The wine industry faces a significant challenge as global alcohol consumption declines, especially among younger generations. Millennials and Gen Z are drinking less, influenced by a complex mix of health concerns, social media, evolving preferences, and financial constraints. This shift is underscored by a 24% decrease in wine consumption in the EU from 2010 to 2020, as reported by the European Parliamentary Research Service.
Health and wellness trends are pivotal drivers behind this change. A growing awareness of the health risks associated with alcohol consumption, highlighted by the World Health Organisation’s stance that there is no completely safe level of alcohol intake, is reshaping drinking habits. Younger generations, especially Gen Z (born between 1997 and 2012), are more health-conscious and informed than previous cohorts. Many view even moderate drinking as unhealthy. In the US, over half of Gen Zs and Millennials consider moderate drinking detrimental, while in the UK, around a third of Gen Zs abstain from alcohol entirely, according to Mintel.
To appeal to these ‘lifestyle generations,’ the wine industry must understand and adapt to their preferences and values. This means addressing the shift towards no-and-low-alcohol beverages and considering the impact of health-conscious living. The industry’s slow pace of change could hinder its ability to stay relevant, but by embracing these new consumer attitudes and trends, it has the opportunity to redefine its approach and connect with a new audience.
As the landscape of global drinking habits evolves, the wine industry must innovate and respond effectively to these emerging trends to remain competitive and viable.
