by MELISSA DOWLING

As part of our ongoing tracking of the industry , the Beverage Information Group surveys our readers quarterly , collecting trends / sentiment data from distributors , on-premise and off-premise operators . The consumer obsession with agave spirits may be starting to level off slightly , but for our most recent study , conducted in January 2024 , tequila is the category most impacting the business , both on- and off-premise .

Whiskey is the next most impactful category , though it ’ s tied with craft beer among on-premise respondents . The category with a sales decline that ’ s most impacting the business : Clearly domestic beer for both segments .

The beer category has been struggling enough , but the controversy last year caused by Bud Light ’ s brief association with transgender social media influencer Dylan Mulvaney — and resulting boycott of the popular beer brand — hasn ’ t helped . Still , on-premise respondents say that craft beer is the category generating the most buzz now , vs . whiskey for the retail participants . IPAs are the most popular , followed by lagers , for both segements .

The plurality of on-premise operators ( 47 %) said that their most recent quarterly beverage sales met their plan , vs . 37 % that said sales were below plan and 16 % that said sales exceeded plans . In the off-premise , the same percentage ( 45 %) that said they met plan said that sales were below plan , and just 10 % exceed plan .

As such , on-premise respondents were far more optimistic about sales in 2024 than their retail counterparts . More than a quarter ( 26 %) feel that sales this year will exceed their expectations , compared with 19 % of the off-premise respondents .•

25 % 20 % 15 % 10 % 5 % 0 %

50 % 45 % 40 % 35 % 30 % 25 % 20 % 15 % 10 % 5 % 0 %

50 % 45 % 40 % 35 % 30 % 25 % 20 % 15 % 10 % 5 % 0 %

22.7 %

WHAT CATEGORY ’ S INCREASE IN SALES IS MOST IMPACTING YOUR BUSINESS RIGHT NOW ? ( TOP 5 )

ON-PREMISE

18.2 % 18.2 %

DATA DRIVEN

OFF-PREMISE

RATE YOUR OPERATION ’ S OVERALL BEVERAGE ALCOHOL SALES FOR THE PREVIOUS QUARTER

OFF-PREMISE

AT THIS TIME , HOW WOULD YOU CHARACTERIZE YOUR OUTLOOK FOR SALES FOR THE REMAINDER OF 2023 ?

ON-PREMISE

13.6 % 9.1 %

10.0 %

45.0 %

25.8 % 25.8 %

Likely Exceed Expecations

Likely be Below Expectations

26.3 %

40.0 %

5.0 %

40 % 35 % 30 % 25 % 20 % 15 % 10 % 5 % 0 %

ON-PREMISE

35.5 % 29.0 %

9.7 % 9.7 % 6 . 5 %

Tequila WhiskeyRed Wine Other

15.0 % 15.0 % 10.0 %

Spirits Wine Beer

45.2 %

3.2 %

41.9 %

29.0 % 22.6 %

6.5 %

30.0 %

36.7 %

Spirits Wine Beer

15.8 %

Likely Meet Expectations

57.9 %

Down Flat Up Don ' t Stock

OFF-PREMISE

Likely Exceed Expectations

19.4 %

Likely be Below Expectations

32.3 %

13.3 %

Domestic Beer

5.0 %

20.0 %

Likely Meet Expectations

48.4 % www . stateways . com Spring 2024 • StateWays 5