According to a new report by Global Industry Analysts Incorporated, the global wine market will reach 26.12 billion litres by the year 2015. Wine, which holds a niche category in the alcoholic beverages market, is headed towards a healthy future with a steady growth forecast over the review period the report said.
Developing countries like Russia, China and India, are expected to drive future growth in the market. Changing lifestyles in these countries is proving to be the most important reason for the growth in wine consumption and whereas in the past wine consumption was confined to middle-aged customers, today a growing base of younger consumers are showing a noticeable preference for wine over other alcoholic drinks.
The principal health benefits of wine would also enable the segment to make inroads into the markets of beer and spirits. Recent research findings confirm the fact that moderate consumption of wine prevents heart disease, cancer, Alzheimer’s disease as well as muscular degeneration.
The global market for wine witnessed a slowdown in growth during the recessionary years 2008 and 2009. The economic crisis created a huge drop in consumption, supplemented by the problem of over production, negatively affected the global wine industry.
This was mainly attributed to a drastic reduction in consumption in the largest market for wines worldwide, the EU. The major declines within the EU were in France and Spain. The US also underwent major shortfalls.
This economic downturn also led to the trend of consumers trading down to cheaper wines.
However, by the beginning of last year the wine industry was back on the path of a steady recovery, with improved revival trends reported by global suppliers. Despite poor harvests in some of the major supplying nations, the average per bottle price managed to show improvement. 2010 also witnessed improvements in the export and import situation in line with the improving global economy.
New players entering the market and greater focus and investments in advertising and marketing campaigns intensified competition in the market place and the market also witnessed an unprecedented increase in wine sales through the internet.