Beer, Wine, and Liquor Stores NAICS 445320

May 8, 2025 - Thirst for THC-Infused Seltzers

• Consumers’ thirst for alternatives to alcoholic beverages and the loosening of laws in various states around recreational marijuana use is driving growth in the market for THC-infused seltzers, Forbes reports. Sales in the US are expected to reach $1.4 billion in 2025, according to BDS Analytics and Arcview Market Research. THC seltzers (aka cannabis seltzers) are made by infusing THC – or tetrahydrocannabinol, the main psychoactive component of marijuana – into carbonated drinks, creating a new subcategory of seltzers and a different way to consume cannabis. THC-seltzers and cannabis canned cocktails come in a wide range of potencies and are sold in grocery and liquor stores in most states, presenting retailers with a novel and fast-growing product category to compensate for falling beer and wine sales. Popular brands include WYNK, Fable, CANN, and Happy Flower, according to Forbes.
• Wine drinkers are trading down, Wine-Searcher reported in May citing data from SipSource that shows revenue fell faster than volume in the first three months of 2025. While both were down about 10% compared to the first three months of 2024, revenue declined 0.6% more than volume, according to SipSource, a tracker of distributor depletion data. SipSource analyst Dale Stratton says that white wines, which are generally less expensive, are outperforming reds, while high-end wines are selling at a discount. Stratton notes that for wines priced at $50 and up, volume sales rose 3.3% from December to March, but the revenue they generated fell 5.4%. Also, sparkling wines priced over $20 are struggling, with the exception of Prosecco.

• Wine sellers are bracing for the financial impact from President Trump’s 20% import tariff on all goods from the European Union, including wine. While the 20% tariff announced on April 2 (and later paused for 90 days) is far less than the 200% initially threatened in March, shops that carry a lot of European inventory say tariffs could upend their business. “Basically, I would either have to increase prices by whatever the price increase is coming to me from importers, or try to completely turn around my entire business model,” said Damien Carney, who owns Avinage wine shop in Petaluma, California. Still, all US imports – including wines from Argentina, Chile, Australia and New Zealand – face a general tariff of 10%. Higher costs are the last thing the wine industry needs right now with wine sales falling due to lukewarm interest from younger consumers and competition from spirits and other alcoholic and nonalcoholic drinks.
• Employment by beer, wine and liquor stores shrank 1% in January compared to a year ago, while average industry wages rose 7.7% over the same period to $19.11 per hour, just pennies shy of their high in September, according to the latest US Bureau of Labor Statistics data. Industry producer prices fell 2.9% year over year in December after rising 2% in the previous December-versus-December annual comparison, BLS data show. Sales for the US beer, wine, and liquor stores industry are forecast to grow at a 3.72% compounded annual rate from 2025 to 2029, slower than the growth of the overall economy, according to the Interindustry Economic Research Fund, Inc.