January 2022 IRI Scans: Total Beer Dollar Sales -7.4%, Craft -10.8%, Hard Seltzer -3.4%, Non-Alc Beer +14.8%

January started predictably slow for beer category sales in off-premise retailers. Beer category dollar sales declined -7.4% year-to-date through January 23 in multi-outlet and convenience stores tracked by market research firm IRI.

Retail sales declined for every beer category segment with one exception: non-alcoholic beer, which grew sales +14.8%, to more than $17.6 million, during “Dry January,” albeit on a small base compared to other segments.

Sales declined for domestic premiums (-10.6%), imports (-3.6%), domestic sub-premiums (-11.7%), craft beer (-10.8%), hard seltzers (-3.4%), domestic super premiums (-4.6%), FMBs (-0.2%), cider (-8%), and assorted (-19.3%), the firm reported.

Within food stores, off-premise beer category sales declined -6.6%, while convenience store sales declined -8.1%, according to IRI.

A few caveats on the data: Off-premise scan data is just one puzzle piece in the overall picture of beer category sales. It includes distributed beer sold in off-premise retailers that include some of the country’s largest chains and big box stores. It excludes all on-premise sales, at-the-brewery sales and independent liquor stores.

Scott Scanlon, EVP of IRI’s beverage-alcohol vertical, told Brewbound that several factors contributed to January’s declines in off-premise sales year-over-year, including “challenging 2021 comps, consumer shift to spirits/cocktails, declining growth of malt seltzer/increase in spirit based seltzer, consumers’ return to on-premise.” He also noted that the week ending December 26, 2021, “was the second highest grossing bev-al week on record” and “a decline from those levels was a likely scenario.”

“Domestic premium and domestic sub-premium continue to drag the category, a trend I don’t see reversing especially with economic indicators pointing in a concerning direction,” Scanlon continued. “Domestic super premium and imports continue to deliver more favorable results, led by two of the beer category growth drivers Modelo and Michelob Ultra, and [I] believe this trend will continue in 2022 even with potential economic headwinds.”

10 of Top 30 Craft Brands Growing

Within the craft beer segment, Molson Coors’ Blue Moon Belgian White remains the top-selling craft brand in off-premise retailers, with more than $18.6 million in sales through late January, although sales declined year-over-year -6.5%.

New Belgium Voodoo Ranger Imperial IPA (+29%, $11 million) and Sierra Nevada Hazy Little Thing IPA (+7.9%, $7.5 million) were the second and third best-selling craft brands and the top two IPAs in dollar sales. Both IPAs led the 10 craft brands that increased dollar sales in the first month of 2022.

Off-premise dollar sales declined for the rest of the top 10 best selling craft brands during the first month, including Sierra Nevada Pale Ale (-14.2%), Lagunitas IPA (-13.2%), Shiner Bock (-10.8%), Elysian Space Dust IPA (-2.1%), Samuel Adams seasonal (-13%), Firestone Walker 805 (-13.3%) and Founders All Day IPA (-18.2%).

Beyond Voodoo Ranger Imperial IPA and Hazy Little Thing, the other eight brands to grow dollar sales year-over-year through January 23 included:

New Belgium Voodoo Ranger Juicy Haze IPA (+32.4%);
Lagunitas A Little Sumpin’ Sumpin’ Ale (+0.2%);
Kona Big Wave Golden Ale (+28.7%);
New Belgium Voodoo Ranger Hoppy Variety Pack (+28.8%);
Sierra Nevada Big Little Thing Imperial IPA (+329%);
Sierra Nevada Seasonal (+28.9%);
Wicked Weed Pernicious IPA (-30.5%);
Victory Golden Monkey (+5.8%).

Overall, craft retail dollar sales declined -10.8%, according to IRI. Breaking out those trends by channel, craft declined double-digits in food stores (-10.5%) and c-stores (-11.4%).

Craft IPAs declined -7.8% in off-premise dollar sales, but remained the top-selling craft style with $146.9 million in sales, according to IRI. The next closest style was Belgian wits, which declined -12.5%, to $25.6 million, the firm reported. In fact, none of the top 10 craft styles increased sales in January.

