Wine - Taiwan

Taiwan, known for its vibrant food culture and culinary scene, has seen a significant growth in its wine market in recent years.

Customer preferences: Taiwanese consumers have developed a growing interest in wine, with an increasing number of people incorporating it into their dining experiences. Wine is no longer seen as a luxury item or reserved for special occasions, but rather as a beverage that complements everyday meals. This shift in consumer preferences has been driven by a desire for a more sophisticated and diverse drinking experience.

Trends in the market: One of the key trends in the wine market in Taiwan is the rising demand for imported wines. Taiwanese consumers have become more adventurous in their wine choices, seeking out unique and high-quality products from around the world. This trend is supported by a growing number of wine importers and distributors in the country, who are actively sourcing and promoting a wide range of wines to meet the demand. Another trend in the market is the increasing popularity of wine education and wine-related events. Wine tastings, workshops, and courses have become common in Taiwan, providing consumers with opportunities to learn about different wine regions, grape varieties, and tasting techniques. These events not only enhance consumers' knowledge and appreciation of wine but also create a sense of community among wine enthusiasts.

Local special circumstances: Taiwan's geographical location and climate pose challenges for wine production within the country. The hot and humid climate is not conducive to growing traditional wine grape varieties. However, this has not deterred local winemakers from experimenting with alternative grape varieties and winemaking techniques. As a result, Taiwan has seen the emergence of a small but thriving domestic wine industry, producing unique and distinctive wines that cater to local tastes.

Underlying macroeconomic factors: The growth of the wine market in Taiwan can be attributed to several macroeconomic factors. Firstly, the country's rising affluence and disposable income levels have allowed more consumers to afford premium and imported wines. Secondly, Taiwan's increasing exposure to international cultures and cuisines has sparked a curiosity for wine and its place in global gastronomy. Lastly, the government's efforts to promote wine consumption and tourism have also contributed to the growth of the market. In conclusion, the wine market in Taiwan has experienced significant growth due to changing customer preferences, the rise in demand for imported wines, an increased focus on wine education and events, the unique circumstances of the local wine industry, and underlying macroeconomic factors. As Taiwanese consumers continue to embrace wine as a part of their lifestyle, the market is expected to further expand and diversify in the coming years.

Data coverage:
The data encompasses B2C enterprises. The at-home market covers retail sales via super- and hypermarkets, eCommerce, convenience stores, or similar sales channels. The out-of-home data encompasses all sales to hotels, restaurants, catering, cafés, bars, and similar hospitality service establishments. Combined numbers encompass both the at-home market and the out-of-home market. Both the at-home and the out-of-home market are valued at retail selling prices including all sales and consumption taxes.

Modeling approach:
Market sizes are determined through a Top-Down approach, building on specific predefined factors for each market segment. As a basis for evaluating markets, we use resources from the Statista platform as well as in-house market research, national statistical offices, international institutions, trade associations, companies, the trade press, and the experience of our analysts. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, consumer spending (e.g. consumer spending on alcoholic beverages, consumer spending at Hotels, Restaurants etc.), and price level index. This data helps us estimate the market size for each country individually.

Forecasts:
In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the exponential trend smoothing is well suited for forecasting the Alcoholic Drinks market with a projected steady growth. The main drivers are GDP per capita and consumer spending per capita.

Additional notes:
The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level.