Agreement #40026059 Publican the T he Alliance ofBeverage Licensees Store Liquor Creek The Brewery Winter 2011 Marketing Measured for Sales Merchandising Power of Your POS Utilizing the Revenue Increasing Pub Your favourite Winter beer is back.

WORLD BEER CHAMPIONSHIPS

D SUPPO U RT O E R R P

OF M R OVEMBE

WASSERMAN + PARTNERS ADVERTISING CYAN TRIM: 8.5” x 11” PRINT METHOD: - MAGENTA GIB P29765 BLEED: .125” SCREEN/RES: - YELLOW LIVE: HI RES FILE BLACK September 9, 2011 11:07 AM VISIBLE: LASER @ 100% GIB-P29765_WinterAlePublicanAd FINISHED: - SCALE: 1 : 1

Your favourite Winter beer is back. On the Cover The Brewery Creek Liquor Store

WORLD BEER CHAMPIONSHIPS

Quarterly Publication for the Alliance of Beverage Licensees

200-948 Howe Street, Vancouver, BC V6Z 1N9 T 604-688-5560 F 604-688-8560 Toll free 1-800-663-4883 24 [email protected] www.ablebc.ca

2010-2011 Board of Directors President Al McCreary Past President Al Arbuthnot Vice President Jonathan Cross Vice President Poma Dhaliwal Vice President LRS Salim Karim Vice President LP Matthew MacNeil 10 16 28 36 Treasurer Roger Gibson Executive Director Raechelle Williams Directors Brady Beruschi, Al Deacon, the Mariana Fiddler, Mike Jahnke, John Lepinski, Ronnie Paterson, Kurt Pyrch, Danny Rickaby, Grant Smith, Stan Sprenger Director at Large Dave Crown The Publican Editorial Committee Damian Kettlewell, PublicanWinter 2011 Ralf Joneikies, Mike McKee, Gary McPhail, Jeff Tennant

Designed, Produced & Published by: EMC Publications Features 19073 63 Avenue, Surrey BC V3S 8G7 Departments Ph: 604-574-4577 1-800-667-0955 Fax: 604-574-2196 10 Increasing Pub Revenue 4 President's Message [email protected] www.emcmarketing.com 16 Utilizing the Power of Your POS 6 Executive Director's Report Publisher Joyce Hayne Designer Krysta Furioso 20 The Algebra of Greed 8 Wine Report Copy Editor Debbie Minke 22 8 Ways to Lose Good Employees 19 Marketing Tips UP ABLE BC Editor Raechelle Williams D S PO U RT 24 The Brewery Creek Liquor Store 23 Spotlight on Irish Whiskey O E Copyright EMC Publications R R P 28 Merchandising for Sales 26 LDB Report PUBLICATIONS MAIL AGREEMENT NO. 40026059 RETURN UNDELIVERABLE CANADIAN ADDRESSES 36 Measured Marketing 27 Liquor Sales & Trends TO CIRCULATION DEPT EMC PUBLICATIONS 19073 63 AVENUE 40 The Art of Crafting Cocktails 32 BCHF Update SURREY BC V3S 8G7 email: [email protected] 42 Classic Cocktail History 33 What's New? 44 Shooters 34 LCLB Report OF M R OVEMBE 46 2nd Annual CPBA Cocktail Challenge 35 Names in the News The statements, opinions & points of view expressed in published articles are not necessarily those of ABLE BC. 41 Human Resources Advertisers are not necessarily endorsed by ABLE BC.

