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The Dahlonega Journal - Dahlonega News, Business & Local Events > Blog > Business > New York liquor stores and grocers in dispute over non-alcoholic beverages
Business

New York liquor stores and grocers in dispute over non-alcoholic beverages

The Dahlonega Journal
Last updated: 6 May 2024 12:03
The Dahlonega Journal
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New York wine and liquor stores are facing declining sales as the post-pandemic era sees a drop in alcohol consumption. To counter this downtown, state lawmakers have introduced a potentially contentious solution. State Sen. Michelle Hinchey has proposed a bill to allow these stores and their distributors to sell non-alcoholic versions of alcoholic beverages. This emerging market has witnessed a 34% growth to $620.4 million in the past year, compared to a mere 0.8% increase in alcoholic beverages sales to $105 billion, according to NielsenIQ.

Hinchey’s legislation aims to support the family-owned liquor stores in New York, a state where 17 others don’t allow liquor stores to sell non-alcoholic beer, wine, and spirits. This proposed change may face opposition from supermarkets, currently the only legal distributors of non-alcoholic wines and spirits, and convenience stores. However, Hinchey reports no negative feedback or opposition yet.

Meanwhile, as major liquor manufacturers reveal disappointing US sales, retailers in New York report even bigger drops in sales, with some seeing a decline of over 10%. Younger consumers are moving away from alcohol consumption, and there’s a surge in demand for non-alcoholic wines, spirits, and mocktails, fueled in part by shifts to marijuana use and health consciousness.

Specialist retailers like Spirited Away, which sell only non-alcoholic beverages, are reporting growth, appealing not only to those abstaining from alcohol but also ‘flex drinkers’ alternating between alcoholic and non-alcoholic drinks. However, wine stores and their distributors anticipate pushback from food retailers to allowing non-alcoholic beverages on their shelves.

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TAGGED:albanybourbonBusinesslegislationliquorstate liquor authoritysupermarketswine
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