The wine bar market - France (2024)

1.2 A dynamic global market

The global market represented ***.** billion in ****down *% on ****. [Researchandmarketsthis decline is mainly due to the health crisis, whereas the trend before the crisis was upward. Sales in **** were ***,**billion US dollars, up a strong **% on ****. The global market is expected to grow again, reaching US$***.** billion in ****.

Global wine market size World, ****-****, in billions of USD Globenewswire, Zion According to data from the International Organisation of Vine and Wine (***), world wine production by volume is estimated at *** million hectolitres in ****. This represents an impressive drop of -*.*% compared to ****, the lowest level of production since ****. This sharp drop can be attributed to complicated harvesting conditions: early frosts, heavy rain, drought and fungal diseases.

World wine production World, ****-****, million hectoliters Source: ****

In addition, OIV estimates world wine consumption at *** million hectolitres in ****, down *.*% on **** and the lowest level recorded since ****. The slowdown in global wine consumption has been largely driven by declining consumption in China, a trend exacerbated by the pandemic in ****. Although global consumption picked up again after the end of health restrictions, the political tensions of **** and the energy crisis pushed up production and distribution prices. The ensuing rise in wine prices had a major impact on consumption ...

1.3 Growth in France

The on-trade market in France

According to the FNCI (***).

insee provides the size of the market in ****, as well as the monthly sales index for the "débits de boissons" subclass(***).

The **.**Zcategory (***) includes :

bars cafés discotheques and dance floors where beverage service is predominant itinerant beverage vendors According to INSEE, sales of drinks outlets in France will amount to **.** billion euros in ****. These figures should be treated with caution, as they do not relate solely to wine bars, but to all drinking establishments. They do, however, provide a clearer picture of the sector's growth:

Sales of drinking establishments France, **** - ****, in billions of euros Source: ****

We can see that, after the pandemic-induced drop in sales, pubs and cafés have immediately returned to their pre-crisis levels by ****, with a **% increase in sales between **** and ****, a sign that bars, cafés and discotheques are growing in popularity in France.

Wine bars

Information on the exact number of wine bars in France is hard to come by. There have been vague estimates since ****. What is certain is that they have gained in popularity since the ****s, and have begun to democratize in cities outside Paris. By ****, there will be around *,*** of ...

2.1 Alcohol and wine consumption in France

Alcohol consumption in France

In ****, Santé publique France published a survey on alcohol consumption among French adults. The figures are not so recent, however, and were collected in ****, but are indicative of the downward trend in alcoholic beverage consumption in France in recent years. in ****, **% of adults (***).

change in the proportion of French people who say they drink alcohol every day France, ****-****, in % Source: ****

**% of people drink alcohol at least once a week, a figure that is falling among men (***).

change in the proportion of the population consuming alcohol weekly France, ****-****, in % Source: ****

Among individuals aged ** to ** who drank alcohol during the year, the average number of days they drank alcohol per year fell from *** days in **** to ** days in ****. In addition, the average number of drinks consumed on a drinking day fell slightly, from *.* to *.* drinks. Rates of heavy binge drinking, defined as having six or more drinks on a single occasion (***), remained relatively stable between **** and **** among adults and men.

However, an increase was observed among women: the proportion reporting at least one episode of heavy annual drinking rose from **.*% in **** to **% in ****. Similarly, those reporting heavy occasional consumption at least once a month saw their ...

2.2 French bar and café habits

A recent survey carried out by OpinionWay for Orisha Distribution in June **** reveals renewed French enthusiasm for bars, cafés and restaurants this summer, despite an uncertain economic climate.

**% of French people plan to visit bars, cafés and restaurants this summer, demonstrating a remarkable vitality. Among them, **% plan to go more often than during the same period last year. This increase is particularly marked among young people under **, with **% planning to visit more frequently, thus affirming their attachment to these places of conviviality and relaxation.

The French express their intention to frequent bars and restaurants, while tending to rationalize their spending. The average budget allocated remains significant, with spending forecasts reaching €*** per month for restaurants and €** for bars and cafés. Young people are particularly inclined to spend more in these establishments: **% of under-**s plan to spend more than €*** per month, compared with only *% of those aged ** and over.

Average monthly budget for outings France, in ****, in euros Source: ****

Although only **% of French people plan to follow the Paris **** Olympic Games in bars, cafés or restaurants, this figure rises to **% among the under-**s. Parisians, perhaps more exposed to the communications surrounding the Games, also seem more ...

2.3 Wine preferences

The specificity of each wine bar lies first and foremost in the products offered: some bars focus on organic, sometimes biodynamic, or local wines. It is therefore interesting to decipher recent wine trends in France.

Poll: which grape varieties do the French prefer? France, in ****, in Source: ****

France's favorite grape variety remains Chardonnay, with **% of those surveyed saying they enjoy this type of wine. Chardonnay's popularity is higher among women (***).

