While the amount of bars and restaurants in operation has recovered to pre-pandemic levels, beer’s on-premise business has yet to bounce back, with keg volume expected to be 2.5 million barrels below where it should be by the end of 2023, according to the Brewers Association.
Regulators from the federal agencies that oversee taxation and alcohol regulation raided the Union City, California, offices of Southern Glazer’s Wine and Spirits yesterday, according to the San Francisco Chronicle.
Despite inflationary pressures, more than three-quarters of consumers (76%) are still visiting bars and restaurants more than or as often as usual, according to market research firm CGA.
On-premise sales over Labor Day weekend received “an uplift in velocity” on Sunday (+16%) and Monday (+54%) compared to the previous week, NielsenIQ’s on-premise tracking arm, CGA, reported today.
Football is back and so are draft sales, according to on-premise data firm BeerBoard. Draft beer consumption nationwide increased +21% during the NFL’s opening weekend (Thursday, September 8-Sunday, September 11), compared to the same period in 2021.
The on-premise channel is expected to see an “uplift” in velocity over Labor Day weekend this year, as on-premise trends continue to follow 2021 patterns, NielsenIQ-owned market research firm CGA reported.
Keeping up with consumer trends, twin brothers and business partners Don and William Ray shifted service at the nightclub and bars they owned in Fayetteville, Arkansas, to focus on craft cocktails made by hand. However, the cavernous rooms and massive bars were built to accommodate far more people than a typical intimate cocktail lounge, overwhelming bartenders and slowing down service time.
Bars and restaurants in New York and Illinois have outpaced other key markets. In both states, velocity increased +4% compared to the same period in 2021, but was flat compared to the week ending July 16.
While the on-premise has had a steady recovery overall this summer, beer sales in the channel are taking a hit.
On-premise value velocity increased +6% nationally in the week ending June 25 compared to the week before, continuing “similar seasonal patterns” to previous years, the market research firm CGA reported today.
Ready-to-drink canned cocktails (RTDs) were a big winner on Drizly over Independence Day weekend (July 1-4), the alcohol e-commerce platform reported today.
IRI-defined ready-to-drink alcoholic beverages (RTDs) have recorded nearly $9 billion in sales over the last 52 weeks (ending June 5) in IRI tracked off-premise channels (multi-outlet plus convenience), according to the market research firm.
In the on-premise channel, bars and restaurants have earned more than $12,000 on average from the sale of cocktails in the first quarter of 2022, compared to the 12 weeks that ended October 22, reported CGA, which focuses on on-premise retail occasions.
Ready-to-drink canned cocktails’ (RTDs’) share of Drizly sales passed hard seltzer’s share for the first time over the weekend (May 27-30), as consumers celebrated Memorial Day.
The majority of distributors (70%) are seeing better growth for beer this spring, respondents told financial services firm Jefferies in a survey published today.
