CGA: On-Premise Velocity Up Double-Digits Over July 4, Outpaces 2022 Holiday Trends

The July 4 holiday had an even stronger impact on on-premise sales this year, driving double-digit velocity growth throughout the week, according to CGA, a NIQ on-premise market research firm.

On-premise outlets recorded an average velocity increase of +47% on the July 4 holiday – which fell on a Tuesday – versus the previous week. Monday, July 3 (+35%) and Wednesday, July 5 (+38%) also recorded significant velocity gains versus the previous week.

The increases in velocity were driven by upticks in traffic, with ticket counts across the U.S. increasing +66% WoW.

Trends were more than double the increases recorded in 2022, when July 4 fell on a Monday. Last year, on-premise retailers recorded a +17% increase in sales velocity on the holiday versus a typical Monday in 2022.

Of the five key states observed by CGA, California recorded the largest uptick in velocity WoW on July 4 (+73%). The other four states – New York, Illinois, Texas and Florida – all recorded double-digit WoW increases.

In the latest week (ending July 15), on-premise velocity increased +4% WoW. The increase was driven by a +2% WoW increase in both traffic and check value.

Sales velocity also increased versus the same week in 2022 (+1% YoY). However, in the last 12 weeks, sales velocity declined -2% YoY.

In the latest week, check value was also above 2022 levels, increasing +3% YoY. Ticket count remained below previous levels, declining -2% YoY.

Illinois recorded the largest WoW increase in velocity (+18%), but remained the only state in the red versus 2022 (-6% YoY). New York recorded the next largest WoW increase (+14%), followed by Texas (+6%). California and Florida were both flat WoW.

Florida recorded the largest velocity increase YoY (+4%), while California’s on-premise velocity eked out a +1% YoY increase and Texas remained flat.