Lena Savoie
While it is uncommon for fast-food restaurants in the US to serve alcohol, several well-known fast-food chains have started offering alcoholic beverages in select locations. This trend, often referred to as fast-casual, aims to provide a sit-down dining experience without the typical restaurant prices. Liquor regulations and licensing costs vary across states, counties, and towns, making it challenging for many fast-food establishments to obtain the necessary licenses to sell alcohol. However, some notable fast-food brands have successfully incorporated alcohol into their menus, attracting customers seeking an enhanced dining experience.
| Characteristics | Values |
|---|---|
| Fast-food restaurants that serve alcohol | Taco Bell Cantina, Shake Shack, Chipotle, Starbucks, Burger King Whopper Bar, Sbarro, Pizza Hut, White Castle, Sonic, Denny's, Qdoba, Steak 'n Shake, Mama Margies |
| Reasons why fast-food restaurants don't serve alcohol | Cost of liquor license, risk, reputation, location, staffing, brand image |
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What You'll Learn
Why don't more fast-food restaurants in the US serve alcohol?
In the US, it is uncommon for fast-food restaurants to serve alcohol. While alcohol sales for fast-casual chains are more likely, traditional fast-food revenue is dwindling, and traditional fast-food restaurants rarely serve alcohol. For instance, in central Texas, Mama Margie's serves beer, margaritas, and frozen jack and coke, and at least two Sonic locations in Florida sell beer and wine to dine-in customers. However, the combination of legal restrictions, liability concerns, and branding challenges will likely keep most drive-thrus in North America alcohol-free.
One of the main reasons for this is the strict liquor regulations that vary by state, county, and town in the US. These regulations make it costly and challenging for establishments to obtain liquor licenses, especially when they have multiple locations, each with different local laws. The high cost of a liquor license may outweigh the sales revenue from serving alcohol, leading many fast-food chains to opt-out. The location of these restaurants also impacts their ability to serve alcohol, as they may need to be a certain distance away from schools or churches.
Another factor is the young workforce employed by fast-food chains. In the US, many laws prohibit those under 21 from handling alcohol, and around 30% of fast-food workers are under this age. This creates a complex situation for businesses, especially those with drive-thru services, as they may need to navigate legal liabilities and safety concerns. Additionally, serving alcohol can slow down the quick service that fast-food restaurants are known for.
The brand image of fast-food chains also plays a role in their decision not to serve alcohol. Many of these restaurants, such as Taco Bell, have a family-friendly image, which could be contradicted by serving alcoholic beverages. Furthermore, the complexity of storing, preparing, and systemizing alcohol distribution, along with the need for additional insurance, can deter fast-food brands from offering alcoholic drinks.
However, there are some notable exceptions to this trend. For example, Pizza Hut has offered beer and wine at its sit-down restaurants and even expanded its beer delivery service to more stores. Specialty Taco Bell Cantina locations also stand out by offering an extensive menu of alcoholic beverages, including beer, wine, sangria, and liquor-spiked freezes. Shake Shack, with its restaurant" feel, offers artisanal beer and wine, and Chipotle serves beer and margaritas at select locations. While rare, some fast-food restaurants in the US are slowly introducing alcohol to their menus.
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Fast-food chains that serve alcohol in the US
In the US, it is uncommon for fast-food restaurants to serve alcohol due to liquor regulations and the high cost of obtaining a liquor license. However, there are some fast-food chains that do offer alcoholic beverages at select locations. Here are some examples of fast-food chains that serve alcohol in the US:
Taco Bell Cantina
Taco Bell Cantina is one of the most well-known fast-food chains that offer alcoholic beverages. These specialty Taco Bell establishments offer an extensive menu of beer, wine, sangria, and liquor to spike their signature freezes. Taco Bell Cantina locations are usually open late and offer more exclusive menu items than the typical drive-thru. The exact alcohol options vary by location, but each Taco Bell Cantina is likely to have at least one drink to entice drinkers.
Pizza Hut
Pizza Hut has served beer and wine in its sit-down restaurants for quite some time. In 2017, the company began alcohol delivery, bringing the classic pairing of pizza and beer to customers' homes. Pizza Hut expanded beer delivery to 300 more stores in 2019 and planned to extend it to even more locations. The beer and wine list varies depending on the location, but domestic beers like Blue Moon, Budweiser, and Busch Light are often available, along with imports like Stella Artois and Corona Extra.
