No bottle will be sold at less than 25 euros

We have big ambitions in champagne. "Pierre Pringuet, CEO of Pernod Ricard, has not hidden yesterday in Reims the will of his group growth in this new field for him. The French company made its entry into the sector in finding the acquisition of the British Allied Domecq, last August. It notably enriched its portfolio of two prestigious brands, Perrier-Jouët and Mumm.

Nine months after to be hoisted thus ranked world industry of wines and spirits, the group headed by Patrick Ricard said without eyebrows wanting to become the second House of champagne. In so doing, it will place immediately behind the leader in luxury, LVMH, Moët & Chandon, Dom Perignon, Veuve-Clicquot, Krug, Ruinard and Mercier holding. Marks which grant to approximately 17 of the global market, estimated at 24.5 million cases, while today ' hui Pernod Ricard cannot claim that 3.3 of market share. So that the way to go is important and that it will first need to double the third sector, Boizel Canon Champagne (BCC), the recent acquirer of Lanson, and the second, Vranken monopoly, which respectively control 5 and 6.2 of the world market.

From there to infer that Patrick Ricard going to external growth operations, there is a step, on which the CEO refuses to decide. "No. how", on the part of the pattern of Pernod Ricard on his interest in Taittinger, which we know, however, he "looked the record", without giving away. "No. how" on his intentions to other houses of champagne, where the question of the succession will arise fairly quickly. "Let us first Digest our last acquisition", said Patrick Ricard, which however confirms its wish to "effective term among the actors in peacebuilding" still wines and spirits industry.

Support on its sales network

The integration of Allied Domecq and the debt reduction are "to be in charge", much more quickly than expected. "We have won a year on the integration process, which will allow us to benefit in full of the announced synergies of EUR 270 million in fiscal year 2007", says Emmanuel Babeau, Chief Financial Officer. The debt was a little less than 10 billion euros following the acquisition of Allied Domecq had already been reduced by EUR 1 billion at end of December with made assignments. Since then, Pernod Ricard sold the subsidiary of fast food Dunkin' Brands for EUR 1.4 billion.

In the immediate future, it is first on its formidable marketing network that French giant intends to expand its market share in the champagne. None of its competitors can compete at this level. His second weapon is the price that it will increase. No bottle will be sold at less than 25 euros. "With Mumm, we start at 25 euros with Perrier-Jouët, we can rise to 110 euros and many more with the vintage Belle Epoque and white white," said Lionel Breton, the pattern of Martell, who has supported the new division of champagne. The idea is to systematically rival LVMH proposing products at the same price. "We will develop in France with Mumm, but also to the United Kingdom, with Perrier-Jouët, the Japan and the United States." And add which would have not measured the ambitions of Pernod Ricard in champagne: "We want to explode sales in China and Russia."