Mintel estimates that Black consumers spent nearly $9 billion on alcoholic beverages at home in 2020, which is a significant increase compared to prior year over year growth estimates. The jump in sales is attributed to consumers stockpiling grocery items plus alcohol staples during the COVID-19 related lockdown in the spring and a continuation of shifting dollars that would have been spent on on-premise alcohol to retail sales for at-home consumption as restaurants and bars remained closed or operated at limited capacity. Wine is Black consumers’ go-to alcoholic drink choice, while both white and dark spirits are their secondary, “also drink” selections – a choice that is driven by a taste for certain drinks at certain moments.

• How retail alcohol spending by Black consumers benefitted at the expense of on-premise alcohol sales in foodservice and event venues.

• The impact of Black workers’ longer economic and financial recovery period on spending in the category.

• How Black consumers’ alcohol consumption attitudes vary across consumer segments and opportunities to reach different groups.

• The importance of brand name to Black consumers, and why spirits continue to be popular.

This Report was written in December 2020. Consumer research was fielded in early March 2020 and reflects Black consumers’ attitudes and behaviors as the COVID-19 pandemic escalated to a national health emergency and began to impact people’s lives.

This Report analyzes Black consumers’ consumption, attitudes and behavior toward alcoholic beverages off premise. The following alcohol types are discussed in this Report:

• Beer

• Wine, champagne and sparkling wine

• White spirits: vodka, tequila, mezcal, white/light rum, gin

• Dark spirits: whisky/whiskey, cognac, brandy, scotch

• Ready-to-drink alcoholic beverages: seltzer, soda, tea, premixed wine drinks, premixed cocktails, flavored malt beverages

For the purposes of estimating Black consumers’ retail expenditures on alcoholic beverages for in-home consumption, Mintel’s definition includes beer, wine and spirits (see Appendix – Data Sources and Abbreviations).

This Report builds on analysis presented in Mintel’s Black Consumers and Alcoholic Beverages – US, February 2018. Readers may also be interested in Hispanics and Alcoholic Beverages – Spotlight on Beer – US, December 2020 and other relevant Reports in Mintel’s Drink Library.

The first COVID-19 case was confirmed in the US in January 2020. On March 11, the World Health Organization declared COVID-19 a global health pandemic, and on March 13, President Trump declared a national emergency in the US.

Across the US, state-level stay-at-home orders rolled out throughout the months of March and April, remaining in place through May, and in some cases June. During this time, referred to as lockdown, nonessential businesses and school districts across the nation closed or shifted to remote operations. With social lives on hold, the consumption of alcoholic beverages shifted to home.

During reemergence, all 50 states have relaxed stay-at-home orders and allowed businesses to operate with varying levels of social distancing measures in place. The continued spread of COVID-19 infections has driven some states to slow down or reverse course on reopening plans. In December 2020, the FDA approved two vaccines for production; however, expected rollout and exposure mitigation are expected to be active through 2021.

The analysis provided reflects an estimated range of the market’s prospects in the light of the upheaval caused by the COVID-19 crisis. Mintel’s economic assumptions are based on the updated forecasts released by the CBO on July 2, 2020. The CBO expects US GDP to fall by 5.8% in 2020 and recover to 4.0% growth in 2021. The CBO projects the unemployment rate to average 10.6% for the year, with an 8.4% rate for 2021. The current uncertainty means there is wide variation in the forecasts.