Findings:
Global spirits sales have dropped by 7.6% in the last 12 months.
Some sub-categories like tequila have been more resilient than others like rum and brandy.
Consumer behavior is shifting towards earlier visits, daytime occasions, and a focus on value.
There is a growing trend towards moderation in alcohol consumption.
Consumers are seeking On Premise experiences that boost their social currency.
Key Takeaway:
Despite the challenges, there are still plenty of growth opportunities for spirits brands in the On Premise if they can adapt to changing consumer preferences and prioritize value, connection, and social currency.
Trend:
The trend is towards earlier visits, daytime occasions, moderation, and experiences that enhance social currency in the On Premise.
Consumer Motivation:
Consumers are motivated by value, connection, relaxation, celebration, and the desire for unique and shareable experiences.
What is Driving the Trend:
The trend is driven by the cost-of-living crisis, changing social habits, and the influence of social media.
Who Are the People the Article Is Referring To:
The article refers to spirits suppliers, brand owners, venues, and consumers of spirits in the On Premise.
Conclusions:
Spirits brands need to understand the growth areas and target specific markets.
They need to emphasize connections and build campaigns around special occasions.
They should focus on daytime occasions and adapt their offerings to cater to different need states.
They must respond to the polarization of consumers' financial situations and cater to a wide range of needs.
They should stress value by reinforcing their quality credentials and offering smart promotions.
They should leverage staff recommendations to drive sales.
They need to adapt to the trend of moderation by offering no and low alcohol alternatives.
They should create visually appealing and memorable experiences that boost social currency.
They should encourage experimentation and tap into the growing popularity of draught cocktails.
Implications for Brands:
Brands need to be agile and responsive to changing consumer preferences.
They should focus on building strong relationships with bartenders and venues.
They need to invest in creating unique and shareable experiences.
They should explore the potential of draught cocktails.
Implications for Society:
The trend towards moderation could lead to a healthier relationship with alcohol.
The focus on social currency could lead to more innovative and engaging On Premise experiences.
Big Trend Implied:
The big trend implied is the increasing importance of experiences and social currency in the On Premise. Consumers are not just looking for a drink; they are looking for an experience that they can share with others and that will enhance their social status.
Comments