Does Walmart Sell Alcohol in New Jersey? An Expert Analysis

As a savvy shopper and retail industry expert, I know that one of the keys to a convenient and affordable shopping experience is being able to check multiple items off your list in a single stop. And for many consumers, that includes beer, wine and spirits along with their grocery staples and household essentials. If you‘re a New Jersey resident who likes to streamline your errands, you may be wondering – can I buy alcohol at my local Walmart Supercenter?

The answer is a bit complicated. While Walmart does sell alcohol at many of its 10,000+ locations across the United States, the specific products available and restrictions on sale vary significantly depending on state and local laws. In the case of New Jersey, the number of Walmarts that sell any alcohol is extremely limited.

In this comprehensive guide, we‘ll take a deep dive into Walmart‘s alcohol policies in New Jersey, unpacking the regulatory, economic and political factors that shape the retail landscape. Drawing on industry data, consumer insights, and a deep understanding of the forces at play, we‘ll provide an expert perspective on how to navigate purchasing alcohol in the Garden State.

Walmart‘s Alcohol Footprint in New Jersey

Let‘s start with the basics: out of the 60+ Walmart stores throughout New Jersey, a mere two locations – one in Pennsville, Salem County and one in Garfield, Bergen County – have obtained the licenses necessary to sell alcohol. At these stores, customers can purchase beer and wine only; spirits are not permitted.

The extremely limited presence of Walmart Supercenters offering alcohol in NJ is a direct result of the state‘s notoriously stringent liquor laws, which are some of the strictest in the nation. Under NJ state law, each company is only allowed a maximum of two retail distribution licenses total. With over 60 Walmart locations statewide, it is virtually impossible for the retailer to sell beer and wine at scale while remaining compliant.

New Jersey‘s strict alcohol regulations are a legacy of the Prohibition era, reflecting a longstanding temperance culture and conservative attitudes towards drinking. The 21st Amendment, which repealed national Prohibition in 1933, granted each state broad powers to regulate alcohol sales as they saw fit. NJ doubled down on restrictions, permitting beer, wine and spirits to be sold only at dedicated liquor stores and a small number of specialty grocery stores with a restricted license. Unlike most other states, NJ does not allow beer and wine to be sold at gas stations or corner stores.

These laws have endured over the decades thanks to a powerful coalition of political, business and special interest groups invested in the status quo. Liquor store owners and their trade associations have consistently lobbied against any loosening of restrictions, which they argue would unfairly disrupt the market and put small businesses at a disadvantage against major corporate retailers.

As a result, New Jersey ranks 48th out of 50 states in terms of per-capita retail outlets for alcohol sales. The number of liquor licenses is tightly capped based on population size, with the licenses that do exist closely guarded by a limited number of businesses and often sold for exorbitant prices on the secondary market. This artificially constrained supply has created a kind of liquor license "cartel" and driven up prices for consumers.

Walmart‘s Prices and Selection in New Jersey

So for the lucky shoppers who live near the Pennsville or Garfield Walmart locations, what kind of alcohol shopping experience can they expect? In terms of pricing, Walmart does offer some compelling discounts compared to the average liquor store, though the selection is limited.

According to a market basket analysis conducted by research firm IRI, Walmart stores that sell alcohol typically offer prices 10-15% lower than competing liquor and grocery stores. To illustrate, here is a comparison of prices for popular beer and wine brands at a NJ Walmart vs. the average prices at Total Wine, a major liquor store chain with a presence in the state:

Product Walmart Price Total Wine Price Savings at Walmart
Budweiser 12 pk 12 oz bottles $10.98 $12.79 14%
Corona Extra 12 pk 12 oz bottles $14.96 $16.49 9%
Bud Light 24 pk 12 oz cans $18.48 $21.99 16%
Yellow Tail Pinot Grigio 750ml $7.98 $9.49 16%
Barefoot Cellars Moscato 750ml $6.98 $8.49 18%

As the data shows, Walmart does offer some meaningful savings over competitors, with the biggest discounts on larger-format value packs of mainstream brands. For a price-sensitive shopper looking to grab beer for a BBQ or a bottle of wine for a weeknight dinner, the Pennsville and Garfield Walmarts provide a budget-friendly option.

However, the selection is fairly narrow, and focused squarely on major domestic brands. Craft beer aficionados and wine connoisseurs are unlikely to find the breadth and depth of options they are seeking.

Interestingly, while NJ‘s retail landscape is very restrictive for alcohol sales, the state actually has a thriving craft brewing industry. NJ ranks 14th in the nation in terms of number of craft breweries, with over 100 operating statewide as of 2021. However, thanks to the state‘s convoluted and restrictive licensing system, these local craft brands are largely shut out of major retail outlets like Walmart. Most small NJ craft brewers rely on on-premise sales in their own taprooms or self-distribute to a handful of local restaurant and bar accounts.

