Global Champagne Market Report: 2014 Edition – New Report by Koncept Analytics

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Global Champagne Market ----------------------------------------------------2014


View Report Details Executive Summary Champagne is a key constituent of luxury spirit market and is often associated with celebratory occasions and events. This beverage category has long been observed to thrive in times of economic boom while its sales decline during times of recession. Currently, the global market for champagne is on the path to recovery after suffering a year of decline due to European economic downturn which was the result of sovereign debt crisis in European Union. Champagne is of mainly three types based on the type of grapes used in the production process: Blanc-des-Blancs, Blanc-des-Noirs, and RosĂŠ Champagnes. France is the largest and most ancient wine and champagne producer in the world with UK remaining the top export destination for champagne in 2013. Shipments of champagnes to emerging markets like China, Brazil and India, also posted a strong growth registering new records both in volumes and value. Factors contributing to the demand in these countries include rising disposable income, increasing brand awareness, established consumer base, credit availability and improving standard of living. The key factors driving growth of the global champagne market include rising number of HNWI and employed population, increasing internet penetration, ameliorating global economic condition and growing overall luxury market. Some of the noteworthy trends and developments of the respective industry are shifting attention to US and Asia, deep discounting by retailers and enhancing demand from emerging markets. However, the growth of champagne market is hindered by a number of factors including high import duty, adverse economic conditions, grape shortage and counterfeiting. The report offers an analysis of the global champagne market along with the study of regional markets. It discusses major market trends, growth drivers and challenges, in detail. The market for champagne is personified by intense competition, with numerous large and regional players competing majorly on the basis of quality and cost. LVMH is the leading player in the global champagne market in terms of revenues, volume, and number of portfolio of strong brands such as Ruinart, MoĂŤt & Chandon, Veuve Clicquot, Krug, Mercier and Dom PĂŠrignon. The other leading players include Lanson-BCC Group, Vranken-Pommery Monopole SA, Pernod-Ricard and Laurent Perrier, among others.


Champagne is of mainly three types based on the type of grapes used in the production process: Blancdes-Blancs, Blanc-des-Noirs, and Rosé Champagnes.

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US$ Million

Global Champagne Industry Turnover (2005-2013)

Champagne turnover is resilient, coming out at US$... billion (EUR… billion) in 2013, compared to US$... billion (EUR … billion) in the previous year. This was the fifth best performance ever for champagne sector, representing an annual growth of …% in the aforementioned period.

Champagne industry in France accounted for …million bottles in 2013, with ..% decline compared to the previous fiscal. America produced … million bottles with an annual incline of … %. Oceania represented the maximum y-o-y growth of …%, in 2013.

Over …% of the champagne market is in Europe with France accounting for ….% of the industry in 2013. America, Asia and Oceania represented …%, …% and …% industry share, respectively, in the aforementioned year.

Global Champagne Industry Breakdown by Region (2013)

Million Bottles

Global Champagne Industry by Region – by Volume (2013)

France

Americas

Oceania

France

Europe (Except France)

Oceania

Africa and Middle East

Americas

Asia


France is the largest and most ancient wine and champagne producer in the world with UK remaining the top export destination for champagne in 2013.

Million Bottles

Champagne Industry in France by Volume (2005-2013)

The French champagne industry is declining at a CAGR of … % since 2010. This consistent decline in the industry is the direct impact of Global and European economic environment. The consumption in France in 2013 accounted for … million bottles of champagne, down by…%, compared to … million bottlers in the previous fiscal.

The UK remained the biggest destination for champagnes in 2013, accounting for … million bottles in 2013. The same recorded an annual decline of …% compared to … million bottles in the previous year.

UK is the largest export market of France with …% share of the total champagne exports in 2013, immediately followed by the US which held ..% export share. Germany, Japan and Belgium are other important export markets, with respective share of ..%, …% and …% share in the aforementioned period.

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UK Champagne Shipments by Volume (2006-2013)

Million Bottles

Top Export Markets of France (2013)

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UK

The US

Switzerland

Spain

Germany

Japan

Belgium

Australia

Italy


The key factors driving growth of the global champagne market include rising number of HNWI and employed population, increasing internet penetration, ameliorating global economic condition and growing overall luxury market.

Million Bottles

Champagne Shipments to the US from France (2006-2013)

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Champagne Shipments in Germany (2006-2013)

Champagne shipments from France to the US were recorded at … million bottles in 2013, registering an increase of approximately …% over … million bottles shipped in 2012. The market continues to be seen as a growth opportunity as consumption levels remain low.

As of 2013, the champagne shipments in Germany accounted for …. million bottles, compared to …. million bottles in 2012. The same represented a y-o-y decline of …%. In this major consuming country, champagne is mainly distributed through qualitative network, e.g., wine shops, hotels, restaurants etc.

The champagne houses sold more than…% of total volumes and realized ….% of turnover in 2013. So with around … of the total turnover, it becomes essential for the houses to secure sufficient quantity of high-quality grapes.

M illion Bottles

Champagne Production Breakdown by Ownership (2013)

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Champagne Houses

Winemakers

Cooperatives


The growth of champagne market is hindered by a number of factors including high import duty, adverse economic conditions, grape shortage and counterfeiting. Global Champagne Industry Sales (2005-2013)

The global production of wine climbed …% to the highest in seven years as grape harvests rebounded in Spain, Argentina and France. The production rose to … million hectoliters in 2013, compared to … million hectoliters in the previous year. This volume growth has increased for eight largest producers, leaving enough wine to fully cover distilling-industry requirements for the first time since 2007. Italy remained the largest producer ahead of Spain and France for the aforementioned year.

The champagne bottle sales in 2013 has dropped by roughly … million to … million bottles shipped worldwide, following a … million decline in 2012. The decline in sales was the outcome of difficult business climate in the major European markets. The sales in European Union fell …% to …million necks of champagne and by….% in France. In contrast, the rest of the world absorbed … million bottles, representing an annual incline of …%.

Europe is the largest producer of wine, although, it has lost its dominant position somewhat over the time. In 2000, Europe produced …% of the world’s wine, which shrunk to roughly …% by 2013. Italy is the largest producer holding ….% of the production, followed by Spain and France with …% and ….% share, respectively, in the aforementioned period. America is also a major region for wine production holding ….% of the share.

Note: Market attractiveness is inverse of penetration. Low penetration means high attractiveness and vice-versa

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M illion Bottles

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Global Production of Wine (2005-2013)


View Report Contact Us:Details These are abridged and sanitized sample pages from the comprehensive report on the “ Global Champagne Market Report ”. To know more about this report or for any customized research requirement, please contact the following:

Koncept Analytics

Vikas Gupta BD Manager

CS-36, Second Floor, Ansal Plaza Vaishali, Ghaziabad, U.P. – 201010 T. +91-120-4130959 C: +91-9811715635 vikas@konceptanalytics.com

www.konceptanalytics.com


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