CGA Holiday Preview: Thanksgiving, Christmas and NYE

CGA: On-Premise Spirits Volume -3.3% As Prices Climb, Visits Fall

Nearly half of consumers (47%) plan to visit the on-premise to celebrate Thanksgiving this year, according to CGA, an NIQ-powered on-premise market research firm, in its latest On-Premise Impact Report.

Of the consumers planning to visit, 45% plan to visit on Friday, November 24, followed by 42% on Thanksgiving Day (Thursday, November 25). Nearly two-fifths (38%) plan to visit on Wednesday – characterized by CGA as “Blackout Wednesday” or “Drinksgiving” – followed by Saturday (34%), Tuesday (17%), Monday (16%) and Sunday (15%).

Nearly half of those planning to visit (49%) will go out with a partner or spouse, followed by friends (43%), themselves (29%), family with kids (27%), family without kids (18%) and colleagues (14%).

Fine dining restaurants are the most common venue for expected visitors (30%), followed by casual dining chains (28%) and independent restaurants (23%). The majority of consumers planning to go out (44%) expect to go during the early evening (5 p.m. to 8 p.m.), followed by happy hour (32%), late evening (28%), lunch (18%) and mid-afternoon (27%).

Beer is expected to be the most popular bev-alc during Thanksgiving visits (37%), followed by table wine (31%), whiskey (26%), vodka (24%) and cocktails (24%).

For off-premise purchases, wine is the most popular (70%) with the 33% of shoppers who told market research firm Numerator they plan to buy beverage alcohol for their holiday meal, followed by beer (57%) and spirits (28%).

More than half of consumers (52%) plan to visit the on-premise to celebrate Christmas this year. That number increased to 58% when including only consumers aged 21-34.

The majority of consumers planning to visit the on-premise for the holiday expect to visit in the days leading up to Christmas Day (December 18-23). More than two-fifths plan to go out the days after Christmas and leading up to New Year’s Eve (December 26-30), followed by Christmas Eve (36%) and Christmas Day (23%).

Two-fifths of consumers plan to visit the on-premise for New Year’s Eve.

CGA also asked consumers about planned work holiday parties. Nearly half of consumers’ workplaces hosted holiday events at bars and restaurants in 2022. This year, 44% of consumers expect to have work holiday events at bars and restaurants.

More than Half of Consumers Spending More Than Usual

More than three-quarters of consumers (77%) visited the on-premise to eat in the last month. Just over half (51%) visited for drinks.

A similar amount of consumers plan to visit in the next month: 76% for food, 52% for drinks.

More than a third of consumers (34%) visiting bars and restaurants said they are going out more than they usually do: 17% “much more” and 17% “slightly more.” The No. 1 reason for the more frequent visits was “treating myself” (44% of consumers), followed by wanting to try new places (41%), wanting to support local businesses (29%) and having to attend “more events than usual” (28%).

Nearly two-fifths of consumers (39%) are going out the same as usual, while 28% are going out less. The majority of those going out less (62%) said it was due to an increase in cost of living expenses. More than half (55%) also credited price increases in eating and drinking out, followed by having less disposable income (50%) and spending money on “other things” (30%).

More than half of consumers (52%) are spending the same amount per visit at on-premise establishments, while 28% are spending more and 20% are spending less. However, less than half (47%) are spending the same overall at total on-premise visits, while 20% are spending more and 23% are spending less.

Of the consumers spending more, 53% said it’s because of the increased price of food, while 40% said it was because of the increased price of drinks. Nearly one-third (32%) said they are “treating myself more,” while 30% are “buying higher quality food” and 25% are “buying more premium drinks.”

Of those spending less, 77% said they are “watching” what they spend and 62% are “trying to save money. More than one-third (36%) are choosing cheaper food items, 26% are drinking fewer drinks, 23% are no longer choosing “additional food items,” 16% are choosing cheaper drinks and 11% are choosing non-alcoholic beverages over alcoholic options.

CGA also asked consumers how likely they’d be to stop eating and/or drinking at bars and restaurants. The majority (37%) said they “would feel disappointed” if they could no longer go out, and 23% “would be lost without it.” Slightly more (27%) said they like going out, “but could easily not do it,” while 13% “could very easily stop.”

Consumers were also asked about eating and drinking at home or at friends’ homes. The majority (24%) said they “would feel disappointed” if they could no longer do it, followed by 23% who “could easily not do it.” One-fifth “could very easily stop,” while 17% do not eat or drink at home, and 16% “would be lost without it.”