4 of Top 25 Vendors In the Black in January

Within IRI’s top 25 vendors list, only four companies recorded positive dollar sales year-to-date through January 25. Those companies include Diageo Beer Company (+3.9%), D.G. Yuengling & Son (+11%), New Belgium Brewing (+7.3%), and Geloso Beverage (+6.6%). Every other company’s sales were in decline compared to the same period. Those companies include:

Anheuser-Busch InBev (-9.6%);
Molson Coors (-10.3%);
Constellation Brands (-0.5%);
Mark Anthony Brands (-5.2%);
Boston Beer Company (-1.3%);
Heineken USA (-9.9%);
Pabst (-14.3%);
FIFCO USA (-12.6%);
Sierra Nevada (-1.7%);
Lagunitas (-13.2%);
Phusion Projects (-0.7%);
Gambrinus (-11.5%);
Craft Brew Alliance (-3.7%), which is now merged with A-B InBev;
Firestone Walker (-8.8%);
Founders (-21.7%);
CANarchy Craft Brewery Collective (-18%);
Artisanal Brewing Ventures (-8%);
Bell’s Brewery (-20%);
Stone Brewing (-14.6%);
Deschutes Brewery (-11.7%);
SweetWater Brewing (-5.1%).

Meanwhile, seven of the top 25 brand families were in the black, led by A-B’s Michelob brand family (+0.8%) and Constellation’s Modelo family (+6.7%). Other brand families in positive territory to start the year include Boston Beer’s Twisted Tea (+17.1%), Smirnoff (+9.6%), Yuengling (+6.6%), Bud Light Seltzer (+1.7%), and New Belgium (+5.3%).

The top two selling hard seltzer brand families White Claw (-7.4%) and Truly (-8.2%) declined year-over-year through late January.

Top beer brand families in the red included Bud (-12%), Coors (-8.4%), Corona (-5.7%), Miller Lite (-9.3%), Busch (-6%), Natural (-10.1%), Heineken (-10.6%), Bud Specialty (-26.9%), Mike’s Hard (-7.7%), Stella Artois (-12.4%), Keystone (-21.3%), Miller High Life (-12.7%), Dos Equis (-7.1%), Blue Moon (-10.5%), Sierra Nevada (-1.6%), and Bud Sub Premium (-13.9%).

NielsenIQ: Off-Premise Beer Category Sales -6.2% Through January 29

Market research firm NielsenIQ offered its own window into beer category sales for the year so far. The firm reported that off-premise beer category dollar sales have declined -6.2% year-to-date through January 29, the firm reported.

In NielsenIQ tracked channels, the only segment to increase sales during the first four weeks of the year was imports (+0.5%).

Craft (-11.1%), domestic super premium (-3.6%), FMBs (1.4%), hard seltzers (-3.1%), premium regular (-7.1%), premium light (-8.9%), cider (-9.2%), below premium (-11.6%), and malt liquor (-12.9%) all were in decline compared to the same one-month period in 2021.

Just two of NielsenIQ’s top manufacturers posted dollar sales gains: Constellation (+3.7%) and Diageo (+3.2%). Suppliers in decline included Molson Coors (-8.8%), A-B (-8.4%), Boston Beer (-1.8%), Pabst (-12.6%), Heineken USA (-8.4%), Mark Anthony (-4.2%), FIFCO USA (-13.7%) and all other manufacturing (-7.8%).

Zeroing in on craft, New Belgium (+2%) was the only top five craft supplier in the black. Blue Moon (-10.4%), Sierra Nevada (-4.7%), Samuel Adams (-5.9%) and Lagunitas (-13.6%) were all in decline through January, NielsenIQ reported.

Of the top five selling hard seltzers, Bud Light Seltzer (+8.5%) was the only one to post positive off-premise dollar sales in January. White Claw (-5.1%), Truly (-9.4%), Smirnoff (-57.5%) and Corona Seltzer (-43.4%) each recorded declines.

NielsenIQ’s top 10 growth brand extensions through the first month of the year were: