Despite declining alcohol spending worldwide due to prioritizing essentials, premiumization holds strong for some consumers, IWSR has found.
IWSR Drinks Market Analysis conducted consumer surveys across 17 key markets, including the U.S., China, and the U.K.
- The U.K. experienced double-digit inflation and has felt the trend of reducing alcohol spending the most.
- Germany and Australia also show significant drops in alcohol spending, with choosing not to buy alcohol being the second most popular strategy for saving money.
- Premium consumption behavior continues but is growing more moderately than before as consumers choose to drink better-quality alcohol less frequently.
- The on-trade sector is holding up in Europe and the Americas and is boosted by the relaxation of COVID-19 restrictions in China, Japan, and Taiwan.
- Consumers are becoming more selective in how and when they spend on alcohol to cope with the cost-of-living crisis, using moderation as a money-saving strategy.
