As a veteran retail industry watcher and consumer expert, I‘ve had a front row seat to the rapid rise of online shopping and delivery services over the past decade. One of the most interesting trends I‘ve followed lately is the growth of alcohol delivery. The ability to get beer, wine, and spirits brought right to your front door went from a niche luxury to a mainstream essential during the pandemic. Now, major retailers like Walmart are making plays to become go-to destinations for alcohol delivery.
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Walmart entered the alcohol delivery game in earnest in 2019 by adding booze to its online grocery assortment. In 2020, they doubled down by launching the Walmart+ membership program, which includes free same-day delivery of alcohol and groceries (among other perks) for $98/year or $12.95/month.
I was intrigued by Walmart‘s push into this space, so I put on my research hat to learn everything I could about how Walmart+ alcohol delivery works, how it compares to other options, and whether it‘s actually a good deal for consumers. I‘m sharing my full analysis below for my fellow savvy shoppers.
The State of the Alcohol Delivery Market
First, I think it‘s important to understand the context around the alcohol delivery boom. E-commerce sales of alcohol were steadily ticking up pre-pandemic, but COVID-19 massively accelerated the trend. With bars and restaurants closed and many people avoiding in-person shopping, ordering booze online became a necessity for many.
Just how big has alcohol delivery gotten? Here are some of the key statistics I uncovered in my research:
- In 2019, U.S. online alcohol sales reached $2.6 billion, up +80% from 2018 (Rabobank)
- In 2020, U.S. online alcohol sales surged +243% to reach $5.6 billion (IWSR)
- For 2021, online alcohol sales are forecast to grow another +85% to $10.3 billion (Rabobank)
- By 2025, online alcohol sales are projected to reach $25-30 billion and account for 7% of total off-premise (retail) alcohol sales (IWSR)
The genie is clearly out of the bottle when it comes to alcohol delivery. A 2021 survey by Chase found that 70% of U.S. adults who ordered alcohol online during the pandemic expect to keep doing so at the same or higher rates going forward. Shoppers have gotten a taste of the convenience of having their favorite drinks just a click away.
This demand has created a major market opportunity for retailers and delivery providers. The space is getting increasingly crowded, with players like Instacart, Drizly, Minibar, Saucey, and gopuff all angling for dominance. Established retailers are also making moves – in addition to Walmart+, there‘s Whole Foods/Amazon Prime Now, Target/Shipt, Costco Same-Day Delivery via Instacart, and many regional grocery chains offering alcohol delivery now.
How Walmart+ Alcohol Delivery Stacks Up to the Competition
So where does Walmart+ fit into this landscape? Here‘s my take on how it compares to some of the other major alcohol delivery options for consumers:
| Service | Pricing | Selection | Convenience |
|---|---|---|---|
| Walmart+ | $98/year or $12.95/month for unlimited free delivery on orders $35+ | Good selection of beer, wine, and spirits at everyday low prices; limited to Walmart‘s retail inventory | Can bundle alcohol with grocery essentials in a single delivery |
| Instacart | Free delivery on orders $35+ with Instacart Express membership ($99/year); $4 fee for alcohol on top of any delivery/service fees | Wide selection from local grocery, liquor, and specialty stores | Can shop multiple stores in a single delivery but alcohol and groceries come in separate orders |
| Drizly | $5 delivery fee for orders under $15-50 (varies by location); free delivery for $20-150+ orders | Excellent selection of 1000s of top-shelf and craft brands from local liquor stores | Alcohol-only orders; limited grocery/snack add-ons |
| Saucey | $6-10 delivery fee for orders under $30-100; free delivery for $30-100+ orders | Strong selection focused on trendy and premium brands | Alcohol-only orders with 30-60 minute delivery option |
| Gopuff | $2 delivery fee for orders under $10; free delivery for $10+ orders | Decent selection of popular brands at competitive prices | Can bundle alcohol with convenience store items in 30-minute delivery |
Based on my analysis, Walmart+ offers a very solid value for alcohol delivery if you‘re already using Walmart for grocery essentials. The free delivery with no hidden alcohol fees is a major selling point compared to Instacart, Drizly, and the alcohol-only apps.
That said, Walmart‘s alcohol selection is not nearly as extensive as what you can find through Instacart or Drizly by shopping multiple local retailers. Walmart sticks to mainstream brands and bestsellers for the most part. If your tastes run more artisanal or esoteric, you‘ll probably need to shop elsewhere.
Navigating the Complex World of Alcohol Delivery Laws
Another important factor for shoppers to understand is that alcohol delivery laws vary widely by location and are evolving rapidly. This can make the experience of ordering alcohol online very different depending on where you live.
Historically, most states and localities tightly restricted or outright banned alcohol delivery to consumers. There are complex rules around interstate shipping, delivery across county lines, hours of sale, purchase quantity limits, and more. When the pandemic hit, many jurisdictions loosened their laws to throw a lifeline to struggling bars, restaurants, and liquor stores. Some of those "emergency" allowances have now been made permanent.
