How have consumers shifted their drinking behavior in the Great Recession?
Consumers are drinking as much as they did before – alcohol’s demand is relatively inelastic, meaning you’ll buy it, just like food, gasoline, or your cell phone, regardless of the economy. But people have shifted to other drinks that provide better value. They find substitutes for their preferences, and in some cases, they are trading back down to less expensive brands. They also eat out less, and drink more at home.
