the The Alliance of Beverage Licensees Publican Winter 2016 Featuring BX Creek Liquor Store p16

Creating Memorable Experiences p22 40026059 # • Making Connections p8 • Not All Products Are Created Equal p12 AGREEMENT AGREEMENT • Increase your Followers p26

Featured Publican BX Creek Liquor Store

Quarterly Publication for the Alliance of Beverage Licensees

2nd floor 948 Howe Street, Vancouver, BC V6Z 1N9 T 604-688-5560 F 604-688-8560 Toll free 1-800-663-4883 [email protected] www.ablebc.ca @ABLEBC

2015-2016 Board of Directors & ABLE BC Staff President Poma Dhaliwal Vice President Al Deacon Treasurer & Director Steve Smith 16 Directors Brady Beruschi, Michael Brown, Patrick Greenfield, Trevor Kaatz, Al McCreary, Danny Rickaby Executive Director Jeff Guignard Membership & Communications Danielle Leroux

The Publican Editorial Committee: Shannon Gavin, Dave Lindsay, Chris Mahony, Marilyn Sanders 8 12 22 26 Designed, Produced & Published by: EMC Publications the 19073 63 Avenue, Surrey BC V3S 8G7 Ph: 604-574-4577 1-800-667-0955 Fax: 604-574-2196 [email protected] www.emcmarketing.com Winter2016 Publisher Joyce Hayne Publican Designer Krysta Furioso Copy Editor Debbie Minke ABLE BC Editor Jeff Guignard Features Departments Copyright EMC Publications 8 Making Connections: Building a 4 President’s Message PUBLICATIONS MAIL AGREEMENT NO. 40026059 RETURN UNDELIVERABLE CANADIAN ADDRESSES Community Drives Business and Goodwill 6 Executive Director’s Report TO CIRCULATION DEPT EMC PUBLICATIONS 7 LRS & Hospitality Sales 19073 63 AVENUE 12 Not All Products are Created Equal: Managing SURREY BC V3S 8G7 Products to Increase Profitability 7 Product Showcase email: [email protected] 16 Profile - BX Creek Liquor Store 15 LDB Report 18 Wine Report 20 Buying Power 19 What's New? 22 Creating Memorable Experiences 21 Spotlight on Scotch 25 Maximize Purchasing on LTO 25 Names in the News 26 Increase your Followers: Develop Engaging 29 BCHF Update

The statements, opinions & points of view expressed in Social Media Campaigns 30 ABLE BC Benefits published articles are not necessarily those of ABLE BC. Advertisers are not necessarily endorsed by ABLE BC. President's Message by Poma Dhaliwal

It has been a busy start to ABLE BC’s 2016-17 to unite our various industry sectors as we focus liquor retailers have equal access to the online membership year and we’re proud to have you on on finding common solutions to shared industry market and that no preferential treatment is given board. I want to thank all members who renewed challenges. I hope you take advantage of this to government stores. their ABLE BC membership and welcome our new opportunity to meet other engaged and passionate Bottle Service - The rules and regulations around private liquor store, pub and associate members. operators, learn from industry experts, and speak bottle service have never been properly established with ABLE BC’s staff and board about how we can BC’s private liquor industry has recently experienced at the provincial level in BC. Clients are currently help your business. some of the most significant policy changes in a prohibited from buying bottles of liquor for their generation. As a private liquor store or pub owner tables. In order to properly recognize bottle service or manager, you know firsthand the business in BC and align the regulations around it with other implications of these liquor policy changes. Now Expanding Business Opportunities for major cities in Canada and the world, ABLE BC has more than ever, it is vital that we work together Private Retailers and Pub Owners put forward a recommendation to government to to build a future to protect our investments and Online Sales - In August, the Liquor Control Board allow our liquor primary and nightclub members promote profitability. of Ontario launched an online site where customers to legally offer bottle service. can purchase nearly 5,000 products. Purchases are delivered to a local LCBO store for free or shipped to 2016 Annual General Meeting a customer’s home through Canada Post for a fee. In Join ABLE BC Today On October 30th, ABLE BC will host our 2016 September, New Brunswick Liquor announced they Only by working together can we build a thriving Annual General Meeting where we officially elect will be offering online ordering and home delivery and sustainable private liquor industry. I hope you our new Board of Directors. We hope you can join by the end of 2016 or early 2017. will consider joining the Alliance if you are not us. It is my great honour to serve my final term as BC government stores are also working on an already a member. For more information about your president of the Alliance. For the full list of “online tool” to allow customers to place orders ABLE BC, exclusive member benefits, our advocacy our newly elected governance team, please visit for liquor products online. Currently private liquor work, and to sign-up for your membership, visit www.ABLEBC.ca. stores in BC are allowed to sell products online, www.ABLEBC.ca. but few do as it is often difficult to be practical If there is anything else we can do to help or if you or profitable about it under existing regulations. Inaugural BC Liquor Conference have any questions about liquor policy changes, ABLE BC is consulting with several private retailers I hope you won’t hesitate to get in touch. You This issue of The Publican hits stands in time for the who have had success in online sales. If the LDB can contact us any time at [email protected] or inaugural BC Liquor Conference on October 31st in moves forward with selling liquor online through 604-688-5560. Vancouver. This one-day conference was created government stores, we will work to ensure private

4 The Publican

Executive Director's Report by Jeff Guignard

First off, thank you once again to all of you who • allowing multi-use buildings (e.g., community renewed your annual ABLE BC memberships this centres) to use licensed space for non-alcohol past fall. I would also like to sincerely welcome our related purposes; new and returning members. Our Alliance is only • potential streamlining of rules around minors as strong as the size of our collective voice, and as employees in licensed premises; having 1,000 liquor licensee members behind us lends palpable strength, credibility, and weight to • improving the Mandatory Social Responsibility our advocacy efforts with government and other signage that licensees are required to display; stakeholders. and It is also immensely gratifying for our ABLE BC • recommending a new policy framework team—those of us who represent you every around “inducements” to allow manufactures, day—to know that you continue to see value in agents, retailers, and on-premise operators to the work we’re doing to protect your investments share legitimate marketing expenses to and expand private sector opportunities. In the promote products to consumers. days ahead, you can expect us to continue forging There remains much work to do, but I would like to ahead on issues such as licensee sales, recreational commend the LCLB policy team for the diligence cannabis sales, and improving in-stocks and fill and openness to our industry’s constructive rates at the LDB. feedback. If you would like to become involved in Second, I would like to acknowledge that this our ongoing policy feedback to the LCLB, please issue of The Publican comes out just in time for our feel to contact me directly at [email protected] . inaugural BC Liquor Conference, taking place at the Four Seasons in Vancouver. I hope we’ll get a Purchasing Power for Private Retailers chance to connect there. We believe strongly that the BC Liquor Conference will offer our industry By now, you’ve probably heard of our new online a much-needed annual forum to share ideas and purchasing portal for private retailers - buyABLE. best practices about how to drive profitability and On page 20 of this issue, you can read all about innovation in your businesses. how some ABLE BC members are using this platform to increase profitability and enhance their competitive edge in the marketplace. Our goal is Ongoing Improvements to BC’s Liquor Policy to give you—BC’s private retailers—the group In addition to our regular advocacy efforts on buying power you need to compete in today’s big picture industry issues, the ABLE BC team retail climate. If you haven’t signed up for buyABLE keeps in regular contact with the Liquor Control yet, or would like to learn more, call our office at and Licensing Branch (LCLB) as they work to any time at 604-688-5560. improve existing liquor policies. Over the past several months, we have offered feedback and A Year in Review recommendations to the LCLB on several policy changes, including: To learn more about what we’ve been up to on your behalf over the past year, please visit our • amendments to lease and zoning requirements new website, ablec.ca, and download our 2015-16 for LRS relocations, which will help increase Annual Report and current Policy Priorities. fairness and ensure the integrity of relocation applications; As always, if you have any questions, comments, or concerns you’d like to discuss, please don’t hesitate • permitting LP and FP applicants to have patios to get in touch with me directly at [email protected]. without an interior licensed area for patrons; • increasing sample sizes and allowing operators to charge for samples, which could help some operators recoup costs of sampling high-end products;