WASSERMAN + PARTNERS ADVERTISING CYAN TRIM: 8.5” x 11” PRINT METHOD: - MAGENTA GIB P29765 BLEED: .125” SCREEN/RES: - YELLOW LIVE: HI RES FILE BLACK September 9, 2011 11:07 AM VISIBLE: LASER @ 100% GIB-P29765_WinterAlePublicanAd FINISHED: - SCALE: 1 : 1 President's Message Al McCreary, President, ABLE BC

Given this is my final message in The Publican as As an industry that continues to experience towards solutions to revive our industry. Our board President of ABLE BC, I first wish to congratulate extremely challenging times, I think it is significant of directors and staff are strongly committed to our Vice President LP, Matt MacNeil, on his new that my outgoing message as president speaks being your voice as we continue to fight for all of role as incoming president. Given Matt’s success to the importance of the association sustaining our businesses, but our voice is even stronger as the founder and principal partner in the thriving support during these trying times. Maintaining with input from our members. I encourage you Victoria Pub Company, I am excited about the the strength of our association brings us together to contact our office and share your experiences, knowledge and experience that he will bring as as an industry, providing the strong voice required your feedback, your concerns, and your ideas, president of our industry association. Matt has to sustain the vigor and momentum required to so that together we can collectively address our been involved in the hospitality business for 29 pull through this current decline and position issues. years, and currently owns and manages the Bard our industry for long-term success. The strength In closing, I wish to thank all the members of & Banker, Irish Times, and Penny Farthing Pubs as of ABLE BC ensures our industry’s views and the association, our board of directors and staff well as the Penny Farthing Liquor Store in Victoria. concerns are heard, benefiting from a stronger for your support over the past two years to voice for our sector, greater lobbying power, and The transition promises to be a smooth one as me personally, and for your commitment and better outcomes for our businesses. I remain available for advice and consultation dedication to our industry. while I assume my new role as past president We continue to work hard towards strategies and continue my commitment to our industry designed to improve the current industry climate association and board of directors. while also working closely with government

4 The Publican

Executive Director's Report by Raechelle Williams

Protected Self-Insurance Program In looking at new ways to improve and develop member value programs, we were pleased to announce earlier this month that ABLE has partnered with Western Financial Group Insurance Solutions through the Hospitality Insurance Program (“HIP”). HIP presently insures over 1,200 fellow hospitality members in Western Canada through a unique protected self-insurance structure. We are excited about the benefits this program can offer to our members, such as immediate premium reduction, enhanced rate stability, potential for annual return of premiums, and a level of ownership and control unavailable through the traditional marketplace. If you wish to explore this opportunity, please contact our office to arrange to speak with a Western Financial Group Insurance Solutions representative or visit either of our exhibits at the BC Hospitality Industry Expo.

Welcome to the 2011 BC Hospitality Industry Conference & Expo I wish to extend a warm welcome to all attendees of the BC Hospitality Industry Conference & Expo! I believe we have developed an educational and exciting agenda for this year’s conference and that the wide variety of suppliers the Expo is showcasing will bring many opportunities to compare products and services or to network with other industry professionals. I am personally excited for the opportunity to meet with many of our members for the first time.

Enforcement Practices Police presence around Liquor Primary establishments continues to be an issue for many in our industry. While continuing to work toward strategies in order to broadly address these enforcement practices, we are currently using a multi- pronged approach to dealing with member concerns, given the involvement of various enforcement units in different regions across the province. Please contact me directly, by calling 1.800.663.4883, if this continues to be an issue for you and your establishments, so that I may learn of your specific concerns and determine the appropriate avenues of recourse to explore.

Tied House and Trade Practices In June 2010 the BC government passed legislation that will amend the Liquor Control and Licensing Act with respect to tied house and trade practice laws. The previous legislation remains in force until consultation with industry has been completed. This information will be used in consideration of subsequent development of policies and potential regulations. ABLE BC was actively engaged in this consultation process, and we will communicate back to our members as we hear of developments with regard to any proposed amended policies.

Thank You to Al McCreary On behalf of ABLE staff and our membership, I would like to thank Al McCreary for all he has done for our industry and our association during his term as president of ABLE. Although his contributions will continue as he assumes his new role as past president, we thank Al for his service, his guidance, and his support over the past two years.

