Wine - Germany

The Wine market in Germany has been experiencing significant growth in recent years.

Customer preferences: German consumers have shown a growing interest in wine, with an increasing preference for high-quality and premium wines. They are becoming more knowledgeable about different wine varieties and are willing to explore new and unique flavors. Additionally, there is a growing trend towards organic and sustainable wines, as consumers become more conscious of their health and the environment.

Trends in the market: One of the key trends in the German wine market is the rising popularity of sparkling wines, particularly Prosecco and Champagne. This can be attributed to changing consumer preferences and a shift towards more celebratory occasions. The demand for sparkling wines has also been driven by an increase in wine tourism, with visitors to wine regions seeking out unique and memorable experiences. Another trend in the German wine market is the growing popularity of online wine sales. This can be attributed to the convenience and accessibility of online platforms, which allow consumers to browse and purchase a wide variety of wines from the comfort of their own homes. Online retailers are also offering personalized recommendations and wine subscriptions, catering to the individual tastes and preferences of consumers.

Local special circumstances: Germany has a long and rich history of winemaking, with several renowned wine regions such as Mosel, Rheingau, and Baden. These regions are known for producing high-quality wines, particularly Riesling and Pinot Noir. The unique climate and soil conditions in these regions contribute to the distinct flavors and characteristics of German wines.

Underlying macroeconomic factors: The German economy has been performing well in recent years, with steady economic growth and low unemployment rates. This has led to an increase in disposable income and consumer spending, which has positively impacted the wine market. Additionally, the growing trend of wine tourism has provided a boost to the local economy, with visitors spending on accommodation, dining, and wine purchases. In conclusion, the Wine market in Germany is experiencing growth due to changing customer preferences, including a preference for high-quality and premium wines, a growing interest in sparkling wines, and an increase in online wine sales. The local special circumstances, such as the rich winemaking history and renowned wine regions, further contribute to the development of the market. The underlying macroeconomic factors, including a strong economy and growing wine tourism, also play a significant role in the growth of the German wine market.

Data coverage:
The data encompasses B2C enterprises. The at-home market covers retail sales via super- and hypermarkets, eCommerce, convenience stores, or similar sales channels. The out-of-home data encompasses all sales to hotels, restaurants, catering, cafés, bars, and similar hospitality service establishments. Combined numbers encompass both the at-home market and the out-of-home market. Both the at-home and the out-of-home market are valued at retail selling prices including all sales and consumption taxes.

Modeling approach:
Market sizes are determined through a Top-Down approach, building on specific predefined factors for each market segment. As a basis for evaluating markets, we use resources from the Statista platform as well as in-house market research, national statistical offices, international institutions, trade associations, companies, the trade press, and the experience of our analysts. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, consumer spending (e.g. consumer spending on alcoholic beverages, consumer spending at Hotels, Restaurants etc.), and price level index. This data helps us estimate the market size for each country individually.

Forecasts:
In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the exponential trend smoothing is well suited for forecasting the Alcoholic Drinks market with a projected steady growth. The main drivers are GDP per capita and consumer spending per capita.

Additional notes:
The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level.