6 The Publican LRS & Hospitality Sales Product Showcase July 3 – September 3, 2016

Licensee Retail Stores Net Sales Excluding General Merchandise Net Sales $

Wine $40,396,686 Spirits $46,406,181 Beer $95,287,453 Refreshment Beverages $25,004,973

Total $207,095,293

Litres (L) LITHUANIAN GOLD BRAVE LIVER SCOTCH ALE POL REMY BRUT

VODKA Scotch Ale Sparkling White Wine Wine 3,582,124 Vodka Canada France Spirits 1,742,735 Lithuania Bronze Medal Winner for New from France Beer 26,895,734 Made of 100% selected wheat Scotch Ale at the Canadian Refreshment Beverages 6,164,728 grain, five-times distilled and Brewing Awards. New, fizzy value. passed through four stages This new French fizz is Total 38,385,321 of filtration (including gold Now available year-round. straightforward but at a very membrane filter), this vodka is attractive price. It is made exceptionally pure and soft. A full-bodied strong ale also by the same company as known as a “Wee Heavy”. another value bubbly, Veuve Hospitality Its superfine quality is Scottish Pale Ale malts are du Vernay. confirmed by a Kosher artfully crafted to impart hints Net Sales Excluding General Merchandise Certificate and a number of of oak, Scotch and caramel. Expect attractive aromas of Gold awards including the Smooth. tree fruits and citrus with Net Sales $ San Francisco World Spirits undertones of nuts, biscuits Competition and the Chicago Brave Liver Scotch Ale is best and honeysuckle.

Beverage Tasting Institute. served in a thistle glass at Wine $33,117,838 10-13°C. Enjoy it with roasted The palate has a nice tangy Spirits $20,768,308 beef, lamb, game, smoked character with plenty of Beer $47,319,237 salmon, aged cheeses, citrus carved off with a toffee pudding or chocolate creamy edge. Refreshment Beverages $3,626,437 desserts. Total $104,831,820 A buy-by-the-case-sparkler. 22 IBU 6.5% ABV Please call us for backer cards, neckers and shelf talkers. Litres (L) Speculative 750ml +845099 650ml +758094 750ml +581751 Wine 1,839,203 $17.36 Whls $4.35 Whsl $8.99 Whsl Spirits 613,730 Beer 12,099,867 604-924-6025 250-837-2756 604-737-0018 www.osttrading.ca www.mt-begbie.com dhs-wine.com Refreshment Beverages 687,404

Total 15,240,204

Source: BC Liquor Distribution Branch The Publican 7 The Publican 7 MAKING CONNECTIONS BUILDING A COMMUNITY DRIVES BUSINESS AND GOODWILL by Joanne Sasvari

Courtesy Mahony & Sons 8 The Publican You may think your business is simply selling wine, beer and spirits. It may surprise you to realize that it’s actually about building a community, and then selling wine, beer and spirits. Your community, after all, represents not just the people who will buy your products, but everything your business stands for, from its target audience to its charitable endeavours. It’s what makes you stand out from the crowd. “The competition in the hospitality business is just ferocious,” says Mike Mahony, General Manager of Mahony and Sons’ UBC location, and Director of Corporate Sponsorship and Marketing for all three locations of the pub. “I don’t think you can really do wrong giving back and helping people.” There are ways, though, to connect effectively, getting the most value for the time and money you spend. As Leeann Froese, the Principal of marketing and communications agency Town Hall Brands, says, “At the end of the day, we all have the shared object of moving the bottles. Anything that gives value to the customer without costing the retailer is a win-win.”

Hello, Neighbour Step one is identifying who your community is, or should be. “When it comes down to it, for pubs and liquor retailers, their community is the community that is in their vicinity,” explains Froese. She recommends inviting staff from neighbouring businesses into your establishment, offering them a discount or a special deal, or even hosting an event for them. “There’s different ways of connecting to your community and getting to know who they are.” For Mahony, UBC offers a built-in community of campus sports teams, clubs and fraternities. For some, he’ll offer sponsorship dollars and special discounts. For others, he’ll donate swag like gift cards, hats, t-shirts and totes, and he keeps a ready supply on hand in the hopes of building on those relationships. Mahony’s team reviews the pub’s relationships each year to see if they’re working well enough to continue. “It’s kind of like Air Miles for pubs,” he says with a laugh. A bigger community for Mahony and Sons is sporting events across the city. In that light, Mahony helped put together the UBC Grand Prix bike race and is a major sponsor of events like the BMO Vancouver Marathon, KitsFest and cross-country runs, hosting VIP areas and providing food and drink for some events. “We really believe in a healthy lifestyle,” he says. “This is our backyard. We like to play in it.”

Winning over Customers Once you’ve identified your community, how do you get them in the door? Just ask Froese. Although she represents mainly wineries, she works closely with retailers to get her clients’ bottles into customer’s hands. “Retailers are really important partners for us,” she notes. She’ll send staff to a store, positioning them outside to call people in, enticing them with balloons and signage, and then have more staff inside pouring wine, leading tastings, offering giveaways, or organizing contests. “It’s a one-on-one personal outreach,” she describes. “Once they get in the store, it is the retailer’s big opportunity to entice them.” A smart retailer will get those customers’ names into a database and invite them to events down the road. “Then the customers will get to know each other and become a sort of neighbourhood club,” she says.

Get Social Connecting with customers IRL (in real life) is key of course, but don’t neglect your virtual options. Social media is a must for any business, but it’s not without its challenges. “Some do it well, some do not do it well, and some do not do it at all,” Froese says. She encourages everyone to get social, no matter how late they are to the game. It’s an effective way not just to get people in the door, but to retain their business through loyalty programs. However, for social media to be effective, it has to be carefully targeted. Facebook, with its geo-targeted ads, is especially good for reaching customers near a The Publican 9 business to assign a staff person to post multiple times a day, or to pay for outsourcing it. Most importantly, social media has to be, as the name suggests, social. “We try promoting all our partners as much as they are supporting us,” Mahony says. “We’re always piggy-backing on each other.”

Give and You Shall Receive It may seem counter-intuitive to make money by giving it away, but philanthropic engagement is a good way to connect with your community in a truly meaningful−and ultimately profitable−way. Holding a fundraising event for an organization like the BC Hospitality Foundation, for instance, not only supports a worthy cause, but brings in business, and often repeat business. “There’s immeasurable benefit, intangible benefit, to building your community,” Froese says. “It’s goodwill.” Adds Mahony: “Building relationships with people in the community creates long-term benefits.” Besides, he says, “People are going to choose to support local business. Katie O’Kell and Judy Kingston of Serendipty It’s a two-way street. We hope when people are going out, they’re going to bring friends and family into our place.” Anything that gives value to the He admits it can be hard for a small business to see a direct dollars-and-cents benefit from sponsoring sports teams or charities. “But it’s really seeing the small customer without costing the retailer is groups of people who keep coming over the years,” he says. a win-win He advises anyone just beginning to build their own community to start small, and maybe consider volunteering before spending any money−it’s free and it’s a good way of building relationships. business. In addition, social media has to be authentic because consumers– especially young consumers–are quickly turned off by what they see as cynical And then, Froese says, “If you are good to your community, and they love you and shilling. Social media also takes time, and it may not make sense for a small come back to you, it will result in increased sales because you’ve built that loyalty.”