6 The Publican The Publican 7 Screw Cap Wine Report The negative impression of screw caps originated from the first generation used by Tomonari Machida and Clinton Lee on bottles of rotgut wine back in the 1970s. With no intention of any length of storage whatsoever, these screw caps were very simple and cheaply constructed. This caused the initial To cork, or not to cork, that is the question… and it’s an ongoing debate in the attempt to convert to the screw cap format to end in wine industry. Producers around the world are struggling to determine which failure. However, with further research into the wine market’s overall needs, a type of closure is the best for their wines. This decision will not only affect the better screw cap was developed. The Stelvin capsule consisting of a screw cap, a aging potential of their wines, but also their sales volume. The majority of long skirt to cover the neck of the bottle below the screw cap, and a liner within consumers still tend to associate cork with more expensive and/or better quality the screw cap that is specifically designed to come in contact with the wine. wines, and screw caps with inexpensive, mass market wines, but a new shift in thinking is on the horizon. Here are the pros and cons of various closures: Screw caps are free of TCA taint and are relatively inexpensive to produce in comparison to a natural cork. Easy to open without any tools and just as easy to close again if you’re unable to finish the wine, screw caps are entirely recyclable Natural Cork like aluminum pop cans. Aside from failure due to extreme age (when screw caps were not made to Stelvin standards), or structural failure (since it is made Due to its low weight, elastic flexibility, of aluminum), the screw cap is completely reliable and provides a level of impermeability to liquids, inert nature, and consistency from bottle to bottle. sealing ability, cork has been used in its current form by the wine industry for more than A screw cap maintains the freshness and quality of a wine with its complete 400 years. With such a heritage, cork offers a seal on a bottle. Young, fresh, white wine should be exactly as it was when it tradition and track record that is hard to walk left the winery. Put a screw cap on it and that’s what you’ll get. In fact, white away from. Many conservative producers and wines that really require no aging should be put under screw cap. In addition, consumers are still willing to stick it out with cork, just rosés and youthful, light-bodied reds that you don’t expect to mature in the for the nostalgic romance of wine with the ritual of de-corking with a corkscrew bottle should also be put under screw cap. and the audible pop. However, spoilage caused by cork taint can affect as many Some producers argue that screw caps won’t allow for any oxidative changes as one in ten bottles. in the bottle that would normally allow wines to improve. However, a ten-year Cork is the natural bark of cork trees that is stripped in sloughing cycles of 6 to closure trial conducted by the Australian Wine Research Institute concluded 9 years. This makes cork renewable, sustainable, environmentally-friendly, and that a screw cap is superior to other types of closures in aging wine. They found biodegradable. Unfortunately, during processing the cork bark is subjected to that the wine is still drinkable, consistent across multiple bottles, and showed bleaching and sanitization with chlorine. The chlorine reacts with the natural appealing secondary aged characteristics while retaining overall freshness. mold in cork and forms a compound called 2, 4, 6-trichloroanisole (TCA). The There are some negative issues with screw caps, however. The type of liner TCA in turn reacts with the wine that it comes into contact with, stripping the used inside a screw cap can vary depending on the desired permeability of wine of its fruity characteristics and leaving an undrinkable wine with moldy, the seal between the wine and the screw cap itself. Certain liners are meant wet-cardboard aromas instead. for short-term storage of two to five years, while other liners are meant for In addition, cork can cause sporadic or random oxidization, whereby an unusual longer periods for up to and over ten years. If a screw-capped bottle with a amount of air has inadvertently or prematurely come into contact with the wine short-term liner is held longer than intended, the seal will no doubt fail, causing in a bottle, causing it to go off. As a wine ages in the bottle, the oxygen barrier oxidization of the wine. capacity of the cork progressively lessens, as it is compressed to the point The airtight seal caused by a screw cap forms a barrier against oxygen that can where it can no longer maintain a proper seal or is no longer structurally intact cause a wine to go into a reductive state, where sulphur compounds form and to provide an airtight seal. Being accredited with these two major taint issues, create unpleasant skunky aromas and rotten-egg flavours that dominate the cork has received the brunt of the blame for bad bottles of wine. wine. The fix is to give the wine more air prior to bottling, or add copper to the wine, which isn’t healthy or legal.

