Alcohol consumption

Alcohol consumption in the United States is turning back to on-trade

As an increasing number of Americans are fully immunized and bars and restaurants increase in capacity, there is an increase in retail sales.

However, off-premises alcohol sales remain well above pre-pandemic levels. “This clearly indicates that not all drinkers are returning and that alcohol consumption continues to shift more towards consumption at home, compared to the periods before the pandemic”,NielsenIQ notes in its update on alcoholic beverages.

For the four weeks ending May 29, 2021, total off-premises alcohol sales were down 10.9%, compared to the same four weeks hit by the pandemic in 2020.

Compared to the same four weeks in 2019, however, off-premises spirits sales are up 32%, wine 16%, and beer, FMB and cider 11%.

What happens to premiumisation in the event of a pandemic?Have

Premiumisation was a widespread trend in alcohol before the pandemic. However, momentum increased during the pandemic: as consumers switched to more expensive options for home consumption.

For the most part, Nielsen sees the upscaling of alcohol continuing, but slowly, as consumers get their money back on the spot and feel less inclined to indulge themselves at home.

“This [premiumization] remains above pre-pandemic times: but the uptrend occurs at a much slower rate than the peak COVID months in the United States from 2020.Have

“In the first few months of the pandemic, as consumers loaded into pantries of large sizes and from mainstream or value brands, the premium alcohol share gains started to slow (with the exception of seltzer). After the first months of pantry loading, starting in June 2020, there was an acceleration in share growth in high-end segments. Growth in premium share gains peaked in January / February 2021 and then started to stabilize in March.Have

“The exception to this timeline is the hard seltzers, which peaked in share gains in the first few months of the pandemic, then began a steady decline in share gains from May 2020.”Have

Not all consumers are the same …

Nielsen stresses, however, that it’s important to note that not all consumers will react the same.

“Some consumers are still reluctant to return, and similarly, some consumers have developed a body-to-house mentality that will persist for the foreseeable future.”Have

“We should expect a divergence in how consumers contribute to premiumisation – ‘lone consumers’ (those who have not experienced financial difficulties in the past 15 months) contributing a greater share of this. premiumization. With little or no financial constraints, “single consumers” will look for ways to explore and experience premium alcohol segments. ” Have