Special Report: Wine packaging

(TheDrinksReport) - Glass has always played a dominant role in alcoholic drinks, with beer and wine making up 90% of global glass bottle volumes in 2012 sold through the retail channel. In the wine category, the traditional quality nature of glass has remained an asset. To date, a number of niche packaging types have failed to make an impact in wine, but with improvements in technology and changing consumer habits and perception, glass is increasingly being challenged.

In volume terms, the global wine industry amounted to 21 billion units of glass bottles in 2012. Still light grape wine (red, white and rosé) makes up a significant 72% of this volume with, also true for sparkling wine, the majority still being consumed amongst “old world” wine producing countries. Non-grape wine in glass, in particular rice-based varieties, is by contrast most prominent in Asia Pacific.

Western Europe remains the leading region for glass bottles in wine

Western Europe accounted for almost half of all wine sold in glass in 2012, with demand led by the big wine producing countries of Germany, France and Italy, as well as the UK, primarily through still light grape wine. The top three countries effectively account for almost a third of global glass bottles sales made in the wine industry and 59% of sales in Western Europe. As such a developed region for wine, Western Europe is also, unsurprisingly, more complex and diverse when it comes to wine packaging choices, being very much ruled by varying wine consumption occasions and consumer needs.

The stronghold of glass within the European wine market is not without its challenges, and alternative packs like beverage cans are seeing growth amongst younger consumer groups through fashion-conscious, branded wine offerings. Glass, which nevertheless looks set to account for 90% of Western Europe’s still light grape wine packaging sales in 2013, has in recent years lost some position to liquid cartons. The brick carton is favoured by price-sensitive wine consumers purchasing economy variants, especially evident in Italy while shaped cartons have shown appeal amongst British consumers for outdoor consumption. In the run-up to 2017 however, the bag in box looks set to be more of a rival to the glass bottle. Its volume sales are expected to grow by another 27 million units in France alone, where this lighter alternative is offering retailers reduced operational costs whilst also providing consumers with decent product quality for that daily glass of wine over a meal. Conversely, an aperitif culture in Germany is seeing consumption of wine at meal times become more popular, representing an opportunity for glass.