville's Tall Order lives up to its name
Tall Order serves cocktails, non-alcoholic drinks, and an eclectic menu. Will Faraci The pair had long been on the prowl for a standalone space close to Swisher's home near Union Square, which is indeed a tall order. But the effort paid off: They opened in March, enlisting Juan Pedrosa (The Glenville Stops, Yvonne's) to craft a menu that would complement their drinks. Advertisement 'We wanted a welcoming and approachable neighborhood cocktail bar. We have domestic and local craft beer on tap. We have Guinness on tap. We want to be the kind of place where you can stop in for a beer, have dinner out with your friends, have a more involved cocktail if that's what you're looking for, but also just a vodka soda or a High Noon,' Swisher says. Pickled mushrooms at Tall Order. Will Faraci The food : If you can't decide between onion dip, a massive scoop of pimento cheese with a side of Saltines, pickled button mushrooms, or steak tartare, this is your place. Get wild with crispy blocks of tofu glistening with honey and Gochujang (my recommendation), or play it safer with roasted cod over saffron rice, a dish that's simple enough to be spa-like. Swisher recommends the grilled broccoli with pecorino Romano and breadcrumbs, perhaps not a typical bar offering, but that's the point. Advertisement Bar snacks top out at $9 and are generously apportioned; share plates are $19 and under; entrees are in the $25 range. At Tall Order, low-ABV cocktails are creative and affordable. Will Faraci The drinks : 'We really just want to compose drinks that we think are tasty and compelling, from standard cocktails to low-ABV drinks to cocktails without any alcohol in them, in interesting flavor combinations,' Swisher says. That's the nice thing about this place: There are plenty of booze-free options, including a 1,2,3,4, which tastes like a citrus-fueled vanilla milkshake dolloped with a cloud of mango foam. The low-alcohol Little Panda is an aromatic elixir of vermouth, sherry, lime juice, and a quarter-ounce of Rhum Agricole, stirred up with an olive. 'It's really crisp and refreshing. It's got a lot of character, especially for a drink that's kind of on the lower-ABV side,' he says. Drinks are about $14. And there's also $5 Miller Lite, with casual (but prompt) service to match. The takeaway : A welcoming refuge when your date wants chips, dips, and beer, but you require an elegant bespoke cocktail accompanied by steak tartare or a proper plate of pork, peppers, and potatoes. Oh, and they take reservations. At Tall Order, larger dishes like pork and potatoes offset a long roster of bar snacks. Will Faraci Tall Order, 70 Beacon St., Somerville, 857-214-0678, Kara Baskin can be reached at
