The Bar industry is expected to grow to $29 billion over the next five years.
Per capita disposable income and consumer spending are forecast to increase at an annualized 2.1% and 3.2%, respectively, over the next five years, supporting the industry’s growth. The industry will also benefit from recovery within the economy, a slow decrease in the unemployment rate and increased discretionary spending.
Additionally, per capita expenditure on alcohol is expected to increase, particularly on premium beverages. The premiumization trend will continue to benefit industry operators as consistent overall economic growth bolsters disposable incomes. To stay competitive, operators are expected to continue to diversify offerings to include more craft beers and ciders. These beers and ciders are typically more expensive than a conventional, mass-produced beer. Growing interest in wine among millennials, a demographic that represents a larger portion of demand than baby boomers, will support growth in this segment.