Wednesday, May 26, 2021 www.nabca.org • Control State Results for April 2021 • MI: Michigan wine shipping lawsuit targets Napa vintner, 3 others (excerpt) TODAY’S • The Alcohol Pandemic: Are We Ready for What's Next? HIGHLIGHTS • House Licensing and Occupations Chair Adam Koenig Discusses Current State of Bourbon Industry • Cannabis Advocates Can Look To Alcohol's Past For Responsible Future NABCA CONTROL STATE RESULTS NABCA NEWS Control State Results for April 2021 The Collection: An Alcohol Research Summary Control State Results (formerly Annotated Bibliography) A comprehensive overview of the latest scientific evidence on Source: NABCA important topics related to alcohol policy. May 25, 2021 Sharing Solutions E-Newsletter! A platform for the During April nine-liter control states spirits case NABCA community to share successful sales grew 17.5% over same period sales last year, implementationS and lessons learned about your effected by a flat comp and an anomalous kilo- good work. percent Pennsylvania growth rate. Alabama (19.0%), Montgomery County Maryland (7.2%), ADDITIONAL LINKS Montana (16.0%), North Carolina (16.6%), New Hampshire (46.9%), Ohio (9.0%), Oregon (5.3%), Visit NABCA’s website for information on: Pennsylvania (1,052.9%), Virginia (11.3%), and • Control State Agency Information Wyoming (14.0%) reported monthly growth rates • Doing Business in Control States for April exceeding their twelve-month trends. • NABCA News The growth rates for Iowa (1.2%), Idaho (9.1%), Maine (4.2%), Michigan (-20.4%), Mississippi(- 5.4%), Utah (-0.5%), Vermont (-0.4%), and West Virginia (-5.0%) fell short of their twelve-month trends. Control state rolling-twelve-month- volume growth, 7.9%, improved upon March’s reported 6.6%. Spirits’ volumes are growing 7.4% year-to-date compared to 6.5% a year ago. April’s 17.5% nine-liter spirits growth rate is the second highest growth rate reported for the control states, surpassed only by September 2020’s reported 17.9%. Control state spirits shelf dollars were up 27.9% during April while trending at 15.4% during the past twelve months. Alabama (25.4%), Idaho (18.8%), Montgomery County Maryland (18.6%), Montana (28.0%), North Carolina (28.4%), New Hampshire (58.9%), Ohio(20.8%), Oregon (13.8%), 2 Pennsylvania (1,024.0%), Utah (8.2%), Virginia − On net, there were 24 more selling days (20.3%), and Wyoming (22.3%) reported growth during April in the control states, 5% rates exceeding their twelve-month trends. Iowa more, compared to last year. (8.0%), Maine (11.2%), Michigan (-9.6%), − After equivalizing selling-day variations Mississippi(5.8%), Vermont(7.1%), and West between this and last year’s April, the Virginia(0.7%) grew shelf dollars at rates below nine-liter- their twelve-month trends. Shelf dollars in the control states are up 15.8% year-to-date compared − case-spirits growth rate is 9.9% with a to 8.9% last year. rolling-twelve-month trend of 7.1%. April’s shelf-dollar growth rate is 19.2% April’s 27.9% shelf dollar growth rate is the highest with a rolling-twelve-month trend of growth rate reported for the control states. 14.3%. Price/Mix for April is 10.4%, up from March’s − Equivalized price/mix for April is 9.3%. reported 9.1%. Tequila, with 9% share of the nine-liter case Premiumization continues to drive Price/Mix in the control states spirits market, was April’s fastest control states. April’s 10.4% reported Price/Mix is growing category with 57.2% reported and a the highest value ever reported. During April 2021, twelve-month trend of 28.5%. Cordials, with 7% the median price of 750 ML spirits volumes sold in share, grew during April at 49.1% and 10.7% those control states that set the retail price point during the past twelve months. Irish Whiskey, was $24.99 (the highest value recorded in the with 2% share, grew at 47.0% during April and control states) and the weighted average price of 9.1% during the past twelve months. Vodka, with 750 ML volumes was $17.80. During last year’s 32% share, grew during the same periods at 9.8% April, these prices were $23.95 and $16.55, and 1.5%, respectively. Cordials(49.1% during respectively. April, 10.7% during past twelve months), April’s control states growth rate was effected by Domestic Whiskey (14.3%, 10.2%), Gin (11.4%, calendar anomalies and pandemic related 1.2%), Irish Whiskey (47.0%, 9.1%), Rum (13.7%, phenomena. 2.9%), Scotch (21.9%, 2.6%), Tequila (57.2%, 28.5%) and Vodka (9.8%, 1.5%) and grew at rates − Michigan, with 17% of control state nine- above their twelve-month trends, while liter-case spirits volume, reported sales for Brandy/Cognac (13.1%, 16.2%), Canadian Whiskey 28 days this April compared to 35 days last (4.4%, 6.5%), Cocktails (43.1%, 44.3%) grew at year, artificially deflating sales growth and rates below their twelve-month trends. skewing control state results. Michigan had seven fewer selling days during this year’s April’s nine-liter wine case sales growth rate was April. 