Consumers in their 20s have emerged as the wine industry’s spring chickens

Grandview-research.com reports that the U.S. wine market was estimated at $81.33 billion in 2023 and is expected to expand. To put this in perspective, the U.S. auto industry for the same period is estimated at $104.1 billion.

Nick Cappelli (right), owner of Fruit of the Vine DV, stands with longtime customers Mr. and Mrs. Belnome, who still make wine in their 90s, contrary to the trend of younger wine enthusiasts.

The wine industry has become such a major U.S. commercial and agricultural market that several analytical reports are published each year, including one touted by The New York Times as the most influential: The annual “State of the Industry” produced by Rob McMillan, head of the Silicon Valley Bank Wine Division.

In his 2025 report, McMillan predicts a slightly different analysis for the coming years: “Total wine category sales will end the just-completed 2024 year with negative volume growth,” which he predicts will continue.

I don’t want to oversimplify this robust report because McMillan’s summation is based upon a myriad of complex factors that include lingering pandemic effects, weather, environmental events, and particularly, changing demand. By the way, the report is filled with significant evaluations and forecasts. You can find it at https://www.svb.com/trends-insights/reports/wine-report/.)

McMillan highlights several factors influencing demand, including demographic changes. Specifically, as boomers “sunset,” younger cohorts, particularly those ages 21-29, are more likely to either abstain from alcohol or opt for alternatives to wine. He also noted that the market for no- and low-alcohol products is growing rapidly.

While this is a newer development, McMillan and others have reported that overall wine consumption and demand have been in slow decline for the past three decades. It was difficult to comprehend this, especially considering the staggering wine market economy and what seems like a cultural resurgence – it was reported that American wine consumption surpassed that of France in 2020 for the first time in history.

But don’t worry yourselves, my vino-loving readers. These forecasts are not intended to indicate the wine industry is going away by any stretch. It’s just to say, the landscape is changing and therefore, wine growers and producers must change with it.

“The key issue to grasp in this era,” McMillan explained, “lies in the contrast between the preferences of older, high-spending wine consumers and the newly emerging 21-year-old demographic.”

Nick Cappelli, owner of Fruit of the Vine DV, and the largest distributor of pressed grape juices for winemaking in Pennsylvania’s Delaware and Chester counties, agrees about the changing demographics and says he sees more younger winemakers these days.

“Winemaking is an expensive hobby and requires time, which is why our customer base for pressed juices is predominantly retirees. It’s been great to see younger generations with the passion coming in, many of whom form winemaking groups with friends,” Cappelli explained. “However,” he added, “the younger customers make smaller batches as they’re learning the process.”

An insightful with McMillan’s report compares the attributes, lifestyles, and preferences of older and younger wine consumers. In line with Cappelli’s observation, the chart highlights the importance of friends and social activities among younger people.

As the landscape of wine enthusiasm continues to evolve, so does the availability of grapes from international regions, offering winemaker hobbyists both spring and fall harvests.

“Spring season begins May 1,” Cappelli said. “Many local award-winning wines are made from grapes and grape juices imported from the southern hemisphere, particularly Chile and South Africa where the seasons are opposite ours.”

Chile is especially lauded for Malbec and Carménère grapes while South Africa gets accolades for its exceptional Sauvignon Blanc grapes. Cappelli and his associate, Steve Funk, will be presenting a wine class for enthusiasts of all ages, Wine Experience 101, on Friday evening, May 16, 2025, at their Commissary location, 54 Conchester Road, Glen Mills, Pa. For more information and registration, email nick@suburbanfoodservice.com and type “Wine 101” in the subject line.

As McMillan so aptly wrote to open the 2025 report, “The wine industry offers a tapestry of beauty and craftsmanship that is captivating, evoking a lifestyle that seems worlds away from ordinary life. The business is not merely an occupation; it’s a passionate pursuit, rich with sensory experiences, social connections, and profound personal meaning” … whether you’re a retiree or a spring chicken.