As both businesses and consumers continue to tighten their belts in the wake of inflation and the rising cost of living, large format spirits and wine continue to show signs of growth. In fact, for each case of 750 mL spirits sold in February and March of 2024, 1.3 cases of 1.75L were sold, according to NielsenIQ. The large format lends itself well to upcoming seasonal events and celebrations, including Valentine’s Day and St. Patrick’s Day, which fall after the more restrained weeks of Dry January.
Let’s look at just some of the ways buying big pays off for customers and retailers alike.
Big Business Benefits
First and foremost, large formats often provide better margins, whether you’re selling by the serving or selling the bottle itself. While the initial investment might be higher, the price-per-volume benefit and the potential for increased sales volume can offset the cost. Your SG consultant can advise on available options and pricing structures. We also offer many large-format options from diverse-owned brands, perfect for your Black History and Women’s History Month promotions.
Big Bottles, Big Value
Simply put, customers get more bang for their buck when they buy large-format wine and spirits. The same is true for restaurant and bar owners. Like other bulk purchases, large-format products typically offer a better price per milliliter or ounce than their standard-sized counterparts. For example, a box of wine contains the equivalent of four standard-sized bottles for a notably lower price than a customer would pay to buy four bottles individually—an enticing proposition for customers looking to economize without compromising on quality.
In terms of recent customer preferences for this category, both large-format American whiskey and Canadian whisky have gained volume by share in the past 13 weeks. In the case of large-format wine, red wines and wine-based RTDs are increasing their volume by share and revenue by share, according to NielsenIQ. And in February and March of last year, the majority of large format wine volume sold was 1.5L.
Superior Longevity and Aging
Another benefit of large-format beverages is that their contents not only last longer but age better, too. Magnum bottles offer uniquely superior aging potential. Because they are made with thicker, heavy, dark green glass, magnum bottles better protect their contents from heat, light, and movement/vibration. The smaller surface area for air to move in and out relative to the volume also allows magnum bottles to age at about half the speed of standard bottles.
Similarly, the packaging of boxed wine minimizes exposure to oxygen and preserves the wine's freshness for longer than traditional bottles. This extended shelf life (4 to 6 weeks) also guarantees consistent taste and quality, so customers can enjoy their wine at their own pace with no pressure to finish the bottle before it goes bad.
Perfect Party Starters
At the end of the day, encouraging customers to opt for large-format wines and spirits isn't merely about sales. It's about offering value, convenience, sustainability, and enhanced experiences. For retailers, it's a strategic move that drives revenue and strengthens your store's positioning in an ever-changing and competitive market. For restaurants, bars, and other on-site drinking establishments, it’s a way to purchase a high volume of fast-moving product to satisfy demand reliably and increase profit margins.
You can find plenty of large format wine and spirit options on sgproof.com; click here to explore our selection and stock up!
