TORONTO — Draft serves account for more than two thirds of all beer sales by volume in Canada’s on premise, according to CGA by NIQ’s latest On Premise Measurement (OPM) Impact Report.
The exclusive data shows draft commands a 70-per-cent share of all beer sales, with packaged products taking the remaining 30 per cent. A breakdown of the category reveals draft is particularly popular in craft beer, where 78 per cent of all volumes are achieved by draft serves, compared to 73 per cent of domestic/premium beers. Packaged formats have their highest share in imports at 39 per cent and volumes have grown by 2.1 per cent, making this the only segment in year-on-year growth.
Meanwhile, CGA’s On Premise User Survey (OPUS) indicates that 41 per cent of Canadian beer drinkers prefer draft serves, while 29 per cent choose packaged and 30 per cent consume both. OPUS uncovers important differences in preferences by age group, including a gravitation of younger adults towards bottled and canned beers. Nearly half (45 per cent) of those between the legal drinking age and 24 say they prefer packaged formats, compared to just 26 per cent of those aged 45 to 54. Convenience, transportability and quick-serve times are among the reasons why younger beer consumers opt for packaged over draft.
Format preferences vary by province as well as age group. Draft over-indexes in western regions, including British Columbia and Alberta, while packaged formats have a higher than average share in Quebec, where imported beers are most popular.
“While beer volumes are in slight decline year-on-year, growth in the value of sales represents progress for Canada’s suppliers and operators,” says Mitch Stefani, CGA by NIQ’s Client Solutions director. “Draft’s enduring popularity shows how it’s synonymous with the on premise, and its importance to the fundamental experience of purchasing beer while out. However, younger adults’ appetite for packaged beer shows strategies for bottled and canned serves can’t be neglected. Despite a competitive environment, our research pinpoints hotspots for growth across the beer category, making it imperative to adapt sales mix and assortment to the evolving needs of consumers.”
