Cocktails are key driver for brand growth in South Africa’s On Premise
Exclusive new consumer research from CGA by NIQ reveals the growing popularity of cocktails in South Africa’s bars and restaurants, and the levers for suppliers and manufacturers to pull to capture sales.
CGA’s OPUS Lite shows that while soft drinks and beers are South Africa’s top two categories for consumption, well over a third (37%) of consumers typically drink cocktails when out visiting the On Premise. More than a quarter (28%) choose spirits with a mixer, and 11% select spirits served neat – so there are multiple spirits opportunities to target consumers to drive consumption.
The Mojito is South Africa’s most popular cocktail, typically chosen by 45% of spirits drinkers. This puts it well clear of other common options like the Pina Colada (36%), Sex on the Beach (35%), Margarita (34%) and Daiquiri (31%). But while rum is a popular element of cocktails, gin and vodka—both consumed by 59% of spirits consumers when out—are the two most preferred spirits in the On Premise.
A thirst for experimentation
The data also reveals a widespread interest in exploring new cocktails. South Africa’s cocktail consumers have an average repertoire of 5.2 varieties—just above the global average measured by CGA. This has helped to increase sales of lesser-known cocktails like the Bellini, Tom Collins and French 75, consumption of which has increased by four percentage points over the last 12 months.
Consumers’ curiosity has also led to the success of innovative and boundary-pushing venues like Cause & Effect in Cape Town and Zioux in Johannesburg. It has also prompted the launch of the Ajabu cocktail and spirits festival in South Africa in March.
The power of OPUS
The overview of big cocktail trends is delivered by CGA’s new On Premise User Survey (OPUS) Lite service in South Africa. It provides the best ever sector-specific insights into consumers’ interactions with the On Premise, including by channel, category, occasion, consumer type and much more. The powerful service also dives deep into sentiment, paths to purchase and hot topics like the cost of living crisis and social media, helping businesses make smart data-driven decisions on marketing and sales strategies.
The view from CGA
George Argyropoulos, CGA Client Solutions Director, said: “South Africa has seen an explosion in cocktail culture lately, and exciting opportunities are emerging for suppliers, manufacturers and operators. There’s a strong appetite for both classic serves and experimentation, and the interest of younger adults, a treat mentality and a rise in high tempo occasions are just three of the big trends that will power more growth in 2024. In an increasingly competitive category, achieving a deep understanding of preferences will be key to striking the right balance of quality and value, identifying the best combination of traditional and modern cocktail elements, and growing sales.”
CGA by NIQ’s new consumer research solutions are available now in South Africa, andare the ideal solution for both short-term gains in category and channel share and long-term strategic planning. To learn more about CGA’s capabilities and the events, click here and email george.argyropolous@nielseniq.com.
opportunities are emerging for suppliers, manufacturers and operators. There’s a strong appetite for both classic serves and experimentation, and the interest of younger adults, a treat mentality and a rise in high tempo occasions are just three of the big trends that will power more growth in 2024. In an increasingly competitive category, achieving a deep understanding of preferences will be key to striking the right balance of quality and value, identifying the best combination of traditional and modern cocktail elements, and growing sales.”
opportunities are 