Case strong for premium drinks

At the 2025 edition of Vinexpo Asia held in Singapore last week, industry leaders acknowledged the prevailing uncertainty that is impacting consumption in terms of alcoholic drinks. Philippe Chan, general manager of YouGov Hong Kong & China, underscored that while the number of wine consumers is growing, actual volumes consumed are under pressure.

“We see people cutting back on non-essential items, even in markets with disposable income,” he noted. “But this doesn’t mean they are rejecting the category. It’s about navigating an environment of caution.”

Indeed, one of the most discussed challenges at the event was the shift in consumer spending across Asia’s middle class. According to the March 2025 YouGov survey cited at Vinexpo Academy sessions, consumers across China, Singapore, Malaysia, and Thailand are showing increased interest in spirits and cocktail-based drinks, while red wine consumption in traditional markets is either plateauing or declining.

Sparkling and white wines are bucking this trend in some areas, indicating a diversification in taste but also a heightened focus on product value and occasion-based consumption.

Amid this turbulence, Southeast Asia and Vietnam in particular emerges as a potential growth market and fiscal opportunity. With tourism rebounding and experiential spending rising, premium beverages are becoming integral to how destinations are positioned.

“In Vietnam, the link between upscale food and beverages and tourism could become a major revenue lever,” said a brand consultant attending Vinexpo Asia. “It’s not just about wine sales; it’s about packaging culture, gastronomy, and luxury into one destination brand.”

This alignment opens up policy discussions about taxation, infrastructure, and education in the alcohol industry. As Vietnam’s urban middle class expands and its culinary scene gains global recognition, there is a strong case for positioning high-quality beverage service as a national advantage. Doing so would stimulate private investment and could increase budget revenue through well-regulated premium alcohol sales.

Experts at Vinexpo Asia echoed this sentiment. Sonal C. Holland, India’s first Master of Wine, said Vietnam is entering a pivotal phase, where wine is not just seen as exclusive to the elite. “Vietnam’s young demographic and openness to international cuisine create a fertile ground for premium positioning,” she noted.

Meanwhile, Jean-Baptiste Cherriere, vice president of Sales Asia-Pacific at Riedel Group, highlighted the role of infrastructure and service quality. “The way a wine is presented, from the glassware to the temperature, shapes the entire experience. As Vietnam upgrades its hospitality standards, it will naturally support the growth of premium wine consumption,” he said.

Nonetheless, barriers remain. Fragmented distribution networks, inconsistent service standards, and a lack of wine education among consumers and hospitality professionals are still obstacles to full market development. Retailers and importers at the event stressed the importance of on-the-ground training and storytelling to close the gap between product availability and consumer experience.

Digital platforms and social media are expected to play a growing role in this direct engagement. With Gen Z and millennial consumers driving much of the discovery and trial segments of the beverage market, brands are increasingly expected to be visually distinctive, emotionally resonant, and culturally aware. Packaging, digital storytelling, and experiential marketing are as critical as taste.

Experts at the show agreed that adaptability and nuance will define success in the region. “Strategies that work in Hong Kong may not work in Hanoi,” said Chan of YouGov. “White wine may be gaining traction in Guangdong, but it’s sparkling wine that draws attention in Ho Chi Minh City. There is no one-size-fits-all in Asia. Brands must speak the right language, linguistically and culturally.”

Phuong Maxy, executive board member Vietnam Sommelier Association

"As income levels and international exposure increase, Vietnam is witnessing a quiet transformation in how people approach food and drink – and wine sits at the heart of this shift. What we’re observing is a generation that sees wine not as an elite indulgence, but as a way to express taste, curiosity, and cultural awareness. They’re experimenting with different varietals, asking more informed questions, and engaging with wine in social, educational, and experiential ways.

This generational shift aligns with broader changes in Vietnam’s urban landscape, from the rise of fine dining and wine bars to the growing presence of sommeliers in hospitality settings. It’s about identity and aspiration. Wine fits naturally into a lifestyle where young people are increasingly global in outlook, yet proud of their local roots.

The opportunity for the wine industry lies in capturing this momentum, through availability and by investing in education, storytelling, and experiences that resonate emotionally. If brands can inspire, not just sell, they’ll find a loyal following here."

Wine securing a stronger foothold in vietnamese market With wine consumption still nascent in Vietnam and other parts of Southeast Asia, the industry is grappling with fast-changing consumer expectations and rising urbanisation.