Why is Krug Champagne so expensive?

Answered by Paul Bowser

Krug is renowned for its exceptional quality and distinctive taste, which is reflected in its higher price point compared to other champagnes. There are several factors that contribute to the high cost of Krug Champagne, making it a luxury and sought-after brand.

1. Prestigious Heritage: Krug Champagne has a long-standing history dating back to 1843 when Joseph Krug founded the house. Over the years, they have built a reputation for producing exceptional and consistent champagnes, earning them a prestigious status in the industry. The brand's heritage and reputation add value to their products, making them highly desirable.

2. Exceptional Craftsmanship: Krug Champagne is crafted with meticulous attention to detail and expertise. The winemaking process involves a combination of traditional methods and innovative techniques, ensuring the highest quality at every stage. The meticulous craftsmanship requires skilled labor, time, and resources, which contribute to the higher cost of production.

3. Vineyard Selection: Krug Champagne is made from grapes sourced from the best vineyards in the Champagne region of France. The vineyard selection process involves identifying and working with growers who produce grapes of exceptional quality. These vineyards often have low yields and produce grapes with complex flavors, resulting in wines of exceptional character. The cost of sourcing grapes from such prestigious vineyards adds to the overall expense of Krug Champagne.

4. Reserve Wines: One of the key factors that make Krug Champagne unique is the use of reserve wines. Krug maintains an extensive collection of reserve wines, some of which are more than 15 years old. These reserve wines add complexity, depth, and consistency to the final blends. The aging of reserve wines requires storage space, time, and investment, which contribute to the higher cost of Krug Champagne.

5. Extended Aging: Krug Champagne undergoes an extended aging period in the cellars, far surpassing the minimum requirements set by the Champagne region. This extended aging allows the wines to develop rich flavors, delicate bubbles, and a unique character. The additional time spent aging increases the production costs, as it requires extra storage space and careful monitoring of the wines.

6. Limited Production: Krug Champagne has a limited production compared to other champagne houses. This limited production ensures a focus on quality over quantity and allows for greater control over the winemaking process. The exclusivity and rarity of Krug Champagne contribute to its higher price.

7. Brand Image and Marketing: Krug Champagne has established itself as a luxury brand with a strong brand image. The brand's marketing efforts, including collaborations with artists and exclusive events, contribute to its premium positioning in the market. These marketing activities require additional investment, which is reflected in the price of Krug Champagne.

The higher cost of Krug Champagne can be attributed to its prestigious heritage, exceptional craftsmanship, vineyard selection, use of reserve wines, extended aging, limited production, and brand image. These factors, along with the exceptional quality and distinctive taste, justify the higher price point of Krug Champagne, making it a luxury choice for champagne enthusiasts.