8 The Publican Synthetic Cork Another alternative closure that is seeing a Glass/Acrylic Stopper lot of widespread use in inexpensive wines is Consider a T-shaped stopper made of 100% synthetic cork. Made from plastic, this format inert glass (or a more cost effective acrylic). is free from cork taint and retains the need to Much like a decanter stopper, once in the use a corkscrew while providing the traditional bottle, it provides a sterile seal, which is further pop. However, it is widely agreed amongst the sealed by an aluminum overcap and neck wine industry that synthetic corks be used only for sleeve that will ensure protection and tamper wines that are meant to be consumed relatively evidence. Also known as a Vino-Lock or Vino-Seal, it early, while still young and fresh. Production creates a greater amount of allows for the resealing of a bottle and has an upscale “air” that reacts with the wine in the bottle, causing the wine to age prematurely image over a screw cap. The downside is that its seal depends on a flexible plastic within 18 months to 2 years, despite an air tight seal. This is commonly referred liner o-ring, which can harden and fail over time. The glass stopper is relatively to as a scalping of the wine, where the wine has faded too soon and lost much costlier to produce and implement, since manual bottling is needed. As a result, of its fruit qualities, leaving acidity in white wines and leather, earth, oak and the glass stopper is primarily used as a closure for higher-end European wines. astringent tannins in red wines. Although synthetic corks may be cost-effective in the overall production of a bottle of wine, they’re unable to maintain their elasticity sufficiently enough in the long term, thus making them unsuitable Crown Cap as a closure for wines intended to be aged over a period of time. Although most people are probably used Since the base material of a synthetic cork is plastic, there have been some to crown cap closures on bottles of beer or incidents of polymer-leeching due to the acidity in wine. This has caused pop, there has been a recent push by a small incidents of “plastic taint” whereby consumers can taste a slight chemical number of winemakers to use this relatively flavour in the wine, which reinforces the drink-sooner-than-later view with inexpensive alternative on sparkling and synthetic cork closed wine. still wines. This is no surprise as crown cap closures have been used for some time during the secondary fermentation and riddling processes in the Composite/Technical/Agglomerate Cork production of sparkling wines. However, even with the highly unlikely chance of This closure is made from ground-up cork and/ tainting a wine and with a proven track record, there is quite a bit of resistance or discs of cork bound together by an adhesive to crown cap closures, more so than screw caps. The tradition of a popping or resin, and then heat-pressed into the shape sound followed by a flying cork may be just too hard to beat, especially with of a standard cork. Prior to this step, the cork sparkling wines. bits undergo a cleaning process, such as the application of supercritical CO2, to remove as much TCA taint as possible. However, as it is still The Verdict? made of cork and has all the benefits of natural cork The majority of the wine that is released on the market today is meant for as a closure, there is still the possibility of TCA taint being left after cleaning, relatively early to short-term consumption, with the wine being drunk within and thus the potential to ruin wine. The more pressing concern is that there hours of being purchased, so screw caps and synthetic corks are completely is the off-chance for the adhesive/resin used in the cork-making process to fine as closures for wine. Screw-capped wines no longer have the stigma of leech into the wine itself and cause another form of taint. The best practice/ being used just for cheap wines, as more and more wine producers are putting handling of composite cork is that it be used in bottles of wine that are meant their mid-level and premium wines under screw cap. The type of closure used is to be consumed within a two-year window. entirely up to the winemaker/producer according to the end product or desired expression of wine that they want the consumer to experience. ZORK As an Australian invention, the ZORK has been primarily used to seal Australian wines, and has recently moved into the North American market as well. It has a pull tab release built

