The latest CGA by NIQ 2024 Channel Strategy Report takes a close look at how consumer needs differ by venue across a range of criteria, providing vital insights to help tailor offerings to meet these varying needs.
Casual dining chains continue to be the most popular option for On Premise visitation with a resounding 4 in 5 US consumers typically visiting the channel. Neighborhood bars follow in second place with 3 in 5 of all US consumers.
Neighborhood bars have seen the second most growth in the US On Premise outlet universe in the past year, growing by 7.1%. With clear opportunities for brands and distributors to collaborate with this growing channel, it is crucial to understand consumer needs and behaviors in this space.
Despite the enduring popularity of the casual dining sector, consumers also enjoy a range of other channels. Sports bars, fine dining restaurants and outdoor events join the top five channels typically visited.
It all adds up to an eclectic mix, where the unique characteristics of each channel needs to be carefully considered, such as who people visit with, purpose of visit, daypart, and what they want to drink. In doing so, brands are empowered to customize strategies and capitalize on them. But the importance of flexibility and nuance in approach can’t be underestimated for realizing best outcomes. For these purposes, brands need to meet the needs of visitors to each specific channel.
While the biggest numbers are attention grabbing, there’s life beyond casual dining chains. Brands supplying to the sector can look to build brand loyalty among highly engaged, weekly visitors. A respectable 26% of casual dining consumers visit the channel weekly, however this is outpaced by the percentage of consumers visiting high energy, premium bars, and experiential bars on a weekly basis.
It’s a prime opportunity for brands to consider their best fitting products for venues where consumers are visiting regularly and forming habits, including in channels with smaller overall visitation.
Matthew Crompton, regional director – North America said: “Overall, the future for the On Premise is positive, with most visitors likely to continue going to their respective channels in the next 12 months. This underlines the fact that there can be clear long-term rewards for drinks suppliers that implement channel specific plans to attract specific channel visitors. With an expanded drinks category and brand list, as well as further exploration of channel nuance, the 2024 edition of the Channel Strategy Report highlights how to target the right product, right place, and right people to succeed.”
CGA by NIQ’s Channel Strategy Report 2024 offers a comprehensive overview of US On Premise channels. It uncovers profiles of interest, information around consumer visitation, and their consumption behaviors within the channels, which are integral for informing successful On Premise strategies. Download more information here or contact the experts here
