Industry

Wine changes to reach young consumers

Trends. Graduation and climate change penalise reds. New generations more interested in mixing and dealcolate drinks

by Valeria Zanetti

4' min read

4' min read

Last year, wine on the shelves of Italian supermarkets struggled, although inflation weighed less than in 2022 and the second half of the year saw a slight increase in sales.

The overall national figure is -3.3% in volume and +2.5% in value. The first quarter of this year is also down -2.1% in volume and up 1% in value. This confirms the trend of declining consumption, which does not only affect our country. The world, in general, is uncorking and toasting less. National production is also affected, with Veneto leading the ranking for wine grapes, at about 13.7 million quintals for a 23.4% share.

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Production that is largely destined for export, with a tendential contraction of 1% in volumes (21.4 million hectolitres) and 0.8% in values, to just under 7.8 billion euro, as at last December. If it is true that the overall takings of Italian wine in the world were not too far off from the previous year, it seems inevitable to reckon with the signs of change that are appearing: from the drop in consumption, between healthiness and fashions that prefer other drinks, to the economic and geopolitical uncertainty that is not helping trade.

In the last 15 years, still wines have risen from 81% to 74% of sales in large-scale distribution; sparkling wines have doubled from 7% to 15%. Red wines dropped (from 54 to 49%), whites went up (from 40 to 45%). "In a decade or so, whites will overtake reds. The changes taking place among consumers are not only driven by inflation," explains Virgilio Romano, business insight director of the Circana research company, "in perspective, Italians will be fewer and fewer in number, with young people more inclined to drink cocktails, aperitifs or beer outside meals.

A big bet will therefore be to be able to hook this segment of wine lovers who are more interested in mixing and lack the wine culture of their parents (currently 45% of consumers are over 65, ndr), telling them more about territorial characteristics, indigenous vines, green footprint.

The fact remains that, partly because of climate change, which pushes up the alcohol content of red wines, consumption is moving in another direction, with consequences also for the business choices of many companies, which are looking to the grubbing-up policy already in place in France, for example.

Some wines, especially the lighter ones, and bubbles in particular, are ready for the big leap from the bottle to the can. At the moment, the hypothesis has been formulated by the president of the Veronese Garda Doc Consortium, Paolo Fiorini, who reasons about the possibility of super-premium formats for the yachts and boats that ply the waters of Italy's largest lake. Every year, around 20 million bottles of Garda Doc are produced in the Veronese area, 60% of which are destined for export. The move into cans could meet the demands of tourists (over 20 million in 2023) who frequent the lake, starting with those who would prefer to have this format on their boats, avoiding the obvious risks of breakage associated with glass.

In the meantime, whites and rosés are already widely used in the preparation of mixed drinks, from aperitifs to cocktails. But there are those who go further. "In Italy, 36% of consumers are interested in mix drinks; in the USA, an incubator of trends especially among young people, the Nolo (no and low alcohol) market is already worth a billion dollars. Italy is lagging behind, because it is not yet possible for companies to process the product in wine factories and there are no indications on the tax regime. In a nutshell, the product can circulate, as it can throughout the EU, but it cannot be produced,' denounces the secretary general of the Italian Wine Union (UIV), Paolo Castelletti.

There are already several companies that deal abroad - Argea, Doppio Passo, Hofstatter, Mionetto, Schenk, Varvaglione, Zonin - following the example of the pioneer Iris Vigneti di Mareno di Piave in the Treviso area, which was the first to export to Arab countries the alcohol-free sparkling wine 'Bella', made with Glera grapes from which Prosecco is made. According to Swg analyst, Riccardo Grassi, these products "interest a potential 1 million non-drinkers of alcohol, in addition to an audience of consumers of wine or other drinks (14 million) who consider them an alternative in specific situations, such as driving".

The share of attention towards alcohol-free wines (21%) is highest in the younger age groups (28% from 18 to 34 years), who in 79% of cases declare it 'important' if not 'very important' or 'essential' to be able to reduce alcohol abuse problems by making zero or low-alcohol products available to consumers.

A solution that could also find favour in the European forum, where the debate on the relationship between wine and health remains heated.

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