Wine is expected to continue to see premiumisation in the forecast period, despite inflationary headwinds. While some consumers are trading down to economy wines, or even trading out of the category to beer and RTDs as they seek to limit their spending, many consumers are instead choosing to drink less but better.
The importance of sustainable production practices is likely to be a key differentiator amongst wine producers in the forecast period, as Australian consumers continue to explore the concepts of organic, provenance, and sustainability. Organic and sustainably produced wines appeal to younger consumers of legal drinking age, and this can be used by brands to leverage the trend towards premiumisation, which is expected to drive growth in the category.
Australian consumers are shifting further along the moderation journey, with many consumers choosing to drink less, or abstain altogether. Demand for non/low alcohol drinks in Australia has therefore grown, in line with the rising health and wellness trend in the country.
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This is the aggregation of still and sparkling light grape wines, fortified wine and vermouth and non-grape wine. In terms of alcohol content, light wine usually falls into the 8-14% ABV bracket while fortified wine ranges from 14-23% ABV. Low and non-alcoholic wine is also included in the data (attributed to each sector as appropriate).See All of Our Definitions
This report originates from Passport, our Wine research and analysis database.
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