The below post is an extract from our recent report on the Champagne market, “A market without bubbles”, which you can download in full on Liv-ex here.
Champagne 50 – Salon speeds ahead
The chart above compares the price performance of the brands within the Champagne 50 Index over the past decade. Each brand index contains the five most recently physical vintages at any point in time.
As shown, Salon has considerably outperformed the Champagne 50 with a gain of 163%. This rise might be partially attributed to Salon’s carefully calculated vintage releases and limited production volume. The brand has declared fewer vintages than all other houses – five compared to six or seven from others – which is the likely reason behind its steep price increase.
This is not to say that other houses have not performed well. Philipponnat, Krug and Dom Perignon have broadly tracked the Champagne 50, gaining 63%, 60% and 61% against the index’s 78% rise.
Cristal, however, has lagged behind, yielding a 40% increase in the last decade, nearly all of which has occurred in the past two years. Up until mid-2016, its index ran flat.
Increased vintage declarations and a fall-out with previously loyal rap icons who elevated the brand in the early noughties might go part of the way to explaining this. More recently, vintage declarations such as the 2008 have created a buzz among the trade and more traditional Champagne collectors, giving the brand a boost.
The full report contains 13 pages of analysis on the Champagne market. You can download it here.