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Nielsen CGA publishes first on-trade report

Gin sales in the UK on-trade grew 13.6% in the 12 months leading up to the end of January 2016 but declined 2.2% in the US, according to the first on-premise market report by Nielsen CGA.

GIn Nielsen CGA Strategy
Super-premium gin sales are performing particularly well in the UK on-trade

Nielsen and CGA Strategy launched Brand Index earlier this year as part of their Nielsen CGA joint venture – a “statistically “robust” forecast of on-trade performances for alcohol producers.

The firm took data from the US in the year leading up to 30 January 2016 and from the UK in the 12 months ending 23 January 2016, and found that volume sales in the US are outperforming the UK with a 3.6% increase in sales in the US compared to 1.3% in the UK.

In the US, the on-trade market is 2.5 times the size of the UK in terms of number of outlets (233,000 in the US compared to 120,000 in the UK) and with 4.6 times the LDA population.

Vodka is still the most consumed spirit in both countries, accounting for 29% of the US market and 33% of the UK market.

Whisky consumption in the on-trade is higher in the US (26%) compared to the UK (17%), with sales in the States leaping 4.8% while UK sales dipped 1.1% during the year.

Sales of Tequila were solid in both markets, with 9.9% growth in the US and 8% in the UK.

Meanwhile rum showed faster growth in the UK at 6% in comparison to 2.4% in the US.

“This information aims to create a new industry standard by offering brand owners in the US the same comprehensive view of the on-premise marketplace enjoyed by Nielsen CGA’s clients in Great Britain,” said Jon Collins, president Nielsen CGA.

“For beverage alcohol suppliers, distributors and retailers, this enhanced view of the on-premise market will highlight new opportunities, based on projectable data, revealing trends at a category, segment and brand level.”

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