As of mid-2021, here‘s where things stand:
- Alcohol delivery from retailers is now allowed in the vast majority of states, but 7 states (AL, MS, ND, PA, SC, SD, UT) still prohibit it or limit it to certain beverages (e.g. only beer/wine)
- 9 states (AK, CT, DE, KS, LA, MO, NE, NH, WV) have deemed alcohol delivery legal but haven‘t passed formal legislation regulating it yet
- 5 states (AR, GA, KY, OK) only allow alcohol delivery from liquor/package stores, not from grocery stores or third-party delivery apps
- 21 states and DC formally allow third-party delivery apps to deliver alcohol from licensed retailers with proper safeguards
- The rest of the states allow alcohol delivery in some form but with various restrictions on hours, quantities, etc.
Even in states that allow it, alcohol delivery often has to follow separate rules from grocery or food delivery. The delivery driver usually has to be 21+, complete special training, and check ID at the point of delivery. In most areas, the alcohol has to be handed directly to someone 21+ and cannot be left unattended.
Because of all this regulatory complexity, the availability and specific policies for Walmart+ alcohol delivery (and alcohol delivery in general) varies significantly by location. In some markets, you can freely add beer, wine, and spirits to your Walmart+ grocery delivery. In others, there may be restrictions on products, quantities, or delivery times. And in some areas, Walmart doesn‘t offer alcohol at all because of the legal hoops involved.
The regulatory landscape is changing fast, but it‘s not going to be a totally seamless or universal experience anytime soon. Shoppers should expect to encounter some quirks and limitations with alcohol delivery compared to regular grocery delivery.
Potential Impacts and Concerns Around Alcohol Delivery
Speaking as someone who has worked extensively on responsible retailing practices over the years, I would be remiss not to acknowledge some of the potential negative impacts of making alcohol more accessible via delivery.
There are concerns that the growing ease and availability of purchasing alcohol online could exacerbate issues like underage drinking, alcohol abuse, or drunk driving. Critics argue that in-person sales make it easier to identify fake IDs and refuse service to visibly intoxicated individuals. There‘s also a risk of alcohol being left with unintended recipients if proper ID checks aren‘t performed.
Delivery providers are trying to address this through required training programs and strict ID verification processes for drivers. But mistakes can happen, especially as delivery networks scale up and start relying more heavily on gig workers.
There are also economic concerns for how alcohol delivery may impact small businesses like local liquor stores that can‘t compete with the reach and pricing power of major retailers and apps. Some craft producers worry about being squeezed out of the market if major platforms like Walmart and Instacart dominate.
Personally, I believe alcohol delivery is probably a net positive for public health and safety (less drunk driving), and many of the concerns can be managed through smart regulation and responsible practices. But I think it‘s important for shoppers to be aware of the bigger picture as they navigate this new landscape.
Tips for Getting the Best Deals on Walmart+ Alcohol Delivery
If you‘re sold on the convenience of Walmart+ alcohol delivery, here are a few tips I‘ve picked up for getting the best selection and prices:
Compare prices on your go-to products. Walmart is known for everyday low prices, but you can sometimes find better deals on alcohol at other retailers or delivery apps. Don‘t assume Walmart is always cheapest.
Check what‘s available in your area. The alcohol selection on Walmart+ can vary significantly by location based on what‘s sold in your local store. Browse what‘s available in your zip code before placing an order.
Look for brand promotions. Alcohol companies will often run exclusive promotions and discounts for online purchases. Check the "Promotions" filter on the Walmart grocery site to surface these offers.
Order in bulk. You‘ll typically get better per-unit prices on alcohol when you buy larger packs vs. single servings. Calculate the unit cost to understand your savings.
Choose an eco-friendly delivery window. Walmart will often highlight delivery time slots that allow your order to be batched with others nearby for maximum efficiency. These slots can book up quickly, so plan ahead when possible.
Don‘t forget to tip! The standard tip for grocery delivery is 10-15% of your order total. Consider adding a bit extra for large alcohol orders since those are heavy and more labor intensive to deliver.
Conclusion
Alcohol delivery is here to stay, and Walmart is poised to be a major player with the Walmart+ membership program. Getting your favorite beer, wine, or spirits brought to your doorstep offers a whole new level of ease and convenience.
Of course, it‘s not perfect. The alcohol selection on Walmart+ may not impress the connoisseurs out there. The service is not available everywhere due to regulatory constraints. And you‘ll have to be comfortable with the upfront annual cost of a Walmart+ subscription to get the free delivery benefit.
But for the right shopper – especially those who are already ordering groceries and essentials from Walmart.com – I think Walmart+ alcohol delivery offers a compelling value. It has quickly become one of the more affordable and accessible ways to responsibly enjoy a drink at home. I expect Walmart to continue expanding and optimizing the service as laws evolve and competition heats up.
The boom in alcohol e-commerce sales is a bit of a double-edged sword that raises some thorny questions about consumption and control. But like any other major consumer trend, I believe shoppers should strive to be informed about their options and make mindful choices. Walmart+ is making a strong case to be one of those go-to options. Cheers!
