Drinkers still spending on affordable luxuries

Although the UK has been hit hard by the global recession, consumers still wanted to treat themselves to affordable luxuries. This has benefitted the Peroni Nastro Azzurro brand, which tries to differentiate itself from other premium brands through marketing activity not usually associated with the category. Peroni Nastro Azzurro has a design partnership with Alessi and a fashion collaboration with Antonio Berardi.

In the first quarter 2010, UK pub beer sales fell by 8.8 percent and overall beer sales were down by 5.1 percent compared to the same quarter 2009, the British Beer & Pub Association (BBPA) reported in May 2010. The exceptional and severe weather in January, which prevented many from going to the pub, was the major contributor to the fall in sales, the BBPA said.

Given the continuing fragility in the beer market the BBPA is asking the Government not to increase pressure on the sector unnecessarily by increasing beer taxes in the Budget on 22 June 2010.

There is light at the end of the tunnel for the UK’s beer industry. The year-on-year change in beer sales is improving – the rate of decline easing to 3.5 percent in the year to March 2010 from 4.2 percent in the year previously – indicating that there are some signs of an underlying improvement in the sector.

Now brewers will hope and pray for a warm summer.