Good news for the wine industry: a recent survey shows wine has become consumers’ first choice in the US, UK, and Australia when they stay at home, which itself remains a strong trend as people seem reluctant to return to their pre-Crisis levels of spending on eating and drinking out.
The bad news for upper tier wineries is that the wines chosen remain on the lower end of the price scale in the US, Australia, and other countries like Italy and Austria. Only the UK is feeling optimistic- 30% are willing to pay more then $10 per bottle versus the $7 bottles selling in the other countries.
What does this mean? In the short term wineries selling wines over $10 are going to continue to struggle for a while and wine flash sales and deals will continue- more of the same we’ve been seeing in the past year. But long term it means drinking habits are shifting from beer and spirits towards wine, which is considered better for your health, adds an additional level of pleasure to food, and has strong associations with sharing good times with family and friends. Even the Crisis has had one major upside, as in their search for values consumers have become more open to experimenting with new regions and varietals. This means once confidence is restored the industry may have its best moment yet- a wide wine drinking population, now open minded and with increased power to move up the price scale and searching for great finds at all levels. And with internet shopping for wine now more widely available, consumers will be able to take advantage of more choices than ever.