Champagne claws back UK volumes

Despite its reputation for deep discounting and a national economy in turmoil, the UK remains the most important market for Champagne by a considerable distance.

As highlighted in the drinks business’ Champagne Report 2010, the UK’s shipment figures consistently rose throughout 2009, culminating in only a 15% drop by the end of the year. The Report also charts the developments of the UK retail market for Champagne in 2009.

Supporting the Report’s findings, the Conseil Interprofessionel du Vin de Champagne (CIVC) explained at its annual tasting in London last week how the UK’s 2009 Champagne intake (30.5 million bottles) is still the equivalent volume of the next three largest markets put together (US, Germany and Belgium).

At the beginning of 2009, the January shipment figure to the UK (like-for-like with 2008) was down 62.9%. However, as the monthly incremental like-for-like shipments were revealed for 2009, the UK’s intake climbed to -32.23% by June.

By the end of the calendar year, the UK only had a 15.8% drop in shipments.

However, despite the encouraging statistic, the 30.5m bottle figure is back to the level of shipments eight years ago, and is currently 10m bottles short of the peak shipment level in 2007, prompting the CIVC’s Daniel Lorson to joke that the UK “could drink more”.

One of the reasons for the slowdown in Champagne shipments has been the large volume of stock left over from excessive ordering in 2008.

One selling mechanic to move this stock has been to discount heavily in retail outlets, something for which the UK is notorious, and especially so last year.

Click here to read db’s article on the Champagne retail market in the UK in 2009.

Jane Parkinson, 22.03.2010