Big night in: We’re not going out

Shoppers were eager to recreate their favourite nights out while in the comfort of their own home, such as hosting virtual meet-ups with friends or settling in for a movie night with their bubble.

The sudden implementation of lockdown and ‘stay at home’ rules helped increase sales of traditional big night in products, including alcohol, savoury snacks and convenience foods.

Now the UK has left lockdown and things are getting back to ‘normal’, shoppers are returning to pubs, bars and restaurants – but that does not mean fewer visits to convenience stores for big night in products.

Jessica Markowski, convenience sales director at Budweiser Brewing Group, says: “The big night in occasion soared in popularity during the pandemic and even as the on-trade begins to re-open we expect to see a lasting shift in consumers socialising at home.

“During the summer months, we expect these moments to include spontaneous garden gatherings and small-scale, socially distanced nights in with friends.”

Premium serves
The alcohol category has probably benefited the most from the pandemic, with Clark McIlroy, managing director at Red Star Brands, calling it the “winner when it came to big nights in” in 2020.

He says: “With hospitality closed, Brits’ at-home alcohol consumption increased, with beer and lager sales growing fastest at 71%, and wine and spirits not far behind, both growing by more than 40%.”

Markowski says beer is a big night in staple, but recent consumer trends reveal a preference for more-premium serves. Premiumisation has helped boost the popularity of the big night in compared with other at-home occasions, even as the on-trade re-opens.

During the first lockdown in 2020, two-thirds of shoppers claimed to be treating themselves, indulging in better-quality drinks to “upgrade moments at home”.

Markowski says premium beers such as Budweiser and Stella Artois consistently delivered strong value sales last year, with Stella Artois selling 527 million pints in the off-trade. Budweiser grew in volume 30% faster than the total beer category.

Mass appeal
Premium flavours are becoming increasingly popular among younger customers, says Toby Lancaster, category and shopper marketing director at Heineken, especially with the warmer weather and people meeting up with larger groups of friends.

Heineken’s Old Mout flavoured cider brand launched a Watermelon & Lime flavour into the market in April this year. Heineken UK cider marketing director Rachel Holms says the flavour has mass appeal and strong consumer taste test results.

Rekorderlig also expanded its portfolio this year with the launch of a Pink Lemon flavour. Phil Pick, marketing controller for cider at brand owner Molson Coors Beverage Company, says citrus flavours have already taken 6% of premium fruit cider volume share, contributing 22% of value growth within the category.

Tropical ciders have been growing ahead of more traditional flavours such as red berries in the premium fruit cider market, he adds.
As well as premium flavours, shoppers have been gravitating towards larger multi-packs to keep their fridges well-stocked over lockdown and Calli O’Brien, marketing controller at Aston Manor Cider, believes this trend is set to continue.

She says consumers have valued convenience when it comes to their at-home drinking experiences, which led to a boost in fridge-ready ciders and larger multi-packs to “keep their home supply stocked up”.

One-third of shoppers only ever buy cider in cans, a format that also appeals to the 49% of consumers who think sustainable packaging is important.

Convenient formats
The trend for larger formats was also visible in the soft drinks category. The big night in opportunity helped grow soft drink occasions by 15%, says Phil Sanders, out-of-home commercial director at Britvic, leading to a shift away from impulse formats to larger bottles.

“As a result, while overall the soft drinks category experienced value and volume declines in total convenience last year, take-home soft drinks were one of the channel’s outstanding performers, reaching a third of soft drinks sales, growing by 19%.”

In a similar vein to alcohol, suppliers expect this trend to continue even as shoppers get back to the on-trade. “We expect high demand for larger packs to remain through the summer as people enjoy more nights in with friends and family,” says Amy Burgess, senior trade communications manager at Coca-Cola Europacific Partners (CCEP).

“Coca-Cola multi-packs offer volume and value for anyone looking to stock up for an evening together and sales are up 26% in independent and symbol stores. For retailers, it is important to strike the right balance between on-the-go and at-home formats, keeping space for both.”

Cocktails at home
As well as the trend for larger pack formats, the big night in occasion has led to a rise in soft drink mixers as more shoppers seek to re-create their favourite alcoholic drinks at home.

Burgess says: “As social mixing rules are relaxed, people will be looking for ways to make their big night in feel special with mixed drinks, cocktails and non-alcoholic mocktails. Retailers should stock up on a range of mixers to tap into this growing opportunity.”

