Silicon Valley Bank Predicts Rebound in Wine Demand in 2021
Silicon Valley Bank (SVB), one of the largest providers of financial services to wine producers, has released its 2021 State of the Wine Industry Report. The annual report predicted a strong consumer demand that gains momentum throughout 2021 as the hospitality, travel, and entertainment industries rebound. The bank expects retailers with an E-commerce strategy will have a strong 2021 and online sales could represent 20% of winery sales within five years. But wine sales through restaurant channels are not expected to recover to pre-COVID levels for a few years.
Additionally, SVB submits that the wine industry will need a marketing organization to deliver a unified national consumer message as wine sales across all price segments have been in decline over the past few years.