Evaluating the Impact of Trends on Beverage Industry Management

This report provides an analysis of three major trends impacting the wine and beverage industry: vegan wines, technological advancements, and premium wines. The report examines the impact of vegan wines on production, consumption, and beverage management, highlighting the increasing demand for vegetarian products and the need for companies to adapt their supply chains and technologies. It also explores the role of technological advancements in automating processes, improving product quality, and enhancing marketing efforts, ultimately leading to increased consumption and more efficient business operations. Finally, the report discusses the growing demand for premium wines, its implications on production methodologies, and its effects on both consumption patterns and beverage management strategies. The report concludes by emphasizing the importance of adapting to these trends for businesses to remain profitable and achieve their strategic goals.

Wine and Beverage
Management

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Contents
Introduction................................................................................................................................1
Three trends that are affecting the business...............................................................................1
Vegan Wines..........................................................................................................................1
Technological advancements..................................................................................................1
Premium wine.........................................................................................................................2
Conclusion..................................................................................................................................2
References..................................................................................................................................2

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Introduction
Beverage industry is facing many kinds of challenges and in this environment, it has become
essential for the firms to understand the trends that are going on in the industry and are
having impact on the production, consumption and beverage management (Holland & Smit,
2010). It is crucial that firm understands the way in which addressing these trends would
support a food & beverage firm’s strategic goals and their profitability.
Three trends that are affecting the business
Among the different trends the three trends are:
Vegan Wines
This is having impact on the productivity of the industry. This can be understood by the fact
that since these wines is vegetarian. In the current time, when the demands for the vegetarian
products are increasing, it has become essential for the companies also to concentrate on
these problems only. Since these wines are made from natural products hence the production
capacity reduces. At the same time, it is having impact on the consumption of the wine
(Poinsaut, 2016). This can be understood by the fact that awareness of the people regarding
materials that are used in the wines have increased hence people are also demanding for the
products that contains lesser amount of animal ingredients at the same time these wines
contain organic products hence it is healthy for the wine drinkers which is also a major
concern for the people.
Since the resources and the raw materials that is required in this wine is different from that of
traditional wines hence it is having impact on the beverage management also. They will have
to make new suppliers and will have to give training to the employees so that efficiency can
be brought to the process (Zhuplev & Aguirre, 2010). At the same time, it is also required to
change the technology for doing their operations. Since the costs of production of these wines
are low hence it will add to the profitability of the organisation. It will also help the company
in working towards doing ethical business. This also helps the company in adding to their
customer base which will help the company in achieving their strategic goals.
Technological advancements
It is seen that wine industry is changing its technology at much faster speed. The
implementation of technologies that makes the process automatic is done by most of the
organisations. These new technologies are capable of producing products at much faster

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speed at the same time they are also capable of changing the production limits as per the
changing demand in the market. Technology is also used for promoting and selling of the
wines which is increasing the consumption of the people. At the same time technology helps
in managing the quality of the products and reduces the overall cost of production (Tao,
García & Sun, 2014). This is having an impact on the beverage management. With the help
of technology, the internal business units have also become efficient. This allows a company
to improve the profitability as it reduces the chances of lagging in the operations. It will also
support the company’s goals such as reducing the problems that they might face due to
human failure. Data technology will help them in improving their response towards the
changing trends. It will support them in predicting the demand which is essential for
improving the revenue and reducing the waste.
Premium wine
The demand for the premium wines are also increasing. This is having impact on the
production of the wine as these wines are made with different methodology hence the
quantity of the products will also get reduced. This will also have impact on the production
quality. At the same time, it will have impact on the consumption (Delmas & Grant, 2014).
This can be understood by the fact that premium wines are better in taste hence people will
want to pay extra for purchasing these wines and hence it will have severe impact on the low
cost wines. This will be the major concern in the developing nations where low cost wines
are highly preferred.
It will also have impact on the beverage management. This can be understood by the fact that
premium wines require higher quality ingredients for which companies will have to make
new suppliers (Boatto, Defrancesco & Trestini, 2011). At the same time it will support the
company in increasing their profitability as the cost of these wines are higher hence
generating greater profits for the company. It will also support strategic goals such as
increasing the revenue base of the company.
Conclusion
Vegan wines, technological advancements and premium wines are the three major trends that
are affecting the business of beverage industry. They are helping the company in making
business more profitable and also achieve strategic goals.

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References
Boatto, V., Defrancesco, E., & Trestini, S. (2011). The price premium for wine quality
signals: does retailers' information provision matter?. British Food Journal, 113(5),
669-679.
Delmas, M. A., & Grant, L. E. (2014). Eco-labeling strategies and price-premium: the wine
industry puzzle. Business & Society, 53(1), 6-44.
Giuliani, E., Morrison, A., & Rabellotti, R. (Eds.). (2011). Innovation and technological
catch-up: The changing geography of wine production. Edward Elgar Publishing.
Holland, T., & Smit, B. (2010). Climate change and the wine industry: current research
themes and new directions. Journal of Wine Research, 21(2-3), 125-136.
Poinsaut, P. (2016). Innovation for vegan wines. Australian and New Zealand Grapegrower
and Winemaker, (628), 62.
Tao, Y., García, J. F., & Sun, D. W. (2014). Advances in wine aging technologies for
enhancing wine quality and accelerating wine aging process. Critical reviews in food
science and nutrition, 54(6), 817-835.
Zhuplev, A., & Aguirre, C. (2010). Sustainability of the Wine Industry: New Zealand,
Australia, and the United States. In Global Sustainability as a Business
Imperative (pp. 219-237). Palgrave Macmillan, New York.