She says CCEP’s Schweppes brand has increased in value by almost one-third over the past year, with a portfolio including Schweppes Classic Tonic, Schweppes Slimline Tonic and Schweppes Lemonade.

In 2020, there was a 38% increase in people enjoying cocktails at home, says Nick Williamson, marketing director at Campari Group UK, and 83% of consumers plan to continue to do so as Covid restrictions end.

When it comes to popular spirits that form the base of cocktails, Hannah Dawson, head of category development for the off-trade at Diageo, says gin is driving the biggest growth, accounting for a 49% share of total value.

With no signs of this slowing down, retailers would “benefit from maintaining a good range of gin to help drive sales”.

Premium spirits, much like premium beers, are seeing 28% growth in the off-trade. “With this in mind, retailers should stock super-premium and premium spirits, such as Tanqueray London Dry Gin and Tanqueray Flor de Sevilla, alongside high-quality crisps and snacks as another way to drive sales while allowing for a more-premium choice.”

Snacking together
Nic Storey, sales director at PepsiCo, owner of the Walkers crisp brand, says: “The on-trade has a pretty limited choice of crisps, snacks and nuts, whereas a convenience retailer will have a far greater breadth of choice available.”

This, combined with the fact that some shoppers now feel a big night in is a much more affordable way to have fun than visiting a pub every week, means there is still scope for retailers to push savoury snacks suitable for this occasion.

Driving force
Sharing and multi-pack formats have been the driving force behind much of the growth in savoury snacking over the past year. In fact, says Matt Smith, marketing director for Tayto Group, 24% of consumers are buying more sharing packs than they were a year ago.

Within multi-packs, Jon Wood, commercial director of Calbee UK, says Seabrook is the second-largest crisp brand. Its 6x25g multi-pack “performs well versus its peers”, with a brand value of £53m, penetration rate of 24% and a total of 50 million packs sold.

The product is available in a variety pack containing two each of Sea Salted, Salt & Vinegar and Cheese & Onion, as well as single-flavour multi-packs across a range of core flavours. Wood says: “Multi-packs continue to be an excellent choice for consumers looking to stock up on snacks for the big night in, as they offer variety.”

Flavour also remains a crucial trend for big nights in. Matt Collins, trading director at KP Snacks, says 51% of shoppers cite flavour as the number one reason to buy crisps or savoury snacks.

Storey says stocking new flavours, such as Walkers’ KFC range or the retro Quavers varieties will help to bring a point of difference to the convenience sector, as it is rare that shoppers will “get that wow moment when they visit the on-trade”.

Scott Snell, vice president for customer at Pladis, says its Jacob’s Mini Cheddar Sticks offer a sharing product with “big, bold trend-led flavours” – Rich & Tangy Cheddar and Grilled Cheddar & Sizzling Steak.

But retailers will need to balance out new and exciting flavours with value options, as Smith says consumers are increasingly concerned about the longer-term financial impact of the pandemic.

He says: “One-pound price-marked packs are growing three times faster than the overall market and now account for 39% of all snacking sales.”

Tayto’s Golden Wonder Ringos and Transform-A-Snack brands are performing well in this format and are likely to be popular with shoppers looking to share snacks with their families, he says.

Golden Wonder’s Fun Snacks range – including Tangy Toms, Spicy Bikers, Awesome Oinks and Quarterbacks in 30p price-marked packs – have been growing faster than the market.

Snell says: “Price-marked packs represent three-quarters of sales in the convenience channel, despite making up only 12% of lines, and alongside this 91% of shoppers are actively looking to save on groceries.

This means price-marked packs will remain a key driver of impulse purchases for independent retailers.” To help retailers make the most of big night in sales, Pladis has expanded its price-marked packs range with its latest flavour variants – Red Leicester, Nacho Cheese & Jalapeno and Ploughman’s Cheshire Cheese.

Home cooking
Some shoppers will be looking to make their big nights in more substantial with the inclusion of an evening meal. Pre-pandemic data shows 60% of meals were cooked at home, says Jose Alves, senior brand manager for Old El Paso.

But this has now increased to 72% and it is estimated that more than 500 million meals will be consumed indoors every week this year, with evening meals up by 32%.

Despite the on-trade opening up, Naomi Tinkler, category controller at McCain, says a large number of consumers will continue to reconnect with friends and family over meals at home.

“During the summer months, there will be a rise in consumers seeking ways to recreate large family occasions at home that they have had to forego over the past year.

