Opportunity Knocks
On-Premise Alcohol Consumption Trends 

Here are my top 10 insights from our studies.

    Beverage alcohol consumption is changing. When we asked consumers to describe their drinking behavior, 22 percent say they are primarily spirits drinkers, 19 percent say they are primarily beer drinkers, 11 percent say they are primarily wine drinkers, and 18 percent say they drink beer, wine and spirits. This is the first time we saw spirits top beer as the primary beverage alcohol type.
    In terms of drinks per occasion, over 80 percent of consumers say they have 1-2 beverage alcohol drinks when they have drinks in bars or restaurants. Not surprisingly, younger male consumers are more like to have a third drink. 
    This means that consumers are taking responsibility seriously and that operators have only one chance to get it right. The key is to get consumers who have only one drink to have two, and operational excellence is required to do it. 
    We asked consumers what most influences their decision about what drinks they order. One third of consumers said that nothing influences them because they know what they will order before they walk in. However, two thirds of consumers are influenced in the bar or restaurant and menus are the most important order influencers.
    Drink menus are key beverage program drivers, and 75 percent of consumers say that they read drink menus. It still surprises me that so many on-premise accounts don’t have drink menus. Consumers say they want to see drink menus that feature a good selection of beer, wine and spirit offerings with drink descriptions, pictures and brands featured. 
    We’ve all heard that today’s consumers are looking to trade up and discover better drinking experiences, and that certainly seems to be the case. Over 60 percent of consumers said they have ordered a new beverage alcohol drink over the last 90 days and that drink samples are the best way to get them to try new drinks.
    This calls attention to a huge opportunity for on-premise operators to sample the new drinks that they are featuring. Our experience with big chains tells us that 40 percent of consumers that get a free sample buy a revenue drink. 
    Taste and brand are the most important purchase factors, so operators must make sure that their beverage offerings are great tasting and that they are made with premium brands. 
    This sounds obvious, but it is much more complicated than it seems. See below.
    Beverage alcohol consumption by type varies greatly by gender and age. Males are more likely to be primarily beer drinkers, while females skew to drinking primarily spirit cocktails. Younger consumers are more likely to consume primarily spirit cocktails, while older consumers are more likely to consume primarily wine. 
 Consumer influence varies by gender and age. Younger, female consumers are more influenced. Older, male consumers are more likely to know what they want. Females and younger consumers read drink menus more than males and older consumers do. Females are more interested in seeing drink descriptions and pictures on drink menus, while males are more interested in brands, logos and bottle shots. Females and younger consumers are more likely to order new drinks than males and older consumers are.
    The top drinks vary greatly by gender and age. In beer, males and older consumers prefer draft beer, while females and younger consumers prefer beer in bottles.
    With regard to wine, males skew to full-flavored reds, and females skew to light-flavored whites and blush wines. Younger consumers skew to medium-flavored whites, light-flavored whites and light-flavored reds. Older consumers skew to full-flavored reds, full-flavored whites and light blush wines. Males skew to merlot and cabernet, while females skew to white zinfandel and chardonnay.
    In spirits, females skew more to flavored drinks than do males, and flavored consumption — especially strawberry, raspberry, peach and apple — skews to younger consumers.
    The Margarita is the No. 1 drink across all gender and age lines, with a female skew. Males lean toward Rum & Coke and non-flavored drinks like Vodka Martinis, Vodka & Tonics, Gin & Tonics, Screwdrivers and Scotch on the Rocks. Females skew to flavored Martinis, Daiquiris, Piña Coladas, Vodka Cranberrys, Mudslides and Cosmo cocktails. Older consumers skew to coffee drinks, White Russians and Bloody Marys.
    The top brands vary greatly across gender and age. Males skew to Budweiser, MGD and Coors. Females skew to Bud Light and Coors Light. Younger consumers want Budweiser and Bud Light. Older consumers skew to Miller Lite, Coors Light, MGD and Coors. Within imports, males skew to Heineken, Guinness, Bass, Foster’s and Beck’s, while females lean toward Corona and Corona Light. Younger consumers tend to favor Corona, Stella and Heineken, and older consumers skew to Guinness, Bass and Heineken.
    In wine, males skew to brands such as Kendall Jackson, Robert Mondavi and Jacob’s Creek. Females tend to go to Sutter Home, Yellow Tail and Arbor Mist. For younger consumers, Yellow Tail, Chateau St. Michelle and Coppola are popular, while older consumers tend toward Sutter Home, Beringer and Turning Leaf.
    Among spirit brands, males skew to brands such as Jack Daniel’s, Grey Goose, Crown Royal, Jim Beam, Tanqueray, Stoli, Seagram’s 7 And Seagram’s. Females skew to Absolut, Bailey’s, Kahlua, Smirnoff, Malibu and Skyy. Younger consumers skew to Captain Morgan, Grey Goose, Malibu, Skyy, Patron, Hennessey and Midori. Older consumers skew to brands such as Kahlua, Grand Marnier, Seagram’s, Johnnie Walker, Chivas, Makers, Glenlivet, Canadian Club and Courvoisier.