Across the US the average outlet earnt over $12K from the sale of cocktails over the first 3 months of 2022, up +17% vs October*. Consumers have been visiting the On Premise more often for a cocktail occasion, and are spending more when they do, with traffic (+9%), quantity (+11%) and check value (+$4) all up.
While price is a contributing factor, the average cocktail price was up only +50¢ (+5%), behind the average level of inflation across the country. Understanding the driving factors behind cocktail growth, and when suppliers can win, is pivotal in ensuring cocktail strategies remain effective and relevant.
This increase in velocity is experienced across the week, with all days of the week having seen an increase in velocity vs October*. Saturday, the most valuable day for the On Premise, experienced the biggest uplift, with velocity rising by a quarter, while Monday and Tuesday also both saw double digit increases. From mid-day onwards, all dayparts also experienced an increase in velocities, with Mid-Day and Mid-Afternoon having both seen value velocity rise by over a fifth as a result of increased traffic, showing the increasing opportunities at these dayparts outside of the early evening.
While the majority of top performing cocktails have remained the same, the Cocktails Sales Tracker Report reveals that of those within the top 10, two longer cocktails – Pina Colada and Bloody Mary – have fallen out and been replaced by the shorter, stronger Espresso Martini and Manhattan, showing the importance of staying up to date with these trends.
The only cocktail in the top 10 experiencing a decrease in velocity is the Mojito, resulting in it dropping 2 places in rank in both New York and Texas, however it remains in the Top 3 within California.
Conversely, the majority of top cocktails have seen double-digit growth, led by the Espresso Martini, with the average outlet earning +40% more from its sale versus October*. Remaining in the top 10 most popular cocktails in New York from Mid-Day onwards, this demonstrates the Espresso Martini is not solely an evening cocktail.
With differing cocktails leading increases in velocity across different days of the week and dayparts, understanding which cocktails align best with brand strategies will help to identify opportunities and maximize sales.
Matthew Crompton, regional director – North America, said “Cocktails are a key category for spirits suppliers, accounting for a significant proportion of spirits sales. Measuring and understanding the size of the prize of the category as a whole and how that translates into brand opportunities has previously been a challenge. This tracker brings this data set to life that will unlock key insights to support beverage suppliers identify brand potential and build effective cocktail strategies.”
CGA’s Quarterly Sales Tracker is available to purchase now. Delivered as a quarterly report, the tracker is powered by CGA’s BeverageTrak, and ensures suppliers can understand the evolving cocktail sales dynamics over time and maintain a winning cocktail strategy.
For more information on the Cocktail Sales Tracker, click here, or contact Matthew Crompton at Matthew.Crompton@cgastrategy.com
*12 weeks to October 22, 2021
Source: CGA BeverageTrak Cocktails Q1 report