CGA by NIQ’s On Premise Measurement (OPM) solution—which delivers essential insights into dynamics across Australia’s pubs, bars and restaurants—shows beer sales by volume in the last 12 months have grown by 0.5% year-on-year. However, with trading challenges intensifying, they have dropped by 5.0% in the latest 12-week period. The picture is slightly brighter by value, with year-on-year growth of 6.5% in the last 12 months and 0.3% over the latest 12-week period.
The OPM service provides CGA’s clients with the expert analysis that is needed to understand the factors behind changing preferences in the category and respond nimbly. It offers a unique fusion of sales, outlet and consumer data that creates a holistic view of Australia’s On Premise. Here are some of the latest topline insights by three important metrics: state, channel and style.
State
New South Wales and Victoria are comfortably Australia’s two biggest states for beer sales, with volume shares of 32% and 28% respectively. However, they have also seen some of the steepest drops in sales. Volumes in the second quarter of 2024 were 6% and 2% behind the same period in 2023, and there were even sharper falls compared to the first quarter—of 13% and 17%. Smaller states have been slightly more resilient in recent months, with Queensland’s volumes from April to June down by only 6% quarter-on-quarter.
Channel
Beer sales have dropped in all major sales channels in 2024. Restaurants—which are the most important source of sales with 29% of volumes—have recorded a 13% drop between the first and second quarters of 2024. Nightclubs fared better with a dip of 9%, though conditions have been challenging here too, and they remain a small part of the channel mix with only 4% of total volumes.
Style
Lager is Australia’s favourite beer by style commanding half (51%) of all volumes, but sales have fallen by 12% quarter-on-quarter. Spending has also dropped by double digits in other popular styles, including pale ale (down 15%) ale (down 11%) and Pacific ale (down 15%). There has also been a shift towards lower alcohol beer styles, with light strength volumes level with 12 months ago and mid strength losing the largest proportion of share.
Thomas Graham, CGA by NIQ’s Senior Manager – Customer Success, Liquor, said: “Beer volumes in the last year have been resilient, certainly in the first three quarters as consumers turned to beer to adapt to cost-of-living pressures, with the category seeing the benefits of value-driven consumer mindsets. The decline more recently is due to the economic situation in Australia. As the household savings ratio is now at a 17-year low, and those all-important 35–54-year-olds who are most likely to drink beer being the ones more-likely to be affected by these economic challenges.
For brand owners, having a clear idea of the factors contributing to these shifts in trends is crucial, and it’s more important than ever to pinpoint drinkers’ preferences, and understand how they vary throughout the various demographics, location, and channel. CGA’s On Premise Measurement (OPM) solution gives clients insights showing a full view of Australian On Premise, identifying pockets of growth, highlighting the areas that need the most attention, and enabling those brands to respond with localised and effective strategies.”
Thomas Graham, CGA by NIQ’s Senior Manager – Customer Success, Liquor, said: “Beer volumes in the last year have been resilient, certainly in the first three quarters as consumers turned to beer to adapt to cost-of-living pressures, with the category seeing the
To learn more about CGA by NIQ’s On Premise Measurement service in Australia, and discuss support to understand trends at category, segment and brand level, click here and contact Tom Graham at Tom.Graham@nielseniq.com.
