Newly Legal THC Drinks Boosting Sales For Minnesota’s Beverage Alcohol Retailers
September 12, 2023Eye-catching packaging and high-octane variants of non-alcoholic THC-based concoctions have become a game-changer for Minnesota retailers. Since it became legal for Minnesota liquor stores to sell THC beverages on June 1, sales have been raging. “We are approaching 10% of our sales being THC drinks,” says Jon Halper, owner of Top 10 Liquors, which has 13 stores in the Twin Cities with another opening in about a month. “It’s taking on a life of its own. This is a great category we’re all over to grow.”
THC beverages are primarily produced locally, and variants include seltzers, flavored teas, lemonades, non-alcoholic cocktails, and wines. The THC dose in a single can typically ranges from 2mg to 10mg. Halper initially introduced two end caps with THC beverages on his retail floors. “Now we’ve expanded to 12- to 20-foot runs plus dedicated cooler space,” he says. “It’s a very small percentage of our floor layout, but our sales have been terrific. We keep looking to increase the product offering in our stores as we continue to succeed.”
Top 10 Liquors stores carry about 150 THC beverage SKUs and market them with a weekly email to approximately 100,000 customers. “When we first launched the category, the supply chain was a little slow because we went from zero to 100 mph overnight,” he says. “Now the supply chain is really solid.”
The three top-selling brands at Top 10 Liquors are Cantrip ($21.96 a four-pack of 12-ounce cans), Happi ($12.96 a four-pack of 7.5-ounce cans), and Surly ($16.96 a four-pack of 12-ounce cans). “Last week the top-selling product item overall was Surly Double Take THC, a two-serving 10mg THC offering ($19.96 for a 12-ounce),” Halper says. “We are quickly seeing the two-serving 10mg THC items are jumping to the top of our sales, which is what we expect to see.”
Sales of single-serve cans are also accelerating at Top 10. The leading single-serve brand is TBD Green Tea Lemonade ($7 a 12-ounce can or two cans for $10). “We introduced it last week and immediately sold a ton of it,” Halper says.—Kevin Barry
We’ll have more on THC drinks in the Minnesota market in an upcoming issue.
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