Strength in craft beers being helped by their higher average on-premise checks.
FOR IMMEDIATE RELEASE
LEESBURG, VA (March 12, 2013)
According to GuestMetrics, based on its POS database of over $8 billion in sales, the strong performance in craft beers is likely being at least partially driven by the higher average check by patrons who purchase craft beers, making the craft segment more attractive to restaurant operators.
“In analyzing the average check amount across the two billion checks in our system for table service restaurants and bars, the average check for craft beers is significantly higher than most of the mainstream beer brands,” said Bill Pecoriello, CEO of GuestMetrics LLC. “Based on our data, when a patron orders a craft beer, the average check is around $80, which is well above that of the largest beer brands. In contrast, the average check is $63 when a Budweiser is ordered, $62 for Coors Light, $60 for Miller Lite, and $52 for Bud Light. Perhaps surprisingly, the average check when a Yuengling is ordered is only $55, so while we believe there is still plenty of room left for Yuengling to grow as it expands its distribution footprint, there is risk that restaurant operators don’t push as hard on selling the brand given its lower average check size.”
“At the other end of the spectrum, there are several large brands that actually have average check amounts above that of craft beers. Heineken came in at the top at $89, followed by Stella Artois at $84, Guinness at $83, and Sam Adams at $81,” said Peter Reidhead, VP of Strategy and Insights at GuestMetrics. “And to round out the picture of the top dozen brands, Corona Extra, Blue Moon, and Dos Equis all had average check amounts below the average for craft beers at $72, $67, and $65, respectively.”
“When we factor in the average time spent at the restaurant or bar for each transaction in minutes, the story does not change materially. The average check amount per minute spent in the restaurant/bar for craft beers is around $1.00, while that of Heineken remains at the top of the group at $1.25, and Miller Lite, Bud Light, and Yuengling have the lowest average check per minute at $0.76, $0.71, and $0.65, respectively,” said Brian Barrett, President of GuestMetrics. “As restaurant operators become increasingly sophisticated in the age of big data, we believe viewing the total amount of money spent on each check depending on which beer brand is ordered will ultimately help the operators optimize their overall sales and profits.”
About GuestMetrics LLC
GuestMetrics, LLC is revolutionizing how the hospitality industry operates. Despite the dawn of the Digital Age having begun more than three decades ago, the hospitality industry essentially functions the same way it did centuries before. GuestMetrics has cracked the code by collecting $8 billion dollars in sales from over 250 million checks from tens of thousands of restaurants, and turning billions of raw transactions into intelligible data that is fundamentally transforming the business operations of everyone from the independently-owned bar/restaurant on the corner, to multi-national chains, to the food & beverage companies that supply them. Please visit www.GuestMetrics.com for more information and to arrange for a free demonstration.