15 Oct 2020
Posted in Consumer
Retail will pick up some lost alcohol sales as Marston’s reports 30% drop in annual sales
Retail will pick up some lost alcohol sales as Marston’s reports 30% drop in annual sales, says GlobalData
Following today’s news (Thursday 15 October) that pub operator Marston’s announced job cuts due to the latest round of COVID-19 restrictions and a 30% drop in annual sales;
Ryan Whittaker, Consumer Analyst at GlobalData, a leading data and analytics company, offers his view:
“The introduction of further restrictions will force consumers in Tier 3 areas to switch channel from pubs and clubs, such as those operated by Marston’s, to retail purchases. The reduction of the number of social occasions for consumers also reduces demand for alcoholic beverages, which are largely drunk socially.
“GlobalData’s latest COVID-19 recovery tracker, dated 12 October 2020, found that 27% of UK consumers said that they were buying more alcohol online compared to before the pandemic – with 13% of consumers saying they were buying more in large supermarkets and hypermarkets.
“The UK’s current economic conditions are likely to convince consumers to save more than they spend. The reduction in social occasions means that demand for alcoholic beverages will fall in tandem with increased local lockdowns. This means that firms such as Marston’s should expect reduced demand and unfortunately, more potential job losses.”