Germany’s beer industry faced challenges in 2024, but data from CGA by NIQ reveals opportunities for growth, highlighting the resilience of beer as the nation’s most popular drink despite shifting consumer behavior and a decrease in venue distribution.
According to CGA’s monthly On Premise Consumer Pulse Report, businesses in the German On Premise sector are grappling with a decline in consumer visits. Nearly half of consumers (46%) report being heavily impacted by the ongoing cost of living crisis, a trend that is likely to persist into 2025. As a result, brands will need to work harder to encourage both trial and long-term loyalty.
Despite these challenges, going out to eat and drink remains a significant part of German life. Over two-thirds (69%) of consumers say they would feel disappointed or lost without the ability to visit bars and restaurants—well above the global average of 60%. Encouragingly, 21% of consumers intend to visit these venues more often in the coming month, while only 12% plan to cut back.
Beer maintains its position as the dominant beverage in Germany, with 42% of consumers purchasing it in bars and restaurants last month. However, it faces stiff competition from categories such as wine and cocktails, which have garnered more excitement and perceived value for money.
CGA’s newly enhanced On Premise Measurement (OPM) solution reveals that while beer sales in 2024 showed stable performance, they faced a slight decline in volume by 1.9%. However, beer’s value grew by 2.7%, signaling some resilience in the market. A major concern for the category, though, is the 3% drop in the number of licensed premises in Germany over the year to June 2024.
Breaking down the beer category further, the OPM data shows that Pils remains the most popular style, with 70% of beer drinkers choosing it when out, leading to a 4.4% rise in its sales value in 2024. Meanwhile, alcohol-free beer has experienced significant growth, with an 8.4% increase in value, now accounting for 10% of all beer sold in Germany’s On Premise sector. This growth is largely attributed to trends like Dry January, with 18% of consumers participating in 2025—5 percentage points more than the previous year. Among them, 20% sampled alcohol-free beer for the first time.
George Argyropoulos, Client Solutions Director EMEA at CGA by NIQ, commented on the market outlook, emphasizing that while Germany’s On Premise sector faces challenges, beer remains a central part of consumer culture. He pointed to promising opportunities in segments like alcohol-free beer, highlighting the importance of delivering value for money and fostering innovation. Argyropoulos stressed the need for suppliers and venues to identify key growth areas and match the right brands to suitable audiences to maximize growth.
CGA by NIQ continues to offer valuable insights through its OPM service, which has been updated in Germany to provide deeper analysis of beer and other major beverage categories. Combined with consumer research, the service provides a comprehensive view that helps businesses refine sales and marketing strategies.
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