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Nightclubs in the UK: Market Research Report

Market Research • Market Size • Industry Statistics • Industry Analysis • Industry Trends

Nightclubs Market Research Report | SIC I56.301 | Feb 2017

Last call: Patrons are going to pubs with extended opening hours instead of nightclubs

IBISWorld’s Nightclubs market research report provides the latest industry statistics and industry trends, allowing you to identify the products and customers driving revenue growth and profitability. The industry report identifies the leading companies and offers strategic industry analysis of the key factors influencing the market.

Report Snapshot
Market Share of Companies
The Luminar Group Limited The Luminar Group Limited market share
Industry Statistics & Market Size
Revenue
£2bn
Annual Growth 12-17
-8.7%
Annual Growth 17-22
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Profit
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Employment
79,948
Businesses
7,263
Industry Analysis & Industry Trends

The music stopped for many nightclubs over the past five years due to legislation that extended the licensing hours of other drinking establishments. Nightclubs have lost their competitive advantage because late-night revellers can now stay in pubs or bars with a wider selections of drinks, lower prices and a more relaxed atmospheres. As a result, the industry has entered into a long-term decline.

Approximately one-quarter of nightclubs have closed in the past decade as operators have struggled to respond to new challenges from regulation, licensing, planning, business rates and policing. Many consumers purchase cheap supermarket alcohol to drink before going out rather than buying more expensive drinks in establishments, constraining industry revenue... purchase to read more

Industry Report - Industry Analysis Chapter

The industry has performed poorly over the past five years. Regulatory changes introduced in the 2000s allowed pubs and bars to operate beyond 11.00 pm, thereby removing nightclubs’ monopoly on late-night drinking. Changes in drinking habits and supermarket discounts on alcohol have led to patrons spending less time in clubs and purchasing fewer drinks. Increasing university tuition fees have encouraged students to be more guarded with discretionary spending, threatening industry revenue. However, this has been offset by a decrease in the rate of youth unemployment as young people tend to spend more on nights out.

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Industry ProductsRelated ReportsTable of Contents

What is the Nightclubs Industry?

This industry covers licensed establishments that sell beverages for on-site consumption and usually charge a fee for admission. This may come in the form of an entrance fee or a membership fee. They commonly provide musical entertainment and dance venues. The industry does not include public houses, bars, hotels or restaurants.

Industry Products
DrinksClub accessVenue hire
 
Industry Activities
Operating nightclubsServing alcoholic and non-alcoholic beveragesProviding musical entertainment and access to a dance floorOperating social clubs


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