Chipotle
Chipotle is a fast-casual restaurant chain known for its burritos and bowls. It offers a selection of alcoholic beverages, including domestic and imported bottled beers, margaritas, and occasionally other specialty cocktails depending on the location. As of 2023, Chipotle revamped its margaritas, offering a hand-shaken recipe with premium tequila, fresh juices, and triple sec. While the drinks are pricey, Chipotle has been known to offer happy hour specials on drinks at certain locations.
Shake Shack
Shake Shack is often considered elevated fast food, so it's no surprise that this burger chain offers alcoholic beverages. Shake Shack has put considerable thought into its wine and beer program, partnering with Brooklyn Brewery to develop its own house beer, Shackmeister Ale, sold at all American locations. Frog's Leap red and white wines are also available, along with a variety of beers tailored to each location.
Sbarro
Sbarro, a pizza chain, has been working to reclaim its position in the market since exiting bankruptcy protection in 2014. As part of this effort, some Sbarro locations now serve alcohol, including beer and wine. However, the drinks are sold at a significant markup, with a 12-ounce bottle of beer priced at $5.19.
While less common, other fast-food chains like White Castle, Burger King's Whopper Bar, Sonic, Denny's, and Steak 'n Shake have also been known to serve alcohol at select locations in the US. These instances are often part of experimental concepts or testing phases, and the availability of alcohol in fast-food restaurants can vary over time.
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Fast-food restaurants that serve alcohol outside the US
While fast-food restaurants that serve alcohol are still relatively rare, there are a number of chains that have started to offer alcoholic beverages outside of the US.
Taco Bell
Taco Bell Cantina, a specialty Taco Bell establishment, offers an extensive menu of beer, wine, sangria, and liquor to spike their signature freezes. The exact alcoholic drinks vary by location, but each Taco Bell Cantina is likely to have at least one drink to entice drinkers. Taco Bell Cantina has outlets in Chicago and other locations in the US, but it is unclear if the non-US locations also serve alcohol.
Chipotle
Chipotle is one of the most well-known fast-casual restaurant chains that serve alcohol alongside its famous burritos and bowls. Its booze menu usually includes domestic and imported beers, canned wine, margaritas, and occasionally other specialty cocktails depending on the location. As of 2023, Chipotle revamped its margaritas by creating a hand-shaken recipe with tequila, lemon and lime juice, agave, and triple sec.
Burger King
Burger King, or BK, sells beer in a small number of its non-US locations, including the UK and Germany. Its high-end offshoot, BK Whopper Bar, has locations across the world, including Las Vegas, Universal CityWalk in Orlando, Miami's South Beach, and Times Square. These locations offer a variety of domestic beers.
Five Guys
Five Guys, a fast-food chain known for its burgers and fries, has started serving alcohol at some of its locations outside the US. In 2021, the chain opened a shop in the American Dream Mall in East Rutherford, New Jersey, which became the first Five Guys in the US to offer beer, wine, and seltzers. There are also reports of a Five Guys location in England serving a few beers.
Shake Shack
Shake Shack, often considered elevated fast food, offers alcoholic beverages at its locations. The chain has put a lot of thought into its wine and beer program and has partnered with Brooklyn Brewery to develop its own house beer, Shackmeister Ale, which is sold at all American locations. Frog's Leap red and white wines, as well as a variety of beers tailored to each location, are also available.
Pizza Hut
Pizza Hut has served beer and wine in its sit-down restaurants for a while, and in 2017, the company began alcohol delivery to customers' homes. The beer and wine list varies depending on location, but domestic beers like Blue Moon, Budweiser, and Miller High Life are often available, along with imports like Stella Artois and Corona Extra.
Sbarro
Since exiting bankruptcy protection in 2014, Sbarro, a pizza chain, has been working to reclaim its position by offering alcohol at select locations. While not every Sbarro serves alcohol, many locations offer beer alongside their pizza slices.
White Castle
White Castle, a fast-food burger chain, made news in 2011 when an Indiana location started selling wine and beer. While this practice was abandoned after two years, as of 2025, the White Castle location inside the Best Western Plus Casino Royal hotel in Las Vegas serves alcoholic beverages to its customers.
In addition to these chains, it is worth noting that McDonald's serves alcohol in several countries outside the US, including Sweden, France, Australia, Spain, Greece, Serbia, and South Korea.
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The cost of a liquor license
In the US, it is uncommon for fast-food restaurants to serve alcohol due to the costly and complex process of obtaining a liquor license. The cost of a liquor license varies depending on the state, the type of license, and the nature and population of the municipality.
