Republic National Distributing Co.’s exit from California on Aug. 1 has upended the state’s alcohol sales landscape, leaving dozens of beer, wine and spirits brands without a distributor.
As North Bay Business Journal reported July 12, the move has opened the door for competitors such as Jackson Family Wines’ Regal Wine Company distributorship.
Regal has since added 11 suppliers, including its first major spirits brand, positioning the 32-year-old distributor to capture share in a crowded market.
At the same time, Jackson’s Kendall-Jackson and La Crema brands are seeing measurable returns from NBA and WNBA partnerships, with nearly one-third of consumers reached through those activations new to the brands.
In an interview, Brent Bolding, Jackson senior vice president of sales, operations and strategy, and Kristen Reitzell, senior vice president of marketing and communications, outline how Regal is navigating consolidation, broadening its portfolio and targeting younger drinkers in an evolving California market.
How does the current consolidation of wine distribution in California compare to transitions elsewhere in the country, and is there anything comparable for California producers?
BRENT BOLDING: It’s not directly comparable, but it’s a result of industry trends over the past 30 years. As wineries increased from 1,800 to 12,000, distributors consolidated from 3,000 to 1,800. This shift makes it harder for smaller producers to get attention from mega-distributors handling numerous suppliers. Mid-tier distributors like Regal Wine Company see an opportunity to grow by focusing on these producers, which the consolidation and RNDC’s exit from California have enabled.
How many companies and brands did Regal represent before this transition, and how has that changed recently?
BOLDING: Before the transition, Regal represented seven or eight suppliers, with about 250 to 300 brands. Since then, we’ve added 11 new suppliers, including a full-fledged spirits supplier, Flor de Caña, bringing our total to over 100 suppliers. We carefully selected these to align with our 30-year commitment to building brands thoughtfully.
How has the sales marketplace in California changed in recent years?
BOLDING: The industry has seen a surge in winery numbers over 30 years, increasing consumer options. Distributors must focus on storytelling to connect with accounts and consumers. Regal’s success comes from curating a portfolio that prioritizes supplier partners’ needs, ensuring we represent their brands as intended.
How has the marketplace changed regarding the number of accounts, especially post-pandemic?
BOLDING: During the pandemic, we saw account attrition, with some closing temporarily or permanently. Today, the total number of accounts is close to pre-pandemic levels, though wine lists have shrunk as restaurants manage inventory. Regal calls on 8,000 to 10,000 accounts in California, now expanding to 13,000 to 14,000 with new suppliers, out of roughly 20,000 total accounts. Buying habits have shifted slightly, but opportunities remain.
How does Regal approach sales to ensure wines fit specific accounts?
BOLDING: We act as wine consultants, not just salespeople, tailoring selections to each account’s needs, whether based on food, clientele, or goals. This high-touch, relationship-based approach ensures we recommend wines that suit the account, avoiding mismatched priorities.
Has the transition with new suppliers affected your facilities, truck fleet, or staffing?
BOLDING: We’re managing growth carefully. We partner with VinLux (Transport) in American Canyon, which operates about 70 delivery trucks statewide. We haven’t added many trucks yet, but we’re planning to grow our 200-person team by about 10%, adding 20 to 40 people as needed. Our American Canyon facility (via VinLux) can accommodate the new suppliers without expansion.
From a sales strategy perspective, what trends are you seeing in the marketplace post-pandemic?
BOLDING: We’re not focused on industry “headwinds” but on action. Our partnership with the NBA and WNBA, including teams like the Warriors and Sacramento Kings, has driven growth, especially near arenas. This has attracted new consumers, with high-quality wines ensuring they return. We’re seeing positive momentum, with business growing after adding 11 new suppliers.
What specific impacts have you seen from the NBA and WNBA partnerships?
BOLDING: There are a lot of KPIs that we’re managing right now with the partnership of the NBA, WNBA. We’ve also partnered with the Warriors and the Valkyrie. We’ve partnered with the Sacramento Kings in Sacramento. We have the ability with a lot of great technology to see what those partnerships are doing within restaurants, even within a mile or two miles or three-mile radius of the actual arenas where people are going. We know their buying patterns.
REITZELL: Since launching our NBA partnership in May 2024, Kendall-Jackson has brought in a significant wave of new consumers. Over the past year, 65% of households buying Kendall-Jackson were new to the brand, including 8% who were entirely new to wine. These new buyers account for 29% of total spend, while existing shoppers still represent 71%.
Importantly, the profile of these new consumers skews younger and more diverse — Gen Z and Millennials over-index vs. our base, and we’re seeing especially strong growth among Black, Hispanic, Asian, and multicultural shoppers. This shows the partnership is helping us reach audiences who hadn’t engaged with Kendall-Jackson or wine in general before. It’s also delivering tangible benefits for Regal Wine Company by driving incremental consumer trail and demand and opening new retail and on-premise opportunities.
Not everyone can sponsor the NBA or WNBA. But it’s that notion, “Oh, people don’t drink wine at sports events or music festivals.” Well, there’s no wine there, so you’re creating a self-fulfilling prophecy. We’ve shown up with La Crema at Pride events, tennis events, music festivals — people were excited…. There’s always something you can do, always an opportunity out there….
If what you’re doing isn’t working, stop doing that, but keep doing something. Don’t get discouraged… There’s actually so much opportunity with these consumers, but we do have to think differently.
What trends are you seeing with younger consumers, particularly regarding low- or no-alcohol products?
BOLDING: There’s growing interest in low- and no-alcohol offerings. We prioritize quality, finding that lower-alcohol wines taste better than no-alcohol options.
REITZELL: Kendall-Jackson has a low-alc, low-cal offering with three whites. And then we’re going to be launching a La Crema Pinot Noir in probably January. Yes, we’ve increased production. So have some of the (Regal) suppliers; they’re leaning heavily into it as well.
Is the low- or no-alcohol segment a niche or gaining significant market share?
BOLDING: It’s still a small segment but growing, with significant investment from suppliers and retailers allocating more shelf space. It’s in a trial phase, but consumer and customer interest is strong.
What traction have you seen with alternative packaging?
BOLDING: We’ve brought on Union Wine Company’s Underwood cans, prioritizing quality in alternative packaging. Cans are popular due to consumer familiarity from the beer industry, and we’re exploring grab-and-go sizes for events like music festivals and NBA arenas. We’re cautious to ensure quality isn’t compromised.
Is there a move toward wine on tap in on-premise accounts?
BOLDING: Wine on tap is growing, with some (of Regal’s) accounts like 60 Vines exclusively using it. However, quality control, like line cleaning, is critical. It’s an option but not a priority for most restaurants, and we ensure quality remains paramount.
How have packaging costs and price sensitivity affected your operations and pricing strategy?
BOLDING: Cost of goods has risen across industries, including wine. We’re aware of these increases but don’t let them drive pricing. Our salespeople emphasize storytelling about vineyards and sustainability, justifying quality-driven pricing. Consumers are willing to pay more for trusted brands with high quality.
Jeff Quackenbush covers wine, construction and real estate. Reach him at jquackenbush@busjrnl.com or 707-521-4256.
Originally Published: September 4, 2025 at 5:51 PM PDT
Dining and Cooking