The global champagne market is home to world’s best sparkling wines. It is expected to register healthy growth, thanks to an increasing emphasis on celebrating shared success, increased importance of defining individual milestones, and the timeless and fleeting realization of the impermanence of life.
Champagne is just a sparkling wine to many. However, it is almost sacrosanct during celebrations in many cultures. According to EU laws, the champagne market players cannot label their products as champagne unless the wine comes from the Champagne region of France. Additionally, EU also requires champagne to be produced under the strictly laid out rules of appellation. These rules dictate practices required for carbonation, sourcing of grapes, specific vineyard practices, and additionally region specific unique pressing methods.
Champagne market players focus on branding their products in line with royalties. Association of champagnes with royalty and nobilities has led to the mass popularity of the beverage with the growing middle class. Traditions of prestigious wine cellars have further fuelled the imagination of the mass appeal of the champagne market.
- According to recent news reports, global warming is threatening the prospects of the champagne market. Earlier, harvest for grapes used to start during August. However, recent changes in temperatures are pushing it towards mid-to-late September. Furthermore, increasing temperatures and difficulty in maturation is resulting in lower acidity for grapes. Lower acidity can result in reduced freshness for wines.
Recently, emerging markets are emerging as a key opportunity in the champagne market. Growing acceptance of alcohol consumption and growing demand for small quantities for special occasions are expected to drive growth in emerging markets. Growing acceptance of alcohol on non-religious grounds is growing hand-in-hand with increasing night life and peer-approval driven culture. Additionally, growing influx of social media is also taking lifestyle to much younger kids and establishing information sharing and peer connections among young people with limited experience to alcoholic beverages.
The global champagne market depicts a competitive and fragmented landscape, thanks to a large number of small and large players. Additionally, the market houses various segments which provide various products and services to aid growth. Some key players in the global champagne market are Rémy Cointreau, Martel, Champagne Laurent-Perrier S.A.S., Moët Hennessy USA, Taittinger, and Vranken – Pommery Monopole.
