The exclusive COVID-19 impact analysis report by Axiom MRC provides a 360 degree analysis of micro and macro-economic factors on the global luxury wines and spirits market. In addition, complete analysis of changes on the global luxury wines and spirits market expenditure, economic and international policies on supply and demand side. The report also studies the impact of pandemic on global economies, international trade, business investments, GDP and marketing strategies of key players present in the market. During COVID-19 pandemic, global luxury wines and spirits market was more or less affected due to supply chain distribution, declining demand for luxury wines and spirits from various application like food & beverages which has certainly affected the market growth to major extend. However, post COVID-19 the market has witnessed the rising new growth opportunities and is expected to have emerging demand in upcoming years.
As the living standards of people have increased globally, the aspiration of customers to consume premium quality luxury products is also expected to grow. The consumption of these products is often associated with occasions such as celebrations. Furthermore, dependency of these products at marriages, parties, and social gatherings is anticipated to drive the market in the coming years. Moreover, the premium luxurious product market experienced considerable growth across most regions in 2019, driven primarily by robust consumption. Luxury brands have started to develop accurate social media strategies to engage tech-savvy young consumers in social media activities that seek greater value for money, more personalization, and integrated digital access. A significant increase has been witnessed in the number of netizens along with rise in internet penetration. Most key players in the luxury wines and spirits market strategize on promoting their products on various social media platforms. Thus, through the social media marketing strategy, the luxury wines and spirits market is expected to sight critical growth opportunity during the forecast period.
Emerging nations are expected to provide major opportunities for the luxury wines and spirits market growth during the forecast period. Rise in acceptance of wines and spirits consumption and surge in popularity of vintage wines for special occasions are expected to stimulate the market growth in nations such as China, Canada, and Germany. Moreover, rise in social media trends in developed countries is also taking lifestyle of millennials and Gen Z toward spending more on premium products, which is expected to open new avenues for the market participants to enter emerging markets.
Rise in number of consumers suffering from alcohol addiction has been a great concern for governments of different nations. As a result, many governments have imposed stringent rules and regulations about sales and distribution of these products. Moreover, there are restrictions on advertisements and promotions of such products, which restricts the marketing strategies available to manufacturers. In addition, some governments also support campaigns and non-government organizations (NGO) that condemn the use of such beverages. These factors act as major hindrances for the market growth.
Strict government regulation regarding wines and spirits sales, this creates challenge to market growth. Furthermore, there are restrictions on advertisements and promotions of such products, which restricts the marketing strategies available to manufacturers.
The report provides in-depth analysis of global luxury wines and spirits market, market size, and compound annual growth rate (CAGR) for the forecast period of 2022-2028, considering 2021 as the base year. With increasing demand for various luxury wines and spirits in various applications has led the increasing demand for market and is expected to witness the growth at a specific CAGR from 2022-2028.
The global luxury wines and spirits market comprises of different market segment like type, distribution channel, and geography.
The type studied in the global luxury wines and spirits market are wine, spirit, whisky, rum, brandy, vodka, gin, and tequila. On the basis of type, the spirits segment accounted for the maximum share in the global market in 2021 and is likely to remain dominance throughout the luxury wines and spirits market forecast period. The luxury spirits market currently offers alcoholic drinks such as vodka, gin, rum, and brandy that have more alcohol by volume (ABV) than other alcoholic beverages. The luxury spirits market has seen a significant growth, owing to increase in popularity of cocktail drinks. Spirits are majorly consumed in Europe, as the region host numerous sports and other events where consumption of alcoholic beverages is a common trend.
The different sale channels in the market are wholesale, retail, and e-commerce. On the basis of distribution channel, the retail segment held a significant luxury wines and spirits market share in 2021. Growth of the retail segment in the market can be attributed to increase in adoption of retail shops in both mature and emerging markets. Moreover, one stop solution provided by these retail formats make it a very popular option among consumers. Furthermore, these retail formats offer a wide range of products at a competitive price to customers and are usually located at easily accessible areas, which adds to the overall attractiveness of this segment.
The global luxury wines and spirits market is studied for the following region North America, Europe, Asia-Pacific and Rest of the world (RoW). Europe is likely to witness rising demand for luxury wines and spirits market. The Europe luxury wines and spirits market is mature and homogenous with high penetration, which is dominated by leading key players such as Campari, Bacardi, Pernod Richard, and Diageo. Changing lifestyle, owing to considerable rise in disposable income, further boosts the demand for luxury wines and spirits in Europe. To cater to increase in demand from customers, companies are acquiring big and local players to increase their product portfolio of luxury wines and spirit products in Europe.
The competitive landscape analysis of luxury wines and spirits market is certainly based range of market players operating in the food & beverage market with increasing demand for production of luxury wines and spirits. Besides, number of market players offered wide range of products for different application in various geographic locations. The market has major competitive analysis based on new product launches as well as other developments.
The key players studied in market are LVMH, Allied Blenders and Distillers Pvt. Ltd., Diageo, Pernod Ricard, Brown Forman, Edrington, William Grant and Sons, Bayadera Group, Bacardi and Company Limited, Suntory Holdings Limited., among others.
September 2021: Familia Torres, discovered the latest vintage of their Antologia Miguel Torres wine collection. The flagship liquor embody the vinery’s commitment to regenerative viticulture and sustainability as a way of fighting against climate change.
July 2021: E & J Gallo Winery Group, global liquor and wine industry leader, in collaboration Randall Grahm, a legendry wine maker and visionary, announces the release of a collection of wine named “The Language of Yes”. The new collection is inspired by the rich history of winegrowing in Southern France.
Luxury wines and spirits constitute alcoholic beverages having alcohol by volume (ABV) ranging from 3 to 40%. The drinks currently offered in the market are wines and distilled spirits, which generally are of fine quality and premium priced. These products are generally consumed during occasions such as marriages, parties, social gatherings, and other celebrations. Owing to government regulations, these beverages cannot be consumed by people aged below 17 years of age in most countries. Therefore, these beverages are increasingly becoming popular among middle-aged consumers, who are between 35 and 55 years of age. The global luxury wines and spirits market comprises of different market segment like type, distribution channel, and geography. The type studied in the global luxury wines and spirits market are wine, spirit, whisky, rum, brandy, vodka, gin, and tequila. On the basis of type, the spirits segment accounted for the maximum share in the global market in 2021 and is likely to remain dominance throughout the luxury wines and spirits market forecast period. The different sale channels in the market are wholesale, retail, and e-commerce. On the basis of distribution channel, the retail segment held a significant luxury wines and spirits market share in 2021. The global luxury wines and spirits market is studied for the following region North America, Europe, Asia-Pacific and Rest of the world (RoW). Europe is likely to witness rising demand for luxury wines and spirits market.
1) What are the drivers for luxury wines and spirits market?
The key driving factors of the market are increasing living standard of people and growing disposable income.
2) Which is the leading distribution channel segment for luxury wines and spirits market?
Retail channel has accounted the major market share, and is expected to witness the growth at highest pace during the forecast period.
3) Which region is gaining majority of market share during the forecast period (2022-2028)?
Europe is expected to gain major market share during the forecast period (2022-2028).