After a promising week, bev-alc off-premise sales returned to the red, declining -3.8% YoY and -1% WoW, according to the most recent weekly report from Circana (data ending March 9).
Circana EVP of bev-alc Scott Scanlon wrote: “We continue to see negativity versus prior year comps, but the weekly trend remains relatively flat as we stay within a range.”
Spirits was the only major bev-alc category to record growth in dollars (+0.2%) and volume (+2.7%). Beer (-4.5% in dollars, -6% in volume) and wine (-5.3% in dollars, -6% in volume) both declined. RTDs, which contain products across all 3 categories, increased dollar sales +0.8%, but declined -4.1% in volume.
Within the beer category, No. 3 A-B’s Michelob Ultra was the top growth driver, pushing its segment, domestic super premiums, to flat YoY, outpacing total beer. Other segments that were “top performers” included domestic sub premiums (-3% YoY), cider (-4.7% YoY) and craft (-3.9%).
NA beer recorded the strongest dollar sales increase (+19.1%), but the second smallest amount of absolute dollars ($9.6 million), topping only cider ($7.6 million). Domestic premium posted the steepest decline -7.3%) and the most absolute dollars ($187.6 million) for the week.
No. 15 Mark Anthony’s Mike’s Harder brand family (+4% YoY) is poised to leapfrog into the 13th spot, surpassing No. 14 Diageo’s Smirnoff brand family (-4.3% YoY) and No. 13 Boston Beer’s Truly Hard Seltzer (-17.4% YoY).
Among total drink segments both non-alc and bev-alc, beer recorded the sharpest decline in share of wallet at -0.3 share points YoY, followed by table wine (-0.2 share points), vodka, whiskey, bottled juices and brandy/cognac (all -0.1 share points), according to a chart Scanlon shared.
Carbonated beverages saw the largest bump at +0.2 share points, followed by energy drinks, bottled water and tequila (all +0.1 share points). Carbonated beverages (+5.4%) and energy drinks (+1.7%) posted the largest price increases in NA beverages.
Scanlon wrote: “Upcoming, we should see increases from St. Patrick’s Day, especially within the beer category. Negative consumer sentiment, gyrations within the stock market, and high cost of living continues to amplify concerns within bev-alc and makes it challenging to predict future sales.
“Hope St. Patrick’s Day delivers healthy results for us to use as a projection toward Easter and Memorial Day, but certainly far from smooth sailing at this point.”