How to Sell Wine Online in 2021?
Last week we learned how to build a marketplace like Amazon without coding. In today’s blog, we will focus on a niche based eCommerce platform for selling wine online.
Uber expands into alcohol delivery with acquisition of Drizly for $1.1 billion. — The Washington Post
E-commerce is growing rapidly and there is a huge market for the food and beverage industry. With more grocers setting up an online grocery business in 2020–21 and succeeding, now it’s time for the wineries to follow the trend. Uber acquiring Drizly is a clear indication that online alcohol delivery is in demand. However, the legal challenges might pose a few obstacles but, the same challenges are a way to opportunities.
Top 3 Challenges For E-commerce Sales In Wine Industry
The wine industry holds huge potential when it comes to eCommerce. But there are a few issues that need to be addressed before getting into the business. Here I am listing the top 3 issues that you might encounter while getting started with the online wine selling business:
- Alcohol Laws: The laws and regulations associated with the industries vary from state-to-state in all the countries. So, before starting the business it is important to understand the laws and get all the formalities done.
- Managing & Fulfillment of Order: Managing and fulfilling the order are also a bit complicated due to factors like temperature control and increasing demand for same-day delivery. In this case, partnering with logistics who work ethically is the best solution.
- ID Verification: This is probably the most challenging part as people can easily fake their identity online and enter the wrong details regarding their age as well. The only solution to this problem is to develop an advanced interface where the buyer has to submit an ID proof that is verified manually by the admin.
Online Wine — Industry Trends
“Everything’s better with some wine in the belly.”
People love wine as much as the Lannisters did! No doubt wine is the most civilized thing in the world and it is considered the most sophisticated alcoholic drink. That is why most people around the world would prefer wine over any other alcoholic beverage.
Now let’s see what the eCommerce industry represents,
According to Slice Intelligence, the most popular alcoholic drink bought online was wine during the 2 years period from Jan 2016 — Jan 2018. Here is the graph depicting the numbers:
They also found that women account for 55.7% of alcoholic beverage sales online. Also, wine is the most popular alcoholic drink among women as well as men when it comes to online purchases of adult drinks.
The best thing about selling wine online is that you can sell wine directly to the customer without adding any wholesalers. This way you produce the highest profit margins.
Doesn’t that sound amazing!
Impact of Coronavirus on the Wine Industry
The Boston-based alcohol delivery platform Drizly saw a sales increase of 461 percent over its expectation during the week of March 30 amid the Coronavirus outbreak. Among all the alcoholic beverages, wine sellers see sales go through the roof. Also, the U.S. online leader wine.com said people are buying slightly cheaper wines, but more bottles and larger bottles.
Now when people cannot go outside to purchase wine, the only option left is online shopping. Selling wine online in 2021 would be the wisest decision anyone can make.
2021is the best time to offer people their favorite drinks online!