On-trade boost for wine sales

Published: 15 December, 2010

Wine sales are growing more strongly in pubs and restaurants than they are in the off-trade, according to the latest quarterly report from the Wine & Spirit Trade Association.

On-trade wine sales were up 3.5%, compared with 2.7% in shops, despite a fall in volumes.

Spirits sales in shops were strong with value growth (+6.6%) exceeding volume gains (+1.7%) but overall sales of spirits were down in the on-trade (-4.6% volume, -3.7% value).

The report draws on data from leading independent sources including Nielsen, CGA Strategy and IWSR with analysis by Tim Wilson, author of the Wilson Drinks Report.

The data also shows the average price of a bottle of wine has gone up to £4.47. The strongest performing off-trade categories in value terms are RTDs, up 11%, Champagne, up 9%, and sparkling wine, up 8%.

Asked whether they will be buying wine or spirits as a gift this Christmas 48% of British adults polled say they will probably or definitely buy wine, 43% say spirits.

WSTA chief executive Jeremy Beadles said: "It's encouraging to see wine delivering value in pubs and restaurants as well as in the off-trade, despite the reduction in volumes.

"The breakdown shows rosé and white as the strongest performers in food-led pubs, whilst all wines are delivering value growth in hotels and restaurants. Let's hope next month's VAT increase does not turn customers away."

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