Consumer Behavior

Alcohol industry in Finland : a general analysis of the consumer behavior.

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According to Valvira, THL & Tilastokeskus (2012) in Alkoholijuomien kulutus vuonna 2011, the consumption of “light” alcohol drinks such as beer, cider, wine and long-drinks has increased in the past few years whereas the consumption of spirits has decreased. This change in the consumption habits of Finns shows that they are less and less interested the “binge drinking” way of consuming alcohol that has been the tradition for decades. Nevertheless, there is an rise in the consumption of alcohol bought in foreign countries. A good example of this fact are the regular trips of many Finns across the Baltic Sea to Estonia to buy alcohol at a less expensive price than in Finland.

Still according to the same study but in terms of buyer behavior, the alcohol expenditures in 2011 related to the different sales channels were :

  • 40% of alcohol sales occurred in Alko stores

  • 46% of alcohol sales occurred in convenient stores. So these sales only concern alcohol at less than 4,7%.

  • 14% of alcohol sales concern the restaurants and bars sector.

According to an article published in Yle News (2012), the countries of the Baltic Sea region are consuming less and less spirits and this phenomenon is profitable to the wine and the “light” alcohol drinks.

In addition, according to Lampikoski & Lampikoski (2000) in Kuluttajavisiot – näköaloja kuluttajakäyttäytymisen tulevaisuuteen, consumer behavior of eating has changed. Indeed, Lampikoski & Lampikoski are opposing two traditional ways of eating which are “eating at home” vs “eating out” and explain their different dimensions. What is interesting is that the same phenomenon has happened when it comes to the drinking behavior. Here are the results of authors :

The will of the Ministry of Social Affairs and Health to reduce the extensive consumption of alcohol of certain Finns has created a more sophisticated way of drinking. That is to say that Finns seem to organized more dinners at home with friends or family in the context of which they will probably buy some quality wines.

Finally it seems that there are two consumer behavior trends that are struggling at the moment on the wine market. According to Jääskeläinen & Virtanen (2010, on the behalf of the National Institute for Health and Welfare in Finland) in Alcoholic beverage consumption 2009, on one hand there are people looking for quality foreign products (“exotic” trend) such as good wines from France for example and on the other hand there are people that will stick to their usual consumption of alcohol that is to say the local vodka and cheap beers.

The consumption patterns of Finnish according to Ubifrance:

  • Alcohol is consumed in Finland in a more nomad way than in France.

The cans or small glass bottle are popular because they allow for used from any location ( cottages in the countryside, lakes, park, street ).

  • The legal age for alcohol consumption is 18 but the sale of alcohol over 21 º is prohibited until 20 years .

  • Advertising to the general public in this sector is permitted only under certain conditions.

  • Consumers with wines knowledge are quite a few but their number is steadily increasing.

  • The Finns appreciate soft and fruity red wines, the semi-dry fruity for whites. They are also large consumers of Cognac, which is traditionally drunk with coffee. The overall presentation of products (packaging, label, variety, origin) and critical journalists and sommeliers, often published in the mainstream press have great influence on sales.

  • Wine culture is relatively recent and makes Finnish people sensitive to novelties.

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