This product will revolutionize the alcohol industry

variety of drinks alcohol industry

The rise of hemp-derived beverages is reshaping the alcohol industry and proving they’re more than just a trend—they are here to stay. As the category continues to perform exceptionally well and consumes more retail shelf space, alcohol giants are starting to pay attention. 

Hemp-derived THC products provide a way to enjoy cannabis without the need to step into a dispensary, and consumers are increasingly embracing them as a mainstream alternative to alcohol. The entry of mainstream distribution channels is further proof that this market is not only growing but fundamentally changing the beverage industry—major retailers like Total Wine & More and platforms like DoorDash now offer hemp-derived options.

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A major market shift

Hemp-derived THC beverages present an opportunity to replace alcohol in social settings and offer a similar ritual and experience without the drawbacks of traditional alcoholic drinks. With alcohol consumption declining—evidenced by studies showing daily cannabis use surpassing daily alcohol consumption—consumers are increasingly opting for these alternatives, and retailers are responding by allocating more space to the category. 

DoorDash’s recent decision to launch a hemp-derived category highlights how e-commerce platforms are also recognizing this shift in consumer behavior. The ability to purchase hemp-derived THC beverages in mainstream retail channels further normalizes their consumption and boosts market penetration. 

cheech and chong drinks at wswa access live 2025
Cheech & Chong’s High & Dry beverages at WSWA Access Live 2025. Photo: Matt Adams

Regulatory landscape & market opportunity

While larger alcohol and cannabis companies hesitate, waiting for the stigma to dissipate and regulations to clarify, early movers are seizing the moment. Companies that understand both cannabis and alcohol sales and the unique marketing, formulations, production, distribution, and scaling that accompany them are poised for explosive growth. Multi-state operators (MSOs) such as Curaleaf are already pivoting to hemp-derived products as they recognize the immense potential in states where legal cannabis remains restricted.

The states leading this shift include Texas, Florida, Georgia, and Tennessee, where demand for intoxicating hemp-derived products dwarfs the size of existing cannabis programs. Texas alone has over 7,000 registered hemp dispensaries and employs more than 50,000 people while generating $8 billion annually. Florida’s hemp-derived industry is similarly robust, with over 9,000 retail locations selling these products. The explosive growth has occurred in less than five years, which is a clear indication that consumers want alternatives to traditional alcohol and that businesses see a lucrative future in this category.

Economic & legislative considerations

The economic benefits of hemp-derived THC beverages are clear. States that embrace and regulate the industry can generate substantial tax revenue while ensuring consumer safety. A regulatory framework that balances oversight with accessibility is in the best interest of all stakeholders. However, attempts to ban hemp-derived cannabinoids could have the opposite effect.

Efforts to prohibit these products reduce consumer demand and push the market underground, where unregulated supply networks thrive and generate billions in tax-free profits. Texas lawmakers, for instance, have been urged to strengthen oversight rather than ban the industry outright, as prohibition would only exacerbate the state’s existing crime problems.

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The alcohol industry’s strategic response

The alcohol industry is not standing idly by. Organizations like the Wine & Spirits Wholesalers of America (WSWA) are pushing for federal cannabis legalization and regulation because they recognize that prohibition is not a sustainable strategy. The WSWA has publicly acknowledged that prohibition never works and has voiced its support for regulatory frameworks that bring cannabis into the legal marketplace.

As traditional alcohol companies face declining sales in existing product categories, and the rise of cannabis as an alternative to alcohol forces them to adapt, many are exploring partnerships, acquisitions, and new product developments. The logical next step is for hemp-derived THC beverages to enter existing alcohol distribution channels, making them even more accessible to mainstream consumers. 

The future: convergence & collaboration

The future of the beverage industry lies in collaboration between hemp-derived THC brands and alcohol distributors. As regulations evolve, we will see a merging of sales channels, marketing strategies, and consumer demographics. Large alcohol companies are likely to enter the space as soon as federal regulations become more defined, but in the meantime, early adopters who understand both industries will have a significant advantage.

There is already talk of regulatory frameworks in states like Texas that would allow access to all cannabis products—ranging from low-dose CBD to medical-grade cannabis, and possibly even full recreational legalization. If that happens, the overlap between the alcohol and cannabis beverage industries will only increase.

Hemp-derived beverages are not just another category; they represent a fundamental shift in how consumers approach relaxation, socialization, and well-being. With the market booming and the regulatory landscape evolving, now is the time for brands, retailers, and investors to position themselves at the forefront of this transformation. Those who recognize the opportunity today will be the ones shaping the future of the beverage industry tomorrow. 

*This article was submitted by a guest contributor. The author is solely responsible for the content.

Jordan Tritt Jordan Tritt is the CEO and Co-Founder of the Panther Group, where he nurtures a team of experts who share his passion for raising capital, strategic advisement, mergers and acquisitions, business development and C-suite support. The Panther Group’s network of over 150,000 cannabis professionals, referral partners, and investors draws on Jordan’s decade in the cannabis investment space.