RETAIL BEER SALES – Sun, Sport and Lager

Sadly, the distinction between premium lager and standard lager packaged in bottles is beyond the grasp of many consumers

Summer is second only to Christmas in terms of beer sales – especially for lager. Although not always realised, the potential for sunny days to drive sales of 20- and 24-packs of lager is strong. Combined with sporting events, this creates a strong demand which manufacturers are keen to take advantage of.

The most recent summer had a lot to live up to: summer 2003 set records for temperatures in the UK and the uplift in beer sales was substantial. By contrast, the weather in 2004 was nothing special. However, the Euro 2004 Championship created a number of new beer-drinking occasions, which drove a fairly significant number of sales.

Overall, premium lager lost

a little of the value it had gained in summer 2003. While the new 20-packs, which many manufacturers promoted, helped to drive growth, falling sales in 4-packs and stability in 24-packs  led to a slight overall loss. Standard lager, however, gained significantly, mainly driven by Carlsberg which built on the strong gains it made over Euro 2004. For standard lager, the key formats were 4-packs and 24-packs, which helped to drive growth of 12% over the previous summer.

Fewer people purchased premium bottled lager during summer 2004. Standard lager continued to grow, driven by sales of bottles – further evidence that consumers are seeing less of a distinction between premium and standard lager. This is borne out by the share each category achieved in the retailers. Tesco and Asda, the biggest lager retailers, placed a higher than average emphasis on standard lager – a strategy which rewarded them well.

© db July 2005