Off-trade

BWS off-sales return to growth

Beer, Wines and Spirits off-sales returned to positive growth, up by 2.7% in value in the four-week period to the 14th of August compared to the same four-week period a year ago.

 

 

“In the latest 4 weeks ending 14th Aug the trend in Beer Wine Spirits has improved moving from a value YTD decline of -12% to +2.7%,” points out NielsenIQ.

“In the latest 4 weeks ending 14th Aug the trend in Beer Wine Spirits has improved moving from a value YTD decline of -12% to +2.7%,” points out NielsenIQ.

This was driven by inflation from Minimum Unit Pricing, annualising on the re-opening of hospitality in 2021 & also benefitting from the warm weather, states NielsenIQ’s Fast Moving Consumer Goods update.

In the 12-week period to the 14th of August, BWS off-sales values were down 6.5% compared with the same period a year ago and they were down by 11.9% this year to the 14th of August and by 11.1% in the 52 weeks to the 14th of August.

“However warmer temperatures tend to have a positive impact on beverage sales and volumes are in fact up versus the previous four weeks,” states NielsenIQ.

An additional 1.4m litres of BWS was bought in the four weeks ending on the 14th Aug heatwave compared to the previous four weeks.

Looking at this in more detail, NielsenIQ finds that compared to the immediately preceding four-week period, volume sales of BWS were up 7.4% comprising a rise of 6.9% in Beer volumes, 8.1% in Ready To Drink volumes, 12.2% in NABLABs and the same for Cider & Perry sales volumes.

Spirits showed growth of 4.2% for this period while Table Wine sales volumes were up 5.1%. Champagne & Sparkling Wine sales showed growth of 6.9%.

BWS off-sales volumes were down 7.8% in the four-week period in question compared to the same four-week period a year ago, comprising an 8.4% drop in Beer volumes, a 7.3% drop in RTD product volumes, but a notable 13.0% rise in No Alcohol Low Alcohol Beers, a 9.9% drop in Cider & Perry volumes, a 3.2% drop in Spirits volumes, a 5.1% drop in table wine volumes and a 10.2% drop in Champagne and sparkling wine volumes.

“Price per Litre is up +11% for the same period due to Minimum Unit Pricing,” states NielsenIQ.

Although Value Sales are up 2% (driven by growth in Beer & Cider) volumes in litres are down – 7.8% compared to this time last year, states NielsenIQ, adding that price per litre is up 11% for same period due to MUP. Only Non-Alcoholic Beers & Low Alcohol Beers are showing an increase in volume sales of 13% for that latest four weeks in comparison to a year ago.

“In the latest 4 weeks ending 14th Aug the trend in Beer Wine Spirits has improved moving from a value YTD decline of -12% to +2.7%,” points out NielsenIQ, “Hospitality industry began to ‘normalise’ from June 2021 and we are now annualizing on a more like-for-like base. MUP is impacting value growths, however the warm weather did boost volumes compared to the previous month particularly for Seasonal Summer drinks such as Cider & sparkling wines.”

 

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