Emerging Wine Trends of 2024

As we venture into the heart of 2024, the global wine industry finds itself at a crossroads, navigating through challenges while uncovering promising opportunities. Here, we dissect twelve key trends that are set to define the landscape of wine consumption and production this year. Here's a snapshot of what's been brewing in the wine scene and what's poised to thrive in 2024, based on insights gathered from the vibrant wine community:

1. Structural Declines Persist

Traditional wine markets, notably France and Italy, continue to grapple with long-term volume declines, casting a shadow over the industry. However, emerging markets in Asia Pacific, particularly China, are showcasing resilience and promise. Sparkling wine emerges as a beacon of growth, with a forecasted volume increase, contrasting the decline in still wine consumption.

2. Recruitment Challenges

The wine industry faces recruitment hurdles, struggling to engage younger consumers, particularly Gen Z. Changing preferences towards alternative alcoholic beverages like RTDs, cocktails and craft beer pose a challenge in attracting the younger demographic. However, there are successful recruitment strategies in certain markets, highlight the importance of adaptability and innovation.

In certain markets like the US, Millennials are being effectively drawn into the wine scene. Typically, they are lighter users but are more discovery-oriented, making them more attuned to short-term trends rather than steadfast loyalty to particular brands or origins. However, they present an opportunity for upward trading in price tiers when provided with clear options for progression and premium indicators. They prefer things that have a full experience to elevate their engagement, like complete vineyard tours and tastings, cellar door experiences you name it. Once you make it interesting and still affordable, given them the time of their lives once there, they will talk about it on socials and things can go viral from there. 

The things we see changing ‘the field’ of wine is that the newer generations have higher engagement in things that are more authentic, so there is a higher support for smaller producers. There's a growing appreciation for the craftsmanship of small-scale wine producers, driven by a desire for authenticity and connection. Just like you see happening with all the craft beers popping up everywhere. While larger brands remain influential in navigating the world of wine, the dedication and storytelling prowess of smaller producers are capturing hearts and palates alike.

That said, there is also a sort of evolution happening when we talk about wine. The industry might come off as ‘dusty and old’ and that needs to change, to find its way towards the younger generations. So, what you see is that traditional wine terminology is undergoing a transformation, reflecting a more inclusive and nuanced approach to describing wines. Concepts like "Old World, New World" are being re-examined, while descriptors like minerality and gendered language are being reconsidered for their relevance and accuracy in today's wine discourse.

3. Category Engagement and Knowledge

Despite the faced challenges in recruitment, younger consumers displaying more interest in wine exhibit a higher level of engagement and confidence than previous generations. This heightened interest reflects a shift towards exploration and experimentation within the category, driven by millennials and Gen Z. 

There are a lot more wine tastings offered anywhere, from restaurants to individuals who want to share their enthusiasm and knowledge about wine, up till professional educators. Every major city of sorts provides wine courses, tastings, that are also open to consumers. All to experience the diversity of wines. Which I think is a good thing happening, to make professional tastings more open to consumers coming, (within limits obviously), to help them explore new wine regions, to help upcoming wine regions ‘tell their story’ and showcase their wines to the public. All to get a top-level awareness going. 

4. The Less But Better Dynamic

Premiumisation remains a driving force in wine consumption, although its showing signs of deceleration. Probably to be expected, factors such as economic pressures on younger consumers and shifting demographics contribute to a softening of the 'less but better' trend. Nevertheless, markets like India and China continue to embrace premium offerings. 

5. Low-Alcohol Dominance

The low-alcohol wine segment experiences robust growth, fuelled by innovations catering to health-conscious and mindful consumers. A shift towards more mindful consumption of alcoholic beverages is reshaping the wine culture, transcending mere alcohol content considerations. Therefore, consumers are gravitating towards better quality wines, embracing a more intentional approach to drinking that prioritises sustainability and holistic well-being more. The latter resulting in a rise in organic and bio-dynamic wine sales vs more conventional wines. 

While low-alcohol wine expands its footprint, challenges persist in the no-alcohol segment due to taste perceptions and limited availability. Nevertheless, consumers are showing increasing interest in lower alcohol wines. Efforts are underway to develop methods for reducing alcohol content while maintaining flavour, with a focus on dry wines with naturally lower alcohol levels.

6. Ecommerce Growth and Market Share Erosion

Ecommerce emerges as a vital channel for wine sales, most definitely getting it surge due to the Covid-pandemic, albeit facing intensified competition from spirits, beer, and RTDs, Wine's relative maturity in ecommerce prompts brand owners to recalibrate strategies to maintain relevance and engagement with digitally savvy consumers.

From a branding perspective it can be highly beneficial to start engaging with your target consumer groups through several different social media channels. This way you can connect your online sales strategies, towards branding through social media and make it more trackable and more transparent. This way also the consumer can track its way back to the source if they want to. 

7. The Climate Challenge

Climate change continues to pose significant challenges to wine production, altering harvest patterns and grape quality. In response, the industry embraces sustainable practices and explores alternative grape varieties and regions resilient to climatic shifts. Consumer demand for sustainability further accelerates this transition, propelling premium brands towards alternative packaging solutions.

Due to climate change, winemakers starting to feel the urge to adapt their practices and are experimenting with different canopy methods and conserving water to combat drought issues exacerbated by climate change. Planting alternative grape varieties that require less water is also gaining momentum.

We are also witnessing an increase of sustainable winemaking practices. Winemakers are prioritising sustainability across all aspects of production, from planting to packaging, amidst growing concerns about water scarcity in key wine regions.

