Massive price rises for wine and spirits: WSTA

13 June, 2012

Wine and spirits prices have risen by more than twice the level of inflation in the past year, and sales are declining in shops, the Wine & Spirit Trade Association has reported.

Off-trade wine and spirits prices grew 6.5% in the year to April 2012, while inflation for the same period was 3%, according to the WSTA’s latest Market Report, which takes data from Nielsen, CGA Strategy and the Wilson Drinks Report.

Meanwhile sales of wine in shops fell 3% in volume, while spirits sales dropped 2%.

But wine sales over £10 grew by 32% in the off-trade by volume, and wines priced £7-£8 grew 30%.

The average price of alcohol has increased across all categories over the year, and in spirits only liqueurs have seen value declines in the off-trade.

Interim WSTA chief executive Gavin Partington said: “The above-inflation increase in the prices of wines and spirits comes as consumers are feeling the pinch and being forced to cut back, so it’s perhaps not surprising that volume sales overall are depressed. 

“But there are encouraging signs elsewhere with wine at higher price points showing strong growth over the year."

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