Beer Category Innovation Drives Growth

Despite slower growth, beer continues to bring profits and foot traffic to c-stores.

June 07, 2022

People toasting beers

By Terri Allan

ALEXANDRIA, Va.—While convenience store sales of beer slowed considerably last year as compared to 2020, the category remains at its highest level in years. And retailers and beer marketers are optimistic that the momentum that has lifted the segment in recent years, coupled with category innovation, means continued good health for c-store beer sales in 2022 and into the foreseeable future.

According to Jayme Gough, NACS research manager, CSX data pointed to a small increase in beer sales in 2021, “which is actually good news, when you consider the big gain in 2020, and the fact that beer had been showing slower growth in recent years.” In 2021, average monthly sales per store of beer stood at $20,345, NACS State of the Industry Report of 2021 data indicate. That’s up 2.6% from 2020’s stellar year when the category benefited from closures of on-premise venues and a consumer-buying frenzy, which sent sales surging 18.1% over 2019.

While 2021 was marked by a slowdown in sales growth, suppliers said c-stores were among their strongest performers. Ryan Calong, national accounts director, convenience, at Pabst Brewing Co., reported that convenience outperformed other channels in terms of dollar sales trends last year, driven by imported brews and flavored malt beverages (FMBs). And the category has remained a top performer for c-stores, too. Michelle Yeeles, senior director, small format category leadership, at Anheuser-Busch, citing IRI data, noted, “Over the past two years, beer has led total c-store growth as the No. 1 growth category, delivering more than $3.7 billion in growth.”

Read more about beer category performance in this month’s NACS Magazine Category Close-Up column, “Category Clout.”
 
For category managers of all levels looking to sharpen their analytical and decision-making skills, NACS offers two certified category management courses:

  1. NACS I Impact 21 Certified Convenience Basic Category Management course for newer category management and merchandising professionals from retailers and suppliers in the convenience and fuel retailing channel.
  2. NACS | Impact 21 Certified Convenience Advanced Category Management course uniquely tailored for experienced category management and merchandising professionals from retailers and suppliers in the convenience and fuel retailing channel.

More information is available here.

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