In the first three months of 2025, LVMH reported a group turnover that showed a slight decline of 3%. However, the Wine & Spirits division suffered a much more significant blow, with a decline of 9%. This negative trend is mainly attributable to the performance of the Cognac and Spirits segments, which saw a drastic drop of 17%.
Dom Perignon P3 1988
Despite the challenges, wines and Champagnes showed some resilience, with a contraction contained to 1%. This data suggests that, although the beverage market is facing considerable challenges, high-end products such as Champagne and quality wines continue to maintain a certain appeal among consumers.
The decline in Cognac and spirits, however, raises questions about market dynamics and consumer preferences. It could be the result of a change in tastes, with a growing focus on lighter or more innovative alternatives, or a response to broader economic factors that influence consumer spending.
LVMH, a leader in the luxury sector, will have to address these challenges with targeted strategies to relaunch its Wine & Spirits division. The ability to adapt to market trends and innovate in its product offering will be crucial to regain ground and maintain its leadership position in the sector.
