Beer has gained bev-alc dollar share at bars, restaurants and venues, taking from wine and spirits, according to the latest report from CGA, NIQ’s on-premise data arm.
For the 52-week period ending January 25, beer accounted for 40.1% of all dollars spent in the on-premise channel, a +0.3 percentage point increase year-over-year (YoY). Ready-to-drink (RTD) canned cocktails increased dollar share +0.4 percentage points, to 1.2% of total bev-alc dollars.
Spirits maintained the largest share of dollars at 46.1%, but lost -0.4 percentage points, while wine’s share declined -0.3 percentage points, to 12.6%, CGA reported.
The data comes from CGA’s On-Premise Measurement (OPM), which tracks 19 designated market areas in 15 states. Participating classes of trade include casual and fine dining restaurants, bars and nightclubs.
Expanded distribution (+2.1% YoY) and higher pricing (+1.6%) have propelled beer’s share, but several other category metrics are in the red. Beer’s overall dollar sales (-1.4%) and volume (-3%) have both declined, as has rate of sale (-5%).
“While distribution is moving in the right direction, beer volumes remain under pressure in U.S. bars and restaurants,” CGA VP – Americas Matthew Crompton wrote. “Nevertheless, there are still substantial growth opportunities in different sub-categories, styles and states, and we can be cautiously optimistic that spending will pick up as we move deeper into 2025.”
Draft beer has claimed +0.9 percentage points from package, widening the gap between them. Draft accounts for 52.3% of all beer volume on-premise, compared to packaged beer’s 47.7%.
Stylistically, pale lager dominates in the on-promise and is only gaining share. Pale lagers accounted for 57.4% of all on-premise beer volume and gained +0.36 percentage points, according to CGA.
Pale lager gained volume in 12 of the 17 markets where CGA tracked its progress. In Louisiana, California and Tennessee, it gained more than 0.5% in share. Nationwide, pale lager gained nearly 0.4% in share. It lost share in Illinois, Arizona, Nevada, Colorado and New York.
Other styles to gain share included stout (+0.23 percentage points, to 2.3%), blonde/golden ale (+0.05 percentage points, to 1.4%) and pilsner (+0.09 percentage points, to 1.2%).
Among beer segments, imports were the largest share gainer, increasing +1.2 percentage points to 21.2%, making it the category’s third largest segment by volume in the on-premise. Domestic super premium followed both in share gains (+0.6 percentage points) and volume (10%). Below premiums also gained share, increasing +0.2 percentage points to 6.9%.
Craft is the on-premise’s largest segment by volume at 27.1%, but it lost -0.5 percentage points in share, just one in “a long run of losses,” Crompton wrote. No. 2 Domestic premium was the largest share donor, declining -1.3 percentage points to 26.5% volume share.
Hard seltzers lost -0.3 percentage points in share, which dropped to 2%, making it the sixth largest segment on-premise, followed by cider (1.1% in volume, flat in share) and flavored malt beverages (0.8% in volume, flat in share).
Although hard seltzers’ share loss was somewhat close to flat, the segment’s volume declined (-13.9%) nearly twice as steep as the next largest volume decline (domestic premiums, -7.5%). Craft volume declined -4.6%, followed by FMBs (-3.6%) and cider (-1.1%).
The three segments that recorded share gains also posted volume gains:
- Domestic super premiums, +3.4% in volume;
- Imports, +2.6% in volume;
- And below premiums, +0.4% in volume.