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Champagne – branding and marketing of a luxury product

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Champagne – branding and marketing of a luxury product

This thesis will discuss the brand of champagne and its status as a luxury product. The aim is to find out how the luxury label might have affected the success of champagne and how it is marketed and branded. Champagne is one of the strongest brands in the wine industry throughout the history. It was branded already in the 19th century as the drink of the royals and today, is protected not by only the Comité Champagne, but also EU legislation.

As a luxury product, champagne marketing relies strongly on the appealing brand. Some authors argue that the high pricing is mostly due to the strong brand, instead of the quality of the wine, others emphasize the unique qualities that the terroir gives to the wine. Whether or not champagne’s success is based on its excellent brand and luxury status, both of these concepts should be discussed when looking into the champagne industry.

The issue is, that neither of these concepts have a clear, universal definitions. The meaning of luxury always depends on the subject – there are no universal luxury products. Also, luxury doesn’t need to be a physical product – time can be luxury, for example. Brands in turn are also an abstract concept and the understanding of the term brand has changed during the times.

Marketing of champagne is another widely discussed and controversial subject. There are authors arguing that marketing is not a common for champagne houses, but in the next sentence describe the ways they do marketing. Champagne houses are often associated to art and fashion, as they tend to promote the wine through well-planned collaborations with suitable artists. However, in order to attract the younger generations, the champagne houses seem to have changed their strategy.

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