Thursday, October 15, 2015

Spending On Alcohol Growing At Restaurants

By Cornelius Nunev


Adults of the right age sometimes enjoy alcoholic beverages, which are a multi-billion dollar company. However, spending is often more pronounced in dining places, where people have been steadily charged more for libations.

Markup schmark-up

"What America Spends On" is a series done by NPR that showed more Americans are spending increased amounts on alcohol in bars and dining places. This looked at the last thirty years comparing 1982 to today.

Only 24 percent of spending was on alcohol in restaurants and bars in 1982 while the other 76 percent was spent in shops. This was during the Cold War when Americans were struggling through.

About 40 percent of alcohol spending takes place in dining places and bars now, which means we are spending more there. Only 60 percent is spent in stores. There has also been a massive increase in bar and diner costs. They went up 79 percent, compared with the 39 percent drop in prices at shops. It might even suggest more people are buying at shops.

Different spending habits

Part of this change that the nation faced incorporated the fact that the country has seen changes in spending. For instance, in 2010, 16.2 percent of alcohol is spent on spirits while 39.7 percent was spent on wine. In 1982, only 16.2 percent was spent on wine, 34.6 percent was spent on spirits and 48.9 percent was on beer. Tastes have gotten much more costly.

The wine industry in America is in the midst of a gilded age. In 2011, according to the San Francisco Chronicle, there were 329.7 million cases of wine shipped around the country, which marked a milestone as the U.S., for the first time, eclipsed France as the chief wine-drinking nation, as that country went through 320.6 million cases.

In 2010, the American wine industry was a $30 billion industry. In that year, 241.8 million cases were sent from a lot of different wineries. Millennials are willing to spend more on costly bottles and are drinking more. California by itself produced 61 percent of that wine, which means California is the state where much of the wine comes from.

Most drink beer

From 1982 to 2012, the amount of beer that people drank did not change at all. In fact, it was 47.7 percent of sales in 2012, according to NPR. People are drinking less overall though because beer production has dropped, according to BusinessInsider, from 203 million gallons produced in 1990 to 182 million in 2011.

From 2010 to 2011, there was an 11 percent increase in craft breweries. These breweries are becoming much more popular than regular beer companies right now. In fact, in 2011, there were almost 11.5 million barrels produced making $8.7 billion in revenue. That is a 5.7 percent share of the industry. In 2011, there were 1,989 craft breweries with 250 brand new breweries opening and 37 closing soon.



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