Trying to sell alcohol online but are getting payment headaches?
We’re not trying to toot our own horn here but every business out there that’s selling alcohol online has this problem.
The people who are doing the actual collecting of your payments; the payment processors are either going to reject you or charge you insane fees because you’re deemed a “high-risk” industry.
So, here’s the issue:
Payment processors are just plain old fashioned for most of them out there right now. If you’re a business that is accepting alcohol sales online you’re getting declined or charged huge processing fees to the point where it’s non-profitable.
Well, let’s take a look at some solutions that are starting to be available to these types of businesses:
- Why You Need Alcohol Focused Payment Solutions
- Using the Wrong Payment Processor Will Cost You Big
- New Payment Tech Is A Game-Changer for Alcohol Businesses
- Accepting Online Payments For Alcohol
- Security Features That Actually Matter
- Compliance Features That Keep You Out Of Trouble
- The Mobile Payment Revolution
- International Expansion Made Simple
- Finding Your Perfect Payment Partner
- The Time To Take Action
Why You Need Alcohol Focused Payment Solutions
Selling alcohol online is not the same as selling other products.
Like, at all.
There are age restrictions, state-by-state regulations, federal compliance, and payment processors that will treat you like their worst nightmare.
This is where payment processors like 2Accept provide tailor-made payment solutions for accepting online payments for alcohol products that focus on just that… your business needs.
Instead of using one of the regular ones, that just shrug at you and run the other way.
Don’t believe us?
Consider this, The market value of alcohol e-commerce jumped from $85 million in 2018 to $977 million in 2023.
So that’s what we’re going to be talking about today.
You want to be in on this action?
But not if your payment processing systems can’t keep up.
You have to be forward-thinking with your sales.
So let’s have a look at the solutions that can provide you with payment processors that aren’t going to let your business down:
Using the Wrong Payment Processor Will Cost You Big
Want to see an example of what NOT to do…
There’s two of the most common mistakes that alcohol businesses make…
- Using a general payment processor that does NOT support alcohol sales
- Paying high “high-risk” processing fees
- Getting constant account freezes and holds
- Customers abandoning their online shopping carts when the transactions fail
Now, the best part is that these issues.
Your customers really don’t care about your payment processing challenges.
They just want to buy that pack of beer and move on.
Lost transactions = Lost sales.
High fees = Lower revenue.
Account freezes = No revenue.
Do you see now why this matters?
New Payment Tech Is A Game-Changer for Alcohol Businesses
Ok, ok, I know you’re shaking your head saying:
“But Billy, the processors still treat me like crap.”
Glad you asked…
The payment technology has evolved over the last couple of years.
Modern online payment processing solutions for alcohol businesses are offering features and services that just weren’t available not even that long ago.
Digital Wallets & Mobile Payments
- Online payment methods account for over 80% of online alcohol transactions in 2024
- Customers are demanding the ability to pay with digital wallets like Apple Pay, Google Pay, and other third-party wallets.
- If you don’t accept these payment methods, you’re losing sales to competitors who do.
Subscription Billing
- Want to offer recurring revenue?
- Set up subscription services for monthly wine clubs, beer deliveries, and spirit selections with the right payment processor.
- This will create a steady revenue stream to smooth out seasonal sales fluctuations.
Multi-Currency Support
- Want to sell internationally?
- You need a payment processor that makes it easy to accept and handle multiple currencies.
The Right processor will handle everything from currency conversion to depositing funds in your preferred currency.
Accepting Online Payments For Alcohol
Security Features That Actually Matter
Ok, ok, before you put your head down at your desk, this is a biggie…
Payment security for alcohol sales is about more than just encrypting credit card numbers. You need age verification integration, fraud detection tools, PCI compliance, and secure tokenization.
All of these features will not only protect your business but will also protect your customers.
Without them, one data breach is all it’s going to take for you to go from “boom” to “boom, boom.”
Compliance Features That Keep You Out Of Trouble
Compliance? Ugh.
This is the one area where most alcohol businesses make mistakes.
Each state has its own set of rules.
Federal laws change.
And a single mistake is all it takes to shut down your operation.
What should be in a smart alcohol payment processing solution.
Age Verification
Your payment system should automatically verify that the customer is over 21 (or 18 in international markets).
This takes place at checkout – before payment processes.
State-By-State Shipping Rules
Direct-to-consumer (DTC) alcohol shipments are allowed in some states. Not in others. The payment system should automatically know the difference and block transactions to prohibited states.
Automated Tax Calculations
Alcohol taxes vary widely by location.
Manually calculating the correct tax is a nightmare.
The payment processor should be able to calculate taxes automatically based on the shipping address.
Important:
Did you know that more and more customers are buying alcohol on their mobile phones?
If your payment solution isn’t optimized for mobile, you’re already behind.
Mobile checkout needs to be:
- Fast (1-2 taps maximum)
- Simple (no tiny buttons or confusing forms)
- Secure (biometric authentication support)
Think about how many times you’ve abandoned a mobile purchase because checkout was too difficult. Your customers are the same way.
The Mobile Payment Revolution
Here’s something that most people don’t think about…
Mobile.
Mobile is where all the growth is happening right now.
Customers are buying more alcohol on their phones than ever before.
If your payment solution isn’t fully optimized for mobile, you’re already behind the 8 ball.
Here’s how mobile checkout should work:
- Fast (one or two taps maximum)
- Simple (no tiny buttons or confusing forms)
- Secure (biometric authentication support)
Think about how many times you’ve abandoned a mobile purchase because the checkout was too complicated. Your customers do the same.
International Expansion Made Simple
Listen, the online alcohol market is projected to grow by 20% in value from 2023-2028.
A LOT of that growth is going to be international. If you’re looking to get a piece of that pie, you’re going to need a payment solution that makes international sales a no-brainer.
What you need:
- Multi-currency support
- Local payment methods (Alipay for China, iDEAL for Netherlands, etc)
- Automatic currency conversion
- International fraud protection
If your payment solution doesn’t have these features, international expansion will be impossible.
Finding Your Perfect Payment Partner
Ok, you know what you’re looking for.
The big question is where the heck do you start?
Here are some questions to ask when evaluating payment processors for alcohol sales.
- Do they specialize in alcohol sales?
- What are the actual processing fees, including any hidden costs or add-ons?
- Is age verification built-in or is it an additional cost?
- Can the processor scale with your growth plans?
Don’t settle for a general payment processor that just treats your alcohol business like a headache they don’t want to deal with.
You need to work with a specialist that understands your industry.
Time To Take Action
Ok, that’s a wrap.
The landscape for alcohol payment processing has changed.
What used to work 5 years ago isn’t going to work today.
Customers are expecting fast, secure, convenient ways to pay.
Businesses need payment processing that’s reliable, compliant, and won’t bankrupt you.
The right payment solution can make all of this happen.
If you’re losing sales to failed transactions, insane fees, or getting hassled with compliance issues… it’s time for a change.
You can continue to struggle or you can find a payment solution that’s fit for the modern age.
The best time to upgrade your payment processing was yesterday.
The second best time is now.