For example, in Delaware, the cost of a liquor license is $500 to sell beer or wine, $1,000 to sell liquor, and $2,000 to sell beer if you're a brewery pub. In contrast, New Mexico has an average license cost of $381,000, while in Nevada, the fee structure differs by county. In New York State, liquor license costs can range from $4,000 to $60,000, while in Chicago, a Tavern License costs $4,400 plus a $40 publication fee, and a Caterer's License costs $4,400 or $2,200 if you already have a COP License, also plus a $40 publication fee.
The high cost of a liquor license can outweigh the potential sales revenue from serving alcohol, especially for fast-food chains with family-friendly branding. Additionally, the lengthy and complex application process, which can take up to six months, may deter businesses from pursuing a liquor license.
Despite the challenges, some fast-food restaurants have ventured into alcohol sales. For instance, Taco Bell Cantina offers beer, wine, sangria, and liquor, while Pizza Hut delivers beer and wine to customers' homes. Burger King's Whopper Bar in South Beach, Miami, and a few UK branches also sell beer. Chipotle, Shake Shack, and Starbucks' Reserve Roasters spots are other examples of fast-food or quick-service restaurants offering alcoholic beverages.
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The impact of location on liquor licensing
In the United States, liquor licensing is subject to a variety of regulations that vary by state, county, or even town. These regulations, which were established after Prohibition, make it challenging and costly for businesses to obtain a liquor license. The impact of location on liquor licensing is significant, and can be examined through various factors:
Location-Based Restrictions
The sale of alcohol in the US is subject to location-based restrictions. For instance, "dry counties" are counties where the sale of alcoholic beverages is prohibited by local law. Additionally, the number of licenses available for restaurants to serve alcohol may be limited based on county populations. This means that even within a state that permits alcohol sales, certain counties or localities may have stricter regulations that restrict or limit the availability of liquor licenses.
Proximity to Sensitive Areas
The location of a business in relation to sensitive areas, such as schools or churches, can impact its eligibility for a liquor license. Establishments located near these areas may face additional challenges or restrictions when applying for a liquor license due to concerns about the impact on the surrounding community.
State and Local Regulations
Each state has its own Alcoholic Beverage Control (ABC) agency, which sets specific rules and requirements for liquor licensing within that state. These agencies regulate the sale and distribution of alcoholic beverages, with some states even operating their own liquor stores. The application process for a liquor license often involves federal registration, understanding state quotas, selecting the correct license class, and providing various business documents.
Cost of Liquor License
The cost of obtaining a liquor license can vary significantly from state to state and even within different classes of licenses. For example, in Alabama, a liquor license may cost between $100 and $1,000, while in California, the range is from $1,000 to $16,000. The high cost of a liquor license may deter some businesses, especially those with lower expected sales revenue from alcohol, such as fast-food chains.
Staffing Considerations
The location of a business can also impact its staffing considerations when obtaining a liquor license. Many fast-food chains employ individuals under the age of 21, which can complicate the business model and the brand's family-friendly reputation. Additionally, serving alcohol may require additional training for staff to ensure compliance with regulations, such as checking customers' IDs.
In summary, the impact of location on liquor licensing in the US is significant. The varying regulations, restrictions, and costs associated with obtaining a liquor license can influence whether a business decides to offer alcohol. The location of a business in relation to sensitive areas, nearby establishments, and state and local regulations all play a crucial role in the liquor licensing process.
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Frequently asked questions
Yes, there are. However, it is not common for fast-food restaurants in the US to serve alcohol due to the high costs and legal complexities of obtaining a liquor license.
Here is a list of some fast-food restaurants that have served alcohol in the US:
- Burger King (BK Whopper Bar)
- Chipotle
- White Castle
- Sbarro
- Shake Shack
- Starbucks
- Pizza Hut
- Taco Bell (Taco Bell Cantina)
- Sonic
There are several reasons why most fast-food restaurants in the US do not serve alcohol. Firstly, liquor regulations and licensing requirements vary across states, counties, and even towns, making it challenging and costly to obtain a license. The high cost of a liquor license may outweigh the potential sales revenue from alcohol for some establishments. Additionally, the location of fast-food restaurants can impact their ability to serve alcohol, especially if they are near schools or churches. Staffing can also be a factor, as many fast-food chains employ individuals under the age of 21, which can affect both the business model and the brand's family-friendly reputation.
