Wednesday, September 19th, 2018 - Fact.MR

Product premiumization along with strong marketing strategies and promotional activities is the key factor driving fortified wine market in Asia Pacific, finds a new Fact.MR study. Rapid urbanization and increasing disposable income in emerging economies such as China and India has led to an upsurge demand for fortified wine in these regions. Ever-changing preferences of customer are influencing product innovations and development of new flavors which will amplify the lucrativeness of fortified wine market in the foreseeable future. Consumption of fortified wine for its nutritive and healthful properties has been gaining popularity across Asia Pacific which in turn accelerates growth prospects of the market. Moreover, growing R&D on alcoholic beverage industries to develop innovative products of fortified wine will possibly create remunerative opportunities for manufacturers in Asia Pacific fortified wine market.

Fact.MR forecasts the performance of fortified wine market in Asia Pacific which is segmented into Asia Pacific Excluding Japan (APEJ) and Japan for the assessment period, 2017-2022. In terms of revenue, fortified wine market in APEJ is likely to surpass a value of US$ 260 Mn by 2022-end, expanding at moderate CAGR of 3.1% throughout the forecast period. Growth of fortified wine market in Japan is expected to be sluggish, while China continue to maintain its supremacy with highest revenue share.

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Maximum sales of fortified wine in Asia Pacific is anticipated to be generated by modern trade segment which holds the largest revenue share as compared to other sales channels. E-commerce and other retail format segments are foreseen to register an equivalent CAGR during the assessment period. Consumers’ preference for Madeira and Marsala is estimated to be relatively higher than their counterparts in the Asia Pacific region. Further, Asia Pacific will possibly witness a considerable demand for light bodied and semi-sweet fortified wine in the coming years.

According to the Fact.MR’s study, fortified wine market at global level will register a modest CAGR of 2.5% during the forecast period. Europe is expected to be at the forefront of global expansion of fortified wine market, followed by North America. Emerging trend of consuming fortified wines infused with marijuana in developed nations such as the US where the product is legal is expected to fuel the market in these regions.

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Madeira has been envisaged to be the leading revenue contributor with Marsala complementing growth of the global fortified wine market in terms of product type. Based on body type, light bodied fortified wine is estimated to account for highest value share while full bodied segment is likely to experience a passive growth during the forecast period. Modern trade segment will continue to maintain its dominance in global fortified wine market with respect to sales channel. However, e-commerce will possibly witness a faster expansion in the latter half of the assessment period.

Although Fact.MR maintains a positive outlook of the global fortified wine market, challenges associated with negative health effects due over consumption of these wines is likely to hamper the market growth. In addition, increase in the number population who spread awareness regarding adverse effects of alcohol consumption might confine the growth of global fortified wine market.

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Fortified Wine Market, Asia Pacific Fortified Wine Market, Fortified Wine Market Sales in Asia Pacific, Fortified Wine Market Sales in Asia




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