Portfolio Profile - Terlato Wine Group

Family-Driven approach Wine & Spirits to

By Michael Tulipan

Terlato Wine Group is a family-owned, multi-generational company that specializes in luxury beverages

The history of the Terlato Wine Group dates to 1936 when current CEO Bill Terlato’s grandparents each had wine stores within a few miles of one another in Illinois. Within a decade, the family had become statewide distributors, setting them on the road to creating the groundbreaking company that today imports, markets, and produces fine wines and spirits.

Terlato’s family-driven approach has spanned four generations and laid a foundation for its current success. Under Bill Terlato’s leadership, the company has added several wineries to its holdings. Its first acquisition in 1996, Rutherford Hill Winery in Napa Valley, California, was followed by several others, including Chimney Rock Winery in the Stags Leap District of Napa Valley and Sanford Winery and Vineyards outside Santa Barbara. The namesake Terlato Family Vineyards also established operations in both Italy and California.

Today, the company maintains an extensive portfolio of 85 different brands. “Our vision is to be a truly exceptional, family-owned, multi-generational company that specializes in luxury beverages,” says Bill Terlato. But as it continues to expand, Terlato has maintained a laser-like focus on quality. “Ownership has allowed for more control over quality of products, our own destiny, and a potential worldwide market presence,” he says.

The Terlato’s maintain its commitment to quality by expanding wine knowledge throughout their organization. “We are a passionate wine and food family, and to increase our knowledge and appreciation of wine, we try to drink a different wine each day over 60-days, including competitive brands,” shares Terlato. “That is a great learning experience and allows us to benchmark the quality of our wines and spirits.”

The Terlato portfolio continues to grow as management identifies new market opportunities. In 2016, the Terlato family purchased the renowned Klipsun Vineyard. Originally planted in 1984, Klipsun Vineyards is widely known for its powerful and elegant Cabernet Sauvignon and Merlot. Artisanal and handcrafted in every way, the packaging features a beautiful hand-dipped wax capsule, individually numbered bottles, and a protective anticounterfeit security seal. Each luxury Bordelaise 1855 glass bottle is hand wrapped in custom tissue paper and placed in an elegant fire-branded wood collectors’ box.

“Klipsun was a very important vineyard acquisition for us. This exceptional vineyard is the source of some of the most coveted fruit in the state and Red Mountain is an area of Washington our family has always admired,” explains Terlato. “We intend on maintaining the legacy of this great property for many generations and are thrilled to be able to produce a limited quantity of outstanding wine from this iconic vineyard.”

With several Champagne houses suffering recent shortages amid surging demand, the company recently announced an exclusive sales and marketing agreement with Champagne Lanson, one of Champagne’s oldest and most respected houses.

Another booming category, rosé wines, has long been an area of specialty for Terlato. This year, it has partnered with the Bruno Paillard family to launch luxury rosé brand Les Sarrins sourced from the iconic Chateau des Sarrins in Cotes de Provence. “This stunning product is the perfect combination of package, place, and positioning, and we are very optimistic on what we can achieve in this category,” Terlato says.

Spirits represent another burgeoning segment of the portfolio, including new acquisitions Dublin Ink Irish Whiskey, Geometric Gin, and even the nonalcoholic Symmetry Botanical Essences, all of which are equal partnerships with beverage industry veteran Steven Nathan. The 90 proof Dublin Ink is composed of 50% malt, more than most other Irish whiskeys, triple distilled in Ireland and finished in sherry casks. The super-premium Geometric Gin is made from a base of grape distillate and will launch in the United States later this year.

Terlato’s commitment to provenance and highquality wines and spirits will never waver, but as it looks to attract the next generation, the company is redoubling its sustainability efforts, integrating more Low-ABV options into the portfolio, and continuing to innovate with consumer activations and social media initiatives that push boundaries. As a result, the future shines just as brightly for this four-generation family-owned business.