We’ve Been Drinking A Lot During The Pandemic

Annual revenue for U.S. distillers spiked in 2020, as alcohol retailers bought $31.2 billion in liquor, up from $29 billion in 2019. This marks the highest growth and sales in the past four decades, according to the Distilled Spirits Council, as reported by the Wall Street Journal.

With bars closed and few live entertainment, sports or travel opportunities on which to spend their disposable income, consumers are spending it on food and alcohol. High-end spirits have gotten a particularly large boost, accounting for roughly 40% of the overall growth in the spirits industry last year.

It’s not only distillers that are benefiting from a surge in liquor sales. Uber is getting in on the boozy action with its $1.1 billion acquisition of online alcohol delivery startup Drizly, which saw an impressive 300% year-over-year growth in bookings from 2019 to 2020 and is already profitable.

Despite plunging sales from bars and restaurants, the American whiskey sector still saw increased revenues in 2020. Liquor stores and online sales surged. Restaurants also offered new twists for thirsty customers, serving cocktails-to-go, in response to pandemic restrictions.

As a result, combined U.S. sales for bourbon, Tennessee whiskey and rye whiskey rose 8.2%, or $327 million, to $4.3 billion in 2020. Domestic volumes rose 7% to 28.4 million cases, with strong demand spanning various price ranges.