Spanning a nationally representative sample of 750 on-trade consumers in Ireland, the Consumer Insights report defines consumers’ eating and drinking out behaviour in Ireland, the impact of Covid-19 and sentiment towards the hospitality sector.
The spend in Ireland’s on-trade is only topped by holidays abroad, which highlights that pent-up demand following the pandemic – and so a celebratory mindset still impacts consumer purchasing decisions here in Ireland according to the report.
Although cost-of-living concerns have become apparent amongst consumers, ultimately on-trade users are placing greater importance on both value and quality when it comes to their post-pandemic drinks.
“Value may be more important to consumers, but this doesn’t mean cheaper drinks,” states the report.
Instead, on-trade users “equate value with quality, products being worth the cost and representing a good deal. With consumer appetite for Premium serves remaining high, 61% of consumers agree that they’re very or quite likely to pay more for a better-quality drink.
“Quality triumphs as the most important driver to drinks brands for consumers – more so than both discounts and offers,” points out the report, “When it comes to perceptions of quality, consumers are looking for a drink worth paying for (40%), that utilises high-quality ingredients (36%) in a format that’s served well (37%).
“This mirrors a shift towards consumers desiring experiences that they can’t replicate at home and capitalising on this trend will mean delivering on an experience that exceeds the consumer’s expectations.”
As CGA by NielsenIQ’s Client Director for Ireland Sian Brennan explains, “It’s clear that on-trade visitors in Ireland will continue to seek value but the modern consumer expects a quality standard even at entry-level price points.
“There’s still pent-up demand that’s positively impacting visitation to the channel but overall consumers will continue to prioritise the On-Premise when it comes to their spend, particularly when it comes to celebratory occasions. It will be important that in-outlet product ranging covers all price brackets, with a focused messaging on value-for-money at entry level and treat/reward to drive trade up to Premium.”
The report also measures consumer confidence and explores the future on-trade journey with a detailed look at consumers’ changing habits as well as covering a range of key topics and trends including the cost of living, technology/staff shortages and the future of the Late Night Economy.