As the cost-of-living crisis continues to squeeze family budgets, a predicted increase in at-home socialising is good news for retailers ready to cash in on a Big Night In boom.
By Elena Dimama
The Big Night In occasion is expected to see big growth in the year, as inflationary pressures and the cost-of-living crisis leads an increasing number of consumers to stay indoors.
According to TWC Trends, 58% of Scottish consumers plan to eat out less frequently, while the rise of the ‘fakeaway’ trend set to continue.
Overall, 29% of consumers plan to have fewer takeaways to curb spend, with many planning to increase ‘entertaining at home’ occasions, TWC Trends figures reveal, while two-thirds of people believe it is important to make savings on their grocery bills, according to Nielsen.
However, 69% of consumers plan to shop at many stores to take advantage of offers, with 60% actively looking out for and trying to buy products when on promotion.
Home dining
“As the recessionary environment hits, we expect to see growth in in home family dining and at home socialising,” Ben Parker, GB Retail Commercial Director at Britvic, notes. “Consumers have been feeling the pinch from rising living costs and inflation this last year, with consumer confidence at the lowest point on record.”
Indeed, total take-home soft drink sales in convenience and impulse over the last year showed growth of 5.3% versus 2021, according to IRI, with social occasions being worth £2.64bn for the year to 27 November 2022, up 3.6% annually, according to figures from Kantar.
“For those consumers who are planning nights in with friends and family over socialising outside of the home, larger formats such as our 2-ltr sharing bottles and multipacks of carbonated soft drinks as Pepsi MAX, Tango and 7UP Free play an important role.
“Interestingly, cola is now the second-most-consumed mixer with spirits at home, with eight million more occasions compared to pre-pandemic levels. Cola flavours are driving growth, with 56% of Pepsi MAX’s penetration coming exclusively from flavours. This shows consumers have an appetite for new and interesting flavours within the cola category.”
Sharing wins
“Sharing formats are particularly important to Gen-Z consumers,” Mike Chapman, Head of Wholesale at PepsiCo says, “with 71% favouring a night at home with friends or family.” Indeed, according to Kantar, this demographic is snacking three times daily, seeking intense flavour experiences when choosing products for the Big Night In.
“Sharing RRP price-marked packs continue to be hugely important in driving continued growth of the category, accounting for 68% of total CSN growth,” Chapman adds. “RRP PMPs remain the number one contributor to crisps and snacks growth in value vs other segments, so stocking the right mix of standard and RRP PMP sharing formats is key for retailers, particularly to maximise occasions like Big Night In.”
For Kepak, PMPs “continue to provide a vital reassurance of value, with all of Rustlers’ best sellers available in this format, however, value isn’t just confined to the price of a single product,” with Ross Davison, Head of Convenience at Kepak (Foods Division), explaining: “Meal deals and bundle offers are popular with shoppers seeking savings. Product promotions also highlight good value and drive impulse purchase, such as an on-pack promotion giving shoppers something extra.”
- Be visible – Posting clear point of sale material in-store and posting on social media channels can help increase basket spend. Use gondola ends for take-home soft drinks in large formats. Create displays alongside complimentary categories such as snacks to create the Big Night In.
- Offer value – Special deals in store are a key sales driver and need to be available next to regularly priced soft drinks to ensure that retailers have a clear choice when it comes to selecting the right mix for their stores. Including large formats of soft drinks in deals with snacks and meal deals will support shoppers looking for an easy big night in solution.
- Stock favourites – Shoppers are seeing more value in the familiar brands they trust. This could be down to shoppers having less disposable income, therefore they are defaulting to the well-known, trusted brands.
- Know your events – Make sure you are aware of upcoming events, including key sports events, bank holidays and seasonal occasions. Ensure you are prepared with the right range and enough stock to keep up with demand, catering for all the family.
- Gen-Z: Sharing formats are particularly important to Gen-Z consumers, with 71% favouring a night at home with friends or family.
- Pre-planned missions: Nights in are often planned in advance, with 83% of purchases in the occasion pre-planned. This brings a massive opportunity for retailers to gear their displays towards the Big Night In occasion, especially towards the end of the week when more nights in take place.
- Cross-category purchases: As 84% of night in occasions are enjoyed with beverages, there’s a clear opportunity for retailers to drive cross-category sales and tailor their displays and promotions.
- Celebratory occasions: Crisps and snacks play an important part of social occasions, as shoppers come together to celebrate in the comfort of their own homes. Christmas represents a significant opportunity for retailers to increase basket spend in-store, especially within the savoury snacks segment. Shoppers often are on the lookout for something a little less ordinary to enjoy, with bold flavours in sharing formats key to boosting sales here.