8. Alternative Packaging Formats

As a result of climatological changes happening, the industry is in dire need to find certain solutions for long term problem. Like lowering the carbon footprint on transport for instance. Think about alternative packaging formats such as boxed wine, pouches, PET bottles, paper bottles, or cans. All alternatives are gaining traction as part of sustainability efforts. Calls for tax incentives for carbon-friendly packaging are becoming louder. But there is still a consumer ‘state of mind’ on these alternatives in terms of quality that isn’t all that positive yet. A good thing we need to do here is to start more storytelling, on why the alternatives aren’t particularly a bad thing in terms of wine quality and storage for example.  

Lightweight Glass Bottles: There's a shift towards reducing the weight of glass bottles to lighter alternatives as a sustainability measure. Initiatives like the Sustainable Wine Roundtable aim to decrease average bottle weight, with key retailers pledging to support this massive endeavour. They sure have my vote on this!

9. Exploration of Sparkling Wine Alternatives

Rising Champagne prices are leading consumers to explore alternative sparkling wines like Italy's Franciacorta, Spain's Cava, or South Africa's Cap Classique. Pet Nat (Petillant Naturel)  wines are massively gaining popularity for their fresh, fruity flavours and soft spritz, especially in the more ‘alternative’ and holistic wine scene, you see youngsters really enjoying the popularity of Pet Nat. It is ‘just something else’, it’s funky, mostly the packaging is fantastically designed, there is a story behind it, the taste is ‘out there’. These wines really ‘hit the spot’ amongst those who seek adventure. 

10. Emerging Wine Regions

We all know there are many wine regions all over the world, but there are some regions to want to look out for in 2024. These include Italy (Piedmont and Sicily mainly), France (Alsace and Provence), Hungary (Tokaj specifically), Portugal (Vinho Verde and Douro), as well as Bulgaria, Georgia, Armenia, and Uruguay, which are garnering attention for their wine offerings. 

There is seen expansion of US Wine Regions. Beyond the West Coast, US wine regions are expanding, garnering attention for their world-class offerings. Destinations like FLX and Virginia are stepping into the spotlight, while states like Vermont and North Carolina are poised to join the ranks of esteemed wine-producing regions.

Lesser-known wine regions are gaining prominence, offering exceptional quality at still accessible prices. Vinho Verde, Portugal, Chile, and emerging areas like Mâcon in France are captivating wine enthusiasts with their value-driven offerings, proving that top-tier wines need not come with a hefty price tag.

All this with a nod to both climate change and a quest for novelty, there's a growing interest in rediscovering native and indigenous grape varieties amongst winemakers. From the ancient vineyards of Georgia and Armenia to lesser-known whites from Italy, the trend is steering towards a return to the roots of winemaking. All the above immediately taps into the explorative nature of the millennials that dare to try something different. So, get your wine ‘out there’ to start conquering the audience with something amazingly different to what they are used to.

11. Innovative Vessels and Fermentation Methods

Winemakers are embracing experimentation with different vessels and fermentation techniques. From the resurgence of amphorae to a broader exploration of unconventional methods, creativity is taking centre stage, challenging traditional norms in winemaking. And the consumers perspective on wine making. Take things back to its origin or do something different entirely. 

12. Women in Wine

The wine industry witnesses a remarkable surge in female representation, marking a departure from its historically male-dominated domain. The recognition of women's contributions culminates in events like the Women in Wine Expo organised by Senay Ozdemir. This exemplifies the growing influence of women in the profession. Expect to see more women making waves and leaving their mark on the world of wine in 2024.

In conclusion, the global wine industry navigates through a landscape marked by both challenges and opportunities in 2024. While traditional markets grapple with structural declines and recruitment hurdles, the emerging trends such as premiumisation, low-alcohol offerings, and sustainability pave the way for a dynamic and resilient future within the wine industry. As consumers evolve and preferences shift, adaptability and innovation remain paramount for stakeholders across the wine value chain.

The Dutch Wine Renaissance

A little extra addition to this global wine trends looks-out some additional trends within the Dutch wine culture. Specifically, for those interested (trading) in the Dutch wine market.

The Netherlands emerges as a burgeoning wine destination, challenging perceptions with its thriving viticultural landscape. With over 165 commercial vineyards and counting, Dutch winemakers like Johan van de Velde from winery ‘De Kleine Schorre’ are redefining the boundaries of winemaking. Harnessing the unique terroir of Zeeland, these pioneers produce a spectrum of fresh whites and experimental varietals, signalling a renaissance in Dutch wine craftsmanship. As the quality continues to ascend, Dutch wines are poised to captivate palates far and wide in the year ahead.

Based on some numbers from the Food Service Institute the Dutch wine market is changing still. As Dutchies we drink lesser red wines, and when we do, we are more prone to buy lighter styled reds, cool climate-based wines rather than those heavily oaked classic reds we used to. We tend to consume more white and rosé wines, of which rosé is still a small percentage, somewhere between 9-15%, we also consider drinking sparkling wines more often. Organic wines are become more and more of a thing (luckily) and Alcohol-free wines are conquering their way onto all supermarket shelfs and wine charts in restaurants. 

Italian wines are gaining in sales leaving French wines second place. We do tend to drink lesser wines but for a higher price per bottle though. Mainly as a result of scarcity within the bulk wine market for lower priced wines, due to all kinds of circumstances. The average bottle price in supermarkets is still about 4.24 euro per bottle, where two years ago it was still somewhere about 3.84 euro per bottle. In wine specialty shops the average price is higher and is roughly a little over 8 euro per bottle

Written by

Margot van Lieshout DipWSET FWS RV

Wine marketeer, sales expert with over 20 years in the trade, public speaker and international wine judge. Thousands of wines scored from Steiermark to Ningxia, and a trade she knows from the inside out. Wine with Margot is where she helps wine brands tell the stories that sell them.

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