In-store engagement has become more critical in terms of boosting liquor retail sales, against the backdrop of falling purchase frequency, research from Fonto shows.
Data from the ‘Moments in Alcohol’ research reveals that the average purchase frequency for the December quarter was 5.8, down from seven purchases in the year-ago period. This decline has been the major contributor to declining liquor retail sales.
The study also identified a significant and largely untapped upsell opportunity from in-store engagement. Data shows that 31 per cent of customers end up buying more than they planned after interacting with retail staff or in-store activations.
In addition, 29 per cent of buyers are actively weighing up alternative retailers at the time of purchase. This shows brands that invest in the last-mile experience such as promotions and ranging are best placed to capture this undecided segment.
“Fonto data paints a clear picture of where the growth opportunity lies,” said Ben Dixon, CEO of Fonto.
“Visitation frequency has come under pressure, but the basket size opportunity remains strong particularly when customers are actively engaged in-store. Retailers who win on engagement will win on revenue.”
Staff training remains an area of underperformance, the research finds. While friendliness and helpfulness of staff rank first in driving customer satisfaction, staff knowledge of promotions ranks only sixth, reflecting a gap that represents real lost revenue across the category.
In terms of customer satisfaction, Dan Murphy’s led the major chain retailers in the December quarter, with 55 per cent of customers saying they were very satisfied, according to the report.
BWS and Liquorland followed at 44 per cent and 41 per cent respectively, with both brands showing strength in staff friendliness.
The research also finds that liquor orders grew from 5 per cent to 7 per cent of all delivery app purchases between October 2025 and January 2026, with delivery app orders commanding a higher average basket ($63 vs $51 direct).
