Vineyards in California need no reminding of the importance of sustainability. The state is susceptible to wildfires: with hot, dry weather and high winds fanning flames and wreaking destruction. These are a constant threat to the state’s vineyards and a reminder of how fragile the land is.
It’s a similar story across the global wine industry. Extreme weather events, such as storms and hail, have decimated harvests in Europe. Every country has a tale to tell.
But Caitlin Hodes, sustainability manager at Treasury Wine Estates, doesn’t focus on the doom and gloom. Her motivation, instead, comes more from working among the beauty of the world-renowned vineyards in California. Her job is about being part of the solution: creating an environment where vineyards can thrive and flourish.
Sustainability in the vineyard
At Treasury Wine Estates, Hodes is in charge of implementing and communicating sustainability initiatives in the Americas.
She’s based in California, where the company is the largest luxury landowner in Napa Valley and the Adelaida District of Paso Robles.
That includes wine production spanning over 6,000 vineyard acres, where initiatives span from solar power for wineries to biodiversity among the vines.
But what’s top of mind for Hodes isn’t sunshine or butterflies. It’s packaging.
Glass bottles are a fundamental of the wine industry - essential to nearly every wine brand - but also a large contributor of emissions.
“Our journey [at TWE] really started with a focus more on net zero and direct emissions, and we’ve done a lot of work there,” said Hodes. “But the glass comprises a huge portion of our overall emissions as a wine industry. So for the average winery, it’s about 20% of total emissions - and that’s everything from scope 1, 2 and 3.
“So it’s pretty significant, and that’s because bottles are heavy. It takes a lot of fuel to transport bottles, and the recycling process uses a lot of energy. So we’ve really been focusing on that area.”
Lightweighting – removing weight from a bottle by minimizing the glass – is surprisingly difficult, explains Hodes. Not only is it challenging technically: but it’s also a big ask to get brands and marketers on board with the mission.
“Many of our luxury brands have a feeling that consumers associate luxury with a heavier bottle, this really aesthetic experience of when you’re drinking the wine,” she says.
“And so the brand teams started with consumer testing and research to figure out: do they actually care? Do they notice a change in weight?
“And they found out consumers don’t really notice when you remove weight; but they do notice when you change the aesthetics of the bottle.”
Supported by that consumer research, Treasury Wine Estates has now managed to reduce glass weight by up 14%–27% per bottle across its high-volume Bold Brands portfolio, including 19 Crimes.
Wine kegs
But Hodes is also thinking beyond the bottle. What if wine didn’t have to be in glass at all?
This is quite a leap of thinking for some brands: but it’s an area that Treasury has been pioneering, starting with Sterling Vineyards in Napa Valley.
“Wine kegs have been really successful for us: both in the tasting room and then more broadly with retailers and restaurants,” says Hodes.
“And our Sterling vineyard has done a really good job of incorporating those into the tasting experience and using it as a tool to educate consumers about sustainability.
“And then they’ve also found that has saved all sorts of operational efficiencies because their staff is not having to uncork and sniff and test every single bottle.
“And that’s been a really good way for us to reduce the amount of glass that we’re using in the first place.”
Treasury Wine Estates climate projects
• Packaging Innovation & Glass Weight Reductions: Caitlin manages Treasury Americas' approach to more sustainable packaging solutions, including glass weight reductions across DAOU, Frank Family, Stags' Leap, and Sterling Vineyards. Her team launched a feasibility study with Revino to explore glass reuse and continues to expand the use of stainless steel kegs across the portfolio to support circularity in the industry: saving over 1.6 million glass bottles from landfills and counting.
• Employee Engagement Through “Green Teams”: Caitlin created an employee engagement group, “Green Teams,” to educate TWE’s internal employees and enable members to be sustainability champions
• Sustainability Certifications: After achieving 100% sustainable certification across TWE’s owned vineyards, Caitlin works alongside contracted growers to prioritize sustainable practices and provide technical assistance to support the transition.
• Net Zero 2030: With Scope 2 emissions fully eliminated through on-site solar installations and renewable energy certificate (REC) purchases, Caitlin oversees TWE’s Net Zero 2030 strategy to reduce Scope 1 emissions, analyzing and addressing residual emissions gap through partnerships with emerging technology providers.
How to make the business case for sustainability
The best sustainability initiatives are the ones that deliver not only an environmental win, but a business win as well.
Sometimes the benefits are clear all around. “For glass, it’s so straightforward,” says Hodes. “You take out glass, you spend less on material.”
But other projects require a longer term view. Treasury Wine Estates has done a lot of work on rolling out solar energy across sites in California. “That was a huge upfront investment, but it does pay off over time, and we’re now reaping the benefits of that,” says Hodes.
And then there are other projects that become more complicated when it comes to the balance sheet (how does a biodiversity initiative, for example, offer a clear business return?)
“In my opinion, sustainability is good business and they go hand in hand. But sometimes you have to spell that out and create the model for folks to be able to understand that, and bring them along in the process,” says Hodes.
And sometimes it’s about being part of a whole ecosystem of gradual but monumental change.
Take certification, for example: Treasury Wine Estates California vineyards all boast sustainability certification.
“That involves a lot of third party auditing and continuous improvement plans and site engagement. But it allows us to put the certified label on our bottles,” says Hodes.
“And that’s something that our sales team is getting asked for consistently from retailers, because retailers have their own sustainability goals. And having that sustainability certification does help us stand out among other brands.”
Working with scientists
From New Zealand to California, sustainability is becoming deeply ingrained in the wine industry. Why?
Because it’s an industry that’s so strongly connected to nature, says Hodes.
“When it comes to the story of wine, it’s all so foundational to the land where it’s grown.
“I think there’s an understanding of what climate change means, and what climate risk could look like for vineyards. And because of that, people are very aware. We need to be able to withstand any weather events. And we’ve seen some of those in Napa.”
To that end, Treasury works with scientists to understand and mitigate the long-term dangers and concerns (including extreme heat and wildfires).
“We work with the research team at UC Davis and they have a whole team dedicated towards climate risk and climate adaptation specifically for vineyards,” said Hodes.
The problem is that many projects are based around each growing cycle – and that takes time. Here, Treasury Wine Estates can help: contributing its land and existing data from previous years and vintages.
Sustainability, of course, is a long-term project: and Hodes admits that it can feel like an uphill battle.
“Of course there are days where it feels daunting,” she says. “It’s a complex problem. But I do think feeling like you’re part of the solution, and that you’re having an impact, is something. And working with people who share those values and dedication and understanding is powerful.”