into the neck sleeve, which provides tamper Next Issue evidence. Once the pull tab is off, the ZORK can be pulled off by hand with the satisfying pop of a the natural cork and can be easily put back in the bottle to reseal it. Much like a screw cap, the ZORK has an inner metal lining along the mouth of the bottle that provides the seal against air, but still has a plastic core Publican Spring 2012 that inserts into the neck of the bottle. However, unlike a screw cap, the ZORK doesn’t require the bottle to be manufactured with screw grooves and as such • Dealing with Drinking & Driving Laws • Beer & Food Pairing can be sealed on to a less-expensive standard bottle. The verdict is still out on • Revitalizing Rural Pubs • Entertaining Guests the ZORK closure as there hasn’t been enough long-term testing. The makers of this closure have also recently come out with another closure for sparkling wine, which allows for the bottle to be resealed under pressure, thus keeping the bubbles (CO2) in the wine and under pressure. Call 1-800-667-0955 to book your ad by January 13.

The Publican 9 INCREASING PUB

REVENUEby Alex Van Tol

10 The Publican Don’t Just Survive - Thrive You’ve been hit by the downturn, the HST, and the new drinking-and-driving laws. Taken together, these three factors mean you can no longer rely on liquor sales to buoy your business; instead, you need to pinpoint new ways to increase revenue. A few places are making it work. Take the Barley Station Brew Pub in Salmon Arm, for example, where owners Stu and Kathy Bradford are enjoying a rising bottom line. “Our business has continued to grow during these trying times,” shares Stu. “We view this as a direct result of paying attention to our customers and trying to be better at what we do every day.” Want to know how to make it work for you? Read on.

Create Your Service Plan Savvy hospitality hotspots - hotels, restaurants, bars, and tourism operators - have realized how important it is to offer top-notch service to keep people coming back. Have your staff take the time to get to know your customers, advises Arthur Dolmat, owner of Duffy’s Pub in Kamloops. “Your customers will be impressed the first and next time they visit.” At Sullivan Pub in Kimberley, brothers and co-owners Kent and Aaron Lees understand the value of good service. “We lead by example,” explains Aaron. “We make sure staff know what our expectations are in dealing with customers.” Using the guests’ names is important (especially in a small community or where you’ve got regulars), as is keeping an eye on the fact that the customer comes first. But Sullivan’s commitment to service isn’t just for patrons. The Lees carefully choose their staff, and take proper care of them. “We have a benefit program for Courtesy of Great Bear Pub

The Publican 11 Sample ads from Duffy's Pub " Look beyond the daily drink and menu specials to offer your customers something of value."

Fire Up Your Fare Food has increased in importance, with a number of establishments ramping up their offerings. “Our great food is what attracts our customers,” boasts Dolmat. “Now with this new law, my food sales are at times beating my alcohol sales.” Dolmat is also devoting more energy to enhancing Duffy’s conference and catering offerings. Similarly, over the last three or four years, the Lees realized food was what was staff, and discounts on food,” describes Kent. “We create a happy environment.” going to keep Sullivan Pub in the game. “You couldn’t just rely on the tavern- If a piece of equipment breaks, it’s fixed immediately so that staff can continue type drinkers,” observes Aaron. From smoking their own meat and cutting their their jobs with properly functioning tools. “We’ve invested heavily in our kitchen own steaks to making caesar salad dressing, Sully’s works from scratch much of equipment so we can expect more out of our staff,” notes Kent, “but we also the time. “We’re changing the menu consistently to offer the variety people are have good people.” looking for, but we’re not changing the core menu.”

12 The Publican With the move toward healthier food, it’s advisable to review your menu. “We’re seeing a shift to less fried food, and we’re selling less wings,” observes Damian Kettlewell, co-owner of Burnaby’s Great Bear Pub and regional manager for the JAK Group. The Great Bear has recently worked with a food consultant to improve the menu and plating, and has created server manuals. “It’s helping us run more like a chain,” explains Kettlewell. Everything back-end staffers need to know, including how the food should be plated, is in a binder on the wall. “The servers have a similar binder,” he reports, noting that the program improves consistency across the group’s five pubs.

