Supermarkets set to beat pubs in World Cup battle
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Supermarkets to beat pubs in World Cup battle
- Tesco boss Ken Murphy admitted planning a game was a ‘curveball’
- Leading up to tournament even more complicated by rising cost of living
- Pub industry fears this could keep fans at home in an effort to cut spending
Pubs and supermarkets are gearing up for the battle to recruit customers who tuned in to the World Cup.
The tournament, which starts on Sunday, has the wrong shop and catering bosses, who have never experienced a World Cup in the winter. Tesco boss Ken Murphy admitted scheduling the competition for Christmas was a “curveball.”
And the run-up to the tournament has been further complicated by the rising cost of living, which has led to a decline in consumer confidence. There are fears in the pub industry that this could keep fans at home in an effort to cut spending.
Flying the flag: The tournament is confusing retail and hospitality bosses who have never seen a World Cup in the winter
Shore Capital analyst Clive Black said that if England and Wales perform well, the tournament will be a win-win for grocers and the pub sector. Black said: “That would be a game changer for December demand and would greatly benefit the pub trade.
“As the momentum builds during the competition, people will want to come together.”
But Black said it will be “very different” to a World Cup in the summer, with smaller crowds and mostly indoors. And with smaller crowds in pubs and bars, many will be watching games at home, Black said, which “will be very good for supermarkets.”
Black said: “It’s a big win for supermarkets and a bit more than a draw for pubs because they will get visitors but not what they would do for a World Cup in the summer.” Global Data research showed that spending in pubs, restaurants and bars will be a tenth lower than the World Cup four years ago, and less than half of last year’s euros. The survey found that TV sales will be higher than in previous matches, further indicating a shift to home viewing.
And retailers, including Waitrose owner John Lewis Partnership and Marks and Spencer, have said they expect to benefit from the tournament.
M&S found that while more than half of its customers plan to watch every game, more plan to watch at home or at friends’ homes. More than a third of M&S shoppers also said they plan to cut down on pub trips in the run-up to Christmas as they enter a ‘self-imposed lockdown’ to save money.
Marketing Director Sharry Cramond said: ‘Our clients have told us that a winter tournament means they will put themselves in a ‘self-imposed lockdown’ in the run up to Christmas, stay home more and go to the pub less. eating out and even getting takeaway.’