Home Industry News Releases US Consumers Choose Bars and Restaurants over Home Comforts

US Consumers Choose Bars and Restaurants over Home Comforts

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December 7th – CGA by NIQ’s latest US On Premise Consumer Impact Report for November 2023 clearly indicates On Premise consumers prioritize spend in bars, restaurants and similar venues over drinking at home, even in the face of cost-of-living pressures.

The report highlights that understanding consumers ‘why’ equips drinks brands, suppliers and operators to target customized solutions based on what’s making visitors to the On Premise tick.

On Premise customers prefer drinking alcohol in venues over their own home or someone else’s home. In fact, a quarter love it and would be lost without eating and drinking out, while a third enjoy it and would be disappointed if the option to eat and drink out wasn’t available.

In comparison, the data shows consuming alcohol at home doesn’t carry the same level of significance as going out. Only 16% of consumers would feel lost without it, and just 1 in 4 would be disappointed if they couldn’t indulge in a drink at their own or somebody else’s home.

So, what’s continuing to drive the American public into venues for a drink in increasing numbers during the past three months, compared to drinking at home?

A catch up with friends is the most popular reason for visiting the On Premise. In addition, 30% prefer going out for celebrations, compared to 23% who favor celebrating at home, while 28% see going out for a drink as more of a treat than just 19% who perceive at-home drinks as an indulgence.

In terms of what brands, suppliers and operators can take from the metrics, upselling for treat and celebration occasions is a useful tactic, (depending on specific venue type). This is because having premium brands prominent can encourage consumers to engage with them during visits when they’re looking for something extra special to match the occasion.

At the end of the day, it’s highly advantageous for suppliers and operators to understand how to engage with the need states of consumers who are celebrating in the On Premise, in order to influence drink choice and trial. Ultimately, appealing to consumers on this occasion-led basis should be a key priority, helping mitigate the impact of the cost-of-living crisis and potentially squeezed spends during other less notable visits.

Matthew Crompton, Regional Director – North America said: “In a hospitality landscape marked by market turbulence, November’s Report bucks the trend by underscoring the enduring pull of the On Premise over home indulgence, even amid soaring living costs. The fact a quarter of On Premise consumers appreciate the experience emphasizes the intrinsic value of social connections and celebratory moments. For suppliers and operators, recognizing and capitalizing on these occasion-led dynamics offers a strategic avenue to thrive in the face of economic headwinds.”

CGA’s On Premise Impact Reports help suppliers and manufacturers across food and beverage keep a pulse on the industry by featuring current insights derived from a variety of our best-in-class data tools.

About CGA by NIQ  

CGA by NIQ provides definitive On Premise consumer intelligence that reveals new pathways to growth for the world’s most successful food and drink brands. With more than 30 years of best-in-class research, data, and analytics, CGA by NIQ provides the Full View(TM). 

CGA by NIQ works with food and beverage suppliers, consumer brand owners, wholesalers, government entities, pubs, bars, and restaurants to protect and shape the future of the On Premise experience. Using the most complete and clear understanding of measurement and insights, CGA by NIQ provides a competitive edge to guide winning strategies for On Premise businesses. 

NIQ was founded in 1923 and is an Advent International portfolio company. For more information, visit NIQ.com or www.cgastrategy.com.   

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