Wine - Burkina Faso

The Wine market in Burkina Faso is experiencing steady growth due to changing customer preferences, emerging trends, and local special circumstances.

Customer preferences: Burkina Faso has traditionally been a beer-drinking country, but there has been a shift in customer preferences towards wine in recent years. This can be attributed to several factors, including changing lifestyles, increased exposure to international cuisines, and a growing middle class with higher disposable incomes. Wine is seen as a sophisticated and trendy beverage choice, and consumers are increasingly opting for it as a way to enjoy social gatherings and special occasions.

Trends in the market: One of the key trends in the wine market in Burkina Faso is the growing demand for imported wines. Consumers are becoming more adventurous in their wine choices and are seeking out new flavors and varieties from different regions around the world. This has led to an increase in the availability of imported wines in local supermarkets and specialty stores. Additionally, there is a rising interest in organic and natural wines, driven by a growing awareness of health and sustainability among consumers.

Local special circumstances: Burkina Faso has a unique cultural and culinary landscape that contributes to the development of the wine market. Wine is often associated with special occasions and celebrations, such as weddings and religious festivals. The country's diverse ethnic groups and their respective cuisines also play a role in shaping wine preferences. For example, certain dishes and flavors pair well with specific types of wine, leading to a demand for different varieties. Additionally, wine is seen as a symbol of status and sophistication, and consumers are willing to spend more on high-quality wines to impress their guests and peers.

Underlying macroeconomic factors: The growth of the wine market in Burkina Faso is also influenced by underlying macroeconomic factors. The country's economy has been experiencing steady growth, resulting in an expanding middle class with increased purchasing power. This has led to a rise in consumer spending on luxury goods, including wine. Additionally, Burkina Faso has been attracting foreign investment and experiencing urbanization, which has created a more cosmopolitan and international environment. This has further contributed to the demand for wine as consumers are exposed to different cultures and lifestyles. In conclusion, the wine market in Burkina Faso is developing due to changing customer preferences, emerging trends, local special circumstances, and underlying macroeconomic factors. As consumers become more adventurous in their wine choices and seek out new flavors, the demand for imported and organic wines is increasing. The country's cultural and culinary landscape, along with its growing middle class and urbanization, are also contributing to the growth of the wine market.

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.