Archive for the ‘On Premise’ Category

Is It Cheaper To Drink At Home?

Monday, March 23rd, 2009

A recent survey of 540 bartenders from across the U.S. highlights consumer trends they are seeing at the on-premise, which as we all know has taken a hit in the recession. It’s well documented that consumers are shifting from the on-premise to the off-premise and are much more cost conscience when they treat themselves to a night on the town.

Most of the bartenders surveyed, or 63.5%, agree that consumers are likely to order established brands at the bar than new niche/specialty brands in the current economic environment. A total of 12.2% disagreed. It sounds like consumers want to stick with what they know when going out and spending money on-premise. Suppliers have also said they are seeing that trend at the off-premise.

A plurality of 49.4% of bartenders say they agree that consumers tend to order fewer but stronger drinks in the recession, while 31.7% neither agree nor disagree. A small group of 10% disagreed. Meanwhile, 67.4% said consumers are switching to lower price brands, while 19% remained neutral and 13.5% disagreed.

Data has shown that wine and spirits are losing share to beer during the recession, which is further supported by the bartender poll. A total of 53.7% said consumers are more likely to order a beer than a mixed drink, while 26% were neutral and 21% disagreed. When consumers do order a mixed drink, however, 57% of bartenders said they are less likely to request a specific brand. Meanwhile, 20% neither agreed nor disagreed, and 23% disagreed.

A whopping 78% of bartenders said consumers are increasingly asking about the cost of drinks, which is not surprising in the current economic crisis. Similarly, 85% of bartenders said customers are more likely to order drinks on special right now.

Out of the 540 bartenders that took the survey, 42.6% were male and 57.4% were female. Most were between the ages of 25-44, and 55% were single. Furthermore, a majority of 47% completed “some college” and 35% were college graduates. Most of the bartenders make an annual household income of $30,000 to $75,000. All four U.S. regions (NE, MW, South and West) were evenly displayed with a slight majority coming from the southern U.S.

The Bartenders Panel was conducted by Braun Research of Princeton, NJ (www.braunresearch.com), which provides telephone and internet survey services for pr and ad agencies, market research firms, associations and non profits. The company was founded in 1995. If you have any questions, contact Rhona at rwulf@braunresearch.com.

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