The Consumer Price Index (CPI) for beer at home increased +2.5% year-over-year (YoY) in December 2024, before seasonal adjustment, increasing below total inflation, but outpacing the rest of the bev-alc industry, according to the U.S. Bureau of Labor Statistics (BLS).
With the final CPI report in for 2024, beer at home has officially outpaced total bev-alc, wine and spirits at home for all 12 months of the year, following a similar trend in 2023.
The CPI for total bev-alc at home increased +1.9% YoY in December, seasonally unadjusted, while wine increased +1.5% and spirits +1.2%.
Total bev-alc increased +1% YoY, but declined -0.2% month-over-month (MoM), before seasonal adjustment.
Additionally, December marked the eighth consecutive month beer inflation outpaced the industry away from home. The CPI for beer away from home – including on-premise establishments, such as bars and restaurants – increased +2.8% YoY in December, before seasonal adjustment.
Meanwhile, bev-alc away from home increased +1.9%, while wine increased +1.5% and spirits +1.2% (all before seasonal adjustment).
Beer away from home started 2024 with a CPI reading of +4%, flat with total bev-alc, and below inflation for wine and spirits away from home. While the CPI for beer away from home stayed between +4% and +4.1% throughout the next three months – and never increased above +4.1% YoY for all of 2024 – it began to outpace total bev-alc and wine in February, and passed spirits in April.
Inflation for beer away from home was just below total inflation for all items, which increased +2.9% YoY and was flat MoM, seasonally unadjusted. When seasonally adjusted, the CPI for all items has been steadily increasing each month: +0.2% MoM in October, +0.3% in November and +0.4% in December.
Still, beer’s 2024 inflation was more consistent in 2024 than 2023. Recall, in January 2023, the CPI for beer at home had increased +9% YoY, and fluctuated throughout the year, ending in December with a +1.9% YoY increase, seasonally unadjusted.
Trends also seem to be improving across bev-alc, with total bev-alc declining -0.3% MoM, and nearly the entire industry recording MoM declines both at home and away from home (seasonally unadjusted):
- Total bev-alc at home -0.2%, away from home -0.5%;
- Beer at home flat, away from home -1.2%;
- Wine at home -0.3%, flat away from home;
- Spirits at home -0.3%, away from home -0.7%.
The latest CPI follows the release of end-of-year scan data, including a look at 2024 beer pricing changes in Circana-tracked off-premise channels.
The average case price for beer increased +$0.63, to $30.57 in 2024, as well as +$0.84, to $32.55 in c-stores and +$0.49, to $29.97 in grocery.
Beer segments recorded the following price increases (in order of the segments’ total 2024 beer dollar sales):
- Imports +$0.54, to $37.13;
- Domestic premium +$0.41, to $24.84;
- Domestic sub-premium +$0.42, to $19.65;
- FMBs +$0.56, to $40.58;
- Craft +$0.66, to $43.30;
- Domestic super premium +$0.02, to $30.31;
- Hard seltzer +$1.47, to $39.66;
- Hard cider +$0.62, to $48.51;
- Non-alcoholic +$1.56, to $36.58;
- Assorted +$0.68, to $47.44.