Canadian Pizza Magazine

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Alcohol sales to fall in 2010


November 5, 2009
By Canadian Pizza

November 5, 2009, Chicago, IL – A new report by foodservice consultants Technomic predicts that total alcohol sales in all away-from-home venues are expected to decline by 2.5 per cent in 2010.

The biggest declines will be seen in casual full-service restaurants (-6.8 per cent) and high-end white tablecloth restaurants (-10.4 per cent). However, the sale of beer is expected to fall by only 1.8 per cent in 2010.

“Our outlook for alcohol sales is based upon continued weakness in restaurant traffic and further consumer frugality,” stated David Henkes, vice president at Technomic. “The overall share of visits that include alcohol has been on a downward slide for several quarters. While next year won’t be quite as bad, we don’t think we’ll begin to see real growth in consumer spending on alcohol again until 2011.”

For 2009, Technomic estimates that alcohol sales will end the year down 4.9 per cent. This drop in sales is further supported by current data from the Technomic/GuestMetrics partnership which shows check averages are down 6 per cent through the third quarter of 2009. On top of declining traffic, overall alcohol sales levels have fallen at a much steeper rate than the decline in food.