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Portugal Sees Highest Beer Consumption in Decades

Portugal Sees Highest Beer Consumption in DecadesThe beer industry recorded €1.46 billion worth of sales in Portugal in the half-year to June 2019, with 473 million litres sold in this period, according to Nielsen data. This equates to 19% value growth and 15% volume growth; the largest growth levels recorded at any time over the past decades.

The food service industry channel remains the most relevant, with 80% of beer value sales and two thirds of volume sales taking place through this medium.

According to Nielsen’s Client Development Manager, Tiago Aranha, the growth of the category is related to the “greater preference among Portuguese consumers for out-of-home consumption, associated with leisure activities”.

Some 30% of Portuguese spend their extra money on out-of-home entertainment, compared to 12% back in 2013.

Another important factor to consider is around promotions, with 70% of beer sales in the retail channel now sold on promotion, compared to 67% the previous year.

It is also important to take in to account seasonality, which continues to play a significant role when it comes to beer sales.

According to Nielsen, 42% of sales volume in 2018 occurred in the summer months (June to September) and this period represented a significant part of sales in both the retail (47%) and the food service industry channels (39%).

The reasons for the increase in consumption in this period are mainly due to factors such as better weather, drawing more locals and tourists towards drinking in their free time.

Beer is consumed by more than 77% of all households in Portugal, and is purchased on average 9.5 times per year per person.