Categories: Market

Running out of supplies – the champagne crisis is approaching

War, inflation, lack of energy in Ukraine: the mortal world falters from one crisis to the next, and many must tighten their belts. Not so in the world of the rich and famous. There, champagne corks burst in such chord that there may be a champagne shortage soon.

“We’re running out of stock,” Philippe Schaus (59) told Bloomberg news agency in an interview. Schaus is the CEO of Moët Hennessy, one of the world’s most important champagne producers. Some of the best varieties are already out of stock – and the end of the year is approaching with all the New Year’s Eve parties.

Internally, the “Roaring Twenties” has already been mentioned, Schaus says. The savage or golden twenties of the last century were characterized by crisis and exuberance – savage parties in the upper class and armies of the unemployed and war sick in the lower class. The frenzy ended abruptly in the Great Depression of 1929.

Celebration after Corona

However, champagne lovers don’t really have to starve. The group intends to replenish the dwindling supply early next year due to high demand. Demand for champagne and other luxury items fell at the start of the corona pandemic. It seems that even the rich didn’t want to celebrate.

But since then demand is rising again, corona restrictions are falling around the world. A development that Moët probably underestimated.

LVMH, the entire luxury product line to which Moët Hennessy belongs, is benefiting from this boom. Because with the reawakened consumerism of the rich, sales are reaching new record levels. For wealthy buyers of luxury goods, inflation can’t do much harm. You can handle price increases of ten percent or more without any problems. And therefore, pop the corks until the supply is empty. (co)

Christian Kolbe
Source :Blick

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