Drinks sales in decline as weather cools
The latest Drinks Recovery Tracker from CGA by NIQ revealed average drinks sales by value in managed venues finished 0.3% below the comparable week last year.
Sales were in decline for most of the seven days, starting with drips of 12% and 2% on the Monday, Tuesday and Wednesday respectively, rising to 6% on the Friday.
Close correlation
However, trade picked up slightly towards the end of the week, finishing with 6% growth on the Saturday.
This comes as the previous tracker showed sales were in 6% ahead of 2022 levels in the week to Saturday 1 July.
CGA added the figures show the “close correlation” between weather and drinks sales, with customers drawn to outdoor spaces at pubs and bars during June’s widespread sunshine, compared with the wetter weather seen last week.
Category wise, Long Alcoholic Drinks (LAD) were hardest hit by the falling temperatures, with cider sales down 18% last week and beer sales only 2% ahead of July 2022.
Cost pressures
Soft drinks (up 1%) and spirits (down 5%) also had a “modest” week, however, as consumers being pushed indoors and towards food-led occasions by poor weather helped boosted wine sales to 14% year-on-year growth.
CGA managing director UK & Ireland Jonathan Jones said: “After a long run of fine weather and sales it was little surprise to see more modest trading.
“Eleven consecutive weeks of growth marks an impressive late spring and early summer for the on premise, especially given all the current cost pressures, and this is hopefully a weather-driven blip in the pattern.
“However, with more poor weather forecast and consumers’ spending further squeezed by interest rate rises, trading conditions will remain challenging for some time yet.”
