Since 2020, England has seen its sparkling wine market grow both locally and internationally, despite the complicated geopolitical context. Producers are delighted with the renewed enthusiasm for their wines and the recognition of experts who compare them to Champagne. Kent-based Gusbourne, for example, is experiencing an increase in demand.
English sparkling wine producers have big ambitions. Their products are very much in vogue, and this is reflected commercially. Despite the disruption caused by leaving the European Union at the start of 2020, the covid-19 crisis and the repercussions of Russia’s invasion of Ukraine, they are growing in the UK market and internationally.
As a result, sales of the drink rose by more than 11% between 2015 and 2020, and it’s common for several experts to draw comparisons between English sparkling wines and French Champagne in blind tastings.
“We have definitely noticed a resurgence of interest from abroad in recent years; the media and wine critics are talking about us in a more positive light”, Jonathan White, marketing manager at English wine producer Gusbourne, said in 2021. “A decade ago, there were only two or three wines that could be known outside the UK. Now there are many more.”
The trend has continued: Gusbourne is now seeing an increase in demand.
Gusbourne, a symbol of this popularity
On Wednesday, Gusbourne PLC announced an improvement in its results, thanks to “significant” consumer demand for its wines. In 2022, net income for the English sparkling wine producer rose by 49% to £6.2 million. This enabled it to reduce its pre-tax loss to £2.6 million last year, compared with £3.6 million in 2021.
Nevertheless, the company has seen a considerable increase in expenses in 2022. Sales costs rose by 38% to £2.5 million, while sales and marketing expenses increased by 41% to £3.5 million. Administrative costs remained stable at £1.3 million.
Despite this, Gusbourne’s gross margin improved from 55.9% in the previous year to 59.2% in 2022. The company attributed this improvement to better management of its distribution channel and optimization of its price range.
“Despite a challenging macro-environmental context, we continued to see significant consumer demand for Gusbourne wines, reflecting the luxury status of the Gusbourne brand and the underlying growth of the dynamic English wine sector”, said Charlie Holland, Managing Director.
Featured photo : © Gusbourne Estate