December 19, 2024

How Technology-Driven Innovation Could Enhance and Should Be Embraced by the Wine Industry

Research>MS Program

Written by John Boner — Contributor

Wine has always been a cherished element of hospitality dining dating back all the way back to around 6000 BC in Georgia (BBC News, 2017). Despite its long-standing traditions, the wine industry has remained comparatively resistant to technological change. However, innovation in digital tools and artificial intelligence (AI) are beginning to influence how professionals can leverage this to improve service, enhance guest experiences and retain wine’s unique qualities.

Recent innovations in the wine sector are reshaping both the production and valuation of wine. Machine learning algorithms can now predict wine quality by analyzing environmental factors such as climate, terroir and weather patterns which all directly impact how vineyards decide to approach their growing season (Kniazieva, 2023). Cellar management technologies, also allow winemakers to measure both a wine’s quality and longevity objectively. This in hand, also optimizes client offering by providing them with the best selection possible at hand.

Enhancing the Tasting Experience with AI

Some vineyards have started to embrace data-driven technologies to improve their vineyard efficiency and better predict grape yield accuracy. Saturnalia, an Italian company, uses satellite data and weather information to track the evolution of vines throughout the seasons. This AI-driven analysis helps predict wine quality in a particular region and enables vineyards to make informed, cost-efficient decisions (Saturnalia, 2016). For sommeliers, these technologies provide a new way to engage guests by sharing insights on the unique climate and soil conditions that shaped each wine’s character, enhancing the guest experience with a narrative that intertwines nature and technology.

Technological Implications

As mentioned, wine is still widely regarded as a craft-orientated human driven industry. Throughout history, deep knowledge, personal relationships and hands-on training in oenology were the basis of a sommelier’s skillset. Some argue that technology, despite some of its advancements, is not able to capture the human experience of wine (Smith, 2024). However, technology should be seen as a supplement rather than a substitute for traditional expertise, offering tools to enhance hospitality experiences as well as operational practices.

For instance, provenance-tracking technology has become essential in fine wine authentication. The counterfeit wine is estimated to be a $65 billion industry, with fake wine sales accounting for as much as one-fifth of all wines sales (Liska, 2022). With this innovation, hospitality venues can guarantee authenticity which protecting the guest experience while upkeeping the reputation of high-value fine wines (OIV, 2021). This is particularly important in today’s era of transparency.

Meeting Climate Change with Innovation

As climate change continues to impact wine-growing regions, some wineries have adopted predictive models in order to aid determining vineyard management practices. These may include prediction of harvest date, prediction of pest spread, and impact of specific climate statistics on grape growth. This enables vintners to improve yield and communicate specific sustainable approaches to clients and consumers (OIV, 2021).

Sommeliers can use this new type of data to create a stronger connection with an ever-growing segment of eco-conscious customers. This benefits both the winemaker by heightening its sustainability reputation as well as venues such as restaurants that engage on a deeper level with their customers by providing factual sustainable.

The Role of Peer Review Applications in Wine Assessment

In recent years, peer review applications such as Vivino have transformed how customers approach wine selection by making the assessment process more widely accessible as well as data driven. Traditionally, when evaluating a wine, required specialized knowledge gained through years of study and practice. Digital applications such as Vivino have allowed to bridge a gap by enabling users to upload photos, share tasting notes and read ratings from an online community of wine enthusiasts which has democratized this process of wine evaluation for casual wine drinkers (Kniazieva, 2023). Vivino leverages big data and artificial intelligence to recommend wines based on user preferences, previous ratings, and millions of global reviews, thus offering a highly personalized selection experience (Duarte, 2018).

Some critique these applications for relying on inaccurate reviews from “wine-amateurs”. However, these platforms should not be seen as a replacement for sommelier expertise. Instead, viewing them as a tool that fosters trust and connections between users allows to enhance customer engagement and education, inviting them to partake in an open dialogue around wine. This equips sommeliers with a tool, empowering them to connect with a new generation of tech-savvy wine enthusiasts (OIV, 2023).

The Blend and Balance of Tradition and Technology

Technology has undoubtedly impacted various hospitality industries, wine being one of them. However, hospitality professionals still hold the reins in determining how best to incorporate technology throughout their supply chain and service offering. From predictive models to AI-powered applications, these innovations offer an array of new tools to capitalize from. By carefully integrating meaningful and adequate tools relevant to their industry segment, hospitality professionals can blend tradition and technology to improve business operations and keep up with industry trends.

This blog post was awarded First Place in the Spring 2024 HFTP/MS Global Hospitality Business Graduate Student Blog Competition presented by the HFTP Foundation. Participants are students participating in the Master of Science in Global Hospitality Business, a partnership between the Conrad N. Hilton College of Global Hospitality Leadership at the University of Houston, the School of Hotel and Tourism Management at Hong Kong Polytechnic University and EHL. The blog posts that received the top scores will be published on HFTP Connect. Learn more at HFTP News.

About the Author

John Boner is a graduate student of the Master in Global Hospitality Business, a partnership between three world-leading hospitality management schools over three continents: EHL Hospitality Business School, The Hong Kong Polytechnic University, and the University of Houston.

Reference List

2024 Fall graduate student blog competition Hong Kong Polytechnic University University of Houston EHL hospitality technology wine industry sustainability Sommeliers