Domestic consumption trends

by | Sep 5, 2017 | Business and Marketing, Lifestyle

Here’s a graph depicting the trend in domestic wine consumption from 1945 to 2016.

Some interesting trends emerge:

  1. Fortified wine consumption has declined since 1975 and the downward trend seems to be continuing
  2. Sparkling wine consumption has increased marginally, but remains comparatively low
  3. The consumption of still wine has steadily been increasing since the late 1950s.

Finally, there was a strong decrease in total per capita consumption after 1975. Wine consumption suddenly stopped tracking with population growth. This development was not due to a new tax or even legislation. The relative drop in domestic wine-drinking habits can be traced directly to the increase in beer consumption as a substitute for wine: South African beer consumption doubled between 1974 and 1978. The beer surge obliterated a large chunk of market share from the wine industry.

The good news is that 40 years later, the trend seems to have turned a corner. Per capita wine consumption has been showing signs of recovery since 2015. A new generation is turning to wine as their tipple of choice. This represents a golden opportunity for the wine industry.

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