The head of trade show organiser Vinexposium has flagged a raft of existential challenges facing the global wine industry in the near term.
Speaking at a media briefing in London today, ahead of February’s Wine Paris & Vinexpo Paris exhibition, company CEO Rodolphe Lameyse painted a particularly bleak picture for those wine producers operating at the EUR8 (US$8.75) or less end of the per-bottle retail price ladder. Lameyse’s prognosis is based on a low level of engagement with younger LDA consumers coupled with high inventory levels at the distributor and retailer levels and the recently forecast low wine production figures globally for this year.
“The wine industry has been in this situation before, but the whole paradigm has changed,” Lameyse said. “If you want to have an honest discussion about whether wine is actually good for your health, for example, then good luck with that. We used to be able to have a factual discussion about studies and figures and so on. With the rise of social media, we’re a bit behind that now.
“We need to bring the discussion back to what’s really in the wine.”
Lameyse also referenced what he called “the battle of the generations”, with Gen Z consumers prone to watching their alcohol consumption levels closely or eschewing alcohol altogether. These younger LDA consumers also prioritise environmental sustainability to a degree that is both a problem and an opportunity for wine, according to Lameyse.
“We have to communicate better about what we do,” he added. “I’ve never met a winemaker who’s happy to use chemicals, for example. The younger consumers today think that the most sustainable wine is raw wine – That’s a bit extreme.
“It’s important that we adapt to the world we live in today, which has given the whole wine industry an additional level of complexity. It’s not enough anymore to only talk to the community of wine lovers.”
Looking forward, Lameyse warned that “there will not be room for everybody” on the wine shelves. “We’re at a turning point in the industry,” he said. The situation is very fragile with the coming months set to be crucial.”
Lameyse was more upbeat about next year’s Vinexpo show in Paris, which takes place between 12 and 14 February. The event will be 28% larger in floor space than this year’s, he said, with the number of international exhibitors compared to 2023 leaping by 72%.
Everything you need to know about Gen Z’s approach to alcohol – Market Intel
