Fine Wine Investments—Does Champagne Go Up in Value?

A common misconception about investing in fine wine is that it is solely for wealthy people with a lot of money to spare. However, the industry’s popularity has increased in recent years, and the product itself has become more accessible to those of us on a smaller budget.

Investing in fine wine is largely driven by the fact that wine is generally considered a financially sound investment. It has a long history of being a good buy and being a valuable possession. There are an array of different wines that are considered to be a good investment.

As an investor, you don’t have to be an expert, but you need an appreciation of fine wine. You’re unlikely to be splashing the cash on cases of high-end vintage at the start. However, you can go for a more reasonably priced vintage and make the investment last for a few years.

Now, there are plenty of wines for you to invest in. One of the many that are rising in popularity today is champagne. Today, we’re going to dive into what you need to know about investing in champagne.

Here’s what you need to know:

What Is Champagne?

The name ‘Champagne’ is used to describe sparkling wines produced in the Champagne region in France. 

The region of Champagne is nestled between the rivers Marne and the Aisne. It has rolling hills and a maritime climate—some of the first vineyards in the Fourth century by St. Rémy.

Interestingly, the first vintage in Champagne occurred in 1531. Although the process is more automated nowadays, it has remained essentially unchanged.

Champagne—Is It a Good Investment?

If your chosen type of wine is champagne, it’s generally regarded as a good investment. Of course, this isn’t a guaranteed service, but the likelihood is high.

Like most fine wines, champagne’s value is primarily driven by its being seen as a luxury product. Due to the fact that it’s considered to be a high-end beverage, you’ll generally find that it’s easier to make a decent return on your investment.

Because the wine industry, in general, is growing in popularity and revenue, a decent return is relatively easy to achieve.

For example, in the last decade, the champagne market has grown by a staggering 212 per cent. This has led to the value of the beverage increasing rapidly. This has also led to many investors looking to invest in champagne as an alternative to wine.

How Does Champagne Perform as an Investment?

As long as you’re buying a bottle of fine champagne and holding onto it for a few years, you should be able to make a return of around 20 per cent.

The average return across all types of vintage champagne is 29 per cent. However, many investors choose to buy a bottle of top-end vintage champagne. For example, it’s well-known that the cuvées produced by Dom Pérignon are a safe bet to make a decent return on your investment.

As with any investment, it’s only worth buying bottles of vintage champagne if you intend to keep them for several years. If you’re considering getting into investing in wine, you need to be willing to wait for the opportunity to make your money back.

Of course, you should keep your eye on the market. That way, you can sell your wine before it depreciates too much.

Does Champagne Go Up in Value?

Of course, some investments will perform better than others. But, if you’re looking to invest in fine wines, champagne is a great start.

However, whether it goes up in value or not depends on the vintage and the drinker’s taste. Some vintages are more expensive than others, but it all comes down to the quality of the wine.

The price of a bottle of vintage champagne is driven by the demand for a virtually unique product. However, it’s important to remember that the quality of the wine is what drives the price of a bottle. As long as the quality of the bottle you buy is high, you should be able to make a decent return.

The Challenge of Investing in Champagne

If you’re interested in investing in vintage champagne, there is one major challenge you need to address.

The challenge is whether you should invest in vintage or non-vintage (also known as brut). Non-vintage champagne is made in the same way as vintage. However, it’s designed to be less expensive and easier to find on the market. Producing the beverage is incredibly time-consuming and requires a lot of manual labour.

However, the time, effort, and manual labour give vintage champagne its real value and quality. These elements make it one of the best wines to invest in.

How to Find High-Value Champagne?

If you’re going to invest in champagne, you need to do your research. This can help you make an informed decision about what to purchase, and you should also consider accessing a few financial options.

Compared to other types of wine, champagne has a relatively high-value return. However, it all comes down to how you can invest your money.

For example, you can choose to invest in fine champagne bottles yourself. This is the most common method of investing in fine wine, but it requires a considerable budget.

Alternatively, you can choose to invest in a specialist wine investment company. This company will often arrange storage and maintenance and buy your chosen product. This can be an easier way to invest, but it’s also worth considering that you may not be able to maximise your profits.

Investing in wine is a great way to return your money. The beverage’s popularity continues to rise, so it’s a great time to invest.

Champagne is recognised as an excellent investment since it’s a luxury product and the popularity of fine wine. It pays to do your research and invest in the right product, as with most investments.

Investing in wine also requires a significant amount of time and patience. After all, you’re investing in a product that you’ll need to wait several years to sell. However, once you’ve identified the right opportunity and bottle of wine, you should be able to make a good return on your investment.

If you’re interested in buying wine for investment, we can help you. Cru Wine offers fine wine with a modern approach. Wine is a passion and a huge source of enjoyment. Our goal is to make it easier to buy wine. At the same time, we wish to provide you with a more enriched experience. Download our fine wine investment brochure today to learn more!

Cru Wine Ltd.

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