The first quarter of 2023: exports and market signals

We tried to do an analysis of the first quarter of 2023 in terms of the market and trends in our sector. We did this by trying to get those who know the market and test it every day to speak, namely our sales managers, who provided their opinion on the performance of this first part of the year in an attempt to identify trends and signals that can act as guide for the coming months and for those who want to understand how the complex wine sector is moving, especially abroad. 2023 is a particular year because it sees the crystallization of part of the increases in raw materials that marked the whole of 2022 but, at the same time, a sort of effervescence that seems to characterize the long wave of post-Covid19.

For this reason it is interesting to fully understand the signals that are arriving in these first four months of activity.

First of all, what was the sales trend in the first quarter compared to the same period of the previous year?
Some of our largest customers in the main markets (USA, China and Japan), aware of the increases that would occur at the beginning of 2023, stocked up at the end of the year and the sales trend in the first quarter of 2023 is being somewhat affected.

Did the experience of Vinitaly in Verona in April 2023 help you make yourself known?
Vinitaly is an excellent fair for us and always brings new knowledge and sometimes even new customers. Our company has always participated in them since the very first events.

Which foreign markets recorded the greatest growth in terms of sales for your company?
Certainly the USA and the UK, two very growing markets in which our wines are finding great acceptance.

What were the main challenges encountered in the export of wine in these first months of 2023? Have you encountered any critical issues?
I would say one of the main challenges was to try to contain prices within a certain limit beyond which there is a risk of losing a certain share of the market.

So how do you judge the start of this year in general? What were the main consumption trends in the wine market in this period?
For the reasons listed above the start of this year has been rather calm. The dramatic increase in raw materials (glass in particular) but also very long times for the availability of raw materials have caused delivery times to extend. Regarding consumption trends, we have recently found that they are towards medium-priced wines but with a high alcohol content.

Were there any specific consumer preferences? In this sense, have you had any positive feedback from your customers?
I repeat that we have had positive feedback on certain wines with a medium/low price but with a high alcohol content, it seems that this is the most evident trend of these first months and which also gives useful indications for the second part of the year in terms of appreciation of the consumers.

Looking ahead, what are your growth forecasts for the remainder of 2023? Are there any new markets or opportunities you are exploring?
We are exploring new markets, or rather markets where we have not been present for some time, such as Australia, Israel, Vietnam, Mexico and which are giving excellent satisfaction.