Before COVID-19, 66% of on-premise users typically visited casual dining chains, and 83% of these consumers did so at least monthly, demonstrating a channel with high engagement and multiple opportunities for drinks suppliers to succeed. However, COVID-19 made On Premise occasions even more important to consumers. Operators need to be able to cater to new needs and expectations during visits. That’s according to CGA.
Suppliers have long cultivated close relationshiups with bartenders, sommeliers and similar positions. CGA’s latest research finds that after nearly 2-1/2 years of Covid, 56% of consumers in-venue would opt for recommendations made by the bartender. This emphasizes the importance of bartender advocacy programs within venues; having trained and knowledgeable service staff is invaluable as they identify opportunities for trade-ups and drink choice.
Because some venues now may find themselves with a reduced workforce to support in this final step of the sale, other paths to purchase must be optimized, CGA says.
The most popular alcoholic categories consumers are ordering in casual dining chains is led by beer (37%), followed by cocktails (27%) and wine (27%). As a result, casual dining chains should be a key target for all categories due to the many opportunities to influence a sale of the category and brands within the channel.
Optimizing drink menus plays a key part in influencing consumer drink choice. Fifty-five percent (55%) f consumers would prefer a smaller range of brands and drinks on menus, which include their favorites, versus 45% who would prefer a wider range of choice. Menus must appeal to target consumers and where operators have implemented a reduced menu, suppliers must showcase the value of their brands to beverage directors and understand their needs when creating strategies to attract consumers.
Previously, the use of Off Premise or measurement data alone was seen as enough to facilitate partnerships between suppliers and operators. Coupled with limited data on targeting consumer demographics, this research provided limited insight for targeted activities to influence or grow value and share.
But recent CGA consumer pulse data has shown that 45% of consumers say their drink preference changes when visiting bars and restaurants versus having drinks at home. This demonstrates that visitors fundamentally ‘shop’ differently than Off Premise consumers.
Matthew Crompton, CGA’s Client Solutions Director, said “COVID-19 has been a catalyst for rapidly increasing the need for a comprehensive understanding of how consumers behave in the On Premise as a minimum requirement. Every consumer visit is special and demands a unique value proposition that suppliers and operators must demonstrate when they visit.”