CGA by NIQ’s latest Germany On Premise Consumer Pulse Report leverages market-leading data to explore how the premiumisation trend is shaping drinks choices in the German On Premise.
The perception of a premium drink centres around flavour, quality and authenticity. The report reveals flavour as the primary marker of a premium drink, while premium beverages are also associated with quality, price, presentation and ingrediencies.
Consumers are demanding a combination of quality and sophistication, with more than half (54%) expecting high quality ingredients, while 38% prioritise presentation, such as handcrafted preparation by an expert mixologist, as part of the premium experience. Another quarter (25%) are willing to pay more for drinks made with unique ingredients.
Additionally, almost half (46%) of consumers treating themselves to a premium (more expensive) drink are choosing a different drinks category to their normal choice, while a third (33%) are choosing a premium brand in the same category they usually drink.
This combined data suggests the opportunity for drinks brands, suppliers and venue operators to nurture brand loyalty and repeat purchasing when delivering on high consumer expectations.
The Report emphasises how consumers are most likely to choose premium drinks in formal dining restaurants (50%) and bars/late night bars (43%). These settings reflect the desire of consumers for ambiance complementing the quality of premium drinks. Consumers are also opting for premium choices in casual dining restaurants (29%), nightclubs (28%) and hotels (26%), suggesting an openness to accessible yet superior drink experiences.
Furthermore, the premiumisation trend is closely tied to specific occasions. Almost half of consumers tend to choose premium options during special events (48%), or on a date night (45%). Also, almost a third (30%) are more likely to select premium drinks during quiet, relaxed gatherings. This data indicates chances for On Premise stakeholders to engage consumers at moments of celebration, where there is an openness to elite experiences and higher spending.
George Argyropoulos, Managing Director, EMEA – Germany said: “This report reveals premiumisation is advancing beyond a trend and becoming a notable shift in how German consumers approach their drinking choices. Accordingly, brands, suppliers and operators need to consider not just the product, but also the setting and occasion, ensuring every touchpoint, from taste to presentation, aligns with premium expectations. There is compelling potential to cultivate growth and forge lasting connections with consumers by tapping into these evolving preferences and behaviours around premium drink categories.”
You can download the latest On Premise Consumer Pulse report for free here.
CGA by NIQ’s powerful range of research sources across Germany’s On Premise provides many more insights into consumers’ habits and preferences, with in-depth analysis of channels, occasions, categories, paths to purchase and much more. To learn more about CGA by NIQ’s unrivalled suite of services and how it can help your business, contact Bilal Kaddouri, CGA Client Solutions Director, Germany, here.
