Spending In Irish Hospitality Venues Increased In June, Says AIB
Summer 2023 got off to a scoring start for pubs in June, according to the AIB Spend Trend report.
Despite the change in weather this month, during the hottest June on record, average daily spending in pubs increased by 28% month on month, by 12% in hotels and by 7% in restaurants. Spending in both pubs and restaurants peaked on 24 June , the day of Dublin Pride.
There was a slowdown in people booking airline travel compared to May (-6%), likely because people have decided on their holiday plans already. That decrease was across all age groups, with those aged 65 and over accounting for the biggest decrease (- 10%).
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While spending on hardware fell by 3% month on month, this was only a slight decrease following a significant 7% increase in May, indicating that people are still enjoying time in the sun in their home and garden.
The data was compiled from approximately 70 million debit and credit card transactions in store and online during June 2023 and has been anonymized and aggregated.
- Overall average daily spending increased by 4%.
- Spend on groceries increased by 3%.
- There was an increase of 9% in spend using the digital wallet and a 4% increase in spend using contactless.
- Pubs had the highest average daily spend increase by customers from Donegal (34%), Mayo (33%) and Laois (33%).
- Hotels had the highest average daily spend increase by customers from Laois (30%) and Carlow (29%).
- Restaurants had the highest average daily spend increase by customers from Cavan (15%).
- The June Bank Holiday weekend saw a 20% increase in hotel spend compared to the previous weekend. The highest spend day for hotels was 30 June.
Statement By Head Of SME Banking At AIB
Speaking about the data, John Brennan, head of SME banking at AIB, said, “Summer is typically a busy time for the hospitality sector, and pubs are experiencing a strong start with a 28% increase in spending in June. Hotels and restaurants have also performed well, with a 12% and 7% spend increase in the month, respectively. Grocery spending continues to rise, with a 3% increase month on month, and people are still enjoying spending time at home and in the garden, as DIY and hardware spend continues to stay strong, despite a slight decline in June. This information is vital for businesses, enabling them to plan for both peak and off-peak periods throughout the year to effectively meet their customers’ needs.”
Read more: Living Cost Challenges Impact Consumer Appetite For Sustainable Action, Says AIB
© 2023 Hospitality Ireland – your source for the latest industry news. Article by Dave Simpson. Click subscribe to sign up for the Hospitality Ireland print edition.