Tag: Economics

Champagne shipments for 2017

The final figures for Champagne shipments in 2017 were recently announced.

Total sales amounted to 307.3 million bottles, which is + 0.4% compared to 2016.

The French market dropped by 2.5% with 153.7 million bottles. “A decline stronger than expected due to disappointing sales in December,” commented Maxime Toubart, president of the Syndicat Général des Vignerons, co-president of the Comité Champagne.

The export, up 3.5%, nearly equals France with 153.6 million bottles. The growth drivers are confirmed outside the European Union (- 1.3% with 76.6 million bottles), since other countries now exceed EU, increasing by nearly 9% to reach 77 million of bottles.

Jean-Marie Barillère, president of the Union des Maisons de Champagne, co-president of the Comité Champagne, is pleased that “thanks to the export and the valuation of its cuvées, Champagne achieves the record turnover of 4.9 billion Euros “.

Data by export country will be available in the next few weeks.

 

Liz Palmer’s multi-award winning book “The Ultimate Guide To Champagne“

 

 

TNS Report predicts glittering future for Champagne and sparkling wines

It may seem surprising that in these times of economic doom and gloom consumers should be increasing the amount of sparkling wines and Champagne they drink but according to new research by TNS that’s exactly what’s happening.

Based on an independent global survey of over 39,000 people in 17 markets – the Commitment Economy – TNS says that despite the challenging economic environment, consumers are still keen to indulge their taste for the finer things in life. A combination of increased spending among current sparkling wine drinkers and new drinkers in the developing world is presenting wine producers with an opportunity to grow the category by enticing consumers away from traditional alcohol favorites.

Pricing still remains an issue. TNS’s modeling exercise found that Champagne and other sparkling wines could increase their overall share of total drinking occasions from 5.1 percent to 7.8 percent if all those who wanted to drink them were able to. “While we can see a huge worldwide appetite to drink more sparkling wine and Champagne, most people are still held back by cost. These drinks are perceived as indulgences, enjoyed mainly on special occasions,” said Jan Hofmeyr, chief researcher, Behavior Change, at TNS. He added however “the good news for winemakers is that people consider sparkling wines both taste better and offer greater enjoyment than other alcoholic drinks. So, if affordable sparkling wines can be made more accessible, particularly in developing markets, and be positioned as a drink for celebrating life rather than only special occasions, the sector has a sparkling future.”

The greatest growth is likely to come from India and China, says TNS, where current low shares of 0.4 and 0.7 percent could quadruple to 1.9 and 2.5 percent respectively. In more mature markets like the UK and US the share could nearly double, to 9.1 and 6.5 percent respectively. Of all the markets studied, Spain was the only one where consumption of sparkling wines is set to decline, with a potential 0.4 percent drop in market share. However, TNS believes that with increasing international demand, cava producers need not fear if their distribution model is right.

Elsewhere, sparkling wine and Champagne consumption is expected to jump by 4.2 percent in Brazil, off a current market share of 3.5 percent, by 5.4 percent in Nigeria where the current share is also fairly low at 3.6 percent, and by 4.2 percent in South Africa (2.4 percent). Off a much more significant base (12.5 percent), the category is expected to continue to rise (+2.2 percent) in France, Germany (+1.9 percent/9.9 percent), Russia (+2.9 percent/8.1 percent) and Australia (+1.7 percent/7.6 percent).

“The study does not indicate that consumers plan to increase their alcohol consumption overall, more that they would like to drink sparkling wines more regularly,” Hofmeyr pointed out.

 

Source:  LA JOURNEE VINICOLE EDITION N°316

Fizz sector set for sparkling growth

TNS Global has recently announced that Champagne and sparkling wine could double their market share in the UK and the US, and quadruple growth in India and China within the next few years.

Having surveyed 39,000 people in 17 markets, TNS shows India and China as having the strongest growth.

The report showed that the combination of an increased spend among those already drinking sparkling wine with the many new drinkers in the developing world is presenting opportunities for sparkling wine producers.

Jan Hofmeyr, chief researcher into behaviour change at TNS, picked out a number of issues holding back more rapid growth in this category, saying: “While we can see a huge worldwide appetite to drink more sparkling wine and Champagne, most people are still held back by cost. These drinks are perceived as indulgences, enjoyed mainly on special occasions.”

However, he added: “The good news for winemakers is that people consider sparkling wines both taste better and offer greater enjoyment than other alcoholic drinks.”

As a result, Hofmeyr continued, “If affordable sparkling wines can be made more accessible, particularly in developing markets, and be positioned as a drink for celebrating life rather than only special occasions, the sector has a sparkling future.”

TNS also stated that consumers do not plan to increase their alcohol consumption overall, but rather that they want to drink sparkling wines more regularly.

 

Source: Drinks Business

Germany is the Third Largest Export Market for Champagne

The worldwide sales of champagne increased from 293.5 million bottles in 2009 to 319.5 million bottles last year, an increase of 8.9 %t. Germany exceeded this trend.

The German market showed particularly good growth of 21.6 per cent, exports from Champagne to Germany increased from 10.9 to 13.3 million bottles. As in the previous years, Germany is the third largest export market for champagne after Great Britain and the USA.

Austria also appears to like champagne -exports to this country last year totalled 1.1 million bottles after 675.046 bottles in 2009, a volume growth of 64.4 %

French Wine and Champagne Exports to U.S. Grew Significantly in 2010

When it comes to the preferences of American wine drinkers, the proof is in the wine glass: from 2009 to 2010, total volume of French wine exports to the U.S. went up +6.4% to 10.5 million cases and wine value increased by +15.6%, with sparkling wines leading the pack. Champagne, in particular, experienced explosive growth with volume increasing by +51.3% and value by +58.6%. The numbers illustrate that on- and off-premise consumers are spending more per bottle on French wines than they did in 2009. While the economy continues to recover, American wine drinkers have shown that because of the quality, tradition, diversity and value that French wines offer, they are confident to put their money where their wine glasses are, whether it’s for a celebration or everyday enjoyment.

Champagne’s top performance indicates that consumers no longer only look to sparkling wine to celebrate a special occasion, but are now purchasing it on a more regular basis due to Champagne’s high quality, versatility with food and the craftsmanship of its producers. Other sparkling wines from outside of the Champagne region grew +7.3% in volume and +18% in value. As a whole, the total sparkling wine category went up +32.5% in volume and +54.3% in value, attesting to the fact that, in 2010, consumers were trading up across the board in this category.

In the still wine category, AOP (previously known as AOC) wine exports were up overall with the Loire Valley leading the way with an increase of 40% in volume and 34.7% in value; the Languedoc made huge strides in 2010, increasing by 29.4% in volume and 39.4% in value; and both Burgundy’s and the Côtes du Rhône’s value percentages increased, exceeding their volume, showing that consumers are keen to spend more money per bottle on wines from these particular AOP regions.

IGP wines, or Vins de Pays, experienced a decline in volume of -15%, but a +10% increase in value which indicates that while consumers are buying fewer wines from this category, the wines they are purchasing cost more per bottle. Wines with no geographical denomination, previously known as Vins de Table, have continued to decline with a loss of -6% in volume and -0.11% in value, proving that, in general, Americans are now preferring wines from the other two categories.

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