Let me give you a bit of insights from the French side of Canada. Our liquor is Government controlled and they decide on the prices according to their markup formula for each type of liquor and their provenance. A friend started one of the famous local vodka and sells to SAQ at 11$/bottle and they place it on their shelves at 42$. There is a movement towards bubbles that has been brewing for the last 5 years, especially in Montréal, with the arrival of specialized bars, restaurants and events. It is still very seasonal but more and more people are enjoying them on a regular.
Frank mentioned the large amount of alternatives we have here from Spain, Italy and also from France. That is especially true in Québec. Those are very good alternatives and they are well priced. It is hard to beat a high end/millésimé champagne but when we are talking about volume those alternatives will always win here in Québec as it is a price sensitive market. Prices are high especially when compared to Non Champagne wines. Here are a few example (CAD is +/- 1 or 2 more in AUD):
Billecart Rosé - 99 CAD
Veuve Clicquot - 69 CAD
Fleury Brut - 53.25 CAD
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Bellavista Alma Cuvée Brut - 40 CAD
Bailly Lapierre Vive-la-Joie 2008 - 29.75 CAD
Raventos I Blanc de la Finca 2011 - 31.25CAD
So for 30$ one can buy 2 crémants de bourgogne millésimé bottles for the price of a generic Moet bottle? For most sparkling aficionados, the decision is easy. The extra coin for Champagne is hard to justify. That being said, SAQ have been taking heat for overcharging on these products (they are the world's second leading buyer, distributor and retailers of wine and spirits) and are in the process of importing an array of sub 50$ champagne in 2106. So far that has only produced lower quality champagne instead of better quality options at lower prices.
Personally, I have been drinking them for a long time and I only really buy champagne outside of the country where prices are more realistic.
Also, Shlomo, I drank 3 sparkling wines this weekend