Home alcohol sales overtake pubs
The trend of fewer people are drinking in pubs is accelerating as home consumption rises driven partly by lifestyle and by cheap alcohol in stores in the wake of the ending of the Groceries Order
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More alcohol was sold in off licences and supermarkets in 2007 than in pubs for the first time, according to new figures.
Pubs accounted for just 48pc of alcohol sales this year compared with 70pc six years ago, according to figures released by drinks company Diageo.
In addition, the number of pubs offered for sale in the greater Dublin region has also dipped by about 40pc over the last 12 months, according to estate agents Morrisseys. Of those that did change hands, 35pc were for re-development compared with 25pc the previous year.
Overall alcohol consumption grew just 1pc to October. According to Michael Patten, corporate affairs director of Diageo, the growth is negligible.
"It masks a significant transformation that is taking place underneath the water line," he says.
"Week long consumption in the pub has dropped very significantly. People are drinking at home now."
"That switching is continuing. This year we estimate trade sales will decline by a further 5pc," he says.
Wine accounts for 22pc of alcohol purchased compared to 8pc 10 years ago. Beer's share of the market has dropped to 50pc from 70pc in 1997.
Bill Morrissey of Morrissey's Estate Agents says the combination of social changes and fears about the economy has resulted in a near halving of the number of pubs offered for sale in the Dublin area. Pubs with significant cachement areas continue to thrive, he claims, but less populated areas are under significant pressure.
"If you ware in a road house with a fairly sparse population you will have to be an extremely good operator to draw people out to you, particularly so now with the drink driving legislation," he says.
Despite a doubling in turnover in the off license sector the market has become even more competitive for independent retailers, according to Richard Barry of the National Off license Association. The number of licences has trebled from 600 to 1800. Independents face competition from below-cost selling by big supermarkets, he says.
See feature on drinks industry, pages 8/9
- Carissa Casey
