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5 trends shaping the on-premise market in 2019

On-Premise Intelligence Report

Italian wine, cocktails beyond margaritas and informed bartenders are in demand in the on-premise channel, Technomic and Beverage Marketing Corporation reveal in new study

CHICAGO, Feb. 11, 2019—Adult beverages play a huge part in a restaurant or bar’s ability to attract customers and achieve sales objectives, and the on-premise channel is vital to an alcohol brand’s success. Technomic’s On-Premise Intelligence Report, developed with Beverage Marketing Corporation, examines the trends, trials and opportunities facing the on-premise market. As consumers become more educated on adult beverages through social media, tastings and additional routes, their demand for quality, variety and authenticity is increasing and flavor preferences are shifting.

While adult beverage appeal has never been greater, prompting visits and purchases that drive on-premise sales growth remains challenging and competition among restaurants, bars and brands to win drink orders is intensifying. This report acts as a guide for on-premise operators and adult beverage brand marketers to better understand consumer attitudes, behaviors and usage.

Some notable trends from the report include: 

  • Slow to Grow: Identifying growth brands, categories and subsegments, as well as targeting key consumer groups and occasions, is crucial as alcohol sales growth continues to lag total food and beverage growth in the channel. 
  • Margaritas Waning?: With cocktail innovation accelerating, margaritas face some stiff competition for drink menu space from restaurant originals and unique specialty drinks. 
  • Italian Imports: Challenges remain for wine at the bar, but imports from Italy have traction, with Italian wine varietals among the fastest-growing red wines on menus last year and prosecco also gaining menu placement. 
  • Craft Beer Stays Local: Consumers want variety and are focused on local options—evident in slowed growth of major craft labels on-premise—making beer list optimization even more important. 
  • Properly Briefed Bartenders: Consumers’ knowledge base of drink selections and quality is rapidly expanding along with their expectations of bartenders’ expertise.

The On-Premise Intelligence Report includes channel, category and brand performance metrics, consumer insights and menu trend information developed via primary research conducted by Technomic and Beverage Marketing Corporation.

To provide enhanced consumer insights, profiles of Technomic’s Drinker Archetypes are included in the report. This on-premise adult beverage consumer segmentation tool uses psychographic and attitudinal metrics to identify five archetypes and deliver insights around motivations and decision drivers.

Contacts:
Press inquiries: Donna Hood Crecca, (631) 265-3839, dcrecca@technomic.com
Purchasing details: Patrick Noone, (312) 506-3852, pnoone@technomic.com
Beverage Marketing Corporation contact: Gary Hemphill, (646) 313-1958, ghemphill@beveragemarketing.com

About Beverage Marketing Corporation
New York City-based Beverage Marketing Corporation is the leading consulting, research and advisory services firm dedicated to the global beverage industry. Visit Beverage Marketing Corporation at https://www.beveragemarketing.com.

About Technomic
Technomic, Inc., a Winsight company, was founded as a management consulting firm in 1966. Since then, Technomic’s services have grown to encompass cloud-based B2B research tools, consumer and menu trend tracking, as well as other leading strategic research and analytic capabilities, to prioritize and size business opportunities. Our clients include food manufacturers and distributors, restaurants, retailers and multiple other business verticals aligned with the food industry that are looking to make informed decisions to support their business growth. Visit Technomic at technomic.com.

About Winsight, LLC
Winsight LLC is a recognized leader in business-to-business media and information services for the convenience-retailing, foodservice and grocery industries. Winsight has an extensive media portfolio, including five publications: CSP, Restaurant BusinessFoodService DirectorConvenience Store Products, and Winsight Grocery Business. Winsight also offers a suite of digital products, including websites, e-newsletters, webinars, video products, mobile and tablet apps, and custom marketing solutions. In addition to more than 12 major EduNetworking conferences and advisory meetings, Winsight also produces seven exclusive, large-scale executive-level conferences: Restaurant Leadership Conference, Global Restaurant Leadership ConferenceOutlook Leadership Conference, Convenience Retailing University, FSTECMenuDirections and Restaurant Directions. In 2015, Winsight acquired Technomic, Inc., a provider of primary and secondary market information and advisory services for the food industry. For more information on Winsight and its brands, go to www.winsightmedia.com.

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