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The India wine market size is forecast to increase by USD 1.89 billion at a CAGR of 47.6% between 2023 and 2028. The market is experiencing significant growth, driven by several key trends. One of the most prominent factors is the increasing use of online sales channels, as consumers turn to the convenience and accessibility of e-commerce platforms for purchasing wine. Additionally, the rising population of millennials worldwide is contributing to market growth, as this demographic is known for its appreciation for fine wines and its preference for experiencing new and unique flavors. However, campaigns against alcohol consumption pose a challenge to the market, as they raise awareness about the potential health risks associated with excessive drinking. Despite this, the market is expected to continue its growth trajectory, driven by these trends and others.
The market continues to captivate consumers with its refreshing properties and diverse offerings. Wine, with its rich taste and mild alcohol content, remains a popular choice for those seeking a break from traditional alcohol consumption. The market caters to various segments, including wine connoisseurs and those preferring low alcohol-by-volume (ABV) wines. Wine E-commerce platforms have emerged as significant sales channels, allowing customers to explore a wide range of wines from the comfort of their homes. Wine production incorporates organic methods and sustainable practices, while wine tourism thrives through vineyard tours and wine tastings. Augmented reality (AR) technology enhances the wine tasting experience, offering a more interactive approach. The market also includes natural wines, canned wines, and even cannabis-infused wines. Table wine, mild alcoholic beverages, sparkling wine, and spritz drinks cater to various consumer preferences. Both off-trade and on-trade channels continue to play crucial roles in the market's growth. Canned liquor and alcohol socials are emerging trends, offering convenience and unique experiences to consumers.
The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in "USD billion " for the period 2024-2028, as well as historical data from 2018 - 2022 for the following segments.
The domestic segment is estimated to witness significant growth during the forecast period. The bucolic allure of wine continues to captivate consumers in India, driving growth in the market. Premium wine brands are increasingly popular, with a focus on refreshing properties and low alcohol-by-volume (ABV) offerings. E-commerce platforms have emerged as significant channels for wine sales, catering to the needs of wine connoisseurs.
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The domestic segment was the largest segment and valued at USD 63.10 million in 2018. Innovation in wine production, such as canned liquor and natural wines, has expanded the market. Health benefits and the luxurious appeal of alcoholic beverages further fuel demand. Wine production using organic methods and adherence to health legislation are crucial factors. Wine tourism, including vineyard tours and wine and meat tastings, adds to the customer experience. Hence, such factors are fuelling the growth of this segment during the forecast period.
Our researchers analyzed the data with 2023 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.
Increasing use of online sales channels is notably driving market growth. The market is witnessing significant growth due to the expanding consumer base and the increasing popularity of mild alcoholic beverages, such as table wine and spritz drinks. Consumers' preference for convenience and the availability of a wide range of choices have led to an increase in the sale of wine through online channels.
Moreover, the off-trade and on-trade sectors, including supermarkets and restaurants, are also contributing to the market's growth. Wine cultivation in India is gaining momentum, and the presence of strong online distribution channels, such as WineWell and LiquorKart, is expected to further boost sales. Thus, such factors are driving the growth of the market during the forecast period.
Rising population of millennials worldwide is the key trend in the market. Millennials, comprising over 40% of India's working-age population in 2023, hold significant spending power and are increasingly drawn to mild alcoholic beverages such as table wine. This demographic group, accounting for one-third of India's total population, displays a keen interest in exploring new wine variants and flavors.
The market stands to benefit significantly from this trend, with domestic players capitalizing on the opportunity to expand their reach and attract a larger customer base. Wine cultivation is gaining momentum in India, and the market for mild alcoholic beverages, including table wine and spritz drinks, is expected to witness growth during the forecast period in the both off-trade and on-trade sectors. Thus, such trends will shape the growth of the market during the forecast period.
Campaigns against alcohol consumption is the major challenge that affects the growth of the market. The market faces significant challenges due to increasing campaigns against alcohol consumption and the associated health risks. Table wine, a mild alcoholic beverage, is among the beverages targeted in these campaigns.
Alcohol abuse and related accidents, particularly among the younger demographic, have become a major concern for regulatory and social organizations. Prolonged consumption of alcoholic beverages, including wine, can lead to various health issues such as blackouts, loss of coordination, seizures, drowsiness, hypothermia, low blood sugar levels, vomiting, diarrhea, bleeding, and irregular heartbeat. Hence, the above factors will impede the growth of the market during the forecast period.
The market forecasting report includes the adoption lifecycle of the market, covering from the innovator's stage to the laggard's stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their market growth analysis strategies.
Customer Landscape
Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.
Big Banyan Wines: The company offers shiraj red wine which has luscious flavor of black fruits with red berries, thus mostly served with meal.
The market research and growth report also includes detailed analyses of the competitive landscape of the market and information about key companies, including:
Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.
The market continues to captivate consumers with its refreshing properties and taste, making it a popular choice for alcohol consumption worldwide. The market offers a wide range of wine varieties, including still wine, sparkling wine, red wine, rosé wine, and more, each with unique grape varieties and wine styles. The market dynamics are influenced by various factors such as health benefits, luxurious appeal, and changing consumer preferences. Low alcohol-by-volume (ABV) wines are gaining popularity due to health-conscious consumers. E-commerce platforms have made it easier for wine connoisseurs to access their favorite bottles from the comfort of their homes. The rise of canned liquor and alcoholic beverages has also influenced the market, with canned wines becoming a trend. Mobile Augmented reality (AR) technology is transforming the wine industry, offering customers experiences through virtual vineyard tours and wine tastings. The market also includes natural wines, canned wines, and cannabis-infused wines, catering to diverse consumer preferences. Health legislation and the perception of wine as a luxury good continue to impact the market. Brick-and-mortar stores remain an essential part of the market, offering customers a tactile and sensory experience.
Market Scope |
|
Report Coverage |
Details |
Page number |
131 |
Base year |
2023 |
Historic period |
2018 - 2022 |
Forecast period |
2024-2028 |
Growth momentum & CAGR |
Accelerate at a CAGR of 47.6% |
Market growth 2024-2028 |
USD 1.89 billion |
Market structure |
Fragmented |
YoY growth 2023-2024(%) |
33.6 |
Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
Key companies profiled |
Big Banyan Wines, Century Wines Pvt. Ltd., Charosa Wineries Ltd., Chateau d Ori, Deccan Plateau Vineyards Pvt Ltd., Fratelli Wines Pvt. Ltd., Good Drop Wine Cellars Pvt Ltd., Grover Zampa Vineyards Ltd., John Distilleries Pvt. Ltd., KRSMA Estates Pvt. Ltd., LVMH Moet Hennessy Louis Vuitton SE, Naveen Distillery, Nira Valley Grape Wines Ltd., Pernod Ricard SA, RENAISSANCE Winery Pvt. Ltd., SDU WINERY PVT LTD., Sula Vineyards Ltd., The Tonia Group, Vallonne Vineyards Pvt. Ltd., and York Winery Pvt Ltd. |
Market dynamics |
Parent market analysis, market report, market forecast, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, Market condition analysis for forecast period |
Customization purview |
If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
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1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by Type
7 Market Segmentation by Product
8 Customer Landscape
9 Drivers, Challenges, and Opportunity/Restraints
10 Competitive Landscape
11 Competitive Analysis
12 Appendix
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