Read the Fall 2021 Issue of the Quarterly Pour
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THE QUARTERLY Pour Fall 2021 » EMAIL MARKETING » RETAINING STAFF » LEGAL RISKS OF COVID » INDUSTRY CONSOLIDATION PM40026059 FEATURES 10 Compensation & Retention Strategies Employers need to work even harder than before to retain their high-performing employees. up front 12 Fox & Hounds This Aldergrove pub boasts many Leveraging long-term employees and patio space larger than its interior space. Email Marketing 14 Legal Risks and Realities Email is a powerful of COVID-19 What is the risk of being sued for opportunity for gross negligence? Can you require 6 small businesses. staff to be vaccinated? See how to create 22 Brand Consolidation: and execute a great Better Together? campaign. What are the pros and cons of global brand consolidation? DEPARTMENTS 4 ABLE BC Industry Update 5 BC Liquor Industry Trends 9 Beer Notes: Expanding your Tap List 18 LDB Update: The Cooler Category is Growing Rapidly 21 Day in the Life of a Publican: Marilyn Sanders 24 What’s Coming? 25 BC Hospitality Foundation 26 Wine Report: What Makes Wine Orange? 27 Spirit Spotlight: Bourbon: The Spirit of America 28 LCRB Report 29 Names in the News 29 Product Showcase 30 ABLE BC Membership Report EXTRAS 20 Challenges Facing Import Agents » ABLE BC Industry Update by Jeff Guignard ED Report and supporting members who want to make By the time you read this, BC’s longest-ever their temporary patios permanent. State of Emergency will have ended. After We are also working hard to advance the months of sacrifice, hard work, pain, and interests of our liquor retailer members, who Quarterly Publication for the inestimable financial hardship, we will have finally have been waiting years to see the moratorium Alliance of Beverage Licensees turned a corner in the fight against COVID-19 and on new LRS licenses extended a further 10 2nd floor 948 Howe Street, Vancouver, BC V6Z 1N9 begun the long road to recovery. years. As you may recall, the Attorney General T 604-688-5560 F 604-688-8560 As one pub owner in downtown Vancouver committed to extending the moratorium at our Toll free 1-800-663-4883 [email protected] www.ablebc.ca @ABLEBC told me, “It feels like we can finally breathe again.” 2020 BC Liquor Conference. Since then, many We all know that BC’s hospitality, accom- of you have joined me in engaging directly 2020-2021 Board of Directors & ABLE BC Staff modation, and tourism industries were hit first with Minister Farnworth to request his help President Al McCreary and hit hardest by this 18-month pandemic. in getting this over the line. We are making Past President Poma Dhaliwal We will also be among the last to fully recover. steady progress, and I hope to be able to offer Vice President Al Deacon Treasurer Trevor Kaatz To give you an idea what we’re up against, here a positive update later in the fall. Directors Brady Beruschi, Michael Brown, are some sobering statistics from June 2021: We are also working to support both LP Yvan Charette, Stephen Roughley, • 15% of our hospitality industry has already and LRS members with the introduction of Angie Eccleston Director-At-Large Lorne Folick closed permanently licensee-to-licensee sales. Since I started this Executive Director Jeff Guignard • 80% report losing money or barely breaking job over seven years ago, it has never made Director of even for over a year sense to me that a pub or restaurant should Membership & Communications Danielle Leroux • 50% are unsure their business will survive be prohibited from buying liquor from a private the summer liquor store; instead, they are forced to buy The Quarterly Pour Editorial Committee: In the midst of our darkest hours, we worked from a government liquor store (or direct from Megan Carson, Trevor Kaatz, Paul Rickett with our provincial government partners to domestic BC manufacturers). It is a blatantly Designed, Produced & Published by: secure nearly $200 million of direct financial unfair and illogical policy that needlessly EMC Publications support for our industry—via Circuit Breaker restricts an LRS from selling even convenience- 19073 63 Avenue, Surrey BC V3S 8G7 Ph: 604-574-4577 1-800-667-0955 Grants, Small Business Grants, and a long- based, one-off bottles of speciality products [email protected] overdue wholesale price for hospitality licensees. not available at a GLS. While there are some www.emcmarketing.com On top of tens of millions you received from the minor issues to resolve—for example, our agent Publisher Joyce Hayne federal wage and rent subsidies, I know these and BC manufacturing partners have raised Designer Kyla Getty Sales Marina Lecian funds were integral to helping many of you legitimate concerns based on their experience Beatriz Friz survive. Although these funds