Chapel Down increases market share as premium wine sales soar
Britain’s largest winemaker Chapel Down has upped its market share as demand for its luxury wines heats up.
Chapel Down’s market share increased to 36 per cent in the first half of the year, and the brand drove 80 per cent of overall English Sparkling Wine category value growth, according to information tracker Nielsen.
The group reported net sales growth of 21 per cent to £8.37m in the first half of the year, as the group was bolstered by duty-free airport sales.
The Kent-based business said total wine volumes increased six per cent to 732,000 bottles with traditional method sparkling volumes up 32 per cent to 428,000 bottles, which Chapel Down said reflected the “continued successful delivery of our premiumisation strategy”.
During the term, the London-listed group also launched in airports selling its wines in duty free stores, including London Heathrow and Gatwick, which it said contributed to the 90 per cent growth in its export business.
On-trade net sales, at places such as bars and restaurants, grew by 20 per cent as the group sold its goods in more premium outlets, now totalling 1,997 outlets, up 40 per cent since 31 December 2022.
“Our focus remains on delivering significant growth in sparkling wine sales, margins, profits and cash flow, so we are extremely pleased with the powerful momentum of the business in the first half of the year,” Andrew Carter, chief of Chapel Down, said.
“We are continuing to deliver on our growth plans by building our leadership position in the fast-growing English Sparkling wine category to deliver long-term shareholder value,” he said.