China’s Gen Z Finds a New Winter Fling: Mulled Wine

As the chill sets in across China, mulled wine is warming up hearts—and cups—nationwide. Once a staple of German winter markets, this centuries-old beverage has found a surprising and passionate audience among China’s Gen Z. 

On November 16-17, Shanghai’s University Road came alive with the buzz of a Spanish wine market. Organized by Oria China, the company behind the popular Spanish wine brand Little Red Riding Hood, the event brought together several Spanish wine labels to showcase their products. But the real star of the show wasn’t just the wine—it was the mulled wine.

“The response was beyond our expectations. This street typically sees less than 10,000 visitors a day, but during the wine festival, foot traffic surged to 30,000-50,000 daily,” said Wang Yutian, head of marketing at Oria China, in an interview with Vino Joy News. “Many visitors bought mulled wine to drink on-site. We also offered samples in small paper cups, and some visitors placed immediate orders for our wines after tasting.”

It’s not just mass-market wine brands like Little Red Riding Hood embracing mulled wine. Boutique wine bars have also added it to their winter menus. One such bar is Forage in Shanghai. “We’ve been selling mulled wine during the winter for the past two years, and we’re stocked up again this year,” said William, the bar’s founder. “We use full-bodied wines like Spanish Duero, South African Shiraz Cabernet, or Argentine Malbec. A single cup costs RMB 68 or 78 (US$9.35 or US$10.72).”

Riding on the mulled wine mania, China’s retail giants are also cashing in. China’s O2O retail giant Freshhippo, owned by Alibaba, has also prominently featured mulled wine in its stores. Priced at just RMB 59 (US$8.10) per bottle, this pre-mixed mulled wine—a blend of wine and juice—caters to consumers’ winter cravings. “Customers want to drink mulled wine in winter, but it’s cumbersome to make at home, so we launched a ready-to-drink product,” a former Hema Fresh employee told Vino Joy News.

Mulled wine is not a new concept, and such products have been on the market for several years. Indeed, mulled wine has been trending in China for a few winters now. According to the 2023 Mulled Wine Takeout Consumption Trends Report released by Alibaba’s online food delivery platform Ele.me, mulled wine gained popularity in 2021, with demand peaking in December each year. Over the past three years, the number of active merchants selling mulled wine grew from around 200 to over 15,000. Shanghai leads the country in merchant numbers, followed by Beijing and Hangzhou.

A Trendy and Adaptable Choice

Unlike in its birthplace of Germany, where it has a long history, mulled wine is a relatively new phenomenon in China, mainly embraced by younger generations. The report noted that nearly half of mulled wine consumers are from tier-one cities, with those born in the 1990s and 1995s accounting for nearly 60%, and an average consumer age of 31. Women show a strong preference, making up over 70% of consumers.

Yuan Xu, founder of Miss Yuan’s Sweet Wine, one of China’s top 50 wine importers, shared similar data. She noted that over 60% of customers purchasing mulled wine from her online store are Gen Z.

Yuan believes several factors explain Gen Z’s enthusiasm for mulled wine. “Young people are easily drawn to fun, novel concepts. In recent years, social media and e-commerce platforms have heavily marketed mulled wine, increasing its visibility. Additionally, mulled wine is affordable—costing just a few dozen RMB yuan (below or around US$10)—making it an easy choice for young consumers,” she said.

The former Freshhippo employee added, “Mulled wine is easy to drink and trendy. It’s constantly promoted on social media, attracting young consumers.” This rings true. A search for “how to make mulled wine” on Xiaohongshu, China’s Instagram-like platform, yields over 40,000 posts.

Yuan also highlighted that the customizable nature of mulled wine contributes to its enduring popularity. “The variety in mulled wine recipes keeps consumers intrigued and allows marketers to continually create fresh content,” she said.

Versatile for Any Occasion

Mulled wine’s ongoing popularity with Gen Z is also linked to its versatility. From Oria China’s street markets to Forage’s bar menus, it’s a drink that suits a variety of settings. According to data shared by Miss Yuan’s Sweet Wine, more than 50% of customers use mulled wine for home drinking, with others enjoying it at gatherings with friends or as gifts. 

Even on takeout platforms, mulled wine performs exceptionally well. Data from Ele.me shows that in the past three Novembers, mulled wine takeout orders increased by an average of 260% annually. Unlike traditional wine, which can feel intimidating and elitist, mulled wine is approachable, versatile, and perfect for sharing.

A Gateway to Wine Culture

While mulled wine might not win over wine connoisseurs, it’s proving to be an excellent entry point for wine novices.

“Many general consumers have a low tolerance for alcoholic beverages, but mulled wine’s approachable nature makes them less hesitant to try it,” said Wang Yutian. “At our event, we encountered many first-time wine drinkers who were willing to try mulled wine, making it an excellent gateway to wine culture.”

In Europe, mulled wine is a long-standing tradition, not exclusive to younger generations. In China, however, it has taken on a different life, reflecting Gen Z’s open-mindedness and lack of the stereotypical notion that wine is “old-fashioned.” 

Instead, what deters them from wine is its often opaque pricing and complex rules. Lowering these barriers might just be the key for the industry to win over this demographic.