Brunch booms, nightclubs struggle and beer dominates on premise

Family or friends eating at a restaurant with beer brunch on premise

The on-premise market is shifting. CGA by NIQ’s latest data highlights when and why people are heading out — and what they’re drinking. For craft brewers, these changing patterns signal opportunity, especially in brunch service, draft dominance, and non-alcoholic innovation. The data on brunch and nightclubs come via an excellent article from Matthew Crompton, CGA by NIQ Vice President On Premise, talking the latest market trends for Bar & Restaurant News (where the article appeared first). The data on beer and RTDs on premise come from previous CGA reports covered on Craft Brewing Business (links below).

Brunch is booming for Gen Z and parents

CGA by NIQ reports that 39% of 21-24-year-olds now go out for brunch, making it the top daypart for Gen Z. Parents love it even more: “It’s the most popular daypart for parents as well, with 47% of them choosing this time to dine out.” Consumers are willing to spend more at this time too — $12.49 on average for a standard cocktail — the highest of any part of the day. But brunch isn’t just about mimosas and Bloody Marys anymore. From the article:

Beer also has a strong presence during this time of day. Forty-seven percent of consumers say their drink choice is influenced by alcohol content, while 35% consider calorie information. This aligns well with packaged beer and non-alcoholic options, which we’ve discussed in previous articles.

This matters for breweries. Brunch-friendly beer styles, sessionable IPAs, fruit-forward sours, and low-ABV options, can help taprooms become brunch destinations. Operators should consider food pairings and events to build brunch into their weekly sales strategy.

Nightclub traffic drops, but experiences still matter

Nightclubs are struggling. Since March 2020, 1 in 5 casual nightclubs have shuttered, according to Crompton’s article. Rising costs, shifting habits, and dating apps have changed how people spend late nights out. However, “high energy” venues still see strong alcohol spend, according to the article. Consumers in these spaces may earn less but spend more per visit, prioritizing experience over budget. Craft brewers can still win in these venues through unique tap handles, collaborative brews, limited drops and promotional nights.

Beer is still the on-premise champion

Despite rising RTDs and shifting trends, beer holds 40.5% of all on-premise alcohol sales, according to our recent article citing CGA’s On Premise Measurement data. According to CGA by NIQ’s exclusive Draft Beer Report, draft beer now makes up 52.3% of out-of-home beer volume, overtaking packaged beer in volume and value. Craft beer leads the draft category, capturing 47.2 cents of every draft dollar spent. While overall beer sales dropped by 2.9%, draft only slipped by 2% — showing that freshness, flavor, and presentation still matter to consumers. For small brewers, this is your stronghold. Keep kegs flowing and lines clean. Build loyalty through consistent quality and rotating styles. On-premise success still starts with a great pint on draft.

RTDs and NA beers are gaining ground

RTDs grew fast in 2024, especially in bars and nightclubs. According to this report, these convenient, innovative drinks added 0.4 percentage points to their share year-over-year, and even more in high-energy venues. Younger drinkers are drawn to new flavors and grab-and-go formats. Last year’s data saw non-alcoholic beer increase 33.7% year-over-year on premise, fueled by health-conscious consumers. IPAs and stouts led this charge, growing by 170% and 130% respectively. Craft brewers should take notice. Non-alcoholic options are no longer niche. Offering NA beer or collaborating on RTDs can capture new audiences without compromising your brand identity.

Innovation isn’t just about what’s in the glass

CGA’s broader data confirms a new direction: taprooms are becoming destinations. From elevated brunch to high energy clubbing, customer experience is the next competitive edge. Think beyond the beer. Add brunch. Expand your NA menu. Embrace tech. Host events. Train staff. Breweries that innovate on- and off-the-glass will stand out in a crowded market.