COVID-19, the Global Alcohol Industry, and Women

With the current state of the world during these unprecedented times of the Coronavirus pandemic, more women have turned towards alcohol to help them cope with this so called ‘new normal.’

What is the current state of the global alcohol industry?

In order to stabilize the U.S. alcohol market from the closure or to-go only orders of restaurants and bars caused by the shelter-in-place restrictions during the months of March and April, a 22% increase in sales across all alcoholic beverage categories is necessary. The United States’ alcohol market was not the only alcoholic market to face negative implications due to COVID-19, the world’s wine industry risks permanent changes with a 35% reduction of on-premise wine consumption in Europe, as well as a 50% decrease in wine sales across the entire European continent. While there have been decreases in on-premise alcohol sales due to Coronavirus, maybe out of fear of alcohol running out, much like Clorox wipes and toilet paper, there was a 50% increase in global alcohol sales during the close of March 21, 2020 compared the same week in 2019.

This is not the first-time women from around the world have turned to alcohol to cope with traumatic experiences. Economic events like the 2008 global financial crisis led to an increase in overall alcohol use. And other events such as terrorism, mass shootings, and natural disasters have also all led to an increase in alcohol use, on the global, national, and local levels. But the Coronavirus pandemic is creating new stressors where women are fearful that they or someone they love may be infected or maybe they are struggling to navigate this ‘new normal.’

Technavio has announced its latest market research report titled Global Alcoholic Beverages Market 2019-2023 (Graphic: Business Wire)

Source: Business Wire. Pre- and post-COVID-19 market estimates-alcoholic beverages market 2019-2023, demand for superior alcohol to boost growth, technavio. 2020. https://www.businesswire.com/news/home/20200417005297/en/Pre-Post-COVID-19-Market-Estimates-Alcoholic-Beverages-Market

How are women turning to alcohol during these unprecedented times?

Researchers have found that 1 in 5 British women are increasing their alcohol consumption during the pandemic, while 1 in 3 have decreased their consumption. With many women working from home, homeschooling their children, and practicing social distancing, home alcohol delivery sales have increased dramatically. There has been an estimated 300% increase in global alcohol sales in March compared to January.

The increased stress caused by the coronavirus pandemic has caused many women turn to alcohol to relieve their stress, reduce their sometimes racing heart rates due to anxiety, and potentially cause sedative effects in order to wind-down from the day and sleep well. While the sedating and stress relieving effects of alcohol may seem intriguing and helpful, they are actually harmful to women’s cognitive abilities, sleep cycles, and can aid in the increase of negative interactions and tensions in the home.Source: DailyMail.com. Pray for parents! Stressed-out mothers and fathers share hilarious memes as they struggle to keep children busy during coronavirus self-isolation. 2020. https://www.dailymail.co.uk/femail/article-8130525/Stressed-parents-share-hilarious-memes-struggle-children-busy.html

Are alcohol companies targeting women during the Coronavirus crisis?

Women who utilize Facebook, Google, and Instagram, have been seeing different ads than they normally would have if COVID-19 did not exist. For example, many women, myself included, have been seeing new ads for alcohol delivery and Instagram Live Happy Hours with influencers and alcohol brands. Targeted ads for alcohol have increased by 350% in Australia,Quarantinis” have gained in popularity in the U.S., which are martini’s made from gin and Emergen-C, and virtual Happy Hours are happening all over the globe.

Source: eExtra News. Emergen-C, Aviation American Gin respond to ‘quarantine’ drink. 2020. https://eparisextra.com/living/emergen-c-aviation-american-gin-respond-to-quarantini-drink/

A virtual Happy Hour I have seen specifically target women is one where they can have a cocktail at home and virtually explore Highclere Castle, the famous and historic castle where the infamous “Downton Abbey” series and movie were filmed. One of the aims of this Happy Hour is the advertisement of Highclere Castle Gin, targeting fans of “Downton” and the Royal Family, to drink like a Royal, as the event is hosted by the Earl and Countess of Carnarvon, who reside in the castle.

Source: Highclere Castle Gin Spirits. 2019. https://www.instagram.com/p/B1UcjriHDI0/?utm_source=ig_web_copy_link

Globally, are women drinking more than before COVID-19?

In short, yes. As previously mentioned, 1 in 5 British women have increased their alcohol consumption since the beginning of the pandemic; 70% of Australian women reported drinking more than they normally would; and 26% of American women said they are drinking during work hours. But South African women are not drinking at all, as the government instituted a prohibition in order to decrease community spread of COVID-19 in order to keep about 5,000 trauma hospital beds free for Coronavirus-related care.

At the end of the day, while COVID-19 has decreased the on-premise sale of alcohol globally, sales for home delivery have increased drastically. Women from all over the world who are now working from home, homeschooling their children, and making all of their own meals in order to practice social distancing have been targeted by online ads and contributing to this increase are home alcohol delivery and increased drinking rates. Hopefully these increased rates in drinking due to COVID-19 will not create increased rates of alcohol use disorder in women, but only time will tell.

 

2 thoughts on “COVID-19, the Global Alcohol Industry, and Women

  1. I agree that certain ads like alcohol delivery would not be as popular or prevalent right now if the current pandemic was not happening. It’s also interesting to me that even though on-premise sale of alcohol has decreased during COVID-19, liquor stores are still deemed essential in many places around the U.S. which I feel like encourages alcohol sale during this time.

    • Hi Christine, thanks for your thoughts! 🙂 Even with the decrease in on-premise sales, there has been the increase in sales at liquor stores and for curbside pick up with your to-go order from your favorite restaurant. When I first saw restaurants in Atlanta offering curbside pick up for cocktails and wine I was really taken back as it was the first time I had ever heard of that occurring before. I now wonder that if the pandemic never occurred if curbside pick up for cocktails would have every happened? But with the world we live in I laugh at myself with that thought because I’m sure it would have occurred at some point in the future, as anything is possible now-a-days.

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