10 The Publican

NOT ALL PRODUCTS ARE CREATED EQUAL MANAGING PRODUCTS TO INCREASE PROFITABILITY article & photos by Stacy Mueller

Courtesy of Darby’s Pub. 12 The Publican Category management is based on the premise that not all products are created Courtesy of Paddlewheeler Pub equal. The goal is to increase revenue by optimizing how you inventory and display product. Category management is a relatively new retail tool having been introduced to grocery stores in the 1980s. According to Nielsen’s Consumer Insights, “Category management is a process that involves managing product categories as business units and customizing them to satisfy customer needs.” Since its introduction, MBA, BA, diploma and certified educational programs have emerged in this field, leading to specialized careers and businesses solely devoted to the art of category management. It is critical to maintaining relevant products and increasing profitability in liquor stores. Consider the following: • Product placement – Where in the store and where on the shelf should the product be placed and how many spaces does it need for proper representation. • Seasonal listings – Get it in and get it out! • Market trends – Who is buying what right now, and for how much? Focused category management will • Local flavour – Who is your target audience and what do they want? result in increased sales. • Regular customers – They may not buy top-selling products, but they are consistent and loyal… as long as you don’t disappoint them. • Promotional and display sales – How much sold? • New & delisted products – What’s new, and who wants it? What’s not selling, or is no longer available? • Product sales anomalies – Were there any special conditions or event sales to consider? • Promotional offers – Look for limited time offers, limited availability, value adds, special and/or one-time buys. • Percentage of sales per group and category – Where is there room for growth? Where can targeted delisting take place? • Programming and displays – Savings, prizes, etc. are often based on targeted sales numbers. Focused category management will result in increased sales and market share, improved purchasing opportunities, and decreased stock-outs, thereby improving your return on investment. You will also maximize shelf space and better understand product performance.

Seeking Assistance Liquor store chains typically have a dedicated category manager and/or team. However, in most (non-chain) liquor stores, managers, GMs and owner operators wear multiple hats, including category manager. Luckily, you can rely on your product representatives (reps) for valuable assistance. Reps are a wealth of knowledge and have special tools to assist you. When collaborating with reps, select ones you trust to have your location’s best interest in mind. Even when collaborating with a trusted partner, be sure to review data, ask questions, provide input, and approve plan-o-grams and shelf-set plans. Also ensure you organize and implement action items. Good category management resists biases towards a particular supplier’s products and targets strategies that have a positive impact on the category as a whole, while offering the best product experience to the customer.

Data, Data and More Data Good information leads to good decisions. A good POS system should offer multiple ways of compiling, organizing, and manipulating the most important product and sales data needed for category management. This data includes: • Product volume and sales – Note top sellers and bottom sellers. • Seasonal products – How much sold?

The Publican 13 While this data alone will help create a foundation for category management, Courtesy of Paddlewheeler Pub adding additional data from your reps will serve to make it even more powerful. Request information on market trends, regional and local product sales, new or BWI - Your One Stop Shop delisted products as well as impending LTOs, LTAs and special promotions. Reps for Liquor Store and can also assist you in conducting a gap analysis to develop a better process. Combining this data offers an overall view of product, direction, and Hospitality Supplies profitability.

Getting Started Create a solid foundation for data gathering and product management in the backend of your POS. 1. Define product groups - beer, wine, spirits, coolers and ciders, tobacco, food, etc. A group houses one or more categories. T-shirt, paper, and all custom bags Wine/beer boxes w/free labels 2. Define Categories - craft beer, VQA wines, vodka, etc. Categories house an assortment of product. Product is categorized on the basis of similarities in consumer tastes and preferences. 3. Sub-Categories - varietals, singles, seasonal, size, etc. Sub-Categories are optional and break product down into further categories. Groups and categories vary from store to store. They typically coincide with the store’s retail model or theme. Strategically, groups, categories and sub- Easy peel, and card stock labels Custom shelving, labels, and tags categories (if used) allow for maximum flexibility when compiling the necessary data needed for good category management. Too few categories limit the range and sample size of data. Too many create thin or watered down data. While collaborating with reps on larger projects will save much time and effort, a basic plan should be part of regular operations. Because liquor stores rely heavily on seasonal products, a quarterly plan works well. Ideally, Q1 planning leads into Q2 execution.

Reusable promo tags Seasonal & everyday gift bags Gathering Data Analyze top-selling product data, by category, to determine your target product(s) for programming. Any time you can program around top-selling products, do it. Ensure the product has adequate representation on the sales floor. This will save time stocking shelves. Consider bridge buying on LTOs if you have the budget and storage capacity. Review bottom-selling product data, by category, to help determine which products to delist. These products are not suited for programming. If it doesn’t Starbursts in 13 colours Re-usable plastic origin flags with free templates sell, don’t build a promotion around it. Group and/or category percentage of sales figures show whether the category is growing or contracting. If coolers and ciders represent 4 per cent of sales, and the category is well represented, cutting product listings in coolers and ciders and adding product to a better performing category could potentially be a better investment. The category management process is fluid, repetitive, strategic and a long- term philosophy. It can be challenging, but the rewards are high. It keeps you POS /debit rolls, ink & toner Reduced & sale signs with shelf clips connected with customers, develops and reinforces your brands, helps manage Call for your FREE sample pack of our products. spending, optimizes product placement, grows sales, and provides a decisive Langley, BC 604-532-0500 edge in a competitive marketplace. 1-800-287-9753 Stacy Mueller is a liquor retail consultant and can be reached at [email protected]. Visit www.liquidprofit.ca [email protected] for information on her services. www.bwibusinessworld.com

14 The Publican LDB Report by Todd Cooper

Welcome to our New Digital Footprint Hospitality Catalogue The Wholesale Operations division is excited to introduce our new Wholesale The catalogue was designed for hospitality customers (restaurants, pubs and Operations website and our product catalogue specifically designed for clubs) that purchase from the Wholesale Customer Centre and BC Liquor Stores. hospitality customers. It supports hospitality customers with a searchable product database alongside Our new website www.wholesale.bcldb.com offers private retailers, hospitality the current retail price for all products available to a hospitality licence type. customers, and our vendors a modern, digital experience and serves as a gateway Features of the new hospitality catalogue: to our online ordering website (LDB Web Store), our new hospitality product • SKU and full product name; catalogue, and our wholesale pricing and vendor websites. • Current retail price, the promotional amount and the final retail price; Our focus with the design of the new website was simple; we wanted to offer • Ability to save to a favourites list; an improved user experience and increase the delivery of timely and valuable • Agent name representing the product is shown for each product; information and resources. In addition to our new website and hospitality • Search results can be expanded to show case configuration, UPC and alcohol catalogue, we are working to upgrade our LDB Web Store with a target content; completion date of fall 2017. • Results can be sorted by column and can be exported to CSV. Below are some of the ways the information and resources found on our new Hospitality customers can use the catalogue to plan their buying strategy, website www.wholesale.bcldb.com can help you do business with the LDB. discover what products are available to fill their bar menu, build a favourites list, export search results to CSV, and analyze product attributes by comparing Page Posted Information How to Use the Information downloaded search results to the previous month. In addition, since the agent’s name is shown, hospitality customers can contact the agent for product Resources Product updates, top-selling Download the weekly product updates and check information and ask about the agent’s warehouse inventory as applicable. products, a list of packaged out the top- selling reports posted quarterly. Grab The catalogue does not show land-based winery products that are delivered beer available from the a copy of the packaged beer stocked in our LDB distribution centres, distribution centre, so your location is aware of directly to hospitality locations, customer specific products, products that are and resources specifically the beer available to order from the Wholesale pending and not yet for sale, products that are not available for purchase by designed for WCC Customer Centre (WCC). hospitality customers, and products that are not active. customers. Also, right now, we’ve posted our streamlined WCC Customer Application/Change Form where new customers can register to begin ordering How to Access the Hospitality Product Catalogue from the WCC and existing customers can update Hospitality customers can access the catalogue by contacting the Wholesale their contact information and shipping address. Customer Centre (WCC) for licence verification. After authentication by the WCC, hospitality customers will receive a link to set up their account. After the News Important updates from Visit the news page frequently for general account is set up, customers can manage their own account credentials and the Wholesale Operations announcements, public product recalls and add users from their organization. division and the LDB download new/improved Wholesale Customer corporate head offices are Centre forms and resources designed for your posted to the news page. licence type. How to Get Started 1. Please contact our LDB Wholesale Customer Centre (WCC) in Vancouver at Gateway • Web Store Use our convenient jump off points to get where 604-775-0681 or toll-free at 1-888-775-0681 and have your licence number, Links • Hospitality Product Catalogue you need to go quickly. establishment name, establishment address, and PST number ready. • Wholesale Pricing Website Our online ordering website and hospitality • Vendor Website for Agents catalogue are popular links–find them in the quick 2. Once you have submitted your information to the WCC, you will be sent a • LDB Corporate Website links section on the bottom runner of our site. link to your LDB account by email. • Wholesale Customer Centre 3. Click on the link, change your password, and answer the security questions. • BC Liquor Stores Retail Alternatively, click on your customer type directly Consumer Website on our home page. 4. Once the step above is complete, you can log into the catalogue by clicking on the hospitality section on the home page. Contact Us Contact various departments Send us a message instantly by using our new Check us out at www.wholesale.bcldb.com and take a tour of the site, save it to & Web Store inside Wholesale Operations contact us form or send in your Web Store your favourites, and visit frequently for updates. We look forward to supporting Registration and send in a registration for registration without using email. our customers with an increased flow of information to help your business Web Store. continue to be successful. Todd Cooper is Executive Director, Wholesale Operations for LDB.

