A glimmer of hope for the drinks industry as Christmas approaches! The latest data from CGA's Daily Drinks Tracker reveals a positive shift in sales, offering a much-needed boost to the sector.
According to the report, average sales in managed venues showed a modest increase of 2.3% during the week ending November 8, 2024, compared to the same period last year. This growth continued, albeit at a slower pace, with a 0.5% rise in the subsequent week. While these figures may seem small, they represent a reversal of the negative trading trend seen in October, providing a glimmer of optimism for the industry.
But here's where it gets interesting: these sales numbers are still below the UK's inflation rate. So, what's driving this marginal growth? Well, it seems that consumers are starting to open their wallets a little wider as we head into the festive season. The run-up to Christmas and New Year is a crucial period for the drinks industry, and there's a sense of hope that people are willing to spend more on social occasions and celebrations.
The early days of November saw a boost in trading, thanks to events like Bonfire Night and an exciting lineup of football fixtures, including Premier League and Champions League matches. Rugby enthusiasts also had plenty to cheer about with big games for England, Scotland, and Wales. Additionally, the opening of Christmas markets across the country may have attracted more footfall to pubs and bars.
However, not all regions experienced the same level of success. Storm Claudia, which hit parts of the UK towards the end of the fortnight, had a noticeable impact on sales. Saturday, November 14, saw a significant drop of 8.2% in year-on-year sales, highlighting the vulnerability of the industry to adverse weather conditions.
And this is the part most people miss: live sports events have a surprising impact on drink sales! Beer and cider categories saw impressive growth, with beer sales increasing by 3.6% and 1.7% in the respective weeks. Cider, in particular, performed exceptionally well, with growth rates of 5.5% and 2.9%. Even soft drinks saw a positive fortnight, with sales up by 5.4% and 1.3%.
On the other hand, spirits and wine sales took a slight dip during this period. On-premise spirits sales fell by 3.8% and 2.0% in the two weeks, while wine sales experienced a fractional growth of 0.1% in the first week, followed by a decline of 2.8% in the next.
Rachel Weller, NIQ's commercial lead for the UK and Ireland, commented on the findings: "While the growth in the first half of November is marginal, it's a positive sign that consumers are starting to frequent pubs and bars more often as we enter the peak Christmas period. Storm Claudia served as a reminder of the impact weather can have on trading, and everyone in the industry is hoping for brighter days ahead to encourage people to venture out.
This festive season is a make-or-break period for many businesses, especially after the challenging year that was 2025."
The Daily Drinks Tracker, a comprehensive analysis tool, provides valuable insights into sales trends at managed licensed premises across Britain. It forms part of NIQ's research services, offering in-depth data on category, supplier, and brand performance. To learn more about how these insights can benefit your business, click here and connect with the NIQ team.
