Czech restaurants mostly avoided price hikes in Q3. Beer rose by 10% in one segment
Although the on-trade channel saw rapid price increases in the spring of 2021 as part of its "reopening", there was no significant beverage price hike in the summer. Market data for July to September show that just a handful of spirits cost more now than in the spring. The one glaring exception being hotel restaurants.
The biggest increases were for gin, which rose by 8%, and rum, for which consumers paid an average of 7% extra. Vodka prices rose by 4%. By contrast, soft drinks did not show any significant price fluctuations, except for the popular Czech beverage Kofola, which cost 7% more on average. That's according to our on-trade data from more than 7,000 individual outlets.
Hotels are raising prices
Hotels are among the sectors hardest hit by lockdowns and other anti-pandemic restrictions, so their menus have been affected by price increases, even in drinks that remained flat in other outlet types.
For example, beer in a hotel restaurant cost an average of 10% more. The prices of popular soft drinks also rose: Mirinda by 14%, Kofola by 12% and Coca-Cola by 6%. This difference is attributed to the fact that many hotels opened and changed their price lists during the summer season whereas other types of outlets managed to do that before.
Surprising beer prices
Beer was a surprise given the rising prices of spirits. Compared to other alcoholic beverages, beer was up only by 2.7% on average and even got a bit cheaper in some regions (Pilsen and Zlín regions).
"Traditionally, suppliers adjust their prices during autumn. At the same time, business owners will be evaluating the results of the summer season, the impact of increased operating costs and the need to further adjust their prices. It will be interesting to see how this will affect further price developments in the on-trade channel and whether we are in for another round of significant price increases," says Martin Nepraš, co-founder of SharpGrid.
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