In its first-quarter results, announced today, Endeavor Group said retail has continued to grow with consumers searching for value as evidenced by a shift to mainstream beer.

Retail sales through BWS and Dan Murphy’s grew 2.6 percent compared to the previous corresponding period, with the company noting shifting category trends including higher demand for mainstream beer and pre-mixed drinks.

These market insights mirror those of Coles Liquor, which announced its results last week.

Total retail sales of $2.5 billion were recorded across all retail, with frequency of purchase and average item prices increasing, offsetting the number of items purchased per basket.

Commentary accompanying the results noted that new products remain a key driver for customer engagement and growth, with more than half of the sales growth in BWS and Dan Murphy’s this quarter achieved through new products.

The company added 626 new products to the range during the quarter, half from “smaller suppliers” and 82 were released as part of its exclusive Pinnacle Drinks portfolio, including the launch of its beer partnership with the band Lime Cordiale.

eCommerce channels grew 8.7 percent to $221 million with ‘double-digit online sales growth driven by the convenience of pick-up at store, which comprised a record 70% of Dan Murphy’s online orders placed in the quarter’.

Price inflation moderated to approximately 5 percent year-on-year, “driven primarily by excise increases in beer, spirits and pre-mixed drinks categories”.

Hotel sales increased in the quarter by 2.8 percent to $553 million with growth in bars, food and acommodation offsetting a decline in gambling.

“Australians continue to seek out local, quality social experiences in hotels, which offer outstanding value for money.”