Champagne sales have lost their pop as people around the world aren’t in the mood to say “cheers.”.
That’s according to new report from Comité Champagne, a trade association representing more than 16,000 winegrowers and 320 Champagne houses, which painted a dour picture of the industry that aligns with sales of other alcoholic beverages.
“Champagne is quite linked with celebration, happiness, et cetera,” LVMH Chief Financial Officer Jean-Jacques Guiony said on an earnings call.
“Maybe the current global situation, be it geopolitical or macroeconomic, does not lead people to cheer up and to open bottles of Champagne.”.
LVMH is the world’s biggest Champagne producer and owns Dom Pérignon, Krug and Veuve Clicquot among other brands.
Rémy Cointreau, a French spirits group that owns the Leonardo DiCaprio-backed Champagne Telmont, also recently released a financial report forecasting a steeper decline in sales than expected because of customers cutting back on their spending.
In response, Champagne houses like Telmont are becoming more environmentally friendly with their farming in hopes of attracting customers who are attracted to green initiatives. »