Connect With Your Community In summary: sponsor, support, and participate. “We get involved with many local organizations and contribute to many more,” describes Bradford, who finds the Barley Station’s community involvement to be its most powerful marketing tool. “Many of our customers belong to any number of organizations, and they reward our efforts with their support.” “Being involved in the community shows we’re proactive in giving back,” notes Kent Lees. “Putting an ad in the paper doesn’t benefit anybody,” he continues. “If we put that money toward sponsoring a hockey team, it goes further.” The Lees sponsor a local hockey team and give out free Sullivan t-shirts and ball-caps. “I was in Vancouver at a doctor’s office and saw a guy wearing one of our shirts,” Kent marvels. The shirts work as free endorsements - and who knows where they’ll travel to next? “If a customer has been here all weekend, we’ll give him a shirt or a hat,” describes Kent. “They’ll go back to the UK or Calgary or wherever. We tell them to take a photo at home wearing the shirt, and then we post it on our web page,” he continues. “Sully goes everywhere! Word of mouth is the best marketing.” Go for the face-to-face whenever you can. Duffy’s Pub sponsors a hole at charity golf tournaments, which affords Dolmat’s team the chance to chat about what Duffy’s has to offer in terms of meetings and catering. “We bring a barbecue out and let the golfers sample our great food,” shares Dolmat. “I find this type of personal interaction better.”

Above and Beyond Look beyond the daily drink and menu specials to offer your customers something of value. Lottery, for example can be a powerful drawing card. “We have lottery with Keno and poker,” reports Aaron Lees. “Certainly a lot of regulars come in to play the games.” Although the commissions aren’t huge, they help offset some costs - and at least the games get people in the door. Kettlewell runs lottery from the Great Bear as well. “It’s an area we hope will help the bottom line over time,” he explains. “People are gambling more and drinking less with the new driving laws.” Average hospitality lottery retailers generate more than $200,000 in revenue per year, according to Owen Gormley, BCLC’s manager of channels and corporate accounts, lottery sales. Sounds good - but remember, that’s revenue. Your profit is about 5% of that - sometimes more. But considering BCLC brings in their machines (many of which are self-serve, leaving your staff free to work), sets them up and services them, 5% for a little bit of floor space is a reasonable trade. “For pub owners, this is low-maintenance entertainment, like cable TV that pays you back,” describes Gormley. “And the…games can broaden your client base by providing a quality entertainment option that has wide appeal.”

Generate Word-of-Mouth Perhaps most importantly, make your pub a place people will talk about. “I’m a big believer in word-of-mouth,” notes Dolmat. “Create more fun. Our staff is well-versed in our upcoming events and part of their job is to let the customer know what is happening at Duffy’s Pub. The key is to get our guests talking.”

