Industry Analysis & Industry Trends
Growth will gradually improve over the five years as the oversupply of wine alleviates and the economic outlook improves in wine-consuming markets. Although they constitute only minor proportions of the global wine market at present, China and other developing Asian countries loom as major growth markets in the long term, with rising disposable income and more sophisticated consumer palates expected to push sales of imported wines... read more
In the five years to 2014, tight, ongoing financial conditions and a global oversupply of wine resulting from the recession have led consumers to shift from premium wines toward low-cost varieties, constraining industry revenue growth. Although conditions have improved and global GDP is projected to grow at 3.7% in 2014, industry revenue has increased only marginally at an annualized rate of 0.2% to $108.1 billion over the past five years. This rate includes estimated 1.0% growth in 2014, as consumer spending gradually recovers.
Oversupply, tight credit conditions and slowed consumer spending also pressured profitability over the first half of the five years leading to 2014... read more