More and More Traditional Czech Pubs Are Dying Out, New Figures Confirmed

Czech gastro is experiencing big change. According to Dotykačka statistics, whereas cafés and bistros have witnessed a considerable increase in sales, the typical Czech pub is shrinking. 

In four years, the catering industry’s overall sales increased by 32%. “This corresponds exactly to the rate of price increase, so the current situation appears to be not much different from before the pandemic,” says Petr Menclík, the head of Dotykačka.

However, only at restaurants does the 32% rise in sales match the total average. Cafés and bistros are booming, with sales increasing from 115 to 127 percent. Traditional pubs are the laggards, with a 30% lower turnover than before the epidemic.

People’s perceptions about the ultimate bill figure also have an influence. “Normally, you pay 150 or 200 crowns for a coffee with a cake or croissant in a café, but with beer, the customer looks at every crown,” added Menclík.

Menclík feels that if the Finance Ministry’s plan to impose VAT on draught beer becomes law, it will strike another blow to traditional Czech hospoda. “Increasing the price of beer would have a significant impact on demand.”

Restaurant revenues increased by 16% in the first two months of the year, 3% more than the industry average. “The figures are in line with the rate of price increases.” In other words, revenues increased in direct proportion to how much more costly enterprises were.”

According to the present comparison, sales of businesses in the south-west and north-east increased the least year on year, by about 5%. These are also the areas where the majority of companies have closed.

Overall, the gap between major cities and the countryside is growing significantly, with pubs in small villages faring the poorest.

The largest sales are reported by businesses in Prague and regional towns. According to Dotykačka statistics, sales in Prague businesses increased by 23% year over year. However, in areas with fewer than 5,000 people, gastro raised sales by only 3% in the previous year.

“Part of the beer consumption has moved home, and to more premium products, more expensive beers and special beers,” concludes Menclík.