A very interesting figure for the wine bar market is that **% of French people said they had attended a wine-related event in ****, up *% on the previous year. Wine bars, which often offer events and tastings, are therefore a prime target for French people interested in wine events.

Foreign wines are not to be outdone, since **% of wine consumers also drink foreign wines, particularly Italian (***).

French consumption of foreign wines France, ****, in Source: ****

Italian wines are the most frequently consumed foreign wines in France, followed by Spanish, Californian and Chilean wines.

Origin of most consumed foreign wines France, ****, % of total Source: ****

change in average bottle price France, ****-****, in % Source : IPSOS Wine consumption has fallen sharply in recent years. But the average price spent on a bottle has risen sharply. At around ...

2.4 Demand trends

Ecological certification and biodynamic wines

Percentage of consumers who look at the bottle's environmental certification France, in ****, as % of total Source : SoWine Wine is the alcoholic beverage for which consumers look most closely at environmental certification on the bottle (***). **% of wine buyers even say they are prepared to pay more for a certified wine, a figure that has nevertheless dropped by *% compared to ****. Wine merchants and specialized organic supermarkets saw their sales of certified wine rise by *% and *% in ****. According to INSEE, in ****, **% of vineyards had converted to organic production and were certified. number of bottles of organic wine consumed France, ****-****, in millions of bottles share of organic wine consumers France, ****-****, in Source : AgenceBio While the proportion of organic consumers rose sharply between **** and ****, with **% of French people consuming organic food once a month in **** and **% in ****, this proportion has fallen sharply since **** as a result of the inflation that has hit the country. If this trend continues, it could also affect the organic wine market.

Weight of different organic wine segments by volume France, ****, as % of total Source: FranceAgrimer PDO wines are the best-selling wines in the organic wine segment, with **% of market share by volume. The shares ...

3.1 Value chain

A wine bar operates in the same way as a conventional bar. The bar manager generally rents the premises from a landlord, and employs waiters and cooks. For basic catering supplies (***), or by distance selling, or directly from producers, local winegrowers. The latter supply channel is more common among wine bars than classic bars, since wine bars occasionally specialize in local products and seek to promote independent producers.

It is very difficult to obtain precise information on the wine bar market. Studies dating back to **** are fairly comprehensive, but the figures are far too old to be used in this study. We will therefore analyze trends in the French bar market, as well as wine preferences, to approximate the direction of the wine bar market.

According to L'addition, there will be around *,*** wine bars in France in ****. In the absence of more recent figures on wine bar activity, we can nevertheless note a sharp increase in the number of drinking establishments between **** and **** (***). The decline in the number of drinking establishments in **** due to the covid crisis was quickly made up for the following year. However, there was a slight drop in the number of outlets in ****, of approximately *% compared with ...

3.2 Increased internal competition

Strong competitive pressure in Paris

As the Ipsos survey shows, two-thirds of France's *,*** wine bars were located in Paris in ****, increasing competitive pressure in the capital.

Geographical location of wine bars France, ****, % of total Source: ****

The development of franchises

Some bars are opening up to franchising, which can be an opportunity for them to position themselves at the top end of the market. In this system, the company opening the franchise usually has a central purchasing office which has a list of reference wines , some of which must be offered in the franchised restaurants. As a result, franchisees have less room for manoeuvre in their choice of wines. To encourage franchisees to go beyond the minimum threshold, additional discounts are often granted.

Very often, applications to become a franchisee are numerous in towns with more than ***,*** inhabitants, particularly in cities such as Paris, Lyon, Marseille or Strasbourg. [***]

V an B

V and B, for example, is a group of stores offering both a wine bar and a beer cellar in the same establishment. This slightly different concept, which mixes different tastes in beverages, has proved very popular, and the group, founded in ****, manages to open around ** stores every year. With *** stores ...

3.3 Distribution that favors direct contact with winemakers

Wine bars still account for a very small share of still wine distribution in France: specialized stores (***) account for just *% of the distribution market in volume terms, compared with **% for super markets and hypermarkets. By ****, wine sales in supermarkets and hypermarkets will have fallen sharply, mainly due to inflation.

Breakdown of wine sales by distribution channel France, ****, in Source: ****

Wine bar managers are also keen to maintain direct contact with local producers. In ****, **% of them chose the wines they offer by visiting wineries , and **% by visiting trade shows.

Wine bar managers' methods for choosing the wine they offer on their menu France, ****, in Source: ****

Canvassing sales agents (***): wine bar managers find themselves at odds with the rise of the Internet, usually used as the primary vector of information.

3.4 The rise of wine tourism

In ****, overall spending by wine tourists was estimated at *.* billion euros. In France, wine tourism represented more than **,*** wine tourism wineries and more than ** million tourists in ****, **% of whom were foreign, as shown in the graph below[***]

Main nationalities of foreign wine tourists France, ****, in Wine and Society

What's more, wine tourists seem to prefer certain regions, notably Bordeaux and Champagne, whose wine tourism appears to be particularly dynamic.

