The “canned wine” phenomenon has strong growth opportunities but a secular approach is needed.
“I believe that wine in cans is not a passing trend, but something deeper. History tells us that when a trend enters the wine market, it often tends to take root”.
These are the words of Fabio Piccoli, director of Wine Meridian. Although canned wine made its first appearance around the 1930s, it has only become established and expanded in recent years. This is partly due to Francis Ford Coppola’s re-launch of the format with the introduction of Sofia on the market, which has given the canned wine a new reputation and recognition.
The main factors that are sustaining the exponential growth of this wine segment are: convenience and reduction of waste; attention to sustainability for the materials used and the smaller carbon footprint); ease of storage and transport for the small size; the qualitative evolution of cans and easy accessibility and portability.
The United States is the main reference market for canned wine; here consumers are more attentive to new trends, new packaging and, in fact, awareness of this new format has increased from 23% to 38%, in the period 2017-2020. “According to Nielsen data, the volume of sales in the period 2017-2021 increased by 3,800% for a total of 30 million bottles. In value, the global market in 2020 touched $211.4 million and a compound growth rate of 13.2% is expected in the period 2021-2028. Interest in canned wines is also growing in Europe, with consumption of canned wine increasing by 125% in April 2020, according to Packaging Europe”.
Despite the encouraging data and the strong growth that is affecting canned wine, this segment still has several challenges to overcome, from the most to the least complex. First of all, it is essential to change the perception of wine: we need to overcome the misconception that wine is a drink only suitable for glasses and connoisseurs. It is also essential to convey the message that canned wine is not just a drink for young people and Millennials, but also for older people. One of the most complex challenges, however, is to link the wine to the grape variety, thus succeeding in getting the message across that canned wine is not a low quality, hydro-alcoholic beverage. Further challenges include: the perception of low quality, especially in Europe; problems related to consumption occasions, especially for red wine; and the perception of canned wine as a mass retail product.
“In conclusion, the renewal linked to the phenomenon of canned wine should be viewed positively. If decision-makers and communication take a layman’s approach, this process will result in important growth for the whole sector”.
The full Wine Meridian article is available here.