Price increases and easy comps carried off-premise beer dollar sales up +7%, to nearly $2.9 billion, year-to-date through January 29 in multi-outlet and convenience stores tracked by market research firm IRI. Although dollar sales climbed, volume (measured in case sales) was slightly down -0.3% through the first month of 2023.
Through the same period in 2022 (month ending January 22), off-premise beer category dollar sales (-7.4%) and volume (-11.5%) posted sharp declines, according to IRI data.
Across all IRI tracked channels through January 2023, off-premise dollar sales of all but three segments were in the black, indicating Dry January, the month of abstinence to start the new year, was more damp this year.
Still, non-alcoholic beer’s off-premise dollar sales increased +34.2% and volume +20.1% to kick off the year, IRI reported.
Athletic Brewing cracked the top 25 beer category vendors list, with more than $3.6 million in off-premise dollar sales (+147.3%) and volume also up triple digits (+137%) in IRI tracked MULC retailers. The majority of those sales (more than $3 million) were in the grocery channel, where Athletic was the 20th best-selling beer category vendor, led by Run Wild IPA (+93.7% dollars, +84.7% volume).
Heineken 0.0 (+16.8% dollars and 11% volume) and Budweiser Zero (+39.6% dollars, +27.2% volume) both posted double-digit dollar sales and volume gains for the month in multi-outlet and convenience stores, the firm reported.
Other beer category segments posting positive off-premise dollar sales and volume trends included imports (+15% dollars, +8.6% volume), domestic super premium (+14.1% dollars, +8% volume), and FMBs (+24.3% dollars, +15.5% volume).
Domestic premium (+4.6%), domestic sub-premium (+7.9%), and cider (+2.7%) each recorded dollar sales gains while posting volume losses: domestic premium (-2.7%), domestic sub-premium (-1.5%), and cider (-2.7%).
January proved to be a slow start for craft beer (-3.7% dollars, -8.7% volume) and hard seltzer (-12.5% dollars, -18.5% volume), which saw dollar sales and volume declines. Craft’s share of beer category dollars declined -1.14%, to 10.28%, while hard seltzer lost -1.67% share, to 7.52% of category dollars. Imports (+1.49% share, to 21.47%) and FMBs (+1.18% share, to 8.53%) gained the most share in January.
The average case price for beer was up $2, to $29.44, compared to a year ago in multi-outlet and convenience stores tracked by IRI. Price was up across all segments:
- Domestic premium (+$1.69, to $24.52);
- Imports (+$2.03, to $36.67);
- Domestic sub-premium (+$1.67, to $19.26);
- Craft (+$2.25, to $42.83);
- Domestic super premium (+$1.65, to $30.74);
- FMBs (+$2.84, to $40.61);
- Hard seltzer (+$2.61, to $37.90);
- Cider (+$2.52, to $48.13);
- Non-alcoholic (+$3.60, to $34.27);
- Assorted (+$3.86, to $46.67).
Convenience a Bright Spot; Craft +1.5% dollars
Zeroing in on the convenience channel, dollar sales (+9.7%, to $1.669 billion) and volume (+1.3%) both increased in January. In fact, all but two segments – hard seltzer (-4.5%) and assorted (-60%) – grew dollar sales:
- Domestic premium (+4.8%);
- Imports (+17.3%);
- Domestic sub-premium (+7.5%);
- FMBs (+24%);
- Domestic super premium (+16%);
- Craft (+1.5%);
- Cider (+3%);
- Non-alcoholic (+34.2%).
The average price per case in convenience increased +$2.38, to $30.96, according to IRI.
Grocery proved to be a drag with both dollar sales (-0.9%, to nearly $808.2 million) and volume (-6.3%) both down. The average case price in grocery increased +$1.59, to $29.21, IRI reported.
21 of Top 30 Best-Selling Craft Brands Decline; 8 Craft Brands Grow Dollars and Volume
Eight of IRI’s top 30 craft brands increased both dollar sales and volume in IRI tracked multi-outlet and convenience stores through January 29:
- New Belgium Voodoo Ranger Imperial IPA (+13% dollars, +6.2% volume);
- New Belgium Voodoo Ranger Juice Force IPA (+2,964.8% dollars, +2,991.3% volume);
- Anheuser-Busch’s (A-B) Kona Big Wave golden ale (+24.2% dollars, +25.2% volume);
- New Belgium Voodoo Ranger Hoppy variety pack (+29.7% dollars, +22.5% volume);
- A-B’s Wicked Weed Pernicious IPA (+18.4% dollars, +14% volume);
- A-B’s Goose Island Tropical Beer Hug DDH Double IPA (+150.7% dollars, +136.5% volume);
- Molson Coors’ Leinenkugel’s Shandy seasonal (+8.5% dollars, +4.4% volume);
- Rhinegeist Truth IPA (+16.6% dollars, +9.7% volume).
Sierra Nevada Hazy Little Thing IPA increased dollar sales (+0.4%) but declined in volume (-6.2%).
