Nairobi is coming of age in the Wine sector. Just a year ago (October 2013), when the wine bug had bit me and I was starting this blog, there would be one winetasting a month. Either I was looking in the wrong places, or wine distributors and brands have turned to tastings, activations and events to try push their brands on-trade and off-trade. The consumption has also increased because the capital is packed with restaurants, bars and lounges. It is also a city brimming with cultural excitement and an enjoyable nightlife scene. Young people have a larger disposable income and they use it on experiences like going out for drinks.
Having a finance background, it is always my disposition to use numbers/facts and figures. I’ve always inherently researched stuff by looking at the numbers. Numbers don’t lie. If you want to know the intricate details you can read this conclusive report by Euromonitor.
Just to take an excerpt from the results. Here are some facts that stood out for me. I am looking forward to 2015 to see the exponential growth of this industry.
The growth in wine consumption was largely driven by the growing middle-class population in Kenya. Other factors such as increased product availability in the market, advertising of various brands and popularity of wines at corporate functions and restaurants are major factors that promoted growth of wine consumption.
Wine consumption is expected to grow over the forecast period due to changing lifestyle trends among Kenyans, and the growing middle-income consumer group with rising disposable incomes. Increased advertising and consumer knowledge will also be key factors that will promote growth.
The report also included.
- Analysis of key supply-side and demand trends
- Detailed segmentation of international and local products
- Historic volumes and values, company and brand market volume shares
- Five year forecasts of market trends and market growth
- Production, imports by origin, exports by destination
- Robust and transparent market research methodology, conducted in-country
It answered questions such as
- What is the market size of Wine in Kenya?
- What are the major brands in Kenya?
- How do sales of new world wine perform in comparisons to old world wine?
- Which countries are the main wine exporters and importers?
- Is wine mainly consumed in on- or off-trade channels?
- Have other sparkling wines like cava and prosecco benefited during the recession at the cost of Champagne?
Reference- Euromonitor International report: Wine in Kenya.
There is also a report of Spirits/ beer in Kenya but the growth on these fronts has not been astronomical as in wine. Kenyans have always been drinking beer/ spirits.
However, they are starting to take on wine. 🙂
Featured image credits: magnumlady.com
