|Graphics courtesy Silicon Valley Bank|
|Wine sales are actually dropping for the first time in 25 years|
McMillan cited cannabis as one reason younger consumers aren't drinking as much wine. There is probably some truth to that, at the volume sales level.
Paradoxically, sales are dropping for the cheapest wines, even though supposedly-broke millennials can't afford wine. Sales for wines over $12 are continuing to climb.
Put these numbers together and here is the conclusion: Cannabis is not hurting all wine sales. It's hurting cheap wine sales. And not just with millennials. If you spend any time in cannabis shops in Northern California, you'll notice there are plenty of boomers buying weed. And as you can see from the next chart, it's not stopping them from buying wine.