Wine tourists' preferred regions France, ****, % of total Wine and Society In **** and ****, with travel restrictions abroad and measures at home due to the pandemic, the wine tourism industry worldwide has lost revenue. According to WineTourism , more than **% of wineries have lost more than **% of their wine tourism revenues.

4.1 Typology of wine bar offerings

A wine bar differs from a wine cellar or a classic bistro first and foremost in that its opening hours are often much longer (***). Of course, they also offer an extensive menu, and are not usually characterized by a large solid menu, but frequently offer cold platters and a few nibbles. [***]

There are several types of wine bar. First of all, some wine bars, in Paris for example, are known for their history, their respect for French winemaking traditions and their rather specialized selection. These are often bars that have been open for several decades, in well-known locations. In Paris, for example, Les Caves Legrand, open since ****, are located in the corridors of the famous Galerie Vivienne. This type of bar is generally aimed at wealthier, perhaps more regular, buyers. These bars often offer hidden selections for their most loyal customers. Other bars in this category include Les Caves Petrissan and Will's Wine Bar in Paris. [***]

Then there are many "trendier" wine bars, less classic and generally more recent. They often feature a fairly modern design, attracting younger, more affluent customers.

Wine bars are a highly localized market with little uniformity. The specificity of each bar lies in its design, decoration, ...

4.2 A varied range, with red wines in the lead

Wine bars offer a very varied selection on their menus, with an average of *** wine references.

The vast majority of these wines come from France (***) are the most represented regions.

Regions from which French wines are offered in wine bars, according to managers France, ****, in Source: ****

As for foreign wines, they are offered by **% of wine bars, in a bid to offer diversity and novelty: wines from Spain (***). [***]

Countries of origin of foreign wines offered in wine bars, according to managers World, ****, in Source: ****

Red wines are particularly popular with wine bar consumers: they account for **% of wine bar sales, far ahead of white wines (***). [***]

Breakdown of wine sales by color France, ****, in Source: ****

According to an article from May ****, Burgundy wines are steadily rising in price. To counter this, wine bars are either raising prices or offering other grape varieties.

4.3 Supply trends: itinerant, event-driven wine bars

Travelling wine bars

In the same vein as the fast-growing "food trucks"[***], there are also itinerant wine bars that can move from market to market, square to square, and so on.examples include the Wine Truck Pyrénéen, La Bougeote, a wine bar on a barge, and The Rolling Wines.

We can distinguish two types: those that are a business in their own right, and those that are more in the business of communicating for brands.

In addition, HediMag, a company specializing in mobile businesses, offers a range of "wine trucks" for those wishing to launch a mobile wine bar business.

Event-based wine bars

Other wine bars have a more event-oriented positioning. Idego, for example, offers temporary wine bars for professional events (***). La DiVine 's offer is broader, as they propose to set up their event wine bars for weddings, birthdays, trade shows, etc.

Organic wine bars

Finally, some wine barsare turning to organicoffering only organic wines on their menus. Examples include "Les Petits Crus" and "Lucien la Chance".

Potential competition from online wine purchases

Online wine purchases surged during the covid period. Although the share of online buyers has fallen since ****, they could represent potential competition for wine ...

5. Regulations

Opening declaration

The operator must submit in writing a declaration of opening to the town hall of the city in which he wishes to set up his establishmentor, in the case of Paris, to the Préfet de Police, at least fifteen days before the establishment opens.

Licenses to sell alcohol

To open a drinking establishment, a liquor license is required. Theordinance of December **, **** modified the regime for liquor licenses. There are now two categories:[***]

License III sale of*st and*rd groupdrinks: non-alcoholic beverages, wine, beer, cider, perry, mead, vins doux naturels, crème de cassis, fermented fruit or vegetable juices containing between *.* and * degrees of alcohol, liqueur wines, wine-based aperitifs, strawberry, raspberry, blackcurrant or cherry liqueurs containing no more than ** degrees of pure alcohol. "Category II and III licenses have been merged. Licence IV sale of beverages from the*st,*rd and *thgroups (***). "This license is required for any bar offering rum or distilled spirits such as whisky, in addition to wine. This is the most coveted license, worth **,*** euros, and can cost up to **,*** euros in the most touristy areas.

It's the license III that's required for outlets offering wines and sweet wines for consumption on the premises ...

6. Segmentation

• Le Petit Sommelier
• Ô Château
• N°5 Wine Bar (MPG gastronomie)
• Witradis Caravin
• Wine Therapy
• Chai Vous
• V and B
• Vino Strada
• Bibovino
• L’Epicurien
• Les Domaines Qui Montent
• Dom Zebulon
• Les petits crus
• L’atelier saisonnier
• Jeroboam
• Aux 4 coins du vin
• Le Bar à Vin