Wine Bars in the US
Wine bars consist of lounges and bars that focus on the sale of wine for immediate, on-site consumption. Wine bars also offer limited food services and nonalcoholic beverages. Wine bars have seen largely stable expansion, benefiting from an evolving hospitality landscape before COVID-19. Wine bars h...
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| Format: | Market Research |
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| Language: | eng |
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| Summary: | Wine bars consist of lounges and bars that focus on the sale of wine for immediate, on-site consumption. Wine bars also offer limited food services and nonalcoholic beverages. Wine bars have seen largely stable expansion, benefiting from an evolving hospitality landscape before COVID-19. Wine bars have achieved substantial popularity with the industry's youngest and oldest consumers, as disposable income levels strengthened and consumers spent more on higher-priced discretionary products. For example, younger consumers are taking more to premium beverages, like wine and craft beer, and opting for smaller and quieter venues that offer a relaxed dining experience. Despite positive trends, drops resulting from the pandemic have contributed to a marginal growth of an estimated CAGR of 0.3% through the end of 2024 to $3.1 billion, including an anticipated 3.0% dip in 2024 alone.
The economic impact of the pandemic in 2020 had a substantial negative impact on wine bars during the year. Wine bars across the United States were forced to either temporarily shutter their doors or operate business at a substantially limited rate. As unemployment levels spiked and consumers became more uncertain about their economic situation, fewer sought out wine bar services where still available. Still, demand for wine bar products remains high, as consumers tend to turn to alcoholic beverages during periods of distress. That's why some wine bars were able to mitigate losses by offering pick-up services and relying on higher-income consumers who have more financial security.
Through the end of 2029, wine bars will see a stronger rebound from the adverse impacts of the pandemic. As disposable income levels continue to strengthen, consumers will continue seeking affordable gourmet dining experiences. The number of households earning $100,000 or more will edge upward through the end of 2029; these consumers are the largest market for wine bars and, thus, a swell in this population will significantly benefit wine bars. Still, slightly volatile input prices will pressure profit moving forward. In turn, wine bar revenue will inch up at a CAGR of an estimated 1.6% to $3.3 billion through the end of 2029, driven by economic recovery. |
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