The Publican 15 BX Creek Liquor Store by Alex Van Tol

How does a little liquor store carve out a niche for itself when there’s an LRS on nearly every corner of its small town? How does it not only carve out that niche, but double its top-line revenue over the span of just a couple of years? Location, renovation, and a commitment to developing solid relationships with customers and suppliers, that’s how. The first thing that sets BX Creek Liquor Store apart is its location in the Vernon Lodge and Conference Centre. The unique location allows the store to serve a built-in clientele as well as the local community. The previous owners initiated a renovation several years back that took the store from a dingy little convenience store with a limited product line to a clean, well-stocked shop that specializes in Okanagan VQA wines. With the renovation, the store was able to incorporate a walk-in cooler that doubled its retail space, which allowed them to showcase much more product. “Our revenue has gone up because our customer base is growing,” says management. “Renovating helped, because now we have a ton of product. The more product we have, the more people will come.” A wine island in the middle of the store provides a special feature area for local wines. Previous to the renovations, customers had no real reason to shop in the liquor store unless they wanted a bottle of cheap plonk. As the renovation got underway, the hotel’s management team reached out to experts in the wine industry to rejig their collection so that now the focus is on good wines in the $18-$56 range and better. “It gained us a brand new clientele,” they say. “They come in knowing we’ll have a good bottle of VQA Okanagan wine. Who doesn’t want to impress someone from out of town with a good local wine?” Along with a variety of wine offerings, the store creates gift bottles and baskets for Christmas, which have proven popular with customers.

16 The Publican Location, renovation, and a commitment to developing solid relationships with customers and suppliers.

Liquor store staff takes it upon themselves to stay educated about what’s out there, bringing in what their customers are asking for. Visiting food and beverage events, wine shows, and beer expos are part of the education process. Their commitment to stocking the store with the best possible product is also a result of their commitment to sustaining positive, productive relationships with BX Creek’s suppliers. This results in being included in new promotions, and being top-of-mind when suppliers are looking to market new products. A small town of only about 40,000 people, Vernon is serviced by 15 private liquor stores, so being competitive is key. This involves weekly cost-comparisons with other liquor stores in the area, as well as ensuring that their prices are always within a dollar of their competition. There’s also plenty of parking on the 2-acre property. It’s a short walk to the front door, and it’s a quick drive from anywhere in town, making it easy for customers to stop in. The customers who stop in are well known to store staff. There’s always someone available to help shoppers as soon as they walk through the door, which sets BX Creek apart from the superstores. “I don’t expect my staff to know everything, but I expect them to treat everyone who walks through the door with respect, whether they’re buying a single can of beer or they’re spending $200,” says management. “The customer is key. I want everyone to feel like they’re going to come back.”

The Publican 17 Wine Report by Dr. Clinton Lee

Demystifying the Wine and Spirits Education Maze Wine and spirits professionals, whether they’re created recently and courses have been expanded foundation in this area. WSET has been gradually in wineries, distilleries, agencies, retail stores, to include Italy and Spain. These courses are shorter reducing the spirits section in their programs, so restaurants or pubs feel the pressure for excellence. in terms of study time. this specific spirits course is a solution to fill the gap. Competition is fierce and demanding, so education The North American Sommelier course, the “Italian “The Whisky Ambassador” is an internationally is critical for people entering the industry. With Specialist”, is another short course. It is held less recognized certified qualification from Scotland and many options available, staff question which wine regularly and is considered to be a challenging the UK. The program is for industry professionals and spirits course they should take. program. and also aficionados, and offers a firm foundation The Wine Spirit and Education Trust (WSET) is a UK- on the history, origins, production and geographical Other international wine education programs like based wine qualification that is highly recognizable. aspects of whisky. the International Sherry Educator program require There are four levels and after completing the final that the person apply and then the individual will Certification based on the Quini universal wine level the student receives a diploma. A number be advised if she is accepted into the program. tasting standard is now gaining firm support with of schools offer this program and the duration for wine and spirit professionals. The standard focuses the entire program can take up to four years of Specialist courses in Sake are offered by two WSET primarily on restaurants, hotels and retail stores. study, although levels 1 and 2 are relatively short. approved schools in Vancouver, and given the Quini has an alliance with the Asia Pacific Wine The emphasis of the WSET program is more on the hugely popular Japanese cuisine following in the and Spirit Institute (APWASI). APWASI online wine business of wine and the different sectors pertaining Lower Mainland, it is proving to be popular. This and spirit programs, which will begin in 2017, are to it. It has the versatility to be of value to the is a high-level course and it’s demanding. A local developed by wine professionals and university importing, exporting, agency, and hospitality sectors. Vancouver wine school offers its own self-created academics and will offer a broad range of programs Canadian Wine Scholar program. It also has its own The International Sommeliers Guild (ISG), as the from country specific to specialized wine categories. independent Sommelier program and French wine name suggests, has a sharper focus on the service professional course. Ultimately, education reigns supreme. Deciding aspect of the wine industry. This program has which course to take depends on the area of several levels as well. Many of Vancouver’s finest The Society of Wine Educators from the US offers expertise someone wants to develop. Other restaurant professionals have the ISG qualification. the Specialist in Wine course culminating in the considerations are time, cost, and the recognition This course is as equally challenging as the WSET, Certified Wine Educator program. The program is a of the program. My personal philosophy is that however, there is a more practical aspect to this self-paced online course and exams are booked at education is an investment and never a wasted program. specifically designated examination centres. They exercise. are self-paced programs. The Society also offers the There are a plethora of shorter wine courses. The Specialist in Spirits course, which targets all types of former French Wine Scholar (FWS) program is now spirits and details the production method. part of the Wine Scholar Guild (WSG). The FWS Dr. Lee is an international wine lecturer, international wine judge, wine writer course offers deep insight into the French world WSET also has a Spirits program specifically aimed and critic who has delivered lectures to a wide body of audiences ranging of wine. The WSG is an organization that has been for spirit lovers. The program offers a strong from professional bodies to wine aficionados.

18 The Publican What's New? by Rita Alterio

Spirits Wine

Bitterhouse aperitifs are craft made in BC with a blend of select herbs, Castillo de Covanegra Reserva 2011 has been aged for five years with bittersweet fruit, and natural cane sugar. LaDame bittersweet orange careful use of oak, adding flavours of vanilla and sweet spices on the 750ml $19.96 whls +556951 Rubato bittersweet rhubarb 750ml $19.96 palate, leading to a rich and smooth finish. 750ml $8.10 whsl +413674 whls +523159 Daman bittersweet grapefruit 750ml $19.96 whsl Acolon Terra S is a harmonious dry wine. Spicy fruit flavours of wild +286658 berries combine with soft, round tannins to create a balanced, powerful Jim Beam Apple is premium apple liqueur with bourbon, offering a red wine. 750ml $16.99 whsl +448233 smooth and juicy taste without being overpowering. 750ml $23.99 whsl William Hardy Limestone Coast Chardonnay 2016 has intense aromatics +577742 of melon and white peach, combined with notes of spicy oak. The palate Hakutsuru Sparkling Sake offers gentle fruit and rice sweetness with a is creamy and textured with delicate sweetness from oak complexity. crisp clean finish. 300ml $6.81 whsl +450585 750ml $18.99 whsl +564419

