Beer at home and away continued to lead year-over-year (YoY) price increases compared to the rest of beverage-alcohol in May, according to the most recent Consumer Price Index (CPI) report from the U.S. Bureau of Labor Statistics (BLS).
Across the board, no bev-alc metric increased as much as the CPI for all items, which rose 4.2% in May. This marked the highest rate of overall inflation since May 2023, when it was 4%.
The CPI for all items has risen steadily since military conflict began between the U.S., Israel and Iran, largely driven by sharp spikes in the cost of gasoline (+41.9% for regular unleaded). Other motor fuel, which includes diesel, increased 56.9% YoY.
Total beverage-alcohol, both at home and away, increased 2.1% YoY in May, outpaced only by beer at home (+2.9%). Beer at home’s increase marked an acceleration from April, when it increased 2.2% YoY.
The CPI for wine at home declined 0.5% YoY. Overall spirits at home were flat YoY, but the CPI for whiskey at home increased 0.8%. Excluding whiskey, the CPI for spirits at home declined 0.2%.
Away from home, all bev-alc metrics increased YoY:
- Total bev-alc, +3.5%;
- Beer, +3.1%;
- Spirits, +3.1%;
- Wine, +1.9%.
The CPI for food away from home was at par with alcohol away from home (+3.5%), but the CPI for meals at full-service restaurants increased at a higher rate (+3.8%).
Month-over-month (MoM), most bev-alc CPIs were relatively stable with a few exceptions. Wine away from home recorded the steepest MoM spike (+0.5%), followed by beer at home (+0.3%).
Total bev-alc and bev-alc and spirits away from home all increased 0.1% MoM. Bev-alc at home and whiskey at home were both flat MoM.
Spirits, excluding whiskey, at home (-0.9%), total spirits at home (-0.5%) and beer and wine away from home (both -0.1%) all declined MoM.
The average price per case increased for all beer category segments but one at multi-outlet grocery, mass retail and convenience stores (MULO+C) during the four-week period ending May 17, according to market research firm Circana.
Overall, the average cost of a case of beer increased $0.43 YoY. Only domestic super premium declined in price (-$0.02).
Assorted recorded the largest YoY price increase (+$2.40), followed by non-alcoholic (+1.05), hard seltzer (+$1.04), flavored malt beverages (+$1.03), craft (+$1.02), cider (+$0.96), domestic sub premium (+$0.53), imports (+$0.51) and domestic premium (+0.39).