“From barbecues to roasts, consumers will look to recreate these memorable moments with at-home celebrations. This provides an opportunity for retailers to ensure they stock a core range of products that will inspire customers when shopping for such occasions.”

She adds: “There has been a trend towards consumers trading up for premium own-brand labels and the money they have saved, which would normally have been spent on eating out, is being used to make mealtime moments at home more ‘special.”

Frozen growth
The frozen category – which, according to figures from market analyst Kantar, has outperformed the total grocery sector by 8% over the past year – can help consumers make mealtimes at home more special and allow shoppers to “recreate missed casual get-togethers with minimal effort”.

McCain expects to see its Lightly Spiced Wedges to continue showing strong growth, following a 4.5% increase in value over the latest 52-week period.

Paula Wyatt, head of marketing for pizza at Dr Oetker, says there has been an increased demand for frozen pizzas, which are “easy to pick up from a local store and [can be] enjoyed with a close group of friends and family”.

She says the Chicago Town brand has also seen growth and is now the biggest frozen pizza brand in both the total market and within symbols and independent stores.

“We see increasing demand for Chicago Town’s sub-brand, Takeaway, which is loaded with toppings and features an iconic stuffed crust of fresh dough similar to high-street take-away.

“It is growing ahead of the category at 11.9% in symbols and independents and continues to be a strong performer for the big night in category, with consumers trusting Chicago Town with their pizza night.”

World influence
As well as frozen, the world foods category has grown in the convenience sector as more shoppers cook from scratch at home. Alves at Old El Paso says this trend will continue even as restaurants re-open fully, as shoppers will be prioritising socialising with friends and family at home.

“Making the most of this occasion is Old El Paso’s heartland, so we are ideally placed to inspire people to switch up their meals using our versatile portfolio. In lieu of physical holidaying, the ‘travel by food’ trend will also continue, and this is a space in which Old El Paso plays really well.

“Our versatile portfolio combines the customisable, fun nature of Mexican food with easy convenience, providing a solution to ever-growing mealtime demands.”

Mexican products have seen 24% growth in the last year, with meal kits and components such as tortillas driving this growth. Alves adds that while meal kits have traditionally been the stronghold of the category, 22% of shoppers will only buy the individual components.

This split has been driven largely by the 2.1 million new shoppers entering the brand through components this year, especially relevant as the top-up shop was the number one mission (63%) claimed within convenience store trips between October and December 2020.

As casual dinner solutions and savoury snacking products are the most important categories for big nights in, says Rajveer Sekhon, retail marketing manager at Spar, it is important for retailers to merchandise them together.

For example, he recommends creating a meal deal of garlic bread with pizza or placing large bags of crisps next to relevant dips.

Alongside premium meals, shoppers will also be looking out for premium treats to round off a summer’s evening. Ice-cream is a fantastic all-rounder and the ideal treat to enjoy during a summer big night in, says Frances Booth, category marketing manager at Lotus Bakeries.

“Customers are usually looking for a more-premium treat that they have purchased especially for the occasion, as they want to create the effects of going out, in the comfort of their own homes.

“Ice-cream is the perfect convenient treat, offers a lot of variety and is an affordable way to have a little moment of enjoyment, whatever the weather or occasion.”

Indulgent evenings
Michelle Frost, general manager at Mars Chocolate Drinks & Treats, says hand-held multi-packs are dominating the ice-cream category at the moment and are currently worth £176m.

She says: “It is clear that wrapped hand-held products are key to driving growth in the ice-cream category and in convenience in particular. It is important for retailers to stock a range of favourite confectionery brands in ice-cream, to reap the sales benefits of familiarity and eye-catching packaging.”

Luxury pint tubs have been the biggest contributor to ice-cream growth, says Kat Jones, marketing manager for ice-cream at General Mills, accounting for 35% of take-home growth, with indulgent flavours such as salted caramel, cookie, chocolate and dessert flavours performing exceptionally well.

She says Häagen-Dazs became the fastest-growing luxury tub brand in convenience in summer 2020, as its tubs tap into sharing-at-home occasions while its mini cups provide “individual portion sizes ideal for those treat occasions while also catering to the mindful consumption trend”.

She advises retailers to pair ice-cream with other big night in categories and to make their ice-cream fixture more prominent. “Visibility is key for ice-cream, so make sure shoppers know where your freezer is and display branded POS.”

By Éilis Cronin