Investment Tips - Champagne - 25. June 2020

Late Release Salon: Invest In Mature Salon At No Additional Cost!

The timing is simply perfect. While the 1997 Salon is on its way into its drinking window and is facing 20 perfectly mature years the price is extremely attractive as well

Should We Choose One Champagne, Then ...

It's no secret that we at RareWine Invest have great expectations for Champagne as a category where we see a huge potential and at the same time a degree of security that is extremely attractive.

Read more about why Champagne is considered the bond of the wine world in terms of security here: Champagne, The Wine World’s Bond: Invest In 2012 Cristal At Bargain Price

Under normal circumstances, we see the potential exclusively among the most prestigious and best Champagnes from the largest, best and most recognized Champagne houses. In other words; the top Champagnes of all the good, old classics - and the potential is extremely interesting across all of them and their respective characteristics. Choosing one Champagne over them all is simply impossible, but if we are to choose only one Champagne we have very high expectations for, it must be found among Krug's top Champagnes and Cuvée "S" from Salon.

Add to this that you currently have the opportunity to invest in Salon's late release, which gives both the upper hand by virtue of the late release of the Champagne house and that it is heading into its optimal drinking window - something that has historically been "at the foot of the mountain" in terms of interest and price increases - and this without the usual extra price!

Why Late Release?

It is quite common practice that the Champagne houses store Champagne in their own cellar to release a so called “late release” of the original vintage. In some cases, the disgorging takes place later and in other cases the disgorging takes place at the same time as the rest of the wines from the vintage, while the portion for late release is only subsequently stored in bottles in the given Champagne house’s cellar.

But if the disgorging happens at the same time as the initial release, what is different about the maturation process compared to the normal maturation process in bottles already released?

In the case of Salon, the entire vintage is disgorged at the same time, after which parts are put back in the basement for further maturation. Here the Champagne is stored under the most optimal conditions and is looked after and cared for by the house's cellar master. Here it is ensured that the later release occurs at the most optimal time. A late release is thus both a stamp of quality regarding provenance and storage, thus ensuring the Champagne lover an optimal experience of the given Champagne.

Read more about Salon here: Outstanding Salon presents Monumental Release: Only 8,000 bottles of vintage 2008

But of course, it is not free to store and care for Champagne this way and it is quite normal that a bottle of late release from the greatest houses can cost between 15% and 40% more than a bottle from the original release. For Salon, this additional price is, under normal circumstances, of approx. 15%, but due to the state of the market and an unfamiliar feeling that 1997 Salon is actually available, approx. 0% is paid extra for the 1997 Salon late release right now – in other words, pay same price for a Salon with a feature that makes it even more attractive when it is to be sold again.

Invest in 1997 Salon The timing for investing in 1997 Salon is perfect!

The Price Of Old Champagne Is Rising The Most

The price of Champagne follows a combination of supply and the lifcycle stage of the Champagne. Initially, after a new release, availability is high relative to the size of production, and then it is usually seen that the price increases as supply decreases. At the same time, the Champagne gets better over time and both price and interest increase most under normal circumstances as the Champagne approaches its drinking window and the time in its life cycle where it is perfectly matured.

Depending on which Champagne expert we ask, the 1997 Salon just entered its drinking window or does it within a year or two. The fact is, however, that the 1997 Salon right now is where all the prerequisites are fulfilled for it to become really interesting.

But how does a long-term investment relate to +20-year-old Champagne? In this case, it is simply perfect. Again, depending on which Champagne expert you ask, the 1997 Salon is currently facing a drinking window of 15-20 years where it is perfectly mature and fulfills its potential.

Of course, buying Champagne that is just right here in its lifecycle is extremely attractive, which is also reflected in the price - just not in this case. More on this below.

Salon: There Are No Weak Vintages Here

Salon is only produced in vintages that can live up to the house's extremely stringent quality requirements and when this finally happens, only around 60,000 ordinary bottles and 5,000 magnum bottles are produced - a microscopic production, compared to the productions of millions of bottles from the largest houses.

As a result of these stringent requirements, Salon is a guarantee of Champagne of extremely high quality and thus there is no "bad" vintages from Salon - here it is just about Salon and Salon from absolute top vintages. The 1997 vintage is one of the regular Salon vintages. See points below:

SalonRJWAVIJS
199793959596
RJ: Richard Juhlin WA: Wine Advocate VI: Vinous JS: James Suckling

Something that is particularly interesting here is that the 1997 vintage, despite the age and location in its lifecycle, is currently only 5-10% more expensive than the comparable vintages 2006 and 2007. Such a small price difference on comparable Champagnes with a 10 year age difference is quite unusual and further contributes to 1997 Salon's investment potential.

RareWine Invest’s Opinion

The timing for investing in the 1997 Salon late release is perfect and if you want a Champagne in the portfolio, which is among those we have the highest expectations, then the 1997 vintage is now the most obvious choice.

The Salon brand is strong, the quality is unquestionable, the production is very limited, and the supply only gets smaller over time - all strong arguments for the Champagne investor.

1997 Salon late release is currently available without the usual late release premium, which is an attractive benefit which is a rarity in the market.

1997 Salon also stands before what one might call "the foot of the mountain" - that is, the time in its lifecycle where it enters its drinking window and allows Champagne lovers to experience its full potential. When Champagne reaches this stage, the interest increases and in combination with a decreasing supply this creates some very interesting opportunities for the Champagne investor.

Timing and potential almost doesn’t come better than this.

Invest in 1997 Salon Cuvée "S" Late Release

VintageWineVOL.PackingPRICE*
1997Salon Cuvée "S"750OWC1€ 525
1997Salon Cuvée "S"750OWC3€ 525
*All prices are in EUR ex. customs duty, tax and VAT for delivery to a bonded warehouse. Prices including customs duty, tax and VAT can be sent on request. The wines are only sold in whole cases unless otherwise specified and the price is per bottle. Minimum order size € 2,500. Assumes a total minimum investment of € 10,000. Prices may have changed since release of this article.

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