Younger Adults Reshape Wine Markets

Younger adults are becoming a bigger force in wine markets in Germany, Britain, the United States and Sweden, according to new research from IWSR that points to changing drinking habits and fresh opportunities for producers trying to slow the category’s decline.

In Germany and Britain, consumers ages 18 to 34 now account for 22% of wine drinkers. That share rises to 23% in the United States and 27% in Sweden, the research found. The shift matters because wine has long depended on older drinkers, while younger consumers have often been more associated with beer, spirits and ready-to-drink beverages.

Dan Mettyear, head of research for EMEA at IWSR, said the younger age groups were growing in several major markets and were reshaping consumer behavior. He said they were showing more involvement with wine, more willingness to experiment and greater openness to new styles and formats.

IWSR said younger wine drinkers tend to know less about wine than older consumers but make up for it with higher engagement. In Britain, 66% of regular wine drinkers in the 18-to-34 group were classified as highly involved, meaning they take a strong interest in wine, see it as important to their lifestyle and spend time choosing what to buy. That compares with lower levels in other age groups. The same pattern was also seen in Italy, where 49% of younger regular wine drinkers were highly involved, and in the United States, where the figure was 44%.

The company said older consumers still tend to be guided mainly by brand recognition and grape variety. Younger drinkers are more likely to rely on recommendations and whether a wine pairs well with food. They also appear more willing to spend more on each occasion than the average drinker, Mettyear said.

That behavior is pushing wineries toward products that fit changing tastes. IWSR identified no-alcohol and low-alcohol wines, lower-sugar and lower-calorie products, sparkling wines and drinks with stronger sustainability claims as areas of growth. It also pointed to the expanding ready-to-drink segment, including wine-based spritzes.

Mettyear said many brands are developing lighter wines because consumers are paying closer attention to calories, sugar content and alcohol strength when they shop. He also said no-alcohol wines have improved in quality and taste enough to win over more buyers.

The data show that no-alcohol wine volumes more than doubled in Britain and the United States between 2019 and 2024. Gains were also recorded in Germany, Canada and Australia. Sparkling wine has also held up better than still wine. Globally, sparkling wine volumes rose at a compound annual growth rate of 2% from 2019 through 2024, led by Prosecco at 5% and no-alcohol sparkling at 12%, while still wine volumes fell at a rate of 4% over the same period.

Wine spritzers and coolers grew at a compound annual rate of 2% over those years. Mettyear said sparkling wine was becoming more casual across markets and moving beyond celebrations into everyday settings, helped by the spritz trend. He said younger consumers were driving that change because they are more open to trying flavored sparkling wines and other new styles.

Some large producers are already adjusting their portfolios. Australian Vintage said earlier this year that its small-format Poco Vino brand was scanning about 12,000 bottles a day worldwide and was on track to add more than $15 million in revenue in its first full year of sales. Vinarchy has drawn attention in Britain with Echo Falls Blue Raspberry, a bright blue 9% ABV product launched into independent shops last month that quickly sold out in many locations after gaining traction on social media.

Treasury Wine Estates has also introduced Sorbet, a range that mixes traditional varietals such as Prosecco, Rosé, Sauvignon Blanc and Shiraz with fruit flavors including passionfruit, mango and lemon. Leigh Firkin, head of commercial wine at Endeavour Group, said the line was designed to meet demand for refreshment in lower-alcohol drinks while keeping some of the craft appeal associated with wine.