Why is non-alcoholic wine becoming more popular around the world?

It may not be the traditional way to enjoy wine, and it’s certainly not the favourite choice for fine wine aficionados, but non-alcoholic wine is becoming more popular than ever. According to a report from FoodBev Media, the non-alcoholic wine market could be worth $10 billion by 2027.

The report predicts that, between 2019 and 2027, the non-alcoholic wine market will get to a compound annual growth rate of 7%. A percentage of consumers are turning away from alcohol, either completely or in part by cutting down, and this is reflected in this sector’s increasing popularity.

Europe and North America buy the most non-alcoholic wine

Europe consumed more than 40% of the non-alcoholic wine market in 2018. Despite this, it appears that North America is fast becoming the most prominent market for non-alcoholic wine. This region will achieve a growth rate of 8% by 2027.

In a blog earlier this year, Ideal Wine Company looked at the growing interest in low-alcoholic wines. There has been a marked shift in quality in this sector, which is increasing consumer interest in these alternatives to traditional wine. And this report shows that there is also a growing interest for wine with 0% ABV.

Choosing to consume non-alcoholic wine, beer and spirit alternatives is a major trend currently moving the goalposts within the global drinks industry. While there have been low and no-alcohol alternatives on the market for years, the sharp uptake in sales figures shows that there is a general movement in this direction from a percentage of drinks consumers.

Trend for health and wellbeing driving interest in sector

During the past ten years, the non-alcoholic wine market share has markedly increased. Tied in with the overall trend for wellbeing, improving health and making specific choices to boost health, non-alcoholic wine is now positioning itself as one of the beverage categories with the most potential for growth.

Winemakers and producers of other alcoholic drinks are moving their focus towards creating good-quality non-alcoholic and low-alcohol versions of traditional products. This move is supported by various global zero-tax policies aimed at encouraging drinks producers to widen their offering in this category.

At the same time, in some parts of the world, wine drinking is waning slightly. For example, figures show that wine drinking dropped by 0.9% in 2019 in the United States. While this isn’t a huge amount, it is the first drop in consumption figures for a quarter of a century. Last year, wine represented 11% of the total alcoholic drinks sector in the US.

The report also predicts that there will be a huge increase of 99% in online sales of non-alcoholic wine within the same timeframe (2019 to 2027). This follows the same move into ecommerce by fine wine collecting, investing and buying. Key players worth keeping an eye on in the non-alcoholic wine category include McGuigan (Australia), Castel Freres (France) and E&J Gallo (California, US).