Reviews

Wine Intelligence studies affluent Russian wine consumers
«Vitrina» March 2009

Which wines are consumed in Moscow and St. Petersburg?

Where and how often does it happen? What stimulates a purchase? Wine Intelligence, a well known British researcher, is now able to answer these and many other questions about consumer behaviour in Russia’s two largest cities.

The company specialises in research and analysis of the international wine market, and its reports are among the most valuable and objective sources of information on the subject. In order to study a consumer segment, Wine Intelligence uses its own methodology — “Vinitrac® Global — the international wine consumer omnibus survey”. Last autumn the agency undertook the first large-scale “Wine Intelligence Vinitrac® Russia” research in Moscow and St. Petersburg, having gathered unprecedented information about the wine behaviour, habits and attitudes of the inhabitants of these cities.

The study was aimed at affluent consumers of legal drinking age who drink imported wine at least once a month and who spend at least 150 roubles on a bottle. “Imported wines” mean those produced in France, Italy, Spain, Chile, Australia and some other countries. The survey was done through a random selection of people who meet certain criteria, via face-to-face interviews.

According to the findings of the survey, 4,1 mln. people in two cities, of which 3,2 mln. live in Moscow, are suited to the above category of affluent wine consumers. Their share versus total city population is smaller in St. Petersburg — this can be easily forecast, taking into account the higher income of Muscovites. The research shows that, curiously, three quarters of regular drinkers of expensive imported wine are female, and the figures practically coincide between Moscow and St Petersburg. In the capital, wine is most popular with young people in the age group 18-29 years (30% of total affluent consumers), and in St. Petersburg — with a slightly older age category of 30-39 years (32%).

The habit to open bottles at home is still strong. Russians prefer to drink wine at the table, with food. On the other hand, wine is gradually becoming an important component of out-of-home leisure time: 17% of consumption cases for expensive imported wine in Moscow happen in bars and restaurants, 19% in St Petersburg. In these cases the wine is usually drunk in the company of friends, which allows it to be defined as a constituent part of socialising.

As for the frequency of purchases and their cost, affluent Muscovites more often buy wines in the price range of 200-499 RUR, and inhabitants of St. Petersburg — 150-299 RUR. The latter are ready to pay for premium wines over 600 RUR much less frequently than the former, which is once again related to the higher disposable income of consumers in the capital.

“Wine Intelligence Vinitrac® Russia” confirmed the Russian preference for red wine. It accounts for around 60% of total consumption. White wines are slightly less popular in Moscow than in St. Petersburg, and rose is bought in 11% of cases in Moscow, versus 8% in St Petersburg. People of the northern capital, though, are more cosmopolitan in choice and have tasted more wine from various countries on average. They also drink more champagne and sparkling wines. Generally speaking, affluent consumers include France, Italy, Spain, Germany and Chile in the top five most popular wine producing countries.

When answering the question about retail outlets in which wine was bought in the past 6 months, consumers most often mention supermarkets, hypermarkets and specialised wine shops. In Moscow, 79% of consumers made purchases in supermarkets, 66% — in hypermarkets, and 42% — in specialised wine shops. Half of all respondents in Moscow buy wine in the Auchan multiple. In St Petersburg the figures are 75%, 74% and 43% correspondingly. Paterson and Perekryostok are the leading supermarket chains for wine purchases.

A significant number of consumers (over 85%) buy premium wine based on former experience — “I have tasted the wine before and liked it”. Recommendation by friends or family, country of origin, information on the back label and grape variety are also stated as important factors for purchase. Muscovites are slightly more conservative, preferring to buy familiar wines, though over 43% of respondents in both cities say that they regularly try previously unknown bottles. Consumers in both cities strongly associate France, Italy and Spain with high quality wine production, but they can’t make up their mind about the quality of many New World countries, especially New Zealand, USA and South Africa.

A big surprise comes from the finding that Langhoff Liebfraumilch from Germany has the highest level of awareness in both cities. As for the awareness of wine producing regions, Bordeaux, Tuscany, Beaujolais and Chianti come first, though inhabitants in Moscow and St Petersburg rank them differently, and penetration of wines from these regions doesn’t necessarily coincide with the level of consumer awareness.

“Russia is one of the most exciting wine markets in the world at the moment, because wine consumption is growing and consumers are becoming more sophisticated in their tastes. While there are more research challenges involved in collecting data in this market, we feel it is very important to put together hard evidence and insights to help wine producers and retailers in Russia understand their target market better,” — said Richard Halstead, Wine Intelligence Chief Operating Officer.