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Lemoine states that the industry is facing the problem of an oversupply and a slowing consumer demand. The good news is that sparkling wines, particularly Prosecco and Rose, experienced healthy growth and that the whole category was benefiting greatly from a premiumization trend as consumers traded up. You can also get facts about the online wine trade(also known as online weinhandel in the German language)through various online sources.

According to BMC, only 19% of wine volume is sold on-premise (restaurants/bars, etc.). This channel accounts for 41 percent of wine's total retail dollar sales. COVID-19 caused the closure of many restaurants and bars, resulting in a sudden loss of a significant source of category dollars.

Lemoine says that small brands that can offer consumers a taste of unknown wines when they purchase "by the glass" on-site lost sales. Instead, customers shifted to buying from off-premise wine shops and grocery stores. Wineries that showcased their creativity online with happy hours and tastings were also affected by the suspension of tourism and travel.

The wine category suffered its first decline in 24 years in 2019 and is still struggling to recover from fierce competition from beer and flavored malt beverages. Scott Scanlon from IRI's Beverage Alcohol Vertical, states that import wine saw a small growth of only 2-4 percent while domestic wine accounted for 75 percent of U.S. wine sales.

Scanlon states that COVID-19 has facilitated a "strong rebound" which has driven growth rates four times higher than in recent years. "Dollars sales and trip volume are on the rise, but the trip frequency is flat (i.e. stock-ups). These 'trips' are up 130 percent, and sales are nearly 3.5x higher than last year.

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