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The on-premise beer market remains challenged, but the latest numbers reveal meaningful pockets of growth beneath the topline declines. Imported and non-alcoholic beer are gaining momentum, while draft is strengthening its position relative to packaged beer.
The Q3 2026 Supply Chain Snapshot from Agrowgate finds beverage supply chains in a deceptively stable position. Markets have settled from some of the volatility seen earlier in the year, and overall supply remains functional. But that relative calm is masking persistent cost and availability pressures.
Many on- and off-premise retailers were caught off guard by the demand for bev-alc during the FIFA World Cup, according to survey results from bev-alc data and invoices platform Fintech.
In a year in which the COVID-19 pandemic robbed alcoholic beverage producers of on-premise occasions for the majority of 2020, and forced consumer purchasing to shift to off-premise retailers and e-commerce, 36 of the top 50 Brewers Association-defined craft brewing companies recorded volume declines, according to data published in the May/June edition of the New Brewer magazine. Those numbers were not unexpected given last year’s challenges.
Major U.S. events and celebrations in May led to large upticks in on-premise visits, according to the latest consumer survey from CGA, a market research firm that tracks on-premise sales.
Brewers Association chief economist Bart Watson dives into craft beer’s 2020 trends and looks ahead to 2021 on the latest edition of Brewbound Data Club. Watson discusses brewery opening and closing numbers, packaging format trends, and the growth of beyond beer offerings by small craft producers.
New hard seltzer offerings continue to play a “vital role” in driving growth of the booming segment, while several core SKUs keep “churning out growth,” Bump Williams Consulting found in the firm’s latest analysis of the $4.1 billion and climbing hard seltzer segment.
The average price for a case of beer sold in off-premise retail chains has increased $1.32, to $26.47 year-to-date through April 18, compared to the same period last year, according to data shared by market research firm IRI. Segments with the biggest price bumps in 2021 include cider (+$1.76 per case, to $43.27), flavored malt beverages (+$1.28 per case, to $35.55) and imports (+$1 per case, to $33.36).
The loss of higher-margin on-premise consumption cost the beer industry more than $20 billion in 2020, National Beer Wholesalers Association chief economist Lester Jones reported yesterday during a webinar. “Volumes went up a little bit, maybe 0.5-1% up, but spending shifted dramatically,” Jones said. “
Off-premise dollar sales of craft beer have maintained a “moderate growth” rate through the first three months of 2021, as dollar sales increased 6%, to $1.3 billion, according to NielsenIQ data shared by Bump Williams Consulting.
Over the last three months, consumers of all ages have demonstrated an increased willingness to go out, which has led to an uptick in restaurant sales. Last month, restaurants nationwide posted a 36% increase in sales year-over-year and a 13.6% increase over February sales.
Sales velocities at bars and restaurants have more than tripled year-over-year (+325%) now that the calendar is cycling the strictest lockdown period in 2020, according to Nielsen CGA, market research firm NielsenIQ’s on-premise arm. “Across all states, value velocity remains strongly positive compared to last year, when on-premise decline was at its height,” Nielsen CGA reported.
Brewers Association (BA) chief economist Bart Watson this week delivered his annual state of the industry report virtually for the second time, due to the 2020 cancellation and 2021 postponement of the Craft Brewers Conference, now slated to take place this fall. In 2020, the nation’s 8,764 craft breweries posted a 9% decline in beer volume, so Watson delved into the market forces and consumer trends that led to the first volume decline recorded in BA history during a webinar for members.
Continuing to cycle the tough comps of 2020’s pandemic stock-up period, off-premise dollar sales of alcoholic beverages declined 1.3% for the week ending March 27, compared to the same week last year, according to market research firm NielsenIQ.
The Brewers Association (BA) released its annual craft brewery production report, which showed a 9% decline in 2020, in large part due to the COVID-19 pandemic. BA chief economist Bart Watson cautioned that the decline is not a perfect representation of the year for the nation’s 8,764 craft breweries.
In Bump Williams Consulting’s latest data dive, the firm explored whether new brands and line extensions are “building the segment or stealing share and volume from existing players.”
When the COVID-19 pandemic forced most Americans to stay home except for essential errands last spring, on-demand alcohol delivery e-commerce platform Drizly’s sales skyrocketed. “We saw years’ worth of growth — five years’ worth of growth — in just a three-month timeframe,” Drizly chief operating officer Cathy Lewenberg said.
