The on-premise channel is expected to see an “uplift” in velocity over Labor Day weekend this year, as on-premise trends continue to follow 2021 patterns, NielsenIQ-owned market research firm CGA reported.
In 2021, Labor Day recorded a +54% increase in on-premise velocity compared to an average Monday. The lift was due to a +46% increase in traffic, as well as a +6% increase in check value.
Drinking venues were the big winners last year, recording their “biggest Monday” of 2021 on Labor Day, with a +67% increase in velocity, led by neighborhood bars (+78%). “Eating venues” recorded a +52% increase compared to an average Monday – the second largest velocity increase for eating venues last year.
In the most recent week tracked by CGA (ending August 14), velocity remained flat, after a -2% decrease in the week ending August 6. Check value increased +1% versus the week before, while traffic recorded a slight decrease, falling -1%.
Nationally, on-premise velocity increased +7% compared to the same week in 2021, driven by a +9% year-over-year (YOY) increase in check value, which counteracted a -2% decrease in ticket count.
All five key states tracked by CGA recorded an increase in on-premise velocity YOY, led by California and New York (both +10%). Illinois was not far behind (+8%), followed by Florida (+4%) and Texas (+2%).
Three of the five states recorded a velocity increase week-over-week: Illinois (+3%), New York (+2%) and California (+1%). Texas was flat week-over-week, while sales velocity in Florida declined -1%.