Annual Drizly Retail Report Signals Optimism For 2022, Tequila Challenging Vodka For Shelf Space And A Craft Beer Comeback
Third annual nationwide survey from BevAlc Insights by Drizly finds alcohol retailers feeling confident despite looming Champagne shortages, enthusiastic about cannabis-infused beverages and more attuned to non-alcoholic and other alternative products
BOSTON, Dec. 7, 2021 /PRNewswire/ -- Drizly, North America's largest alcohol e-commerce and on-demand delivery platform, today released its third annual BevAlc Insights by DrizlyRetail Report, culled from a nationwide survey of over 500 alcohol retailers during November 2021. Among standout findings, retailers expect higher sales this holiday season despite reports of Champagne shortages, feel concerned about supply chain issues yet still optimistic about 2022, are poised to stock (yet) more tequila, have fresh interest in craft beer, and see big potential for cannabis-infused products.
The report, which also incorporates sales data derived from the Drizly platform in 2021, points to more shelf space for organic and natural products, along with locally produced beer, wine and spirits. And while hard seltzer's torrid growth levels off, retailers remain strongly bullish about ready-to-drink cocktails' growth prospects.
"We know alcohol retailers have a strong pulse on consumer behavior and demand as they see trends and shifts first-hand in their stores day in, day out," said Cathy Lewenberg, Chief Operating Officer at Drizly. "We've observed more of our Retail Partners on Drizly also leveraging Drizly's data and insights to help drive their decision making when it comes to stocking new products. Combining their real-time observations with these data-driven insights - the perfect mix of art and science - helped form our annual retail report with a deep understanding of what's to come in 2022."
More on the report's key findings:
2022 could be the year that tequila outsells vodka. Margs over mules? Nearly 80% of retailers plan to carry more tequila next year, on par with bourbon, and 40 points ahead of vodka. It mirrors sales trends on Drizly, where over the past few years tequila's share of spirits sales has grown by 13%, while vodka's share has declined by 2%.
People want to feel good about what they're drinking.
Asked about special attributes that matter most, 66% of retailers surveyed said that they seek to stock locally made products, followed closely by organic and natural products (60%).
What's more, products for health-conscious shoppers ranked close behind (57%), at a time when 90% of retailers on Drizly now stock non-alcoholic beer, wine and other alternatives, and share of such products on Drizly are up 120% since 2020.
Canned wars: craft beer may reclaim shelf space from hard seltzer. Even as half of retailers surveyed see themselves carrying more hard seltzer next year, 57% said they expect to devote more shelf space to craft beer. On the flipside, 23% of retailers plan to stock less hard seltzer in 2022, in contrast to the only 8% who plan to do the same with craft beer.
Retailers are very bullish about cannabis- and CBD-infused products. In a landslide, over 50% of retailers believe that cannabis- and CBD-infused beverages have the industry's biggest growth potential.* That is nearly double those who cited non-alcoholic products (26%).
The full third annual BevAlc Insights by Drizly Retail Report can be found here. Retailers interested in learning more about growing their business and optimizing with on-demand alcohol delivery on Drizly's e-commerce platform can find more information atjoindrizly.com.
About Survey Methodology
The third annual BevAlc Insights by Drizly Retail Report is based on a representative sample of more than 500 adults who manage or own an independent liquor store and represent both non-Drizly partners and current Drizly Retail Partners. Respondents were recruited from Drizly's database and results were gathered in the form of an online survey. This survey was fielded in November 2021.
About BevAlc Insights by Drizly
BevAlc Insights by Drizly is a resource for data and insights about the beverage alcohol industry and the growing e-commerce sector. Leveraging Drizly's unique data and access to experts and partners throughout the industry, BevAlc Insights forecasts category and market trends, shares consumer insights, and showcases operational successes to support and empower a network of retailers across the U.S. and Canada. Retailers interested in learning more about growing their business and optimizing with on-demand alcohol delivery on Drizly's e-commerce platform can find more information atjoindrizly.com.
Drizly, an Uber company, is North America's largest e-commerce alcohol marketplace and the best way to shop beer, wine, and spirits. With the speed and convenience of on-demand or scheduled delivery, Drizly partners with retailers in 1,700+ cities to offer consumers of legal drinking age unrivaled selection and a transparent, personalized shopping experience. As the industry leader, Drizly partners with retailers to bring their shelves online, helping them to reach new customers, tap into key market and customer insights, and diversify their business to grow sales. Learn more at Drizly.com, download the Drizly app (App Store and Google Play) and follow Drizly on Facebook, Twitter and Instagram.
*Most CBD and cannabis infused drinks have still not been approved by the FDA or TTB (TTB Industry Circular, 2019).