Following the closures and restrictions in the On Premise, many outlets and operators have reduced their drink range, and the latest data from CGA highlights the impact this has had on top drinks brands’ share of each category.
At a mega category level, beer is dominated by core brands, with the top ten brands in beer making up 58% of sales in the On Premise – an increase of 3% post-COVID-19. Within this category, the highly competitive craft beer segment is still holding strong, however the top ten brands have maintained their share of 32% following the pandemic.
Within the spirits category, the top ten brands hold a significant share across tequila, which maintains a 72% share, and vodka which has dropped 4% to 75% post-COVID-19. Whiskey brands tell a similar story, with a share of 74% for the top brands, however within American whiskey the top ten brands occupy 83% of this segment – with three brands holding 46% alone.
However, rum is the category most dominated by big brands, with the top ten occupying a share of 97% – an increase of 5% post-COVID-19. This demonstrates that consumers are consistently favoring the brands they are already familiar with as they return to the On Premise.
Wine has always been a competitive category, with the availability of high-quality vineyards globally and across the US offering consumers a range of options. This is still the case post-COVID-19, with the top ten brands increasing their share to just 25% (+1%) in table wine, the category’s largest segment. However, the sparkling wine segment bucks the trend, with the top brands occupying a share of 66%, highlighting the presence of more dominant brands that consumers and retailers alike choose consistently.
Matthew Crompton, CGA Client Solutions Director, Americas, said: “Across many categories, consumers are choosing the brands they know and love, which is consistent with our consumer data. For suppliers with mainstream brands in their assortment, this is positive news as it bodes well for sales. Suppliers who are looking to launch NPDs in the coming months would do well to invest in the right marketing strategy – ensuring there is less ‘me too’ is crucial for success.”
CGA’s OPM service is the only fully projected, extensively validated, measure of beverage alcohol performance in the American On Premise. Used to track share and trends by all of the leading beverage suppliers, OPM is the most robust view of sales performance for bars and restaurants ever produced in the US. For more information and support understanding trends at category, segment and brand level within the On Premise, contact Matthew Crompton at Matthew.Crompton@cgastrategy.com
