Hospitality sales rise 2.7% in run-up to Xmas
While the like-for-like sales growth in the week before Christmas was not the best, sales still beat recent inflationary benchmarks
Hospitality groups recorded year-on-year sales growth of 2.7% in the run-up to Christmas during the week beginning 16 December, according to CGA by NIQ’s Hospitality Business Tracker.
It comes as year-on-year sales failed to meet inflation in six out of the past 11 months, which left operators to balance fine margins throughout the year.
According to CGA by NIQ, this Christmas has carried the burden to make up for “strained” trading in the previous year and bolster business for the year ahead, as staffing costs are expected to rise even further in April 2025.
While the like-for-like sales growth of 2.7% in the week before Christmas was not the best, sales still beat recent inflationary benchmarks – making it a “solid” performance overall.
However, the success has not been divided equally across the market.
A confluence of Christmas parties, late-night sporting events, and convenient bank holiday scheduling may have all contributed to the strongest performance seen among managed bars this year, of 20.5% growth.
Although consumer spending may be restrained currently, the tracker found that there is still “remarkable” consumer desire to make the most of special occasions.
Food-led operators also saw relatively stronger performance, with like-for-like growth of 3.4% in the on-the-go sector, and 2.1% in restaurants. Meanwhile, pubs saw only a minor growth of 0.7%.
