2021 North American alcoholic beverage forecast: 5 trends to watch

“ The most notable difference in e-commerce in 2020 has been the increased awareness among consumers about purchasing alcohol online,” said Cory Rellas, CEO of Drizly, North America’s largest e-commerce alcohol marketplace.

It is foreseeable that the impact of the epidemic on the alcoholic beverage industry may continue , and in 2021, five major trends may emerge in this industry.

1. The trend in 2020 will continue

The pandemic has brought about some new industry trends and accelerated others that are unlikely to go away. In 2021, categories such as ready-to-drink (RTD) cocktails, triple sec and citrus liqueurs, bitters and kombucha are expected to remain strong.

Mixing drinks at home is also likely to continue to gain popularity, and consumers are still concerned about safety, which may benefit the development of products such as RTD and hard seltzer.

2. Online sales will still play a key role

The number of online retailers on Drizly more than doubled in 2020 , and data suggests that growth will continue as the U.S. continues to battle the pandemic, with online sales set to continue to play a key role in 2021 as traditional shopping venues remain closed.

The convenience of purchasing alcoholic beverages online is likely to encourage consumers to continue visiting online retailers. As consumer purchasing behavior shifts, suppliers and distributors are also becoming more receptive to online sales.

3. Mexican wine’s position is further consolidated

Mexican spirits such as tequila and mezcal have gone mainstream, and data shows that premium brands will drive the growth of this market segment.

“Tequila has broken through in recent years within the alcohol category, with consumer perception of tequila shifting from an occasional drink to an everyday drink,” Rellas said.

The trend of making cocktails at home, coupled with the widespread popularity of classic cocktails such as the margarita, sent tequila sales soaring in 2020.

This trend is expected to accelerate in 2021, with early data showing consumers will explore more tequila subcategories and premium tequilas will become a stronger competitor to whiskey.

4. Alcoholic beverage pricing is critical

The arrival of a vaccine may allow the economy to return to normal, but there may be other factors that affect consumer spending on alcoholic beverages in 2021.

“In 2021, there is a question of whether the premiumization trend will continue or consumers will shift to value, and the reality is likely to be a combination of both,” said Rellas. Retailers should use local data to understand consumer trends and make product selections and pricing decisions based on their target audience and customer base.

5. Consumers will pay more attention to brand value

“Beyond the impact of the pandemic, 2020 has been a transformational year for social justice and the fight for equality, from the Black Lives Matter movement to awareness of immigrants and women’s rights,” said Rellas. “This has been a year in which many businesses and consumers have become increasingly aware of the impact their decisions have on minority groups, so it’s important for businesses to lead from a positive perspective.”

Drizly consumers actively sought to purchase and support Black-owned beverage brands in 2020, with McBride Sisters Collection being Drizly’s second-fastest growing wine brand in 2020, for example.

As a result, in 2021, consumers will pay more attention to the values ​​of the brands and organizations they regularly use, and we expect individual businesses to become increasingly transparent about their values ​​as well.

North America

liquor

Online Sales