were a drop in in other jurisdictions—I remain optimistic that ABLE BC Editor Danielle Leroux the bucket when measured against the scale of we’re very close to a workable solution that Copyright EMC Publications your losses, not a single dollar would have flowed will enhance private sector opportunities without the hard work of our BC government across BC’s liquor industry. As an important PUBLICATIONS MAIL AGREEMENT NO. 40026059 partners, who deserve our thanks. I wish to first step in this direction, in July we successfully RETURN UNDELIVERABLE CANADIAN ADDRESSES TO CIRCULATION DEPT EMC PUBLICATIONS express my sincere gratitude and appreciation to secured approval for private liquor stores to 19073 63 AVENUE Solicitor General Mike Farnworth, Attorney sell to holders of Special Event Permits. SURREY BC V3S 8G7 General David Eby, Minister of Jobs Ravi email: [email protected] Kahlon, their talented staff, and the relentlessly Stay Informed: Monthly Virtual dedicated teams at the LCRB and LDB. Their Meetings support has been a crucial lifeline for many in I know how hard it can be to keep on top of our industry who are still struggling to recover, all the latest—and often rapidly changing— The opinions & points of view expressed in and I cannot thank them enough. information. If you have questions you want to published articles are not necessarily those of ABLE BC. I’d love to say that our work is now complete, ask, I hope you’ll join me the last Thursday of Advertisers are not necessarily endorsed by ABLE BC. but we all know we have a long road ahead. every month at 10 a.m. for a virtual “State of With the need for pandemic closures and the Industry” update. I’ll take your questions stringent public health protocols behind us, directly, go over key information from the we will be refocusing our efforts on industry’s past month, and get you up to speed on key other challenges, such as the growing labour discussions with government. To register, shortage, the crisis of skyrocketing insurance please RSVP to [email protected] premiums, logical policy reforms like licensee- Of course, you can also always reach me at to-licensee sales, faster and more transparent any time at [email protected] licensing application processes and timelines, Stay safe and sane out there. 4 The Quarterly Pour BC LIQUOR INDUSTRY trends Source: BC Liquor Distribution Branch Wholesale Sales: January - March 2021 Litres increase/decrease increase/decrease over previous quarter over previous year Beer – BC Commercial 28,691,235 - 3.6% - 6.1% Beer – BC Micro Brew 6,460,561 - 2.6% - 0.6% Beer – BC Regional 9,571,494 - 13.4% - 12.5% Beer – Import 4,902,232 - 20.6% - 35.9% Cider – Domestic & Import 3,375,934 - 6.4% - 11.1% Coolers 13,025,259 + 12.4% + 30.6% Gin 369,723 - 24.8% + 10.9% Rum 742,184 - 42.3% - 7.6% Tequila 236,001 - 5.9% + 2.2% Vodka 2,002,688 - 19.2% - 9.2% Whiskey 1,615,184 - 32.4% - 5.8% Wine – BC 8,795,634 - 22.4% - 4.8% Wine – Canadian 214,930 - 40.0% - 6.3% Wine – USA 1,640,549 - 29.2% + 0.3% Wine Total 16,912,487 - 23.5% - 3.9% Hospitality Sales: January - March 2021 Litres increase/decrease increase/decrease over previous quarter over previous year Beer – BC Commercial 2,901,990 + 1.5% - 36.2% Beer – BC Micro Brew 1,575,553 + 10.6% - 38.7% Beer – BC Regional 1,528,978 + 5.7% - 41.9% Beer – Import 573,519 - 11.0% - 57.6% Cider – Domestic & Import 261,587 + 12.2% - 47.1% Coolers 168,826 + 16.2% - 39.0% Gin 38,700 + 14.6% - 48.3% Rum 43,873 + 7.0% - 38.4% Tequila 52,626 + 20.1% - 39.6% Vodka 137,101 + 12.2% - 42.2% Whiskey 69,359 + 3.1% - 41.7% Wine – BC 692,266 + 0.6% - 33.7% Wine – Canadian 10,883 + 14.8% - 28.8% Wine – USA 97,450 - 1.7% - 34.7% Wine Total 1,251,218 + 0.9% - 32.1% Coolers continue their strong growth with a 30.6% increase over the first quarter of last year. See the LDB Update on page 18 for further trends on refreshment beverages. After strong wholesale rum sales from October to December, this category fell dramatically from January to March. Imported beer saw significant declines in both wholesale and hospitality sales. Although BC micro brews saw a 10.6% increase in hospitality, those trends were not seen in wholesale, so there’s an opportunity to stock and promote more micro brews in retail, since there’s obviously demand for those beers. The Quarterly Pour 5 Leveraging Email Marketing by Conner Galway No one reads the newspaper anymore. maligned email message has become so pivotal to our professional lives, There’s a now-familiar source of anguish in the marketing industry— but whatever the case, our inboxes are consistently one of the most whenever we get comfortable with a medium, people’s behaviours shift used apps on our phones, and the most personal way to communicate and we are forced to tear down and rebuild what we communicate at scale.