Kvint XO 8 year old brandy is a Moldavian brandy with a rich golden Legende Bordeaux Blanc 2013 has an intense and elegant nose of amber colour with velvety aromas of toffee, dried apricots and dates, lime, grapefruit, passion fruit and mineral notes. A very pleasing and tobacco, smoke and ginger. The palate is supple and plush with voluptuous palate with a lively fresh finish and intense fruity aromas. impressive concentration and weight. Winner of Best Brandy in Show 750ml $13.98 whsl +667436 at 2015 New York World Wine & Spirits Competition. 500ml $22.98 whsl San Antonio Sangiovese Rubicone IGT offers a fresh bouquet with +265058 flower notes. Packed with soft red fruits yet robust enough to take on dishes with a bit of heat and spice. 1 L $8.99 whsl +649426 Pinot Grigio 1 Beer L $8.99 whsl +696237 La Jara Italian Rosé Frizzante is certified 100% organic by the Central City Brewing is offering Central City Sour No. 2 - Belgian-style Environmental and Ethical Certification Institute. It offers fresh, fruity Kriek, a red ale infused with cherries, which has been aging for 2 years in notes of apples, pears and raspberries with crisp acidity, delicate bubbles Cabernet Sauvignon and French oak barrels. Big bodied with a balance and soft, velvety mousse. 750ml $12.49 whsl +668194 of earthy oak tones and cherry notes that give a lightly sweet and sour experience. 750ml $14.95 whsl +168464 Montepulciano D’Abruzzo 2014 – Parolvini is a Cabernet Sauvignon and Cabernet Franc blend, deep ruby in colour with an intense nose of Kloud beer is premium quality lager beer with rich foam. Feel the richness blackberry, currant and floral hints. Rich tannins provide a full flavour and of real beer with 100% wort and no water added by a German original a medium to dry bodied intensity with a round and complete balance. gravity technique. 100% malt beer brewed with carefully selected 750ml $7.90 whsl +697953 premium hop and special yeast from Germany. 330ml x 6 pack $9.00 whsl +377275 Kvint Aligote Classic 2013 is a dry white wine from Moldova and offers restrained golden fruit, plenty of lemony notes, acacia and honey with Okanagan Spring Brewery’s new Big White White IPA is a combination a mineral core. The palate is tangy and fresh with good weight and racy of two distinct beer styles−American-style IPA and German wheat ale. A acidity. 750ml $10.73 whsl +795260 refreshing twist on traditional winter flavours, this white IPA pours deep golden with clove and spice aromas up front, finishing smooth with fresh hop flavour and undertones of citrus and mild fruitiness. 6 x 341ml bottle Other $9.97 whsl +646091, 30L keg $102.00 whsl +486175 Giffard Toffee Nut Syrup is for mixing into hot and cozy beverages. With caramel notes and nutty sweetness this adds another layer to any coffee. Refreshment Beverages Also for desserts, you can drizzle it over ice cream, or an apple galette. 1L +W09857 Vodka Mudshake Toasted Gingerbread is a ready-to-drink cream Pop open your favourite brew and serve with the Brew Cup Opener. The beverage with the taste of ginger and cinnamon. Enjoy it hot or cold. 4 x stainless steel beer cup features domestic and imported beer openers in 270ml $9.80 whsl +889600 the base. Take beer from bottle to glass in one fell swoop with this durable and classy stainless-steel beer cup. $10 www.amagrantventures.com

The Publican 19 byBUYING Joanne Sasvari POWER

The buyABLE program gives private liquor retailers who is buying what−whereas they usually have to explains. “Our goal is to help manufacturers and a competitive edge. So why aren’t you taking purchase that information from the LDB. buyABLE agents understand the price points and margins advantage of it? allows agents to greatly reduce their marketing that retailers need to be competitive.” costs, which in turn lowers the wholesale price for Selling beverage alcohol in a thirsty province like BC There’s plenty of opportunity for those who do opt into retailers, allowing retailers to dramatically increase is not difficult. However, making money at it can be. buyABLE. Right now, BC’s 670 private liquor retailers, their margins. about 350 of which are ABLE BC members, account for That’s where buyABLE comes in. It’s a new online This service is provided free for ABLE BC Associate 39.9 per cent of all liquor sales (in litres) in the province. purchasing portal from the Alliance of Beverage Members, who can post unlimited product listings. Comparatively, there are just under 200 government Licensees (ABLE BC) that seeks to level the sales Non-members are charged $25 per listing. stores, but thanks in part to their centralized purchasing playing field for private liquor stores. As Jeff power, they bring in 34.4 per cent of volume sales. Guignard, Executive Director of ABLE BC, says, “buyABLE has the ability to unite the private stores,” “It’s giving real, collaborative power to the private says David Zimmer, Director of Sales & Logistics at “The platform is really a buying program for all stores for the first time.” Aaron Morgan Imports Ltd. “The stores can use private liquor stores,” Guignard says. “We're trying it as an important channel to generate sales and to give private retailers the ability to coordinate Although buyABLE was only launched in January awareness. The advantage to us is that it helps to their purchasing power so they can better compete 2016, it is already making an impact for members keep down the costs associated with selling our against government stores.” who’ve been using it. “I think buyABLE is the way products. We provide product and shelf talkers for of the future for BC’s private liquor stores,” says And it’s a service exclusively designed for ABLE all in-store tastings but do not require a sales force Michael Brown, owner of the Village Liquor Store BC members. “No money exchanges hands on out on the road. Very simply put, our low expenses on Gabriola Island. “I'm routinely making 40 to 60 the website,” Guignard adds. “ABLE BC does not and low agent markup make it possible for stores per cent margin on products I get through buyABLE, generate a penny from it. We are actually spending to earn more money.” Instead of the typical 20-25 making this one of my most profitable years yet.” money on it for our members.” per cent agent markup of the wholesale product Another advantage is that with buyABLE, private Adds Patrick Greenfield, owner of Queen’s Cross prices, Aaron Morgan Imports employs a 5-10 per retailers can develop the kinds of exclusive products Pub and Liquor Store in North Vancouver, “It gives cent markup. “With our unique approach, retail the BC Liquor Stores offer. For instance, a brewery private retailers the group buying power we need store owners directly benefit from these savings could offer to produce a seasonal craft ale just for to compete against government stores and the new on quality wines that sell for considerably more private stores and list it on buyABLE, provided they grocery wine stores. I recently bought 60 cases of elsewhere,” continues Zimmer. wine through buyABLE and it is amazing value. Our are guaranteed a certain number of sales at a set price. But for whatever reason, whether lack of awareness, customers love the wine and it’s selling extremely Zimmer advises, “We predict that this is something lack of time or simply the suspicion of something well with a great markup.” that will help LRSs a great deal. It’s one of the many new, many private stores aren’t yet taking ways you can benefit from being an ABLE member.” The way the system works is that both retailers advantage of buyABLE, Guignard notes. It’s time and agents or manufacturers register online. The to change that mindset. Members can access the buyABLE platform at agents get access to all registered private retailers www.buy.ablebc.ca/login “One of the reasons for the slow uptake is it’s a and the retailers can shop for their products, all change from the traditional sales model,” Guignard in one easy location. In addition, agents can see

