The buying and selling of alcohol online has grown quickly, jumping from $6.1 billion to an expected $42 billion by 2025. When COVID-19 hit, more people started buying drinks online – the number of shoppers went up from 19% to 44% between 2019 and 2020. Big online platforms like Drizly and Instacart now lead the market, winning customers by using shopping data and offering quick home delivery. Today, 7 out of 10 people buy alcohol online at least once a month, with most orders coming in around 7 PM. While different states still have tough rules about selling alcohol, new technology and changing shopping habits keep reshaping how people buy their drinks online, pointing to big changes in the future.
Key Takeaways
- COVID-19 accelerated online alcohol sales growth, driving a tenfold increase and pushing market value to $6.1 billion.
- Digital platforms like Drizly and Instacart revolutionized alcohol purchasing by leveraging customer data and offering convenient delivery options.
- Consumer behavior shifted dramatically, with online alcohol buyers increasing from 19% to 44% between 2019 and 2020.
- Regulatory frameworks vary across states, creating a complex landscape for retailers adapting to digital marketplace requirements.
- The U.S. online alcohol market is projected to reach $42 billion by 2025, showing sustained growth beyond pandemic-driven changes.
Digital Revolution in Alcohol Sales
The way people buy alcohol has changed dramatically as online shopping takes over from traditional methods. The online alcohol market in the U.S. is now worth $6.1 billion and has grown by 131% since 2019. Experts believe it will grow another 66% to reach $42 billion by 2025.
New online platforms like Drizly, Instacart, and Flaviar have changed how people choose and buy their drinks by using customer data and working with other businesses.
When COVID-19 hit, online alcohol sales shot up ten times higher in just three months. Companies have built online marketplaces that follow all legal rules, and looser laws now let alcohol brands sell straight to customers, giving them more control and better profits.
Consumer Shopping Habits Transform
More people are buying alcohol online now than before 2019. The number jumped from 19% to 44% of shoppers, with over half choosing online shopping because it’s easier. Most buyers now order alcohol online at least once a month, making up about 70% of customers.
Behavior Factor | 2019 | 2020 | Current Trend |
Online Purchases | 19% | 44% | Growing |
Safety Concerns | Low | 34% | Stabilizing |
Regular Replacement | N/A | 42% | Increasing |
Evening Shopping | Limited | Peak at 7PM | Consistent |
People’s buying habits have shifted toward online shopping, with 42% of buyers using websites and apps to restock their alcohol. Safety remains important, as 34% of customers still shop online to avoid possible COVID-19 exposure.
Regulatory Landscapes Shape Market Growth
Online alcohol sales must follow many rules that differ across federal, state, and local levels. These rules greatly affect how the market can grow and operate. Five states completely ban alcohol shipments, while others let government agencies control all sales.
For retailers who want to sell across the country, following each state’s rules is a big task. States have different rules about delivery, licenses, and checking buyers’ ages.
This mix of rules makes it especially hard to grow in states like Pennsylvania, Virginia, and North Carolina, where government control is tight.
To stay in business, online sellers need good systems to check ages, work with approved delivery companies, and keep up with changing rules in each state.
Strategic Marketing Meets Digital Commerce
Online alcohol sales show clear patterns in how different social media sites and platforms perform. Instagram works best for marketing, getting 16.7% of people ready to buy, while Facebook gets 8.9% and YouTube gets 5%.
Among online platforms, Drizly leads the way with 37.7% of buying clicks, while Walmart gets 20.8% and Instacart gets 19.8%. Customers really like whiskey products, mainly ready-to-drink cocktails and ones with added flavors.
When to show ads matters a lot – Thursday is the best day for shopping with 14.8% of clicks, and most people buy in the evening, mostly between 6-7 p.m. Eastern Time. Using these numbers helps brands pick the best times and places to sell their drinks online.
Technology Driving Industry Innovation
The alcohol industry has seen big changes in how it uses technology, with online sales growing 43% from 2019 to 2020.
Smart tech that learns customer likes and easy digital shopping have changed how people buy alcohol, with more than half of buyers now shopping online.
Important tech changes helping the industry grow:
- Smart systems that suggest drinks and organize product lists
- Shopping apps like Drizly and Instacart that make buying easier
- Better ways to track and respond to what customers think
- Direct sales that let brands control how customers see their products
These digital changes help alcohol companies gather useful information about buyers, create new products faster, and find better ways to sell.
Smart tech keeps making things run smoother, while apps like Proof make it simpler for people to buy what they want.
Future Market Growth Predictions
Online alcohol sales are expected to keep growing, but at a slower pace. The US online market should grow by 7% from 2023 to 2027, reaching $40 billion. This shows the market is settling down after a huge jump of 146% during the 2020 pandemic.
As buyers change what they want, different types of drinks are becoming more popular. Spirits are set to grow by 7% each year, while beer, cider, and ready-to-drink beverages are growing even faster at 19%.
Wine, though currently the biggest seller, is likely to drop by 1%. Worldwide, online alcohol sales should reach $67 billion by 2028. The US remains the biggest market, growing by 6.1% in 2023.
Frequently Asked Questions
How Do Online Alcohol Retailers Verify Customer Age During the Delivery Process?
Online sellers make sure customers are old enough to buy through simple but firm methods: delivery drivers check IDs in person, digital systems scan documents, and outside companies help verify ages before handing over any drinks.
What Happens if No One Is Home During Scheduled Alcohol Delivery?
When no one’s there for your alcohol delivery, we can’t leave it outside. Just open your app to set up a new delivery time – you’ll still need to show ID and catch us during delivery hours.
Can Customers Return Alcohol Purchased Through Online Platforms?
The rules about sending back alcohol bought online depend on where you buy it. Most sellers will take back bottles that arrive broken, if they sent you the wrong drink, or if the alcohol has gone bad. But some online sellers won’t accept any returns at all.
Are There Quantity Limits for Purchasing Alcohol Through Digital Marketplaces?
Online alcohol buying has limits that change depending on where you live. Different states set their own rules about how much you can buy, usually between 1 to 12 cases each month or year per home or customer.
Do International Shipping Restrictions Apply to Cross-Border Alcohol Ecommerce Purchases?
Cross-border alcohol sales online must follow rules from both selling and buying countries. Sellers need proper permits, must work with approved shipping companies, and fill out all needed customs papers before sending alcohol to another country.
Conclusion
The way people buy alcohol online keeps changing and growing fast. New technology, what customers want, and updated rules are making this happen. Numbers show that more people will buy their drinks through websites and apps in the coming years. Smart computer systems now help pick drinks you might like, while delivery services make it easy to get alcohol without leaving home. With better phone apps and shopping tools, this market is set to grow even bigger as it keeps up with what today’s buyers need.
Ready to explore a world of premium spirits and outstanding deals? Visit Nation Wide Liquor today and discover our vast selection of beverages delivered right to your doorstep.