The Publican 13 Product Showcase

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1414 The The Publican Publican DE KONINCK AMBER ALE MIOPASSO NERO BOB'S YOUR DUNKEL ALDANA, JUAN GARCIA & PRANQSTER Beer D'AVOLA 2009 Dunkelweizen MERLOT Golden Ale Belgium Red Wine Canada Red Wine USA Spain • The beer of Antwerp, Belgium Italy Bob’s your Dunkel Belgian Ales represent the since 1833 This is an utterly charming red dunkelweizen! All it takes is A young wine made from height of the brewers' art. • Known worldwide by the wine made from Sicily’s own heaps of wheat, chocolate very old vines 60 to 100 years Sophisticated brewing famous “Bolleke” glass Nero D’Avola. munich malt, pure mountain old. The wine is from the techniques, yeast blends and • 100% Barley malt, Saaz whole water, a little hops, and a Arribes area overlooking the unique flavouring elements flower hops are added 3 times Expect warm aromas of cherry traditional German yeast Duero River on the Spanish have elevated the beers of during brewing and chocolate, spicebox and and Bob’s your Uncle… no I Portuguese border. The Juan Belgium to the status enjoyed • A very unique, very quaffable vanilla, with an earthy, smoky mean… Dunkel. It’s just that Garcia is a very unique grape by wine in other countries. 5% alc./vol. core. On the palette, black simple. Nice rich ale, unfiltered which gives the wine a nose • Full taste that is perfectly cherry, cocoa, coffee grounds with great clove characteristics. of rich ripened red fruits with PranQster follows in this balanced between soft and earthy flavours too! It’s got a soft palate and a long lasting tradition using a mixed culture bitterness, toasty maltiness great acidity (so important for In snowy Revelstoke we know finish. The age of the vines of antique yeast strains that and sweet spiciness pairing with food). how to brew seasonal ale for gives a deeper mouth feel. produce a floral nose, a full • Highly recognized by the cold winter nights. fruity flavour and a clean finish. well-known beer writers such It has nice structure and rustic The wine drinks well with as Michael Jackson & Stephen charm. Gold medal winner at the roasts, barbecues, pastas and Also available seasonally in Beaumont 2010 British Columbia Brewing on its own. 750ml traditionally corked and • Excellent match with dishes of 90 points winescores.ca. Awards. wired bottles. SKU 418947 medium food intensity such as This very unique wine is of pork & seafood dishes exceptional value.

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The Publican 15 UTILIZING THE POWER OF YOUR POS by Terri Perrin

16 The Publican The New and Improved POS is the Latest, they had to say about the evolution Greatest Business-Building Tool and power of POS: With advances in technology, Point of Sale (POS) Charles Kux-Kardos has more than systems have become one of the best business 40 years experience in the food management tools available to the liquor industry and liquor industry. He purchased today. It is hard to believe that this technology Dawson Creek’s Alaska Café in 1972 was in its infancy in the late 1970s and did not and the Alaska Hotel, which is home gain mainstream acceptance until the mid-1990s. to a popular bar called the Dew Drop Just as the telecommunications industry has seen Inn, in 1989. “I remember the 1950s extraordinary developments in the past five to ten model National cash register that years, the POS market has changed dramatically was in the café when we bought the too. With these improvements and increased place,” recalls Kux-Kardos. “It was a big, competition from service providers, the cost of funky-looking thing with lots of push POS systems is getting more affordable than ever. keys and a mechanical cash drawer … it didn’t even use electricity! A few Although the primary purpose of POS systems is years later we switched to a European- liquor store and Boston Pizza were both using still to support the tracking and management of style electronic cash register system that enabled [another system], so that’s what we opted to product sales, this software has become highly servers to ring up their own sales, maintain their install,” he describes. sophisticated and can record everything from own float, and keep tabs on their own cash,” he employee productivity to inventory control, profit The drawback to this DOS-based system was that explains. “In the early 1990s, I was visiting Whistler and loss margins, and so much more. Without it used Price Look Up (PLU) codes, whereby you and was introduced to another POS system. I a doubt, POS has revolutionized the retail sales had to assign a number to each menu/drink item. realized that adopting a computerized system industry in general, and the food and beverage Cashiers and servers not only had to know their was the only way to go.” industry in particular. menu and bar offerings, they had to memorize Due to Dawson Creek’s remote location in the PLUs too. On a positive note, it provided Rather than ask POS equipment providers for northeastern BC, Kux-Kardos knew that customer establishments with much more sophisticated their individual sales pitches, The Publican asked a service and software support needed to be taken data to assist with inventory management, menu number of liquor store and pub owners across BC into consideration. Even though he liked one planning, and staffing. The age-old punch card how this new and improved technology is making system, he did some research, and at the time no system to track employee hours and all of those their lives easier and increasing profits. Here’s what one else in the area was using it. “The government old manual cash registers soon became obsolete.