20 The Publican Spotlight on Scotch by David Wolowidnyk

Scotch is no longer reserved for old men in smoking jackets; it has increased in popularity beyond prediction and has become the preferred spirit for many people. Scotch brands now have to cope with meeting market demand when the warehouses no longer have the depth of old barrels they used to have. Consumed neat or on the rocks, cleverly being used in cocktails, and challenged by other nations that are competing for market share with their own scotch-style spirits, the game has now become quite interesting. To be a Scotch whisky, it must be produced in Scotland from a mash of malted barley and other cereal grains, and aged in oak casks in an approved warehouse in Scotland for a minimum of three years. Although there are multiple categories of Scotch, people are most often referring to “single malt”, considered to be a premium spirit from one distillery, distilled by batch distillation in a pot still and solely made with water and malted barley−no other grains. If a spirit does not require maturation, it is relatively easy to meet market demand by simply producing more spirit, yet if you produce a spirit, which you won’t be selling for many years, it forces you to predict the future, sometimes ten to thirty years in advance. I should clarify that age and maturation, although intertwined are not synonymous. Much like people, spirit maturity is not necessarily based on age, but is determined by chemical composition and environmental influence. We have become accustomed to Scotch being labeled with age statements, 12- year, 18-year, etc., which must always reflect the age of the youngest component. Some producers have stopped placing an age statement on the bottle and others are in transition to do so, because they no longer have the depth of old barrels to maintain consistent flavour profiles. By removing the age, they can draw from many more barrels in the warehouses to achieve what many people want anyways−a consistent, reliable dram, hardly differing from one bottle to the next. The Macallan was the pioneer of removing age statements, and they are completely aware that some of their loyal fans disagree with the decision, but let’s face it, they are protecting the consumer by keeping their products affordable and consistent−the same way they built a loyal following. The flavour diversity of single malt Scotch is staggering, especially when we consider that it is simply made from water and malted barley in a pot still and aged in an oak barrel. The diversity has been key in bringing new fans to the category, because if you introduced a novice taster to incredibly peat-smoked Islay malt, you may turn them off of Scotch forever. However, if you introduce someone to Scotch by taking them through the sweeter, softer, gentle styles, you may eventually get them to enjoy the most intense malts. Alternatively, a cocktail can be the perfect vehicle to bring the unique flavour profiles of single malts to more palates. It used to be sacrilege to ever mix with single malt, but a bold Australian bartender named Sam Ross, who moved to New York, decided in 2005 that the world was ready for peaty Islay malt to be the feature spirit in his now famous “Penicillin” cocktail. Combining the peat smoke with honey, lemon and ginger, the cocktail became an almost instant classic and has opened the door to single malts being used in cocktails far more often than they ever have before. I think we can all agree that Scotch has dominated the whisky world for a long time, and because of its influence, we now have many countries producing their own single malts. Japan has been making single malts for over 100 years, and more recently India, Taiwan, and Canada have gotten into the game. Thankfully, the BC government has loosened the distillation laws, allowing more people to make spirits. It’s exciting to see a bunch of malts now being produced on the west coast. Although I feel that the new Canadian West Coast malts are a little too new to compete on an international stage, I taste potential in these juvenile drams and look forward to following their development. After all, there are areas of the coast that have very similar climates to Scotland, we produce excellent grains and have great water. All that we need is time.

The Publican 21 CREATING MEMORABLE EXPERIENCES by Chris McBeath

Courtesy of Table Tap 22 The Publican "There is nothing which has yet been contrived by man, by which so much happiness is produced as by a good tavern or inn." - Samuel Johnson

In Johnson’s time, a good brew dictated what made a good tavern. These days, it’s a rather more complicated business involving ambiance and vibe, service and selection, a no-stone-left- unturned approach to marketing, and an ability to nurture your niche and your customer.

Tender Loving Customization

Patrons return for many reasons – value pricing, Courtesy of The Belmont music choice, and food to name a few, though in all likelihood it’s how their experience is personalized that encourages casual customers We really wanted to bring back the era to become regular patrons. From there on in, it’s appreciation and TLC that will create and sustain of the classic cocktail lounge. a lasting impression. Depending on who your target market is, a venue must be conducive to building rapport. Not only “We believe there’s a huge market for ‘Pour your Making Social Media Memories Own’,” says Jeff Libby, founder of Table Tap, who must staff be product savvy, they need to be When used properly, social media really supports brought the concept to North America from considerate and conscientious about customizing relationship building and helps demonstrate and Argentina 10 years ago. “Because our built-in guests’ visits. This may be as simple as addressing personalize customer appreciation. Consequently, software tracks consumption ounce by ounce, them by name (nothing is more flattering), or it’s important to use various platforms not simply it’s also a very responsible system,” Libby explains. texting them when a particular new Chardonnay to make announcements, but to converse with, “Table tablets show patrons exactly how much has arrived because you know they are partial to and therefore grow, your client base. that blend. and which brand they are drinking, and when their limit is reached, the tap turns off. Only a server For example, use Twitter to offer a discount or free Customization is why creative cocktails are can reset the on switch.” Although a growing appetizers to ‘x’ number of customers who know popular and why table taps are becoming such a phenomenon across the border, in Canada only the password contained on the home page of hot item outside of BC. ‘Pour Your Own’ beer walls, Ontario has approved do-it-yourself taps to date. your website. Or, host a drink recipe contest on wine banks, and other self-serve technologies “It’s still a very new concept, and in the beginning, Facebook, asking patrons to post their reviews, not only reduce waste and increase sales, but there were many legal hurdles to overcome but and then name the winning cocktail after the customers love the experience of being able to with installations from the Carolinas to California, person who submitted it. Ideas that create online try tasters before committing to a full glass, which we know that it’s ready to take off,” notes Libby. commentary are what attract the sought-after they can refill at leisure without waiting on servers. “And that includes Canada.” Millennials (18-34). This is the demographic

The Publican 23 we really wanted to bring back the era of the classic cocktail lounge, but with a modern spin,” says Kieran Baldwin, General Manager. “Our décor includes a plush velvet wall, teal leather stools, and Turkish-style chandeliers that create a dynamic atmosphere. Our cocktails include classics such as Tennessee Sours alongside contemporary variations, and we showcase live entertainment every night. The Belmont’s current incarnation is about celebrating its role in Vancouver’s historic entertainment district.”

Memorable Incentives & Events Regular promotions create a memorable atmosphere and although quizzes, painting nights, and Punk Rock Bingo may sound passé, they still pull in the crowds on slow nights. Other tried and true strategies include hosting a league such as darts or billiards that can greatly incentivize players to return each week Courtesy of The Belmont so they can stay ahead in the rankings. With an entire league competing every week for hours at a time, some operators have seen food and beverage revenues climb by more than 50 per cent. The Belmont's current incarnation is Loyalty programs can also be added to this mix. Everyone responds to a ‘something for free’ offer so promote your reward program on social media. about celebrating its role in Vancouver's Then there are innovative ideas like those from Honest Brew in the UK. These historic entertainment district. include hosting a pop-up ‘honesty bar’ night in pubs where customers pay for craft brews on a donation-basis, contributing what they feel the beer is worth. There are also treasure hunts, complete with maps and online clues that lead participants to Honest Brew’s different beers in pubs across London. To further that is constantly tapping into review sites and apps to find exciting bars and promote their conversation with customers, all online orders receive a paper destinations that offer an untraditional bar experience. bottle opener, the instructions for which are found on the company’s YouTube With this in mind, why not feature a celebrity bartender? Sports figure or actor, page. Targeted? Yes. Engaging? Very. Memorable? Absolutely. And the results? community leader or local hero, guest bartenders are a great way to earn a The business started with just seven breweries in January 2014 and today it has happening buzz across all advertising channels. Their Serving it Right certification more than 50. Honest Brew’s approach to selling may be unconventional, but adds value to the promotion on many levels, whether it’s encouraging their success is undisputable. Perhaps a pop-up partnership could be in your responsible drinking or sharing the experience with friends and the media. playing deck? Millennials also gravitate to venues where social media games are part of the experiential ambiance. These customers love to compete against each other for fun prizes, playing the games from your TVs or table tablets, or downloading mobile apps onto their own smartphones. Creating Memorable Trails Even if games aren’t part of your mix, it’s hard to ignore Pokemon GO, the all- the-rage augmented reality game that is especially geared to this high-spending Foodie trails are more than a passing fad. They are memorable ways of generation. Download the (free) app to check if there’s a PokeStop or Pokemon exploring the countryside, and outlets along the way become an integral Gym location near you and start marketing. Ideas include specialized signage part of a traveller’s experience. and discounts to players posting pictures on social media of the Pokemon GO adventures inside your venue – if they tag you! Take a look at Lure Modules. • In England, where pub closures are endemic, pub crawls now mean Operating within the app itself, lures are an inexpensive and surprisingly effective partnerships. By joining forces, pubs offer discounts to participants for way to tempt players into your venue. every first round purchased. In some instances, area pubs have grouped together, whereby all but one close on certain nights of the week. The open-night schedule rotates through the group with each venue The Heritage Hook contributing to its promotion. Although counter intuitive, many found Whether it’s the historic Dewdney Pub housed in a former 1912 church, Victoria’s it significantly improved their bottom line on quieter nights. Bard & Banker in a repurposed 1800’s bank building or the Island’s Six Mile Pub (BC’s oldest tavern), many venues use history as their unique selling point, • The Florida Department of Citrus FDOC is one of several organizations polishing it up to create an old-world charm and cozy ambiance. that have created a trail of bars and restaurants that serve up original cocktails featuring farm-fresh Florida citrus and spirits from the St. The Belmont on Vancouver’s Granville Street has done just that. Over its 100- Augustine Distillery. Cocktail Trail passports feature eight outlets; when plus year history, the hotel has seen many incarnations with services that have all passport stamps have been collected, users can redeem it for a free included a cigar stand, barber shop, a shoe shine service and in more recent collectible Cocktail Trail t-shirt and branded, wooden coaster set. years, a basement bar and tapas lounge where a young Michael Bublé used to practice his skills as an entertainer. “Because of the hotel’s history and location,

