Industry Analysis & Industry Trends
Off-licences are licensed to sell alcoholic beverages to be consumed off their premises. The industry has endured turbulent operating conditions over the past decade, with strong and consistent declines in establishment numbers and constrained revenue. Traditional off-licences have struggled under the weight of predatory pricing by supermarkets, while the prolonged effects of the economic downturn also weighed on performance in the early part of the period. Disposable incomes shrank during the downturn and consumers cut back on discretionary products such as alcoholic beverages. As their sales and margins collapsed, many off-licences were forced out of the industry... purchase to read more
Industry Report - Industry Locations Chapter
Establishments in the industry are distributed broadly in line with dispersion of population and income.
London is home to the largest percentage of off-licences in the United Kingdom with IBISWorld estimating that approximately 21.1% of establishments are located here. This is significantly higher than London's share of the total UK population, which is 13.2%. This is partly due to consumers in this region having a higher-than-average income to purchase discretionary products with. Due to the high price of retail space in London small retailers often perform well. A further benefit for off-licences is that larger supermarkets can be inconvenient to travel to, meaning individuals often prize the accessibility that off-licenses afford. How.. purchase to read more