8 Wine Trends To Watch in 2012 by Liz Palmer

Since the plunge in world markets, the wine market has not only bounced back, but is on a steady uphill rise. The market in fine wines has become reliable and with such potential for growth that no respectable financial portfolio should be without a select stock of first growth Bordeaux. Along with an increased awareness of fine wines for investment purposes, here are some further trends that seem to be gaining strength:

1.      Local Wines – The movement to reduce carbon emissions and consume locally grown products has extended to the wine industry in the past few years and this will continue to grow.

2.      Less is More – New world wines with overripe grapes and high alcohol contents have lost their popularity and will be replaced by classic, elegant wines with less alcohol levels (below 13 or 14%). This style marks the return to the tradition of flavorful, balanced wines. There will also be less wood flavors with more clear fruit forward wines.

3.      Retailers Resurgent – Employees have never been more knowledgeable and have become less snobby.  There will be more in-store tastings with a culture of service becoming more important.

4.      Burgundy is the New Bordeaux – As prices for Bordeaux continue to rise, more wine lovers are choosing wines from Burgundy. This is evidenced at some recent New York and Hong Kong wine auctions.

 5.   Sustainable Wines – The desire to make more natural wines, from organic or biodynamic vineyards with minimal intervention, including the addition of chemicals, is gaining more recognition.

New Zealand is set on becoming the first country with a fully sustainable wine industry by 2013, with many of the country’s big winemakers already producing organic wines. Expect this trend to continue growing in the coming years.

6.  Value – Although we seem to be out of the worst of the recession, we are looking for good mid-priced wines that offer great value for the price. Wines from the regions of South America, Australia, and Spain offer such value without the high price tag.

7.    Bends –  There is some truth to the power of blending to build better wine.  This is true for both whites and reds. It is worth watching the renewed market power of non-varietal wines. The average consumer is more willing to buy wine without it being marked chardonnay or merlot – this is a crucial shift.  We’ve transcended our neuroses about blended wines — insecurities that grew out of pre-1980s fondness for things like hearty burgundy. It also means that we won’t be intimidated to try wines from elsewhere in the world that doesn’t proclaim varietal identity on the label.

8.    Artisan Wine – Artisan wine trend gains momentum on either continent. You will find more of these wines on the shelf and wine lists.  This trend shows no signs of slowing down.

 

Liz Palmer
@Champagnehouses

 

 

 

Wine Trends To Watch in 2012 – Part 1

As we enter 2012 with unsteady markets, it seems appropriate to make a guess at what the wine trends will be and what wines we should be looking for.  After some initial research, I have spotted some common wine trends:

1.      Local Wines – The movement to reduce carbon emissions and consume locally grown products has extended to the wine industry in the past few years and this will continue to grow.

2.      Less is More – New world wines with overripe grapes and high alcohol contents have lost their popularity and will be replaced by classic, elegant wines with less alcohol levels (below 13 or 14%). This style marks the return to the tradition of flavorful, balanced wines. There will also be less wood flavors with more clear fruit forward wines.

3.      Retailers Resurgent – Employees have never been more knowledgeable and have become less snobby.  There will be more in-store tastings with a culture of service becoming more important.

4.      Burgundy is the New Bordeaux – As prices for Bordeaux continue to rise, more wine lovers are choosing wines from Burgundy. This is evidenced at some recent New York and Hong Kong wine auctions.

Liz Palmer
@ChampagneHouses

Vinexpo Study on Global Wine Consumption, Production and Trends – With Emphasis on China

Robert Beynat, Chief Executive of Vinexpo delivered results of the study “Current Trends in the International Wine and Spirits Market and Outlook to 2014” a few weeks ago at the Windsor Arms Hotel, Toronto, Canada, in which I was very happy to attend.

For the ninth year, the British firm IWSR (The International Wine and Spirit Research) has produced a detailed report on global consumption, production and international exchanges in the wine and spirits industry. The IWSR study has become a reference for industry professionals.

This year’s study covers 28 producer countries and 114 markets where wine and spirits are consumed and have also included an outlook to 2014. Since 1971, the IWSR database has provided the most detailed and precise information on the global alcoholic beverage market.

The study predicts that world wine consumption will have essentially risen by 8.60% over the 10 year term, 3.18% over the 2009-2014 period.

C H I N A

PRODUCTION

China first entered the top ten producing countries worldwide in 2007 and by 2010 had moved to 7th place with 115 million cases in 2010.

China’s production is expected to increase the most overall with up to 77% (128 million cases) between 2010 and 2014.

CONSUMPTION

Total Chinese wine consumption reached 96.33 million 9-litre cases, equivalent to 1.156 billion bottles, in 2009, an increase of 104% compared to 2005.

Between 2010 and 2014, the VINEXPO study expects Chinese wine consumption to grow by a further 19.6%, reaching 127 million 9-litre cases by the end of the period. At that point, China will be the 6th largest wine consuming country in the world

Legal age per capita wine consumption in China is still only 1 litre per year. “When this level of consumption per inhabitant is compared with the per capita rates of the other top 10 large consumer countries, the extraordinary potential of the Chinese market becomes clear”, Robert Beynat, pointed out.

The study further mentions that the worldwide growth in consumption will be driven by three countries: US, China and Russia.

Wine Tends

The resurgence of Rose’ is forecast to increase 7.8% in the 2009-2014 period.

All price points globally are expected to grow. The largest growth is expected in the more than $10 category with an increase of 15.37% between 2009-2014. While wines between $5-$10 will grow by 9.25%.

Overall World Wine Consumption

Between 2009 and 2014, the VINEXPO /ISWR study forecasts a moderate increase in world wine consumption of 3.18 %, reaching 2.729 billion cases.
Liz Palmer

Wine and Travel Writer
Member of the CWW (UK)