Global Wine Market 2016-2020
Overview of the global wine market
Market research analysts at Technavio predict that the global wine market will grow steadily during the next four years and will reach a global consumption of more than 30 billion liters by 2020. This market research analysis identifies the increase in marketing and promotional activities as one of the primary factors that will fuel the growth of this market. Most of the vendors in the market are large-sized firms and have businesses in several countries across the globe. They have sufficient capital to invest in promotions to build brand image and increase customer loyalty. Moreover, the constantly increasing number of new vendors will also induce wine manufacturers to launch new varieties of alcoholic beverages and follow aggressive marketing strategies to gain a competitive edge over their competitors.
In terms of geographical regions, EMEA was the major revenue contributor to the market during 2015 and owing to the high demand for wine from European countries, this region is expected to dominate the market during the next four years as well. Though the aging population does not drink wine often, they buy more premium wine and wine manufacturers have started tapping into this segment by releasing wine in smaller packages or in packages that preserve wine better. Also, good grape harvests and exceptional weather conditions in the African region result in the production of wines with good acidity and sugar levels, which will also augment the market’s growth prospects.
Competitive landscape and key vendors
Though the market appears to be fragmented by the presence of several local and international vendors, a few players hold major shares. Wine vendors mainly compete on the basis of product differentiation, portfolio, and pricing and are now concentrating on expanding their business in the market by setting up new manufacturing plants and introducing new products. Owing to the intense competition, vendors have started following M&A strategies to ensure smooth supply of raw materials and to increase their market presence. The growth of the market will also induce a number of private labels to enter the market and existing vendors have the need to distinguish their product and service offerings through a clear and unique value proposition.
The leading vendors in the market are -
- Accolade Wines
- Constellation Brands
- E. & J. Gallo Winery
- The Wine Group
- Treasury Wine Estates
- Viña Concha y Toro
The other prominent vendors in the market are Distell Group, Global Drinks Finland, International Beverage Holdings, John Distilleries, Soyuz-Victan, and SPI Group.
Segmentation by product type and analysis of the wine market
- Still wine
- Sparkling wine
Still wine refers to wine products that are not bubbly and is produced by fermenting grape juice. It is one of the most easily available alcoholic drinks across the globe. Analysts predict that though this segment will witness a decrease in its market share, it will continue to dominate the market throughout the forecast period. White wine, red wine, and rose wine are the popular types of still wine available across the globe.
Segmentation by distribution channel and analysis of the wine market
- Super-markets and hypermarkets
- Specialist retailers
- Convenience stores
Due to the growth of organized retail in the developed and developing economies, supermarkets and hypermarkets were identified to be the most popular distribution channels for wine products during 2015. Analysts have predicted that this trend will continue throughout the predicted period as well and will mainly attribute to the constantly increasing number of supermarkets around the globe.
Key questions answered in the report include
- What will the market size and the growth rate be in 2020?
- What are the key factors driving the global wine market?
- What are the key market trends impacting the growth of the global wine market?
- What are the challenges to market growth?
- Who are the key vendors in the global wine market?
- What are the market opportunities and threats faced by the vendors in the global wine market?
- Trending factors influencing the market shares of the Americas, APAC, and EMEA.
- What are the key outcomes of the five forces analysis of the global wine market?
Technavio also offers customization on reports based on specific client requirement.