Everyone involved in the off-premise market today faces mounting pressures as we adjust to pre-pandemic norms. Shoppers are making their shifting behaviours and preferences clear, but in many cases, the industry isn’t responding fast enough.
To get a better understanding of how you should be responding, Shopper Intelligence has once again surveyed 20,000+ liquor shoppers in the last 12 months.
Here are three crucial takeaways your shoppers want you to know, along with their impact on your business!
1. Shopper satisfaction slipping – act now
Shopper satisfaction declined for the fourth consecutive year, dropping to a net favourable score of 63%, its lowest since 2018. Dissatisfaction with product measures like healthy choices (-5%), and growing frustration with store and shelf layouts stand out this year.
Perceptions of premium products and innovative ideas in the channel did improve, but not by enough to change the overall trend on satisfaction.
It’s worth noting that the prices are no more important to shoppers today than they were 12 months ago. In fact, in terms of what matters, it’s factors like authenticity, and enjoyable shopping experience that are once again gaining significance in the off-prem.
Implication: It’s time to get focused on the big “jobs to do,” including improving pack variety, simplifying shelf layouts, and spotlighting value-for-money. Shoppers are clear that prices are not the only thing that matters to them. They want to know what they’re getting for the money they spend, so brands that can dial up on better-for-you or authenticity messages are well-positioned to gain an edge.
2. Occasion-based shopping is a growing opportunity
A significant shift toward occasion-based purchases (+4%) underscores the need for a change in approach, both pre and in-store. Less “everyday drinking” and “stocking up” behaviours (across all age groups) call into question traditional store layouts and in-store marketing tactics.
Implication: Retailers and brands must start to align their marketing strategies more closely with specific occasions, from at-home social gatherings to meal pairings. Enhancing communication around how products fit into these contexts is no longer a “nice-to-have,” particularly for categories that already have strong ties to social or celebratory moments. Your brand might carry you, but there’s a greater chance than ever that it won’t, as shoppers have been trained to switch on price and ignore what your products bring to the party.
3. More improvement is needed at the point of purchase
Shoppers have become increasingly vocal about the changes they want to see in retail liquor. Across all store formats, the demand for improvement has increased. Better shelf layouts, more product information and clearer signage are what shoppers want to see. With more category-level decisions made in-store (+2%), confused ranging and bland merchandising force shoppers to work harder to find what they want and make decisions at-shelf.
Implication: Balancing operational efficiency with interesting, enjoyable shopping experiences is unquestionably a critical nut to crack in 2025. Loyalty to stores and brands can be recaptured if retailers and suppliers collaborate to invest wisely in eye-catching displays, clear signage, and promotions that inspire. Shoppers want to know that the off-premise understands their needs and that the store will deliver the help and guidance they crave once they walk through the door.
The time for talking is over. The time for deliberating is through. It’s time now to act and put shoppers at the heart of the conversation. The COVID sales boom is long gone, and while it’s harder today getting shoppers to trade up and spend more in liquor, there are still opportunities to do the basics better and win by being relevant, visible, and targeted. Time’s running out on the “traditional” way to market and sell liquor, but the good news is that shoppers are already flagging a new way.
All you need to do is listen and take the lead.
Would you like to explore what these shifts mean for your brand or banner in more detail? Then reach out to me at david.shukri@shopperintelligence.com.au
Shopper Intelligence is a Platinum Partner of the Drinks Association