The Problem With Champagne

Champagne sales have been drying up and the future looks even more uncertain. 

It's not just us, even the Champagne market is depressed. The celebratory drink and French darling may be losing her lustre as a drop in Champagne sales were reported in 2024 and are expected to plunge even further in 2025.

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Maxime Toubart, co-president of the trade organization Comité Champagne reported a 10% decrease in sales in last year and told CNN he attributes the decline to “inflation, conflicts around the world, economic uncertainty, and a political wait-and-see attitude in some of Champagne’s biggest markets,”

Whether it’s an unsettling global political climate or trade tensions, Champagne sales are the lowest they’ve been in 40 years. Even LVMH, who owns some of fashion’s favorite bubblies like Veuve Clicquot and Dom Pérignon, reported a decline of 15% in sales in 2024.

Something to celebrate...or not.

While politics are often cited as the cause of economic hardship, culture and community are greatly affected. When people don’t have a reason to celebrate, retailers of luxury items will feel it the most and need to pivot or scale back. 

The change of administration in the United States signals a potential rise in tariffs for importers, predicting a bleak outlook for the upcoming year. 

What can Champagne producers and retailers do to navigate the upcoming year?

As doors close, keeping contacts and partners close will be key for anyone in the industry, in addition to following the international news as it develops. Human connection and exclusive in-person experiences will need to be prioritized and not automized. 

There’s an opportunity for Champagne brands to seize moments of happiness and remind buyers that they are not simply consumers, but valuable people who are worthy of celebrating occasions and even small wins. It’s a chance to gather communities and guide consumers to a positive space, led by experts in communication and seasoned creatives. 

Champagne may not be the only drink category experiencing a dip, but also spirits including whiskey, tequila, and fine liquors as Rémy Cointreau, the French spirits group is predicting a 15-18% drop in sales for the upcoming year.

While new luxury spirits continue to sprout in the market, their success in the forthcoming year will depend heavily on marketing and communications and the ability of the brand to connect with the clients and connect their clients with each other. 

Here’s to the best for 2025. Bottoms up.

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