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Beverage NewsWine & Spirits

New report shows craft spirits drinkers want DTC shipping laws changed

Annual direct-to-consumer spirits shipping report highlights consumer preferences

By Staff Beverage Industry
October 23, 2024

The American Craft Spirits Association (ACSA), along with SOVOS ShipCompliant, a beverage alcohol compliance company, released a 2024 consumer data report, which highlighted direct-to-consumer (DTC) shipping trends.

One of the key data points found that 65% of Americans and more than 80% of regular craft spirits consumers want to see changes in current United States spirit shipping laws to allow for DTC spirits to expand into more states than what is available now. It also found that 92% of craft spirits drinkers would be likely to seek out a brand they discovered through a DTC retail store.

The report found that the desire for legally buying craft spirits legally through DTC shipping reached 85%, an increase from 2022’s 80%.

“The data confirms that American adults in general and regular craft spirit drinkers in particular remain dissatisfied with current craft spirits shipping laws,” said Alex Koral, regulatory general counsel, Sovos ShipCompliant, in a statement. “It’s time for shipping laws to keep pace with the demand and evolving market. Increased access to DTC shipping has the potential to benefit consumers, distillers and industry players across the board, particularly at a time when the spirits industry and craft distillers above all are struggling to succeed.

“There is plenty of precedent with a well-regulated DTC wine market,” Koral continued. “Spirits producers and consumers simply want to see that same access and opportunity afforded to them.”

SOVOS infographic


Another key finding was that nearly all regular craft spirits drinkers are who are likely to purchase craft spirits via DTC (92%) say if they purchased and enjoyed a brand of craft spirits via DTC shipping, they would likely search for that brand at a retail store.

This emphasizes that, as demonstrated over nearly two decades of legal DTC wine shipping in the US, brands that build success through DTC often have strong entry in the wholesale distribution and retail environment. The same appears true for DTC spirits.

Additionally, the report found that more than three quarters of regular craft spirits drinkers (77%) have tried a craft spirit while traveling that they wish they could purchase, but is not available near their home. This number is up from 71% in 2022. Eighty-two percent of regular craft spirit drinkers say that they would be more likely to try new craft spirit brands if they were able to purchase the spirit via DTC shipping, according to the report.

“When it comes to craft spirits, there are more choices than ever before — but very few ways for consumers to access them due to antiquated and limited shipping laws,” said Margie AS Lehrman, CEO of ACSA, in a statement. “As consumers increasingly seek more convenient ways to make their purchases, states will need to give spirits producers the tools they need to meet and expand their customer base. It is time to modify and modernize regulations to align with consumer demands for choice and convenience, and create open and fair competition for this innovative industry.”

KEYWORDS: craft spirits direct-to-consumer (DTC) spirits

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