Ad Track: Brewers hope beer lovers party on St. Pat's
NEW YORK -- Bars and beermakers hope that a little marketing and some Irish luck will keep the party alive on March 17.
St. Patrick's Day ranks third among holidays, behind New Year's Eve and Halloween, for celebrating with parties — at home or on the town. But St. Pat's consumer spending for this year is expected to fall about 10% from last year, to $3.2 billion, according to the National Retail Federation.
"When it comes to attending a party at a restaurant or bar, about one-third say that is how they will celebrate," says Kathy Grannis, NRF spokeswoman. "That hasn't changed."
What's changed is how much they'll spend. The NRF study shows that this year, people plan to spend $32.80 per person, vs. $35.04 in 2008.
That has brewers worried.
"Beer is down slightly so far this year, and the economy is having an effect" says Benj Steinman, president, Beer Marketer's Insights. "People will take advantage of St. Patrick's Day, but maybe to a slightly lesser extent; maybe more at home and with cheaper brands."
That would be bad news for premium Irish brew Guinness, owned by spirits giant Diageo. Guinness does 25% to 35% of its annual U.S. volume from mid-February — when it begins St. Patrick's Day promotions — through the end of March.
The economy already has hurt. North American volume fell 7% for the second half of 2008. That led to a reorganization last week and 150 layoffs.
To drive sales, the company has put much of its marketing budget into promoting the "perfect pour" for a pint of Guinness.
That includes tutoring bar and restaurant staff. Guinness has doubled to 10 its full-time "pour specialists" who train distributors, who in turn, train bartenders. They say Guinness should be served at 39 to 43 degrees in a pint glass with bulbed "tulip" top. With the glass at a 45-degree angle, pour it three-fourths full, let it settle, then top it off for a foam "crown." Guinness says that pour should take 119.5 seconds and that doing it right can increase sales by as much as 15%.
