Drink sales down 3% vs 2019
Continuing the pattern of recent months, sales were hit particularly hard by a fall on Friday, down 12% vs the same week in 2019, as many people continued to opt to work from home on Fridays and reduce weekend spending as household costs rise.
CGA managing director UK and Ireland Jonathan Jones said: “Covid has triggered a major shift in after-work drinking occasions, and new working patterns are clearly curtailing traditional Friday sales levels.
Spending pressures
“We may also be seeing effects of the cost-of-living crisis, leading some consumers to save their weekend pub and bar visits until Saturdays.
“With spending pressures likely to increase, operators and suppliers will have to work hard to tempt people out in the months ahead.”
However, some of Friday’s lost sales have shifted to Thursday and Saturday, with sales last Thursday (30 June) were down just 1& compared with 2019 and just ahead on Saturday (2 July), with sales earlier on in the week held back by cooler weather.
This followed a 7% dip during the previous week, as the sector was disrupted by national years.
Furthermore, as year-on-year inflation soared to 9%, sales were still behind 2019 in real times.
Summer success
Spirits was the best performing category last week, with sales up 7% on 2019, the highest increase so far this year, while beer and soft drinks were both down 4% with wine and cider down 9% and 17% respectively.
Jones added: “Consumers are still keen to spend in the sector and are prioritising trips into trade ahead of other discretionary spend, so there is opportunity there for those that meet their demands.
“Understanding how those demands have changed and how to hit the mark will be the key to success over the summer.”