The first-of-its-kind global REACH (Research & Analyse Consumers in Hospitality) survey brings together key consumer metrics in 24 leading markets at varying stages of recovery. Based on responses from more than 20,000 On Premise users, it provides the best insights yet into consumers’ attitudes and behavioural shifts that are likely to emerge as markets reopen.
The research confirms the huge popularity of the On Premise around the world. Among consumers who visit the sector, three in five (60%) typically did so at least weekly prior to the pandemic—rising even higher in countries including Italy (79%), Thailand (76%), Argentina (76%), Brazil (71%) and South Korea (69%).
This appetite has created major pent-up global demand for restaurants and bars that is likely to be released as social restrictions come to an end. REACH indicates that two in five (41%) users expect to visit venues more frequently than they did in 2019 – if it is safe to do so—compared to just 26% who expect to visit less often. Nearly two thirds (64%) of consumers plan to go out at every opportunity when things are back to normal.
REACH research uncovers a host of further insights into consumers worldwide, and indicates they are…
- … Planning to prioritise the On Premise in their spending. More than a quarter (27%) intend to spend more on eating and drinking out than before—putting it top of the list of priorities ahead of clothing, domestic holidays and home improvements. Ireland and the Netherlands lead the countries for likelihood of increased spending.
- … Still cautious about safety. Globally, including in markets that are currently closed, just under two in five (38%) of consumers currently feel confident about visiting the sector; reassurances about safety, high levels of cleanliness and outdoor areas are all still important factors when people decide to eat and drink out.
- … Willing to explore new brands in due course. REACH shows that consumers are initially likely to return to familiar drinks brands. However, enthusiasm remains for experimentation and trade-ups, though only if operators and suppliers can find the correct mechanics and cues in a new-look path to purchase for consumers. This presents a major opportunity to promote new products—and with three in five On Premise users saying that experiences there have prompted them to purchase drinks in other channels, it can be a springboard for Off Premise sales too.
CGA’s group CEO Phil Tate says: “REACH provides CGA’s best ever insights into global consumer trends. It’s fascinating to see the differences in attitudes around the world, and as markets come back to life it will be crucial to stay right on top of fast-changing behaviours and priorities. It is clear that a substantial release of demand is coming, and while the road to recovery has a long way to go, REACH shows there are plenty of reasons for operators and suppliers to be optimistic about the future.”
CGA’s REACH survey was carried out in March 2021. To learn more about the research and CGA’s other sources of consumer insights for operators and suppliers, click here. If you would like to discuss how REACH’s insights into 24 markets can support your global strategies, please contact consumer@cgastrategy.com .
