For the first time since the COVID-19 pandemic began, Nielsen IQ reports dollar sales of alcohol within NielsenIQ’s measured off-premise/retail channels are down compared to the same week one year prior.
For the latest week, ending March 13, total off-premise alcohol dollar sales declined by 1.9%. Wine growth was -8.1% and spirits growth was flat (0%). Beer/FMB/cider was the surprise this week, with positive growth, up 0.4%. However, seltzers and FMBs drove most of that growth, with core beer (excluding seltzers, FMBs, and cider) down 2.2%. Indeed, seltzers alone shifted total off-premise alcohol by a percentage point. If we were to remove seltzers from the scope, total alcohol would have been down 3% in NielsenIQ off-premise channels.
Still, compared to two years ago, before Covid, off-premise spirit dollars are up 28%, wine is up 19%, and beer/FMB/cider is up 17% compared to the same week in 2019. This all indicates that alcohol dollars are still far above off-premise norms when comparing to years prior to the pandemic. However, as more states open up, we will begin to see these trends flatten in the off-premise.
Overall growth rates are flat for spirits but some categories are still growing by double or even triple growth rates, while others are declining by double digits in NielsenIQ off-premise channels. Tequila is still a massive growth driver, up 31%. Ready-to-drink cocktails are up 147%, cognac up 26%, cordials 7%, and Japanese whisky up 23%. Total whiskey declined by 1.8%, with American whiskey down 2.5%. Vodka off-premise dollar sales declined by 14% and gin is down by nearly 10%.
All price tiers in spirits declined compared to a year ago, except for the ultra-premium price tier, which grew by 16.5%, signaling continued premiumization in spirits in off-premise channels.
Sparkling led growth in off-premise wine. Table wine declined by 12.4%, while sparkling wine grew by 18.2%. French champagne grew by 76%.