While consumer confidence remains reactionary, pubs and bars have benefitted from an uptick in frequency (up 4.3%) with spend (a rise of 7.3%) due to more consumers returning to the eating and drinking out market.
This is in contrast to last years’ report which saw consumers were reducing the number of times they visit a pub or bar each week.
The report said drink-only outings are leading the shift, driven by the resurgence of after-work drinks as more employees return to the office.
Sport remains a strong magnet too, with women’s and niche events opening up fresh opportunities for engagement.
Occasion share
Pubs and bars also saw the strongest uplift in share of occasions (up 1.1ppts) and now account for 15.3% of all eating and drinking out occasions fuelled by a rise in both footfall and visit frequency.
There was also a noticeable shift toward “lower- tempo occasions”, with unwinding and relaxing now outpacing treat-led visits, which have declined.
After losing share last year, the youngest consumers, aged 18-to-24-year-olds are starting to return to pubs and bars with a 1.5ppts gain in occasion share. This momentum is being driven by affluent, younger consumers in urban areas, who have more disposable income, the report said.
Alcohol consumption
The trend of reduced alcohol consumption has also plateaued. While Generation Z remains then most abstinent generation, they are driving the fastest growth in pub alcohol occasions.
The report said this shift signals an opportunity for operators to innovate within the cocktail category, using sweeter, more experimental formats to engage younger drinkers seeking sociable experiences.
Heartland occasions, namely drinks and dinner in pubs and bars, driven by “elevated classics” have also grown, according to Lumina Intelligence.
It highlighted Sunday, Saturday and Wednesday as key growth days.
Value remains vital, but brand, health, service and choice are gaining ground
Value still matters, but brand (up 4.3ppts), health (a 3.2ppts increase) and quality (a rise of 2.2ppts) are rising priorities.
Fast service ( up 1.8ppts) and menu variety (a growth of 1.3ppts) are increasingly important factors for choosing a pub or bar.
