Recently the BBC’s Big Boss Interview met with Greene King’s CEO, Nick Mackenzie to discuss some of the complexities and intricacies associated with running a pub chain. This included how pressure from coffee shops, burger restaurants and delivery apps is now creating an immense threat to the pub sector. For Greene King, this has driven some of the change across its pub chain, as it diversifies its offering to guests with more coffee options. While it is essential to attract and meet the needs of today’s pub customers, Patrick Clover, Founder and CEO, Stampede argues that having a much deeper understanding of customers, in order to engage with them more effectively, forms an essential part of the evolution for pubs and bars across the UK, as they confront the many challenges the economy throws at them.
Consumer behaviour is changing
To appreciate how the industry might adapt, it is worthwhile considering that the way people consume alcohol is changing. The 2025 Drinkaware Monitor reports that “UK adults are typically drinking less often in 2025 than they did in previous years, with 14% drinking four or more times per week in 2025, compared to 18% in 2018.” Within its research, Drinkaware explains that younger drinkers are likely to drink for social experiences and confidence, while middle age groups are likely to drink to unwind and escape. The report also points out that 45% of drinkers consumed low or no alcohol in the last 12 months. Interestingly, this figure is up from 22% in 2021, supporting the trend that soft drinks and hot beverages in social settings are increasing in appeal.
Generational alcohol consumption varies too, and much has been written that explains how younger generations, such as Gen Z, are drinking less alcohol in favour of healthier lifestyle options. While many pub owners are aware of this, The Guardian recently reported that, “the proportion of Gen Z – those born roughly between 1997 and 2012 – who are of legal drinking age, and have consumed alcohol in the past six months, has increased by 7% between 2024 and 2025.” So although it has been reported previously as a sort of decline, it could arguably, perhaps, be increasing among Gen Z, depending on the context and situation.
All that being said, pubs still form a core part of British communities and social life, and many visits to the pub involve a casual meal and drink. Although the activity of ‘drinking’ may be lessening, the idea of socialising and the need for places to visit will always be required. This raises a question for pubs about whether they truly know who their customers are? Is their current food and drink proposition meeting their customers’ needs today? Do they like the ambience and décor? Are they actually engaged, loyal and coming back time and again?
Diversification could help . . .
Although Drinkaware’s statistics may be jarring for many pub and bar owners, Mackenzie’s Greene King is aiming to address the changes across the market by diversifying its offering and providing a strong coffee proposition across its chain. Of course, Greene King has other initiatives in play too; but the pub chain says its, “coffee offer now is credible.” Not only does this meet customer needs, but it enables Greene King to further monetise pubs during the day.
For many pubs and bars, it is not just about offering coffee or an enhanced menu in order to compete. It runs deeper than this as they consider how they can make the most of their venues throughout the day – giving rise to the concept of the pub as an all-day space.
One such example is the pub chain, Youngs, who have introduced a co-working option centred around encouraging people to work from its pubs during the day instead of coffee shops. Young’s Work from Pub (WFP) packages are available for freelancers, business owners and home-workers, and it presents a compelling proposition to guests that enables Youngs to monetise its premises effectively throughout the day.
But data-led guest engagement drives more growth . . .
While upgrading the look and feel of a venue, along with introducing diversified menu changes are great ideas, is that really enough? How do you know if this menu is actually what your catchment area and target audience needs? What data is driving decision-making here? Unfortunately, this is where many pubs and bars fall short. And we don’t just mean knowing who the ‘pub locals’ are, although they are important. Instead, we mean understanding the detail relating to who is visiting sites regularly? How well do operators really know their customers?
This is where pubs and bars can benefit from using a unified guest engagement platform to drive customer acquisition and repeat business: i.e. data-led loyalty and growth. Or in some cases, data-led survival that leads to growth. Offering free Wi-Fi log-in that enables instant data capture; table bookings that add preference data to a guest profile; running well-timed, personalised email marketing campaigns; and a digital loyalty and rewards programme can all drive footfall, encourage repeat visits and boost favourable reviews.
Tie this up with modern POS (point of sale) systems, and guest engagement and loyalty programmes can become even more powerful. When every payment and line item is tied to a guest profile, pubs evolve from anonymous transactions to living, breathing relationships. This isn’t just data, it’s the foundation for real-time personalisation, where every pint poured and meal served shapes the next unforgettable experience.
Conclusion
In light of the various tax hikes the industry has come up against, the data and capabilities that POS and guest engagement technology offers pubs and bars are ‘king’. Yes, the industry is up against it, but operators can really help themselves by focusing on how they are engaging with their customers and what they can learn from them about their needs. Do they want more coffee, better seating, daytime meeting areas, or more activity-led features to be introduced?
Digitisation is increasingly prevalent, and data-led operations, sales and marketing efforts offer the potential to enable pubs and bars to generate loyalty that leads to increased, recurring revenue. This means being open to change and implementing the first steps now, with the best path to effective diversification via data-led guest engagement.