CGA’s On Premise User Survey reveals that 26% of South African consumers drink tequila, making it the fourth largest spirits category. The market is predominantly young and female, with a significant preference for white silver tequila. Consumer preferences emphasize price and brand recognition, with opportunities particularly in the super-premium segment and cocktails.
CGA’s On Premise User Survey provides critical insights into the South African tequila market within pubs, bars, and restaurants. Approximately 26% of consumers report drinking tequila while dining out, making it the fourth largest spirits category, trailing gin, vodka, and whiskey. This highlights a significant market presence and the growing consumer interest in tequila.
The demographic data indicates that tequila consumption is predominantly among younger individuals, with around 73% of drinkers aged 18 to 34, and 67% identifying as female. White silver tequila is particularly favored among this demographic, showcasing trends that suppliers and venues can consider when marketing their products.
Pricing affects consumer choice profoundly, with 34% of participants emphasizing good value for money over spirit quality. Furthermore, 60% of consumers tend to request specific brands during their orders. This suggests that brand recognition and value pricing are pivotal in influencing sales.
There are substantial opportunities in the super-premium tequila segment. Notably, 41% of tequila drinkers prefer super-premium brands, which they frequently consume while out, averaging R1,292 in monthly expenditures—13% higher than the average. This demographic is more responsive to targeted promotions, highlighting an avenue for growth in the high-end tequila market.
Cocktails and bottle services also present growth prospects for tequila sales. Currently, 59% of consumers enjoy tequila as a shot, while only 33% incorporate it into cocktails, indicating untapped market potential. Additionally, around 72% of patrons have ordered a bottle, with a third doing so regularly during outings. This suggests opportunities for enhanced marketing strategies around celebrations and promotions.
According to Abhi Sehgal, CGA by NIQ’s client solutions manager EMEA, tequila shows promising growth in regions like South Africa. He emphasizes, “We’re seeing tequila delivering good rates of growth in many territories, and consumer interest is particularly strong in South Africa. On Premise guests are watching their spending carefully, but with the right positioning and value there will be great opportunities to unlock more sales as we move deeper into 2025.”
CGA’s OPUS is designed as a comprehensive resource for understanding consumer behavior in the On Premise sector. For further insights into CGA’s consumer research across South Africa, interested parties can obtain additional information or reach out directly to Abhi Sehgal.
In summary, CGA’s survey illustrates a burgeoning tequila market in South Africa, driven by young consumers who prioritize value and brand recognition. Opportunities exist particularly in the super-premium segment and through innovative marketing strategies targeting cocktails and bottle serves. The insights from the survey pave the way for strategies aimed at enhancing both awareness and sales within this vibrant spirits category.
Original Source: cgastrategy.com
