Large-scale retail is changing its skin. From a place where anonymous, low-priced bottles were sold to a large area dedicated to even and increasingly quality wine.
There was a time when buying wine at the supermarket was considered an afterthought: anonymous bottles, standardized quality, and a selection designed more for price than palate. That time is over. Today, large-scale distribution is the dominant channel for wine in Italy, and not only because of the volume of sales. Many consumers, for matters of time, opportunity, and convenience, buy their bottles of wine here.
A clear picture emerges from the latest sales data: large-scale retail accounts for about 70 percent of the total wine market in Italy. But beware: growth is no longer just a matter of volume, but also of value. The battle is being played out on the ability to offer more characterized products, with a strong identity, while the lower end, that of wines for a few euros per bottle, shows signs of suffering.
Sales: who goes up and who goes down
The last two years marked a slowdown in volume sales, with a decline of around 3 percent, while in the last 12 months, value has increased by almost 3%. They are sold fewer bottles, but the value of the sector is growing. Why? Inflation raised prices, sure. But it’s not just a matter of price increases: Italians they drink less but choose better.
The low end-cheap table wines-is suffering (-17% in five years), while wines in the premium range (Doc/Docg) are holding up better and the sparkling wines continue to grow (+20% from 2019). The message is clear: the consumer search value in the glass, moving toward more identity, territorial and quality wines, a sign that consumers are willing to spend more for a bottle perceived as better. Still wines are losing ground, while sparkling wines continue to grow, thanks to the success of Prosecco but also to a greater diversification of supply. Then there is the low alcohol and zero alcohol wine phenomenon: a niche, certainly, but one that is rapidly and increasingly developing. Large-scale retail is transforming: no longer just a place of supply, but a true laboratory of exploration and discovery for the consumer.
Where does the road lead to?
There are three main directions that will define the future of wine in GDO.
- The new role of private labels
While private label wines used to be synonymous with low price, today some insignias are building true quality selections. This is reshaping the competition and putting wineries in front of strategic choices: accepting the role of copacker: suppliers for retailers, strengthen their own identity brand or compete by staying in balance on both arenas? - Localism and personalization
Supermarkets are becoming increasingly attentive to territorial specificities. It is not just a matter of offering the classic “wine of the region,” but of building assortments that speak to the customer of a specific geographic area, with targeted and limited offerings. Territorial segmentation will be increasingly pushed, transforming distribution from mass market to multi-micro-market. - The shopping experience is transformed
E-commerce has redefined consumer habits, but it has not killed the physical store. On the contrary, the supermarket is trying to become a place of experience: dedicated aisles, tastings, innovative packaging, and shelves that guide the choice. The customer wants to feel involved and guided, not just picking bottles from the shelves.
An industry in full mutation
Wine in large-scale retail is no longer an immobile and predictable industry. Assortments are refined, strategies diversify and consumer perceptions change. Those who still consider it a “second-rate” market are at least a decade behind. The real challenge now is to understand what direction this major change will take and who will be ready to seize the opportunities.