Delivery flexibility through expansion of dropshipping
As part of LCBO’s Future State Modernization program, starting January 1, 2026, the dropshipping model used with convenience and grocery customers will be expanded to all wholesale customers, including bars and restaurants, duty free and LCOs. This provides suppliers with greater flexibility.
Dropshipping is an ecommerce fulfillment method where an online store sells products without physically stocking or shipping them. Wholesale customers who purchase select Ontario-made products on wholesale.lcbo.com will be able to have orders fulfilled and shipped directly from the alcohol supplier. These suppliers are often referred to as ‘supplying sources’.
In addition to expanding dropshipping, going forward, domestic suppliers will be able to decide if they want to manage some or all fulfillment and delivery for each SKU, by region and by customer type.
What products can be dropshipped?
The only products that can be dropshipped to wholesale customers are Ontario-produced beer, cider, wine, spirits and ready-to-drink beverages.
What are the dropshipping regions?
For transportation purposes, effective January 1, LCBO will divide the province into five regions – central, east, southwest, northeast and northwest. Click here to review the regions. The change is a realignment, specifically adjusting the northern part of the province, to support the expansion of the dropshipping model.
What are the next steps and timelines?
Submit any changes to fulfillment/ delivery by November 7 to be effective for January 1 by contacting groceryandconvenience@lcbo.com.
If you are considering making a change, we encourage you to speak to your distribution partner before doing so to confirm agreement with both parties.
Otherwise changes can be made any time after January 1.