In 2020 Covid-19 had a strong impact on the liquor industry. Bars and restaurants closed down for the majority of the year created a high demand for liquor delivery in the US. Many business owners followed the trend of expanding their liquor stores online. However, other emerging trends are significantly shaping the industry this year. Take some insight from these five trends of the past year. According to the Head of Consumer Insight at Drizly these trends will only continue to grow throughout 2021.
Surge In Mexican Spirits
While Mexican spirits are not new to the liquor industry there has been a sudden surge in Tequila and Mezcal sales. Tequila sales even beat bourbon, the long-standing winner, at first place in retailer’s inventory growth. Drizly found that Mezcal’s shared growth has jumped 57% from last year. Now is the time for merchants to expand their tequila and mezcal selection with the summer months approaching. Retailers should also meet consumers’ expectations by bulking up their tequila sub-categories. With añejo and reposado in your inventory, you can offer a wider range of Mexican spirits.
Celebrating Special Moments
With friends and families needing to keep their distance, liquor gifting grew in 2020. According to Drizly’s reports, the liquor industry’s gift bottle sales in December 2020 doubled from the previous year. Since the world at large is not fully back to business just yet, consumers will continue to want to be a part of special occasions while keeping their distance. This only puts pressure on the remaining merchants who have not expanded into eCommerce sales.
In 2020, pre-made cocktails changed the market: the IWSR observed a 43% growth in global consumption. Popular brands like Coors have already begun making their move on the market. Newer companies like On the Rocks staking their claim as well. With High Noon leading the charge, the liquor industry can only expect more pre-made cocktails hitting the market as we continue into 2021.
While trending alcohol types rise and fall, Drizly noticed a new unexpected trend. Starting in June of 2020, Drizly customers actively sought to buy from Black-owned businesses. After a year full of challenges and difficulties, consumers are making an effort to be more conscious about the brands and businesses that they choose to support. Make sure your business benefits meet the expectations of conscious consumers. It is important for business owners of all types to be increasingly transparent about their business values. If you are an eco-friendly business or make contributions to your local community make sure to share it! Your customers will appreciate knowing that you care and it will grow your customer loyalty in return.
Conscious customers are not only focused on promoting brands that meet their standards but products that fit in a healthy lifestyle. Consumers have been stocking up on hand sanitizer in droves but they are also being more careful about what they are consuming. While alcohol doesn’t have the same benefits as eating vegetables, customers are still looking for healthier alternatives. Each day there are more brands that offer low calorie, organic, and even non-alcoholic options for the consumer who is looking to take better care of themselves. Now is the time to expand into markets like non-alcoholic and organic beverages to attract today’s health-conscious consumers.
Traditional shopping methods are still limited, which means merchants need to be more aggressive and adamant about staying on top of rising liquor industry trends. Even as conditions begin to shift, these new industry interests will not fade. Your liquor store will profit from being in sync with industry trends—but being able to predict the trends will keep your business ahead of the curve. With CobaltConnect, you will be able to track and anticipate industry trends you would not have seen before. Reach out to one of our sales agents today to schedule a demo.