SAN FRANCISCO, May 11, 2021 /PRNewswire/ -- The global wine market size is expected to reach USD 685.99 billion by 2028, according to a new report by Grand View Research, Inc. It is expected to expand at a CAGR of 6.4% from 2021 to 2028. The growing preference for wines among all age groups instead of hard spirits across the world is expected to be a major factor contributing to the growth of the market. In addition to this, growing party culture with higher demand for low alcoholic beverages is anticipated to fuel the market growth over the forecast period.
Key suggestions from the report:
By product, table wine held the largest share of more than 84.0% in 2020 and is expected to maintain its lead over the forecast period. Being inexpensive and easily accessible through retail, table wines often find preference among new consumers of wine
The sparkling wine product segment is projected to register the fastest CAGR of 6.6% from 2021 to 2028. Increased consumer interest in spritz drinks and propagation of aperitivo culture in the European region have been driving the demand for sparkling wine
The off-trade distribution channel held the largest share of 89.0% in 2020. The off-trade distribution channel of wine includes retail outlets, supermarkets, and hypermarkets
Europe held the largest share of over 46.0% in 2020. Europe is the most established market for wine with several countries such as Portugal, Italy, and France having the highest per capita wine consumption per year
Wine has gained wide-scale penetration across the globe. Its popularity is attributed to its affordable pricing along with fine taste. Online sales of wine have made it exceptionally affordable and accessible to consumers, regardless of their location. Along with that, digital communication technologies have improved the experience of shopping for different types of wine.
The off-trade distribution channel enjoys maximum penetration across the globe. The regular consumption of table and dessert wines is likely to be the major factor driving the sales of different types of wines through off-trade distribution channels. In addition, the low prices of wine being sold through these distribution channels are likely to encourage more consumers to opt for these, resulting in a positive impact on the market growth over the forecast years.
Companies are increasingly focusing on producing new wines to gain market share across the globe. For instance, in May 2020, E. & J. Gallo Winery announced the launch of a new French rosé, created and developed by Post Malone, a Grammy-nominated record artist, in partnership with Global Brand Equities and Dre London. E. & J. Gallo Company has exclusive distribution and sales support for the brand.
To increase geographic reach, cut down competition, and expand market share, companies are adopting strategies such as mergers & acquisitions and various partnerships. For instance, in 2020, Accolade Wines acquired the operations of Australian wine company Katnook Estate from Wingara Wine Group. Accolade Wines will control approximately 160 hectares of vineyards in Coonawarra, Australia.
Grand View Research has segmented the global wine market on the basis of product, distribution channel, and region:
Wine Product Outlook (Revenue, USD Billion, 2016 - 2028)
Wine Distribution Channel Outlook (Revenue, USD Billion, 2016 - 2028)
Wine Regional Outlook (Revenue, USD Billion, 2016 - 2028)
U.S. Wine Market – The U.S. wine market size was estimated at USD 61.80 billion in 2017. The increasing penetration of the product on account of growing consumer preference for the low percentage of Alcohol by Volume (ABV) blends is expected to drive market growth.
Port Wine Market – The global port wine market size was valued at USD 825.68 million in 2018 and is expected to witness a significant CAGR of 4.0% in the forecasted period. Increasing alcohol consumption is one of the major driving factors for the industry.
Honey Wine Market – The global honey wine market size was valued at USD 408.45 million in 2018. The market is estimated to expand further at a CAGR of 10.41% from 2019 to 2025.
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About Grand View Research
Grand View Research, U.S.-based market research and consulting company, provides syndicated as well as customized research reports and consulting services. Registered in California and headquartered in San Francisco, the company comprises over 425 analysts and consultants, adding more than 1200 market research reports to its vast database each year. These reports offer in-depth analysis on 46 industries across 25 major countries worldwide. With the help of an interactive market intelligence platform, Grand View Research helps Fortune 500 companies and renowned academic institutes understand the global and regional business environment and gauge the opportunities that lie ahead.