On-trade wine sales fall as prices surge

Start a new threadBy Robyn Black , 27-Nov-2012

Related topics: Drinks & Brands News, Wine

Years of relentless price increases in pubs, bars and restaurants have led to falling sales of wine in the on-trade, according to a new report by Accolade Wines.

On-trade wine sales have continued to decline

On-trade wine sales have continued to decline

The company, which owns the Hardys, Echo Falls and Stowells brands, said that customers were being increasingly turned off by the rising prices.

The report revealed the average price of a bottle of wine is now £15.31, up from £14.96 just a year ago. At the same time sales have declined by 1.4m cases in the past year and just under one million the year before.

“These figures are food for thought for the on-trade,” said Paul Schaafsma, general manager for UK, Ireland and AMESCA (Americas Middle East SubContinent Africa) at Accolade Wines.

“The whole on and off-trade is struggling due to ever-increasing tax hikes. These findings are another warning sign that the duty escalator is not working. The Government needs to look at the burden it is placing on small businesses.”

Non-branded wine still dominates the on-trade but brands are growing in popularity, with sales of branded wines up from 33.6% of the market last year to 35.4% this year. Schaafsma said this was because the average price of branded wine was significantly lower than non-branded wine, at £12.37 per bottle versus £17.15.

The report also showed food-led pubs sell twice as much wine as wet-led venues, uncorking 263 bottles a month on average, against 130 bottles.

Find us on Facebook

Spotlight

The cost of Premier League copyright violation

The cost of Premier League copyright violation

There is a saying that lightning never strikes twice in the same place, but if you are...

David Beckham to launch a whisky

David Beckham to launch a whisky

David Beckham is to launch a whisky in partnership with Diageo.

Explosion in e-cigarette use presents dilemma for pub operators
Feature

Explosion in e-cigarette use presents dilemma for pub operators

It’s the biggest thing to happen to smoking since the ban. Electronic cigarettes (or e-cigarettes) are on...

Speak up if you're suffering

Speak up if you're suffering

Depressed and overworked licensees should seek help, argues Pete Brown.

Follow us on