Beer drinkers have to get used to new retail prices. Almost 10 euros per crate of “premium beer” have become a rarity.
After the price increases in many breweries, beer drinkers can hardly find any special offers with limited promotional prices of 9.99 euros per crate in the trade. Promotional prices for beer and beer mixes are up slightly for the second year in a row, according to data from market research firm NielsenIQ.
In the first four months of 2023, the promotional prices averaged 1.18 euros per liter. Converted to a large crate with 20 bottles of 0.5 liters each, that’s 11.80 euros. In 2022, the average promotional price was 11.50 per large box. In 2021 and 2020 it was 11.10 euros per beer crate.
“The promotional price of 9.99 euros per box is gradually disappearing,” said market researcher Marcus Strobl of the German Press Agency. According to him, consumers have been spoiled for decades with such regular promotional prices for so-called premium beer. Only coffee is sold in campaigns to an even greater extent than Pils.
Importance of promotional prices and marketing strategies
Promotional prices, graduated prices for larger purchase quantities, extras and sweepstakes play a role, especially with large Pilsner brands, which are usually also advertised with TV commercials. For a long time, almost two-thirds of the sales volume in retail has been accounted for by promotions and only a good third of the sales volume by the base price.
Also with Hellbier, which is now the second most popular type of beer in Germany after Pils; price campaigns can be observed in retail. “The market does not only consist of national pilsner brands, which are actually no longer premium in the overall context of beer prices because wheat beers and light beers cost significantly more,” explains Strobl.
Price development and base prices
According to NielsenIQ, the base prices for beer and mixed beer drinks have been changing for the third year in a row: the price per liter rose by an average of 5 cents in 2021 and by 6 cents in 2022. In the first four months of 2023 it was 1.61 per liter – 7 cents above the 2022 average. Converted to the large box, that is plus 70 cents to now 16.10 euros.
Strobl emphasizes that these are not price jumps and that the price of other products has increased even more. In addition, there is no “hype” when it comes to beer in the lowest price range. However, consumers no longer bought quite as much beer. It’s not just about saving in the face of inflation. There are also effects such as the aging of society and the trend towards non-alcoholic beverages.
A number of breweries have increased their sales prices to retailers and restaurants. These include large breweries, which raised prices last year and this year as well. The companies reported massive cost increases, and not just for energy. The German Brewers’ Association recently complained about two weeks ago with a view to the trade that the price increases urgently needed by the industry could only be partially implemented so far.
Source: Stern