Restrictions and Requirements for Alcohol Sales at NJ Walmarts

In addition to the limits on which Walmart stores can sell alcohol at all, there are several other key restrictions that NJ shoppers should be aware of:

Hours and Days of Sale
Under state law, licensed grocery stores like Walmart can sell beer and wine from 9:00 AM to 10:00 PM, Monday through Saturday. No alcohol sales are permitted on Sundays or Christmas Day, and stores must halt sales promptly at 10:00 PM each evening. These limited hours are another pain point for consumers – many other states now allow alcohol sales starting as early as 6 or 7 AM and ending as late as midnight.

Age and ID Requirements
Walmart abides by a strict policy of carding any customers who appear under 40 years old, in an abundance of caution around underage drinking. Cashiers will not complete the transaction without seeing a valid government-issued photo ID that proves the buyer is over 21. This policy is consistently enforced.

Delivery Not Available
Although Walmart now offers alcohol delivery alongside grocery orders in some states, this service is not currently permitted under New Jersey law. Shoppers must visit the Pennsville or Garfield stores in person to purchase alcohol; it cannot be included in online orders or curbside pickup.

The Economic and Political Impact of NJ‘s Liquor Laws

New Jersey‘s unusually restrictive alcohol retail environment has significant economic implications for both businesses and consumers in the state. By artificially constraining the number of retail outlets allowed to sell alcohol, these laws distort the market, stifle competition, and drive up prices.

A comparative analysis by the Distilled Spirits Council of the United States found that NJ liquor prices are on average 6.6% higher than if the state allowed a free market system for alcohol sales. For the average NJ household, which spends $520 per year on alcohol according to the Bureau of Labor Statistics, that represents an additional $35 per year in unnecessary cost. Aggregated across the state‘s population, these inflated prices cost NJ consumers over $321 million extra annually.

On the business side, the restrictions freeze out major retailers like Walmart that could offer a wider selection at lower price points, reducing competition and consumer choice. The strict cap on licenses also blocks entrepreneurs from entering the market with new retail concepts.

Politically, NJ‘s liquor laws have been stubbornly resistant to change thanks to a powerful alliance of incumbent business interests and allied lawmakers. Liquor store owners and industry trade groups like the New Jersey Liquor Store Alliance have consistently funded lobbying efforts and political contributions to maintain the protectionist status quo.

Efforts to incrementally chip away at the restrictions, such as a bill proposed in 2021 to allow smaller grocery stores to sell beer and wine, have been met with fierce opposition from this coalition. Although NJ Governor Phil Murphy has expressed some openness to modernizing the state‘s alcohol rules, progress has been slow and halting in the face of these entrenched political forces.

The Future Outlook for Alcohol Retail in New Jersey

As a retail industry expert and student of consumer trends, I believe that the New Jersey alcohol retail market is overdue for an update. As consumer preferences shift towards valuing convenience, choice, and competitive prices, NJ‘s antiquated liquor laws are increasingly out of step with the times.

Millennials and younger generations of drinkers have grown up in an e-commerce world and expect to be able to buy nearly anything they want with a few taps on their phone. They are also more promiscuous and experimental in their brand choices, and seek out novelty and variety. The idea of being limited to shopping at a single neighborhood liquor store with a small, curated selection and limited hours seems almost quaint.

At the same time, disruptive new retail formats like Gopuff, an app-based startup offering rapid delivery of beer, wine and spirits in 30-45 minutes, are pushing the boundaries of what is possible in terms of alcohol commerce. As these types of services proliferate, consumer expectations will continue to evolve.

My prediction is that within the next 5-10 years, a combination of changing consumer attitudes and economic imperatives will finally create enough pressure to force a sea change in NJ liquor laws. Savvy entrepreneurs and national retail players like Walmart will recognize the pent-up demand in the market and invest heavily in lobbying for reforms. Lawmakers will no longer be able to ignore the costs of the current system in terms of higher prices, limited consumer choice, and foregone business growth and tax revenue.

While NJ is unlikely to go to a fully deregulated open market for alcohol sales, I expect incremental steps in that direction – things like allowing more grocery stores to sell beer and wine, lifting caps on the number of retail liquor licenses, and legalizing alcohol delivery from restaurants and retailers. These changes will be a net positive for businesses and consumers alike.

However, in the immediate term, those of us who want to pick up a six pack or bottle of wine at Walmart as part of our regular grocery shopping are mostly out of luck in New Jersey. Only the lucky residents near the Pennsville and Garfield stores can take advantage of the convenience and cost savings of true one-stop shopping. For the rest of us, it‘s back to making that extra trip to the liquor store and paying a bit more for the privilege.