More than half the wine imported into the UK comes from the EU
Top three importers
France Italy Spain
A GOOD VINTAGE
With Brexit having the potential to limit the availability of European wines
and consumers turning to cocktails and craft beer, operators will have to think outside the box to pique wine interest
O
n the face of it, wine almost certainly faces a substantial challenge in post- Brexit Britain, whatever the final shape of the trading relationship with the EU. From bubbly to Burgundy, more than half the wine imported into the UK comes from the EU, with France, Italy and Spain the top three importers. New tariffs and increased border checks have the potential to increase prices, while any downturn in consumer confidence could hit wine sales in the out-of-home market in par- ticular, where it is often linked to food trade. The CGA figures already show a dip in the fortunes of wine. Sales fell year-on-year by 8.1% in volume in 2018, and by 0.4% in value, with distribution also down across all key sectors. Bucking the trend is sparkling wine, which CGA reports is the only category in growth, showing an 18% increase in volume and 30% in value. As well as the joy of bubbly for its own sake, the growth in popularity of spritz-style
26 | Drinks Guide 2019
cocktails which include a splash of sparkling wine is likely to be a factor.
The overall decline in wine reflects not just fewer consumers drinking alcohol on fewer occasions, but also more choice of accompany- ing drinks when eating out. A report by analyst Wine Intelligence in May 2018 reported that restaurateurs are finding that wine is receiving less attention as consumers switch their atten- tion to the likes of gin, cocktails and craft beer. One bright spot reported was growing interest in alternative wines, such as organic and vegan brands, finding that out-of-home consumers are seeking higher-quality wine across all price points. This reinforces the CGA figures showing value sales down far less markedly than volume, although an increase in wine duty imposed in the October 2018 budget will also have played a part. Brexit in its final form may also create an opportunity for the burgeoning domestic wine market. After a bumper grape harvest following
the long hot summer of 2018, trade body WineGB expects the sector’s output to be well ahead of the six million bottles produced in 2017. The challenge for the on-trade has always been price – ironically, by the time the standard mark-up is added to a bottle of English wine, the price point on a restaurant wine list can look high in comparison to imported wines. However, there are exceptions. Pub group
Fuller’s saw a 50% increase in sparkling wine sales in the first year of switching from imported Champagne to English bubbly. Whether this kind of success can be repeated with still wine from GB vineyards on any significant basis is a point for debate – oppor- tunities in areas such as by-the-glass rather than by-the-bottle sales have been highlighted. Wine remains integral to many consumers’ enjoyment of a meal out, but as a category it may have to fight harder for its place on the table in future.
www.thecaterer.com
DECLINE IN WINE SALES BY OUTLET NUMBERS 2017-2018
PUBS 33,141 – 0.7%
RESTAURANTS 27,262 – 1.9%
CLUBS 25,656 – 3.6%
BARS 15,734 – 4%
HOTELS 6,822 – 7.4%
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40
