US on-trade sales down 14%

Sales in the US on-trade were 14% lower in the week ending 27 February 2021 compared with the same period last year, despite three quarters of states permitting bars to open indoors.

According to the latest Covid-19 On-Premise Impact Report from data analysis firm Nielsen CGA, on-trade sales in outlets that are currently operational increased by 296% in the week ending 27 February compared with the initial on-trade shutdown in March 2020.

Despite an increasing number of venues now permitted to open across the US, trading in the on-trade remains 14% lower than the same period last year.

Nielsen CGA also reported that average outlet sales were down 1% in the week ending 27 February compared with the previous week.

Across different states, Texas was the only market analysed found to be currently in growth, rising 91% as the state recovers from adverse weather conditions in the previous week.

Value sales in Texas were also 2% higher than the same period in 2020 and 13% higher than the period three weeks ago.

In contrast, Nielsen CGA reported declines in the state of New York, California, Florida and Illinois.

Despite a 47% uptick in trading in the week ending 20 February in New York, sales declined 12% the following week. California had a similar turn in fortunes and entered its first period of decline in seven weeks, dropping 10% compared with the previous week.

In Florida, sales are down 3% year over year and 11% lower than the previous week. Nielsen CGA found that on-trade sales in Illinois were down 22% year over year and by 7% versus 20 February 2021.

Across the US, 12 states including Florida have permitted bars to open fully, while 25 states have allowed bars to open for indoor service with capacity measures in place.

According to Nielsen CGA, nine states currently allow bars to operate for outdoor drinking only, and just four currently require bars to close and offer delivery services only.