24 The Publican MAXIMIZE PURCHASING ON LTO by Rebecca Hardin

BC retail stores have now been on a "level playing field" for over a year and If you sold 100 cases during the holiday season, then you would add $2,400 to continue to find that they are going head-to-head with other private retailers, your bottom line on just one SKU! grocers, and government stores. To combat the competition, retailers continue Conversely, if done incorrectly, with no analysis, retailers end up with bloated to make large-scale purchases of SKUs on Limited Time Offer (LTO), to maximize shelves, aisles and back rooms that are stocked full of inventory. The store’s cash profits; however, many owners find themselves with overstocked stores and flow gets tied up in inventory for many months. Some owners buy stock on sales falling flat, as the strategy is not being implemented properly. Here are credit. This works if the borrowed amount is paid back before interest accrues. a few quick tips for bridge buying LTOs while maintaining a competitive edge When LTO purchasing is done incorrectly, a lot of the profits go direct to lenders on pricing strategies, and ensuring that cash flow is not tied up in inventory for as interest payments. For those retailers buying larger quantities on credit, be lengthy periods of time. sure to calculate the loan payback costs when looking at your buying numbers, Bridge Buying has been used for many years in the retail sector. Purchasers buy as the interest will come directly out of your profits. products at a discounted rate, based upon sales forecasting for future periods. In Follow this simplified checklist to ensure you are making the most of your buying: BC’s liquor industry, LTOs occur once a month when suppliers decide to reduce the wholesale price for their products. The products purchased on LTO are then • Plan purchases in advance (purchase in October/November for sales in sold in future months, at regular or slightly reduced pricing, during a period when December). it is in high demand, thereby making a higher than normal profit margin when the • Compare your top-selling SKUs in each category (i.e. beer, wine, spirits, coolers/ sale takes place. Its sounds easy enough, right? Here an example of how it works. ciders) with what is on LTO. Bridge buy your top-selling SKUs. An Irish Cream liqueur goes on LTO for a couple of dollars off per bottle. Most • Review the prior year's sales history for the time frame you are planning to retailers are aware that this is a top selling SKU during the holiday season; have the inventory in your store. therefore, purchasers will look at the prior year’s sales for the month of December • When the product arrives, ensure till systems and labels reflect the correct and will order all the cases they sold in December plus some additional, based pricing strategy. on their sales forecasting. The idea is that the retailer turns over stock within a 1-1 ½ month period during the high-demand season, thus achieving maximum Remember, just because it is on LTO, does not mean products should be purchased profit per bottle and bridging their inventory from one month to another. Here’s with large quantity buying. A strategic purchasing method will maximize the return what the math looks like: on each bottle sold and ensure inventory turns over quickly. 1 case purchased non-LTO: $252.96 Wholesale Retail (GLS) $323.88 Profit per case: $70.92 Rebecca Hardin, Vice President with Rising Tide Consultants, specializes in liquor license and operations consulting for 1 case purchased on $2.00 LTO: 228.96 Wholesale Retail (GLS) $323.88 Profit per case: $94.92 the hospitality industry across BC, Alberta and Ontario.

Names in the News Advertisers Rita Alterio ABLE BC 29, 30 A.M.A. Grant Ventures 18 Aaron Morgan Group 20 Barnet POS Systems 13 Awards Bay City Projects 18 Congratulations to the many BC wineries that won Cabernet Sauvignon - Burrowing Owl Estate Winery BC Hospitality Foundation 21 awards at the San Francisco International Wine 2013 Breakthru Beverage Canada IBC Competition 2016. Premium Bordeaux Blend - Cassini Cellars, Okanagan BWI Business World 14 Valley 2012 Cannon Industries 21 CLR POS 6 Best in Class Premium Red Blend - Jackson-Triggs Okanagan Estates David Herman 7 Pinot Grigio - Mission Hill Family Estate 2015, Five 2012 G&W Distilling (Sid's Handcrafted Vodka) 9 Vineyards, Okanagan Valley Riesling - Fort Berens Winery, Cariboo Chilcotin 2015 Granville Island Brewing BC Cabernet - Franc Poplar Grove Winery 2013 Cabernet Riesling Ice Wine - Whistler Okanagan Valley 2014 Homelife Benchmark 27 Franc, Okanagan Valley Riesling Ice Wine - Mission Hill Family Estate 2014 Independent Distillers IFC, 11 Johnstone's Benefits 27 Sparkling Brut - Steller's Jay, Okanagan Valley 2009 Pinot Grigio - Mission Hill Family Estate 2015 Matthews Campbell 21 Cabernet Franc - Poplar Grove Winery, Okanagan McClelland Premium Imports 10 Valley 2013 Welcome New ABLE BC Members MJB Law 28 Mt Begbie Brewing 7 Northam Beverages BC’s Double Gold Winners OST Trading 7 Poets Cove Resort & Spa RBC Royal Bank of Canada 21 Brut - Summerhill Pyramid Winery, Okanagan Valley NV Revolution Resource Recovery Inc. Red Truck Beer Co. 5 Bordeaux Blend - Summerhill Pyramid Winery, Sapperton Liquor Store Royal LePage Sterling 23 Okanagan Valley 2012 South Vancouver Liquor Store Sysco Vanc/Vic/Kelowna 4 Western Financial Group Insurance Solutions 26 Bordeaux Blend - Indigenous World Winery, Okanagan Shannon Lake LRS Valley 2013 The Publican 25 INCREASE YOUR FOLLOWERS DEVELOP ENGAGING SOCIAL MEDIA CAMPAIGNS by Margaux Burgess and Joyce Hayne

26 The Publican Social media is a key component of your marketing program. Particularly for small businesses it is a powerful way to reach potential customers with minimal financial investment. Successful campaigns on Instagram, Twitter and Facebook can guarantee increased opportunities to connect with your audience and grow brand recognition while cultivating loyalty. In a competitive market, higher recognition and loyalty have a positive influence on your bottom line by increasing the number of visitors to your store, the frequency of visits, and the number of purchases. For existing customers it is an effective way to offer prompt and personalized customer service. There are three main social media platforms that are of primary importance to small businesses: Facebook, Twitter and Instagram.

