From Siri to Sobriety: Transforming Perceptions of Dealcoholized Wine at a Napa Facility

ALTR, a Phoenix-based company, is making strides in the emerging market for dealcoholized wines by opening a pilot facility in Napa Valley, in collaboration with winemakers at Materra Cunat Family Vineyards. With a recent funding round of $6 million, ALTR aims to transition from pilot operations to commercial-scale production, with products hitting the market as early as this year.

The founder, Richard Schatzberger, transitioned from a career in tech—working on products like the Siri voice system at Apple—to the wine industry after achieving sobriety eight years ago. This personal journey inspired him to provide consumers with options for alcohol consumption that align with their lifestyle choices, thus launching ALTR.

ALTR employs a cutting-edge system called Velvet Blade, a membrane-based process that separates alcohol without compromising the wine’s aroma and flavor. This contrasts with traditional methods like vacuum distillation, which can deplete essential qualities of the wine. The innovative technology is designed to maintain the integrity of the wine while allowing for lower-alcohol content, addressing the growing consumer shift towards healthier drinking habits.

The current beverage alcohol market is witnessing notable changes, with a reported decline in traditional alcoholic beverage sales while nonalcoholic alternatives surge. Nonalcoholic wine specifically grew by 21.1%, although it represents a small fraction—about 0.5%—of the overall wine market. ALTR aims to capitalize on this trend by focusing on "mid-strength" wines ranging from 3% to 11% alcohol by volume, appealing to consumers looking for moderation rather than complete abstinence.

Leading wineries, including Clos du Val, are exploring ALTR’s technology as they assess potential new brands or sub-brands aimed at the low-alcohol segment. While there is some caution regarding existing alcohol removal technologies, early tests have shown promising results.

Looking ahead, ALTR plans to expand its operations beyond Napa, aiming to offer contract processing and sell equipment to larger vintners. By collaborating with winemakers to create tailored products, ALTR is set to contribute to the evolving landscape of wine production, aligning with the rising demand for lower-alcohol options.

About the Author: Chris Lehoux

Meet Chris Lehoux, an experienced wine connoisseur and dedicated blogger with a deep passion for all things wine-related. With years of expertise in the industry, Chris shares insightful wine reviews, valuable wine tasting tips, expert pairing advice, and captivating tales of vineyard visits. Join Chris on a journey through the world of wine, where every sip is an adventure waiting to be savored!