Cheers Handbook Details Trends and Projections for On-Premise Alcohol Segment

With so much focus on the off-premise beverage alcohol market, the on-premise segment can easily be overlooked. But that would be a mistake for beverage alcohol analysts seeking a full picture of the industry. The 2016 Cheers On-Premise Handbook is the primary tool to zero-in on data surrounding on-premise trends and sales figures, and it’s a must-read for diligent brand managers, data analysts and other professionals.

cheers handbookIn 2015, the on-premise sector was unable to capitalize on an improving economy, as overall volume consumption decreased for the third consecutive year, down 0.7%.  According to the Beverage Information Group’s 2016 Cheers On-Premise Handbook, case sales of spirits, wine and beer all dropped in 2015. Declines across all categories are becoming a regular occurrence, but 2015 saw the largest drop to date, with a 2.6% decrease in overall case sales.

Although consumption totals for all three categories were down from 2014, spirits and wine actually experienced retail dollar sales growth over the past year as consumers continued to trade up to premium products. Spirits, which experienced a volume decrease of 0.3%, saw a sizable dollar growth of 2.5%, while wine sales (down 0.1% in volume) increased slightly by 0.1%. Beer continued to struggle on-premise, declining 3.0% in volume, as mainstream brands continue to lose market share to craft beers. Consumer preference for local products and craft brands has led to an increase in at-home drinking and consumption at breweries, which further hurts on-premise sales.

In 2015, the restaurant industry accounted for 47% of overall food spending in the U.S, amounting to more than $745 billion. The recession that plagued the economy is finally turning around, which will lead to increased discretionary spending by consumers. Whether that’s enough to prevent a fourth year in a row of declining sales remains to be seen.

As the economy continues to rally, will consumers gravitate back into pre-recessionary on-premise drinking habits? The CHOP Handbook  indicates that 40.0% of consumers say they aren’t visiting restaurants as often as they’d like. If discretionary spending continues to rise, the restaurant industry (which represents 4.0% of U.S. GDP) will see a boost, ultimately resulting in greater on-premise consumption.

The Cheers On-Premise Handbook is a must-have guide for brands that want to increase profitability and stay on top of the on-premise landscape. The 2016 editions include forecasted 2016 consumption figures, five-year industry trends and on-premise beverage alcohol retail dollar sales.

 

Find out more by ordering today.

Leave a Reply

Your email address will not be published. Required fields are marked *

Curated By Logo