The Sothebys' recently released Wine Market 2018 Report revealed that much of the progress in last year's wine auction sales was driven by Asian consumers who have been patronizing fine wine over the last couple of years.
According to Forbes, most of the sales recorded by Sotheby's pointed to China's Hong Kong and other Asian regions, including Taiwan. The American auction market did well last year but Asian markets, in particular, changed the focus of auctioneers, pivoting interest towards the Asia-Pacific region.
The report found out that Asian consumers accounted for 63 percent of total fine wine sales in the auction sect last year. Hong Kong, in particular, doubled its purchase percentage as it was revealed that 53 percent of the total wine auction market sales last year came from the Chinese territory.
A single retail transaction of seven 6L bottles of Domaine de la Romanée Conti (DRC) 2005 sold at $1.5 million was also recorded by Sotheby's to have been purchased by a Hong Kong consumer. It is worth noting that the auctioned Methuselahs are considered to be the world's most expensive winery to date.
Chai Wine Consulting founder Maureen Downey said of the surge in Asian wine consumption, "More people are getting involved in the fine wine markets in the U.S.A and in emerging markets of Asia, Brazil, and even India."
Downey also explained that the increase of global interest in wine auctions was driven by changes in market behaviors that allowed for Asian consumers to explore other wine brands aside from what's available in their countries.
Another factor that Downey said has impacted growth in the wine auction market is the Internet era. With the increasing number of regions that have access to online transactions, more and more consumers are leaning on the convenience that the Internet has to offer in terms of quickly tracking down specific bottles and brands.
Aside from Asian consumers continuously purchasing from wine auctions, there has also been a surge in Chinese wine sales outside of the country. Experts believe China's overall attraction to both local and international wine is a key driver in pushing the world's wine industry forward.
According to a Research and Markets report, the Chinese wine sector is expected to record its fastest growth rates in volume and value between 2017 and 2022. Among the expected leading brands to make headway in the global wine industry are Yunnan Shangri-La Winery, Tonghuagrapewineco, and Yantai Changyu Pioneer Wine.