Facebook With over 1.5 billion users and still growing, Facebook is the biggest site. Everyone is there and so you need to be too. For many people it is the first place they will look to find out about your business. Facebook is the best location to tell stories. It is a platform that allows you to use as many characters as you want as well as many forms of content. You can upload pictures and video, you can share what you are listening to or how you are feeling. Remember to follow the 80/20 rule–that is 80 per cent non-promotional and 20 per cent promotional information. This guarantees followers will stay, share information, and bring more people into the community. If you are able to create visual content The Pint Public House in Vancouver is a great example of how to use Facebook that is appealing and honest, you can well. They share valuable personal videos of people enjoying their pub and use attention-grabbing photos of events they’re promoting. The Pint also has a build trust in your brand and business section for visitor posts and reviews. while increasing your community of followers

The Publican 27 It is important to ensure you are providing content that encourages and encourages and even demands engagement while you yourself engage and even demands engagement while you communicate. Without this relationship your followers and fans get bored, tune you out, and eventually unfollow and unlike your accounts. yourself engage and communicate To successfully create a community and build your follower base on any of these platforms, your customers and potential customers must know you are there and have a presence on social media. There are a number of ways to do this: Twitter • Add all of your handles, preferably with a link, to your email marketing and The second key network is Twitter. Twitter is an open space where anyone can signatures. Whoever receives an email or your newsletter can be easily directed engage with anyone. It is here that you have the opportunity to talk to the people to your accounts. you want to know, not only those you do know. Unlike anywhere else, Twitter • Put your usernames, addresses and handles on all of your print material – fliers, allows for the chance to microblog and interact regularly. People want you to business cards and signage for example. join the conversation. You can respond publicly to anyone and gain followers daily by sharing your expertise. • Be sure to cross-promote all accounts. Ask your Facebook followers to follow you on Instagram and Twitter. Mention your accounts in your blog or tweet The Cove Neighbourhood Pub in Vancouver has capitalized on this by sharing about interesting conversations on your Facebook page. community information and events and following trends like farm to table. They cross-promote their Facebook page by sending followers there for free trivia answers. Garner Engagement Now that you have begun to build your community and increase followers, there Instagram are ways to garner engagement and ensure your base grows and not shrinks: Third and currently the most exciting platform is Instagram, a social sharing • Do it well! Use proper grammar, don’t make spelling mistakes, and create site built exclusively around the most successful medium of content: pictures. images that are beautiful. You want to communicate your expertise, and that Whether daydreaming, educating or acting as a voyeur, people love to look, message is sent more convincingly when there are no errors. and this is the medium to actually show, not just tell, what you are about. It is • Communicate with candid, behind the scenes information that cannot be rapidly growing, especially with millennials, the group that will take over the found anywhere else. Your followers come to you to see what really happens bulk of consumption in the coming years. It is here that you can tell your story in in the day-to-day operation of your business and they love it. attractive and attention-grabbing images. If you are able to create visual content • Like and comment on other accounts, retweet, ask questions and tell someone that is appealing and honest, you can build trust in your brand and business you love their picture. Engagement works best when it is a two-way street. while increasing your community of followers. The more accounts you engage with, the more people will notice you and Woody’s Liquor Store in Coquitlam has a well-conceived and executed Instagram the more they will engage with you. strategy. They showcase their comprehensive product range with great photos, • Hashtags are a powerful tool. Less so on Facebook, but with Twitter and encouraging people to come into the store to see new products that have Instagram they are an excellent way to create communities or interact with arrived. Woody’s is showing their followers that they are dedicated to providing specific causes and subjects. Regional hashtags can be especially powerful for the best selection available. They use a broad range of hashtags to extend their small businesses as you can reach out to those in your local market. reach to many people. To understand what your audience wants, it is important to know who they are. Spend time on Facebook, Twitter and Instagram. If you know your audience, Creating a Community you know how to appeal to them and you can harness the potential power and For these platforms to be successful, you must consistently build a growing excitement of well-executed campaigns to consistently increase followers and community of fans. It is important to ensure you are providing content that drive business through engagement.

28 The Publican BC Hospitality Foundation Update

With the end of 2016 in view, the BC Hospitality full-time worker at Locus Lounge in Vancouver. treatment in Seattle. Financial assistance from the Foundation looks back on the support it has Earlier this year, Aja tripped and landed on her BCHF allowed Billy to cover expenses and focus on provided to the industry, thanks to funds raised forearms, breaking both of her elbows. The BCHF recovery until he returned to the workforce this through proprietary and third party events. helped with her expenses during recovery, which past summer. included physiotherapy. Aja happily returned to On September 19, Tourism Victoria presented the As the holiday season approaches, consider work performing light duties as she continues to Foundation’s annual Victoria Golf Tournament how you or your organization might support get stronger. at the amazing Westin Bear Mountain Resort, in the industry’s charity, and therefore your fellow partnership with the Alliance of Beverage Licensees, Similarly the BCHF was able to provide financial workers − whether that be through donations or the BC Hotel Association, and the BC Restaurant support to Genieve, who suffered three concussions events to raise awareness and funds for industry and Foodservices Association. Even with clouds in less than a year and a ruptured eardrum on employees in need. The Foundation is able to lend on the horizon that morning, the rain held off, the set of a student film, resulting in headaches, support to dedicated hospitality workers in large making it a great day full of delicious food, fun on blurred vision, and slurred speech. Unable to take part because of donations and third party events the greens, and most importantly, raising funds for care of her guests at Boulevard Kitchen & Oyster that reach beyond the industry itself. Consider a new beneficiaries and scholarship recipients. Bar in Vancouver, recovery for Genieve meant rest, BINGO fundraiser, such as one hosted by The Sunset massage therapy, acupuncture, reflexology, and Grill in Vancouver this past September. Or perhaps Since the Foundation’s inception, more than 125 supplements to treat her condition. engage your fellow employees to donate just one hospitality workers have been helped when faced night’s worth of tips to the Foundation − directly with a financial crisis due to unexpected medical In January, Billy Wiseman, a veteran employee at helping those in the industry that need support, issues. Beneficiaries from across the province Gray Monk Estate Winery, experienced pain in his and thereby building a stronger and healthier including bartenders, restaurant and vineyard arms, which was determined to be a worsening hospitality community. Do you have other ideas workers have recently found support including Aja spinal cord condition. Intense pain forced him on how you can provide support? Email us at info@ Lamb-Hartley, Genieve Morison, and Billy Wiseman. to leave work for two months. Passionate about bchospitalityfoundation.com. his work and the industry, Billy elected to have Aja has been working in the hospitality industry surgery as soon as possible, receiving successful since she was a teenager and is currently a

The Publican 29 ABLE BC Benefits

buyABLE: Purchasing Power for Private The website is responsive and mobile-friendly, For more information and to sign up for Foodbuy, Retailers meaning you can find what you’re looking for on any please contact ABLE BC at 604-688-5560 or device. It is cleaner, easier to navigate, and offers more [email protected]. In January 2016, ABLE BC launched buyABLE: our relevant information on the work ABLE BC’s board online purchasing portal for private liquor retailers. and staff are doing on behalf of BC’s liquor industry. This web-based platform gives private retailers the Join ABLE BC Today for as Low as $55 per The new website also features an improved group buying power necessary to thrive in today’s Month retail climate. ABLE BC members receive free, Members-Only section accessible by password. exclusive use of buyABLE. Members use buyABLE to Contact ABLE BC if you need assistance logging in. Only by working together can we build a thriving access exclusive product offers, preferred pricing, We look forward to any comments or suggestions and sustainable private liquor industry. Please and profitability costing tools. you may have on the website. consider joining the Alliance today. Our annual membership fee for licensees (liquor primaries and buyABLE is your opportunity to increase profitability private liquor stores) is $661.50. Each additional and keep your business competitive. To learn more New Member Benefit: Foodbuy Canada license is $367.50. Our annual membership fee for about buyABLE visit www.ABLEBC.ca. To sign up ABLE BC is pleased to partner with Foodbuy associates (industry suppliers, service providers, for a complimentary trial of buyABLE contact ABLE Canada to offer members a food cost savings and manufacturers, and agents) is $341.25. BC today at 604-688-5560 or [email protected]. support program. Foodbuy Canada is the leader in How to join: visit www.ABLEBC.ca and sign up leveraged foodservice and support procurement. for your membership online or contact ABLE New ABLE BC Website: Member Resources, Whether you purchase from GFS or Sysco, Foodbuy BC: Danielle Leroux (Manager of Membership Industry Updates, and More can lower your food costs through vendor rebates and Communications) at 1-800-663-4883 or and pricing programs with your existing suppliers. The new ABLE BC website is now live at www. [email protected]. Foodbuy can also assist with direct-ship vendors ABLEBC.ca. We are excited to launch our new, including Pepsi, Unisource, Waste Management, refreshed website designed to better serve our Hendrix Equipment, and more. members.

30 The Publican