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26th July 2024
03:21pm BST
Champagne sales are slumping due to a lack of "celebration" and joy in the world, according to business leaders.
Luxury goods company LVMH reported a drop in revenue for Champagne sales in 2024, with the company's chief financial officer Jean-Jacques Guiony saying this is down to people not having reasons to celebrate.
He said on a earnings call on Tuesday: “Champagne is quite linked with celebration, happiness, et cetera.
“Maybe the current global situation, be it geopolitical or macroeconomic, does not lead people to cheer up and to open bottles of Champagne. I don’t really know.”
Basically, the state of the world at the moment means people aren't that keen to pop open a bottle of bubbly.
Business Insider reports that LVMH, whose brands include Dom Pérignon, Krug, Ruinart, sold 15 per cent fewer bottles of Champagne in the first half of this year, compared to the same period in 2023.
The company generated 1.4 billion euros - about £1.18 billion - in revenue for both Champagne and wines during the first half of 2024, down 12 per cent from 2023.
Guiony said Champagne demand has been on the slide in Europe particularly, but this was also down to frosts and wet weather which have affected grape production.
