Topping up: The warm summer and World Cup have supported a brief upturn in performance

Operators in the Pubs and Bars industry primarily prepare and serve alcoholic beverages for consumption on their own premises, but also prepare and serve a range of non-alcoholic beverages and food. The industry has endured a difficult past five-year period, but revenue is expected to rise by 0.8% in the current year to reach £18.1 billion, due to a spike in popularity of pubs caused by warm weather and the 2018 World Cup. Overall, revenue is estimated to decline at a compound annual rate of 1.3% over the five years through 2018-19. The downturn of the industry is heavily attributable to a steady fall in alcohol consumption per capita since 2012 and increased price competition from supermarkets...read more.

Industry Statistics & Market Size
Revenue
£18.1bn
Annual Growth 14-19
-1.3%
Forecast Growth 19-24
Profit
Employment
411,390
Businesses
30,508

Industry Threats & Opportunities

  • After a difficult past five-year period, the industry is expected to grow in the current year
  • The weak pound has hampered profit and some operators have reassessed their supply contracts
  • The UK’s exit from the European Union could push up costs and necessitate new supply arrangements
  • Industry Report - Industry Locations Chapter

    The South EastThe distribution of pubs and bars generally reflects the spread of the population around the United Kingdom. Therefore, it is unsurprising that the South East accounts for the largest proportion of industry establishments, with 13.3% located in the region, reflective of the 13.7% share of the population that live in the region. The South West contains some of the country’s most populous counties, such as Kent, Hampshire and Surrey, as well as cities like Oxford and Brighton, which have large student populations. The South East ranks second highest in terms of gross disposable income, which supports spending in pubs and bars.The North WestThe North West is expected to account for 11.7% o...purchase to read more.

    Additional Insights for the Pubs & Bars Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Pubs & Bars Industry are

  • Highly trained workforce
  • Having a wide and expanding product range
  • Ability to attract local support/patronage
  • IBISWorld analysts also discuss how external factors such as Alcohol consumption per capita and Real household disposable income in the Pubs & Bars industry impact industry performance..

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    What's in this report

    What is the Pubs & Bars Industry?

    Pubs and bars prepare and serve beverages for consumption on their own premises. The industry includes only individuals and companies that operate pubs. Companies that own but do not operate pubs, such as property companies and pub companies (pubcos), are not covered in this industry.

    Industry Products
  • Beer
  • Spirits and spirit-based drinks
  • Wine
  • Food
  • Cider
  • Industry Activities
  • Preparing and serving alcoholic beverages
  • Serving non-alcoholic beverages
  • Preparing and serving food
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Alcohol consumption per capita
  • Real household disposable income
  • National minimum wage
  • National unemployment rate
  • Consumer confidence index

  • Current Performance
  • A sobering picture
  • Profits run dry
  • Growth areas
  • While the sun shines
  • Chart: Revenue Growth

  • Industry Outlook
  • Weak profit gains
  • A competitive market
  • Premium growth
  • Table: Pubs & Bars Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Pubs & Bars Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Consumers

  • Key Selling Industries
  • Alcoholic Beverage Wholesaling
  • Coffee, Tea & Spices Wholesaling
  • Fruit & Vegetable Wholesaling
  • Juice, Mineral Water & Soft Drink Wholesaling
  • Meat Wholesaling

  • Products & Services
  • Beer
  • Food
  • Spirits and spirit-based drinks
  • Wine
  • Other
  • Cider
  • Chart: Pubs & Bars Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • People aged between 26 and 35
  • People aged between 36 and 55
  • People aged over 55
  • People aged between 18 and 25
  • Chart: Major Market Segmentation for the Pubs & Bars Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesWagesRentOther costs
  • Chart: Cost Structure Benchmarking – Sector vs Pubs & Bars

  • Basis of Competition
    Internal competitionExternal competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Pubs & Bars Industry

  • Industry Globalization
    JD Wetherspoon plc, Mitchells & Butlers plc, Greene King plc,
  • Table: JD Wetherspoon plc - financial performance
  • Table: Mitchells & Butlers plc - financial performance
  • Table: Greene King plc - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Pubs & Bars Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Pubs & Bars Industry
    Includes:
  • Industry Revenue (2010-2024)
  • Industry Gross Product (2010-2024)
  • Establishments (2010-2024)
  • Businesses (2010-2024)
  • Employment (2010-2024)
  • Wages (2010-2024)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Off-Trade
  • The sale of alcohol to be consumed off the premises, such as from a supermarket or off-licence.
  • On-Trade
  • The sale of alcohol to be consumed on the premises.
  • Wet-Led
  • A pub that derives most of it sales from drink, rather than food.
  • What Our Customers Say

    Why buy this report?

    The Pubs & Bars market research report provides key industry analysis and industry statistics, measures market size, analyzes current and future industry trends and shows market share for the industry’s largest companies. IBISWorld publishes the largest collection of industry reports so you can see an industry’s supply chain, economic drivers and key buyers and markets.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Pubs & Bars:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Pubs & Bars market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Pubs & Bars, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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