23.1%. Pennsylvania (reporting 47.0% nine-liter- case growth for wines), New Hampshire (24.4%), − Pennsylvania, with 12% of control state Mississippi (-13.4%), Utah (-0.9%), Montgomery nine-liter-case spirits volume, reported County Maryland (-8.3%), and Wyoming (-18.5%) sales for 27 days this April compared to 3 are the control states that are the sole days last year, artificially inflating sales wholesalers of wines and spirits within their growth and skewing control state results. geographical boundaries. Rolling-twelve-month Pennsylvania had 24 more selling days wine volume growth in these six control states is during this year’s April. 2.8%, improving upon March’s reported 0.1%. − New Hampshire, with 4% of control state nine-liter-case spirits volume, reported sales for 34 days this April compared to 27 days last year, artificially inflating sales growth and skewing control state results. New Hampshire had seven more selling days during this year’s April. 3 9L Cases Shelf $ Price/ Control CM % CM % Mix States Chg Chg Total Control 17.5 27.9 10.4% States IA, MD, Central 24.4 35.4 11.0% MI, OH, Region PA, WV ME, NH, NE Region 24.9 33.5 8.6% VT ID, MT, NW 6.4 15.2 8.8% OR, UT, Region WY Southern AL, MS, 12.3 22.8 10.5% Region NC, VA CONTROL STATE NEWS PA: Substance abuse, increased alcohol consumption during a pandemic, according to state officials Pennsylvania News Today By Sean Raynor May 26, 2021 The ongoing COVID-19 pandemic is increasing the recurrence of individuals with substance abuse disorders. This has led to an increase in the amount of alcohol consumed by adults. State officials said they were blocking students’ access to school support services. Over the past year, overdose has increased by 10 percent nationwide. According to the August 2020 survey Centers for Disease Control and Prevention was found 13.3% of respondents stated that they “started or increased substance use to address the stress and emotions associated with COVID- 19.” 4 All data for 2020 have not yet been released, but mental health and resilience, have positive coping state health officials said During april The skills, reduce risky behaviors and substance use preliminary data show that there were at least 422 disorders, and respond to careers. It can promote deaths from overdose in 2020 than in 2019. the growth of youth into adults. “ “Continuing to assess trends in overdose in 2020 Every two years since 1989, the Pennsylvania shows a significant increase in fatal overdose,” said Crime and Delinquency Commission (PCCD).It was Alison Beam, director of state health. “We know conducted Pennsylvania Youth Survey (PAYS), that the COVID-19 pandemic has exacerbated the Collect data, assess student risk factors, and notify challenges of addicts.” community leaders of findings. In addition to increasing substance abuse rates, DDAP then uses the collected data to learn about pandemics have led to increased demand for student behavior, attitudes, alcohol, tobacco, mental health services. American Psychological narcotics, and violence. Association report. In 2019, the state surveyed more than 294,000 “With the increase in drug use, trauma, adversity students in 413 federal public school districts. The childhood experience, and other risk factors from next survey will be conducted this fall. the COVID-19 pandemic, it is imperative to “We want to know how pandemics have affected strengthen preventive efforts to address these risk adolescents’ substance use, including whether factors.” Jennifer, Executive Director of the Drug increased alcohol use in adults is reflected in and Alcohol Program Authority (DDAP), said Smith. adolescents as well. We anticipate that the The pandemic has forced many state agencies to number of young people reporting depressive reassess their current goals and outreach programs symptoms and suicidal ideation / attempted to help more Pennsylvanians receive support suicide reports may continue to increase as the services. Alison Gantz, a DDAP spokesman, said the need for mental health services is reported to pandemic “repeats the importance of reducing increase. ” We will inform you about future stigma, strengthening primary prevention, departmental programming and outreach efforts. strengthening the state’s treatment system, and “Prevention is the first line of defense for children strengthening sustainable recovery.” “. to lead a healthy and productive life,” Smith said “We are more focused than ever on improving the in a statement about DDAP’s future efforts to quality of the entire system and access to prevent substance abuse disorders.