Selling alcohol on Shopify in the United States is possible, but it comes with limitations and compliance requirements. Yes, it could be a great solution, but here’s an outline on the key considerations and limitations:
1. Legal Compliance
- Licensing: You must have the appropriate federal, state, and local licenses to sell alcohol. Each state has unique alcohol laws, and some states may restrict online sales entirely.
- Age Verification: You are legally required to verify the buyer’s age (21 or older) at the time of purchase and delivery.
- State Shipping Restrictions: Many states prohibit the shipping of alcohol across state lines, while others have specific restrictions or permit requirements.
- Delivery Requirements: Some states require in-person delivery with ID verification, and others may have specific rules about delivery times or carriers.
2. Shopify Platform Restrictions
- Third-Party Apps for Compliance: Shopify does not natively provide tools for compliance with alcohol-related regulations, so you will need third-party apps (e.g., Age Verify, Drizly, or other alcohol compliance tools) to manage legal requirements.
- Payment Gateways: Some payment gateways, like Shopify Payments, may prohibit the sale of alcohol. You may need to use an alternative gateway (e.g., Authorize.net, etc. that allows alcohol transactions and complies with federal and state regulations.
3. Marketing & Advertising
- Restrictions on Advertising: Alcohol is subject to strict advertising regulations. Ads cannot target minors, must be truthful, and must comply with state and federal alcohol marketing laws.
- Platform Policies: Shopify has rules about the type of alcohol-related content you can publish, which must align with their Acceptable Use Policy.
4. Shipping & Fulfillment
- Carrier Limitations: Not all carriers will ship alcohol. Carriers like UPS and FedEx allow alcohol shipping but have specific requirements (e.g., adult signature upon delivery).
- Fulfillment Services: Shopify’s fulfillment network does not support alcohol, so you need your own compliant fulfillment solution or partner with an alcohol-specific fulfillment service.
5. Customization for Local Laws
- Geo-fencing: To comply with state restrictions, you may need to block sales or deliveries to specific locations.
- Tax Compliance: Alcohol is subject to varying taxes and fees depending on the state. You’ll need tools to calculate and apply these taxes correctly.
6. Platform Acceptable Use Policy
Shopify’s Acceptable Use Policy prohibits illegal, unsafe, or restricted products. Your alcohol sales must comply with Shopify’s policies and all applicable laws.
Recommendations for Selling Alcohol on Shopify
- Consult Legal Experts: Work with a legal advisor specializing in alcohol sales to ensure compliance.
- Work with the Right Agency: Find a Shopify Agency that has a niche in the food and beverage vertical. They’ll be an excellent source of information to make sure you’re making the right decisions.
- Use Third-Party Tools: Implement apps for age verification, shipping compliance, and tax calculations.
- Review Shopify Policies: Regularly check Shopify’s policies to ensure compliance.
- Stay Updated: Alcohol laws frequently change, so stay informed about regulations in your target market.
By addressing these limitations and taking proper precautions, you can successfully sell alcohol on Shopify within the U.S. Have more questions, or want to know where to start? Contact us today and let’s talk.