Despite the average price per case of craft beer increasing +$2.25, 21 of the 30 best-selling craft brands posted sales declines through January, according to IRI. The top-selling craft item in multi-outlet and convenience stores, Blue Moon Belgian White, declined in dollars (-0.5%) and volume (-5.2%), but still maintained a more than $5 million gap between it and the next closest brand: New Belgium Voodoo Ranger Imperial IPA ($17.65 million vs. nearly $12.4 million).
However, within the convenience channel, Voodoo Ranger Imperial IPA edged out Blue Moon for the top-seller spot ($6.9 million to $6.7 million, respectively). Additionally, Voodoo Ranger Juice Force, which launched in 2022 and became the most successful craft beer launch ever, is now the third best-selling craft brand in the convenience channel and fifth best-seller across all IRI tracked channels. Cycling that launch, Juice Force is on the edge of $6 million in sales already.
Top 30 craft brands declining in both dollars and volume in January in across all IRI tracked channels include:
- Sierra Nevada Pale Ale (-6.8% dollars, -12.7% volume);
- Shiner Bock (-3.2% dollars, -9.1% volume);
- A-B’s Elysian Space Dust IPA (-6.7% dollars, -10.6% volume);
- Lagunitas IPA (-19.3% dollars, -26.2% volume);
- Boston Beer’s Samuel Adams seasonal (-7.5% dollars, -12.5% volume);
- Firestone Walker 805 (-11.2% dollars, -18.4% volume);
- Founders All Day IPA (-9% dollars, -15% volume);
- Bell’s Two Hearted Ale (-2.9% dollars, -6.4% volume);
- Samuel Adams Boston Lager (-12.8% dollars, -17.7% volume);
- New Belgium Fat Tire (-12.6% dollars, -17.9% volume);
- Monster’s Cigar City Jai Alai IPA (-1% dollars, -9.3% volume);
- New Belgium Voodoo Ranger Juicy Haze IPA (-4.5% dollars, -10.2% volume);
- Heineken’s Lagunitas A Little Sumpin’ Sumpin’ Ale (-18.9% dollars, -25.5% volume);
- Molson Coors’ Blue Moon Light Sky Citrus Wheat (-16.3% dollars, -19.8% volume);
- Sierra Nevada Torpedo Extra IPA (-14.6% dollars, -19.1% volume);
- Sierra Nevada Big Little Thing Imperial IPA (-1.9% dollars, -6.8% volume);
- New Belgium Voodoo Ranger IPA (-30.8% dollars, -36.1% volume);
- Boston Beer’s Samuel Adams variety pack (-6.4% dollars, -13.2% volume);
- A-B’s Goose Island IPA (-16.5% dollars, -19.7% volume);
- A-B’s Shock Top Belgian White (-17.3% dollars, -21.3% volume).
Notably, Boston Beer’s Samuel Adams Boston Lager and New Belgium’s Fat Tire were both on the edge of falling off the top 100 best-selling beer brands list at No. 96 and No. 97, respectively.
IPA -0.7% in January, Variety +7.3%
Nine of the top 10 craft beer styles are in decline, including top-selling style IPA (-0.7% dollars, -6.1% volume) in multi-outlet and convenience stores, IRI reported. The only top 10 craft style growing is variety, up +7.3% in dollars and +1.4% in volume.
All other styles are in decline in the segment with the lone exception outside of the top 10 craft wheat beer dollar sales (+3.3%), although the style is down -1.8% in volume. Craft specialty release increased volume (+2.3%), but dollar sales declined (-3.4%).
Modelo Especial, Michelob Ultra, & Corona Extra Post Double Doubles
Three of the top 10 overall best-selling brands increased dollar sales and volume double-digits through the first month of 2023: Modelo Especial (+20.2% dollars, +13.8% volume), Michelob Ultra (+16.5% dollars, +10.1% volume), and Corona Extra (+15.5% dollars, +10.6% volume).
Although overall hard seltzer trends are in the red, the White Claw brand family is on the upswing again. Dollar sales (+9.6%) and volume (+4.4%) are growing. White Claw Hard Seltzer Surge variety pack (+26.2% dollars, 16.6% volume), White Claw Ruby Grapefruit (+19.1% dollars, +25.5% volume), and White Claw Watermelon (+76.2% dollars, +60.8% volume) each posted double-digit gains in dollars and volume. Starting its sophomore year, the White Claw Surf variety pack topped $3 million in sales.
Boston Beer’s Truly Hard Seltzer is still trying to regain its footing, with dollar sales (-25.5%) and volume (-31.2%) both declining double-digits in the off-premise. However, Twisted Tea continues its upward trajectory with dollars +37% and volume +27.5%, led by:
- Twisted Tea Original (+23.3% dollars, +14.3% volume);
- Twisted Tea Half & Half (+28.2% dollars, +18.7% volume);
- Twisted Tea party pack (+122% dollars, 102.1% volume);
- Twisted Tea Peach (+52.7% dollars, +38.9% volume);
- Twisted Tea Raspberry (+54.6% dollars, +51.5% volume).
Sazerac’s beer category ascent continued, now the 15th largest vendor in the category (+117.5% dollars, +102.8% volume). Malt-based Fireball Cinnamon increased dollar sales and volume +109.7% and +104.1%, respectively.