Wine - Slovakia

The Wine market in Slovakia has been experiencing significant growth in recent years, driven by changing customer preferences and local special circumstances.

Customer preferences: In Slovakia, there has been a growing interest in wine consumption among the younger generation. This demographic group is more open to trying new and different types of wines, including those from international regions. Additionally, there is a rising demand for organic and sustainable wines, as consumers become more conscious of their health and environmental impact. This has led to an increase in the production and availability of organic wines in the market.

Trends in the market: One of the key trends in the Slovakian wine market is the shift towards premium wines. Consumers are willing to pay higher prices for wines that are of higher quality and offer unique flavors. This trend is driven by a growing appreciation for the craftsmanship and artistry involved in winemaking. As a result, there has been an increase in the number of boutique wineries and vineyards in Slovakia, producing small-batch, high-quality wines that cater to this demand. Another trend in the market is the growing popularity of wine tourism. Slovakia's picturesque vineyards and wine regions have become a destination for wine enthusiasts, both locally and internationally. This has led to the development of wine trails, wine festivals, and wine tasting experiences, which contribute to the overall growth of the wine market. Wine tourism not only boosts the sales of local wines but also promotes the country's cultural heritage and tourism industry.

Local special circumstances: Slovakia has a long history of winemaking, dating back centuries. The country's unique climate and terroir provide favorable conditions for grape cultivation, resulting in wines with distinct flavors and characteristics. The traditional winemaking techniques and indigenous grape varieties further differentiate Slovakian wines from those produced in other regions. This rich winemaking heritage has created a sense of pride and appreciation for local wines among consumers, contributing to the growth of the market.

Underlying macroeconomic factors: The overall economic stability and increasing disposable income in Slovakia have also played a role in the development of the wine market. As consumers have more purchasing power, they are willing to spend on higher-quality products, including wines. Furthermore, the country's membership in the European Union has facilitated trade and export opportunities for Slovakian wine producers, allowing them to reach a wider customer base. In conclusion, the Wine market in Slovakia is experiencing growth due to changing customer preferences, such as a growing interest in wine among the younger generation and a demand for premium and organic wines. The market is also influenced by local special circumstances, including a rich winemaking heritage and the popularity of wine tourism. The underlying macroeconomic factors, such as economic stability and increased disposable income, further contribute to the growth of the 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.