10 advantages of starting an online alcohol delivery business

Are you thinking of starting an on-demand alcohol delivery business, but you are not sure whether it is a good idea or not? 

In this article, we are going to dive into some of the biggest benefits of starting an on-demand alcohol delivery business, to help you gain more insight into the latest industry trends.

Of course, the whole eCommerce industry broke all records since 2020, but where exactly does alcohol delivery stand? 

Current consumption trends

As we all know, the pandemic brought us a lot of new, unexpected consumer behavior. When it comes to alcohol, the general consumption increased by 2% in the US in 2020, which is the biggest year-over-year increase since 2002.

This increase in consumption created many opportunities for liquor shops, restaurants, and wine bars to generate revenue, despite the restrictions. According to the International Wine and Spirits Record, an industry research firm reports that in the U.S.,” 44% of consumers only started buying alcohol online in 2020, compared to 19% in 2019."

Customer data

Having an on-demand alcohol delivery app or website, automatically provides access to all of your customer data, as opposed to in-house purchases. As an app owner, you tap into information on your clientele’s demographics, spending patterns, and general persona profiles. 

Having access to this data can help with creating further promotional campaigns, selective advertising, and personalized offers based on previous purchases. 

Continuously increasing demand

Covid restrictions coming to an end does not necessarily mean a drop in demand for online alcohol delivery. Last year, customers got used to the economy of convenience, and purchasing online became a new norm, which is predicted to stay around for a lot longer. 

The market is still on the rise, as the organization predicts that alcohol e-commerce will increase by 42% this year and reach 24 billion dollars. 

Opportunity for wine shops

Currently, wine accounts for 65% of the online alcohol sales, while hard liquor scores second place and beer 13.8%. For most restaurants, wine is the main accompaniment that customers order along with their food. 

Having the option to order your favorite bottle online instead of making the trip to do it in-store, is definitely something that the customers would be willing to pay for, especially if the app features convenient payment methods and real-time delivery tracking. 

Commissions

Having an on-demand delivery app locally gives a great opportunity to make a lot of revenue on commissions. Sellers who enjoy the great interest in their traditional stores, turn to hyperlocal delivery in order to maximize their potential sales and reach the clientele who wish to enjoy their product from the comfort of their home. 

Memberships

Possessing a functional and seamless app for your alcohol delivery business makes a great opportunity to acquire new loyal customers. Implementation of direct purchase perks and membership discounts is easier to do online since customers do not need to physically be in-store in order to sign up. 

Personal service and storytelling

Having an interactive delivery app helps with the branding of local stores, by establishing a sense of community online. For example, if you are planning to run a wine delivery business, you can talk about wine-related events and fairs in your area, record the process of preparation, and promote discounts related to the local holidays and celebrations. 

If your content is specific to the location and nuances where your business operates, it will also attract more in-house guests. 

Reaching out to greater customer scope

Since online delivery is not limited to location, you could go hyperlocal or deliver country-wide. Either option gives you a lot more possibilities than a stationery shop. If your content and products are specific to the location and where your business operates, it will also attract more in-house guests. 

The greater profit margin for restaurants

Drinks are considered to be the main source of income for restaurateurs, as they have the greatest profit margin and do not require the level of preparation that food does. 

Offering an on-demand delivery service for a carefully selected wine and liquor menu can offer great financial benefits. You, guests, may have tried their favorite Italian or South African wine along with their dinner, but cannot find it in their local store? 

Providing your customers with the option to purchase their favorite drink via a convenient app, offers an additional source of income and increases the loyal customer base. You can also offer a collection of points or discounts for future in-house visits. 

Inventory management

Online order management tools allow a more accurate overview of your orders. This way, you can be sure to deliver the best quality of service and encourage your visitors to buy bigger quantities of products in one go, as opposed to a restaurant or a stationery shop. 

Having a clear and transparent ordering management system makes it easy to keep track of your supply and demand and avoid over-spending on inventory. 

If you are considering starting an on-demand alcohol delivery business, but need guidance in terms of technology, check out this all-in-one ordering and logistics platform, which does not require any coding or designing skills. 

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