Breweries are deeply disappointed by the EM
When millions of fans celebrate together, it's usually a safe business for breweries. However, the expected "Football-EM effect" did not materialize, and beer sales even decreased slightly in June. The industry can explain this.
The Football European Championship brings long faces to German breweries. Companies had expected a strong demand push when fans celebrate together and drink deeply. However, it didn't turn out that way: "The Football-EM effect flopped for the breweries," says Veltins' General Proxy Michael Huber. According to his company, which has a good market overview as a shareholder in a logistics company for supermarkets, only eight million hectoliters of beer were sold in Germany in June and slightly less than in May.
The decline is surprising because, in general, more beer is consumed in June than in May. Roughly speaking, the rule is: The warmer and sunnier the weather, the more beer is consumed. However, the rainy weather dampened the drinking mood. People didn't gather in large numbers to "Rudelgucken" (watch together), but instead watched football alone at home and drank relatively little beer, Huber says. "That's different from when you invite the neighbors for a barbecue and drink beer." There's a consumption restraint and thriftiness. In addition, the omnipresent dark themes of world politics sometimes prevented a carefree party atmosphere. "We've felt that."
It was different during the "Summer Fairy Tale" - the Football World Championship in Germany 2006. Back then, the beer sales in June were estimated to be around 11 million hectoliters, three million more than in June of this year. In the beer gardens of some cities, more beer was indeed consumed, but these were local effects, Huber says. Breweries sell only about a sixth of their beer to the gastronomy in Germany, and the lion's share of their business comes from trade - and sales there declined, according to Veltins' assessment.
Positive Half-Year Figures from Veltins
Veltins also presented figures, according to which the family business sold about four percent more beer in the first half of 2024 than in the previous business year. The total output was estimated to be around 1.7 million hectoliters. In June, Veltins also recorded a minus. Manager Huber only expects slight growth for the second half of the year.
The German Brewers' Association also expressed reservations about the consequences of the Football-EM for the industry. "Unfortunately, the weather didn't play along as we had hoped," says Managing Director Holger Eichele. "The rollercoaster temperatures and frequent storms made it difficult for many innkeepers to run their business, and some garden parties were washed away." The brewing industry is also feeling the consumption restraint, and the mood to consume has deteriorated.
A Radeberger spokesperson also spoke out: "The German beer market remains under pressure," she said. "Even if it's too early for a final balance, the Football-EM in the area probably couldn't bring the larger sales impulses that the industry had hoped for." The Statistical Federal Office will publish the sales figures for June and thus for the entire first half of the year in two weeks, these figures may be more precise than the Veltins estimate.
The Radeberger spokesperson, looking at the overall market, stated that brewers were hoping for a summer that would still eventually come and bring important sales impulses. A Krombacher spokesperson expressed satisfaction with the business development of his company in the first half of the year. Warsteiner declined to comment on request.
Despite the anticipated 'Football-EM effect', German breweries experienced a decrease in beer sales during the European Football Championship 2024. The rainy weather and the shift from social viewing to individual home viewing contributed to the decline in beer consumption. According to the German Brewers' Association, the industry is also feeling the impact of consumption restraint and a deteriorating mood to consume.
