Dive Brief:
- Food Lion is expanding its presence in the alcoholic beverage space by opening its second liquor store adjacent to one of its grocery stores, according to a company press release.
- The new store in Clover, South Carolina, comes more than five years after Food Lion debuted its first liquor store in nearby Rock Hill, South Carolina. Shoppers can find a selection of locally distilled spirits and regional offerings at the new location, according to the announcement.
- Food Lion’s expanded foray into liquor sales comes at a time when grocers are seeing alcohol sales pour in during the coronavirus pandemic.
Dive Insight:
Food Lion’s renewed interest in liquor sales comes as grocers are increasingly focusing their attention on their alcohol departments as sales boom in the category.
Grocery accounts for 44% of U.S. alcohol sales, according to IRI data from October — the industry's highest market share in five years. Between January and October 2020, alcohol sales in the grocery channels rose 21%, or $4 billion, per IRI.
Food Lion is also tapping into ways to streamline shopping by pairing alcohol with groceries — even when laws require them to be in separate stores. Competitor Lowes Foods opened two speakeasy-themed liquor outlets early last year next to grocery stores in Columbia, South Carolina.
The opening of the Clover store also means Food Lion now has two liquor stores in the metropolitan area of Charlotte, North Carolina, and not too far away from the grocery chain’s headquarters in Salisbury, North Carolina.
The new liquor store is the latest effort by Food Lion to revamp its stores and selection. Last month, the grocery chain announced it’s investing $212.5 million to remodel mid-Atlantic stores and expand pickup service.
