Growing need for ‘offline’ bars

A new on-trade report by CGA and Pernod Ricard has set out the trends that will shape hospitality over the next decade, such as the need for ‘social switch-off’ in bars.

The new Bars in 2035: Insights from the leaders report explores the trends, opportunities and the future of bars with insight from nine experienced industry professionals.

The report was based on a roundtable chaired by CGA in association with Pernod Ricard’s global trade advocacy programme, Sip, as part of the World’s 50 Best Bars Awards in Madrid at the end of 2024.

The participants in the roundtable were: Priyanka Blah, founder of The Dram Attic; Simone Caporale, founder of Muyu, P(our) and Barcelona bar Sips; Indra Kantono, co-founder of Jigger & Pony Group; Alex Kratena, co-founder of Muyu and London’s Tayēr + Elementary; Francois Monti, founder of the Bitterness agency; Sara Moudoulaud of Bar Nouveau in Paris; Danil Nevsky, founder of Indie Bartender, the Vagabond Project and the Daiquiri Kombat Klub (DKK); Remy Savage, creative director of Le Syndicat and La Commune; and Anna Sebastian, founder of Anna Sebastian Hospitality and Celebrate Her.

‘Need to disconnect’

One important aspect discussed was the need for disconnection when it comes to social media.

The report noted that more venues, brands and consumers are pushing back against the ‘always-on’ culture, and looking for refuge from the online world.

Sebastian said: “Offline bars like The Spy Bar in London aren’t new, but they are growing. In the future there will be a need for bars like this, where consumers can just enjoy the night without the pressure to take photos.”

Savage added: “I think there is going to be a desperate need to disconnect [from social media] at some point. It will be seen as quite cool in the future to have an experience that is left for discovery during the visit.”

The report highlighted the need to improve recruitment in the hospitality sector with the latest generation of bars workers demanding more support, better pay and opportunities to develop their careers.

The roundtable participants noted an increased demand for flexible working and growing investment from brands and the industry to build a healthier environment.

Another key aspect of the report was the return to ‘stripped-back and good-value drinks’ with a desire for simplicity reflecting a ‘broader demand for consistency and reliability’.

This demand for simpler serves is also being driven by value following economic pressures, CGA by NIQ’s research showed.

The move towards moderation was also highlighted in the report as drinkers focus on their health and spending. The demand for low-and-no serves is particularly prevalent among younger consumers who are seeking ‘not just a good drink but an all-round experience’ in bars.

In addition, the report noted the rise of ‘alternative’ alcohol such as drinks containing nootropics that provide a different type of relaxation. There is room for these mood-boosting drinks (like Three Spirit and Trip) to co-exist alongside alcoholic serves, the report emphasised.

As Kratena noted: “It’s uncomfortable to say it, but some people are drinking less because they take more drugs. If we see global drug attitudes and policies continue to relax, the threat they pose to the on-premise could grow in the next five to 10 years.”

‘Working in a bubble’ 

The roundtable also explored how it can avoid insular thinking and ‘burst the industry bubble’ as popular bartender trends and spirits (like mezcal) struggle to gain traction with consumers.

The panellists agreed that brands need to look beyond ‘elite bars’ like those listed on the World’s 50 Best lists, to provide a ‘flexible and personalised approach to the trade’.

Caporale said: “Sometimes we tend to think that the World’s 50 Best Bars list represents what’s happening in the world, but that’s not true. If we think of the hospitality industry as an entire human body, those 50 bars represent less than one fingernail. So you have to think: what is happening in the rest of the body?”

Nevsky added: “Most people in bars have no clue that the list exists, so we’re working in a bubble. We need to reach the 99% of bartenders who find it less feasible to have a sustainable, long-term career in bartending… I’m not seeing anyone providing a solution to that.”

There is also a need to keep in a mind a global mindset while embracing local and national trends as consumers seek a balance between the two. Drinking out has become democratised with consumers being more global in their outlook due to travel, social media and education.

CGA by NIQ’s Reach research found that a quarter (24%) of global consumers say it is now more important to them than it was a year ago that their drink is from their own country. Furthermore, 36% of bartenders think local brands are best placed to thrive in the year ahead, according to the 2024 Global Bartender Report.

Savage said: “We’re heading towards cultural as well as environmental sustainability. There will be an increased emphasis on bars and restaurants that understand they are part of the cultural landscape of a place.”

Adapting in an unpredictable world was also a key topic as the industry has dealt with recessions, a global pandemic, inflation and geopolitical conflict. On a positive note, the roundtable participants noted that these challenges have forced businesses to become more agile and prepared for a crisis.

Consumer behaviour has also changed following Covid-19 with drinkers becoming more focused on their health and going out less, but they still want ‘memorable and meaning experiences’ when drinking in bars.

Monti said: “Crises can drive consumers to seek fewer, more memorable experiences… Instead of going out three times, they might go out once  – but they want that experience to be exceptional. We all have to ask: is the cocktail world still delivering that experience?”

According to a recent study conducted on behalf of the Night Time Industries Association, the majority of young people in the UK are going out less than they did a year ago.

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Author: Nicola Carruthers