One in four pub visits now alcohol-free
A quarter of all visits to a pub are now alcohol-free, while more than a third of UK adults have consumed a low- or non-alcoholic drink at home, according to a recent survey.
The low- and no-alcohol category presents a “huge opportunity for the off-trade”
The research from Kam Media was based on feedback from 1,000 UK adults, as well as 170 licensees.
The study aimed to find out how customers perceived the low- and no-alcohol drinking occasion. It found that 45% of consumers are currently satisfied with the low- and no-alcohol range available in pubs, and 47% in restaurants.
The research also found that 63% of customers expect low- and no-alcohol variants to be cheaper than alcohol, with 13% saying the price actively puts them off purchasing.
Katy Moses, managing director at Kam Media said: “Pricing needs to be carefully considered, especially if it puts customer’s off trialling the products in the first place.”
However, Generation Z and millennials seem to care less about the price, according to the research, which found that 36% are happy to pay more for a good quality, low- or no-alcohol variant. Only 19% of Generation X (those over the age of 35) agreed.
Kam Media said the category also presents a “huge opportunity for the off-trade”.
More than a third of UK adults have consumed a low- or no-alcoholic drink at home, with the number doubling when it came to Generation Z and millennials.
Many consumers, predominantly Generation Z and millennials, consume these drinks for either a quiet night in watching TV or with an evening meal at home (one-in-five adults), or even with lunch (one-in-10 adults).
The study noted that many licensees have also increased their low- and no-alcohol range in 2019. The majority (72%) see the growth of the low- and non-alcoholic drinks category as an opportunity to upsell customers into more premium drinks, rather than traditional soft drinks.
“Improving the visibility and communication of the low- and no-[alcohol] range available is key, especially with so many new and unfamiliar brands entering the category,” added Moses.
“Many licensees are aware that they need further advice on how to better display and communicate their low- and no-[alcohol] range.
“In fact, with more than two-in-three licensees want extra support on how to better satisfy these low- and no-[alcohol] customers, it’s a great opportunity for collaborative growth.”
Kam Media also said that more than one in three adults intend to cut down on alcohol in 2020 with 36% of consumers intending to consume more low- and no-alcohol variants. This figure rises to more than one-in-two for Generation Z and millennials.