Beer Marketer's Insights - Retailer Survey: STZ Will Be Biggest Shelf Space Gainer; FMB Segment to Gain Space; AB to Lose Space

Goldman Sachs "Beverage Bytes" retailer survey representing 37K retail locations or 25% of c-stores showcased many significant changes coming in Mar 2024. About 40% of retailers "expect to make more shelf/cooler space changes in their spring resets next year vs prior years." Total beverages broadly expected to gain incremental space in c-stores, with Energy Drinks leading the charge, and gaining the most. FMBs will be a "distant second place" in gaining space, while non-alc RTD teas, beer and non-alc juice categories "are expected to lose the most space," wrote Goldman Sachs analyst Bonnie Herzog. Among beer companies, Constellation will gain the most, Molson Coors 2d most and AB "is expected to lose the most space," according to survey. Almost 90% of Retailers Will Increase STZ Space, Avg of 4.3%; Monster Will Gain 3d Most Space Fewer than half of retailers (41%) expect to increase their alc bev space overall. Yet 88% of retailers expect to give Constellation more space. STZ space is "expected to increase by 4.3% on a weighted average store basis" and Modelo "will be the largest shelf/cooler space gainer in spring resets" among brands. Meanwhile, Molson Coors also "expected to be a big shelf/cooler space winner," with 65% saying MC will get more space, up by 2.1% on weighted average store basis. These retailers expect AB space to decrease by 3.6% on weighted average basis. Interestingly, HUSA, Boston and Mark Anthony space all expected to be relatively unchanged. The 3d biggest gainer of shelf space in alc bevs expected to be Monster, according to survey. Retailers expect Beast Unleashed/Nasty Beast Hard Core Tea to gain 0.7%. That's one of many reasons Bonnie sees bright skies ahead for Monster Beverages (see our Beverage Business INSIGHTS for more details on that).Craft Expected to Lose 3.5% of Space; Many Seltzers Could Be Discontinued "Retailers surveyed expect to decrease shelf/cooler space for Total Craft Beer by 3.5% on a weighted average store basis," wrote Bonnie. That's virtually same % AB expected to lose, tho of course AB has much more to lose. Interesting tidbit, just from one retailer, but worth noting (as Bonnie did): "Within the Hard Seltzer Category, one retailer in particular noted they expect to discontinue all brands but Truly, White Claw, Bud Light, Mich Ultra and two local brands." Will that prove a prelude to more widespread reductions in seltzer space/assortment?

Retailer Survey: STZ Will Be Biggest Shelf Space Gainer; FMB Segment to Gain Space; AB to Lose Space

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