Champagne’s top wines have delivered sparkling returns to investors this year, find out which are the best price performers for 2023!
Home to some of the world’s most lauded luxury brands, Champagne has had a spectacular year. High levels of trade and strong price performances in 2021 and 2022 have solidified Champagne’s place in the wine investment market.
Champagne performance:
Champagne and Burgundy have led the way this year, far exceeding fine wine’s average trend of 16.1% growth in the 12 months to 30th November 2022. The Liv-ex Burgundy 150 index rose 31.3% and the Liv-ex Champagne 50 increased 28.6% over the same period.
Champagne’s share of trade on the secondary market has risen from 8.8% in 2021 to 13.7% in the last year, driven by key labels. Louis Roederer’s Cristal has been outstanding and was the top traded fine wine brand by volume and third by value on Liv-ex in the period 1st October 2021 to 30th September 2022, measured for Liv-ex’s Power 100 ranking 2022.
The top Champagne brands in 2022:
| Champagne | Average price growth in 2022 | Power 100 ranking in 2022 | Power 100 ranking in 2021 |
1 | Dom Perignon | 39.3% | 6 | 4 |
2 | Louis Roederer (Cristal) | 34.9% | 7 | 9 |
3 | Krug | 39.6% | 10 | 11 |
4 | Jacques Selosse | 104.9% | 11 | 36 |
5 | Bollinger | 34.4% | 28 | 41 |
6 | Taittinger | 16.4% | 48 | 27 |
7 | Salon | 64.2% | 51 | 28 |
8 | Pol Roger | 20.4% | 73 | 54 |
9 | Egly-Ouriet | 90% | 94 | 260 |
Source: Liv-ex Power 100, 2022
Nine Champagne brands were ranked in this year’s Liv-ex Power 100 with grower Champagnes emerging as some of the highest movers up the rankings and offering new opportunities for investors. Across these nine brands the average return was 49.3% in the period under review ending 30th September 2022.
Top 5 traded Champagnes in 2022, by volume:
| Champagne | Vintage |
1 | Louis Roederer Cristal | 2014 |
2 | Dom Perignon | 2012 |
3 | Taittinger Comtes de Champagne | 2011 |
4 | Louis Roederer Cristal | 2008 |
5 | Dom Perignon | 2008 |
Source: Liv-ex Power 100, 2022
The majority of Champagne is made from a blend of the produce of a number of annual harvests. In an outstanding year a ‘Vintage Champagne’ is made exclusively from that year’s crop. In 2022 the major Champagne houses released their 2008 and 2014 wines and these were some of the most traded wines on the market.
Top traded Champagnes in 2022 by value:
| Champagne | Vintage |
1 | Louis Roederer Cristal | 2008 |
2 | Louis Roederer Cristal | 2014 |
3 | Dom Perignon | 2012 |
4 | Dom Perignon | 2008 |
Source: Liv-ex Power 100, 2022
Celebrity and Champagne
The bubbling allure of Champagne has led high-profile names to partner with the region’s top names. Dom Perignon has managed a visually spectacular campaign with Lady Gaga in 2022 and previously with musician Lenny Kravitz . Rapper Jay-Z is well-known for his commercial acumen and has been highly successful with his partnership with Armand de Brignac Champagne to create his Ace of Spades. A 50% stake in this was acquired by LVMH in 2021.
Champagne - our view for 2023
Investment wines from Champagne have traditionally been the most consistent fine wine performers, delivering stable growth anchored by larger volume of supply. They have also been the most accessible historically with a lower price tag than Burgundy and Bordeaux Grand Crus. The release of high-quality vintages has stimulated increased global demand more akin to other regions in 2022. Can we expect this to continue next year?
Supply may be tighter for the top Champagnes in 2023 with a shortage of glass bottles due to the crisis in Ukraine a possible factor. Some producers are also expected to release their 2013 and 2014 vintages, both well-regarded vintages and expected to drive demand. Champagne is now well-established as an inflation-hedge and we can expect to still see high levels, albeit hopefully reducing, in 2023. We see Champagne as an important asset to off-set volatility and uncertainty in other markets and a sparkling addition to an investment portfolio next year.
For more information on available investment Champagnes and their current performance, speak to a member of our expert team on 0203 383 2262 and see our latest Market Report.