The Publican 17 " ... the biggest assets of POS include inventory management, distribution of sales,and percentage of profits."

When the DOS-based systems were being phased so customers don’t get “sticker shock” at the out, Alaska Hotel advanced to a Windows-based checkout. system. Hardware support is provided locally Hutchinson has used several different systems and software support is done remotely, with the since buying the business in 1999. Some he service provider simply dialing in to the system. “It liked, and others he found to be frustrating and is phenomenal!” exclaims Kux-Kardos. “Compared cumbersome. After much trial and error (and to the early years, our POS provides an incredible considerable expense) about six years ago they amount of reporting potential through the single installed a POS system they are very happy with. entry of various bits of data.” “We can pull time-of-day sales for specific dates Brittany Muller, general manager at the and track menu usage on a daily basis to let Waterstone Liquor Store in White Rock, says us know exactly what menu items are selling,” that she is “thrilled” with the new Barnet POS explains Hutchinson. “Sometimes it surprises me system installed in November 2010, adding that, what sells and what doesn’t!” He believes that the “Everything about my job is easier because of it! evolution of POS has been amazing, adding, “Who We wanted something simpler,” explains Muller. knows what’s coming next?” “We didn’t want to have to switch from screen to A relative newbie to the pub industry, Sean screen for different functions, and we wanted to Murdock, became the new owner of Doc Morgan’s be able to move people through the tills quickly Marina Pub & Restaurant on Bowen Island in and efficiently. As a bonus, if a customer wants April 2011. The pub came with a POS system in information about a certain product, the POS place, but Murdock elected to try the age-old provides the details, such as country of origin, “scratch pad” method for taking orders for the qualities, and such. Promotions and coupons are first few weeks of operation. “That worked … also managed with ease. to a point,” explains Murdock. “Then we started “I have worked with a number of systems over getting serious volume in our 265-seat, two-storey the years,” reports Muller. “This new technology pub. Our wait staff had to physically run orders has reduced staff training time from three days downstairs to the kitchen. It was miles of running! to just one day. All of the employees love it! New We soon recognized the value of activating the employees used to be nervous as they learned to five-terminal touch-screen POS system. Now, food use the till, now they are confident in a matter of and beverage orders are sent automatically to a few hours.” the bar and kitchen, patrons get their bills faster, and it is more accurate. Employees, of course, are Sue McCordie, controller for the Black Bear much happier.” Neighbourhood Pub and the Spirits of Mount Seymour liquor store in North Vancouver, says “We Murdock also likes the fact that you can separate couldn’t do without our POS systems!” McCordie food and liquor sales to track profit margins with has been in the liquor sales/service business great accuracy. It is especially helpful for inventory since the early 80s. She recalls (not so fondly) management, which is important because they the headaches of trying to do the programming are on an island and rely on scheduled deliveries. on older systems. “We have come so far, with the Although he loves the POS system, Murdock does ability to consolidate reports, input date ranges, not regret those first few weeks of operation using and such. The POS can even help with menu a manual system. “I wanted my waitresses and planning, by looking at how and when certain servers to be comfortable with what it was to be a food and beverage items are purchased. It easily server, how to up-sell food, and promote specials,” accommodates specials, allows us to change he explains. “Employees still need to know the the menu according to the seasons, and has our basics of good customer service. They can’t rely inventory management down to a science.” solely on technology to tell them what wines go At Brandt’s Creek Neighourhood Pub and with specific foods, and how to keep on top of Liquor Store in Kelowna, Ken Hutchison your orders. There is still something to be said for believes that the biggest assets of POS include simply looking across the room and noting that inventory management, distribution of sales, a table doesn’t have their order yet. You never and percentage of profits. It makes it easy to know, there may be a time when the power is out put different percentage mark-ups on various and your POS is not available. When all is said and product lines and allows them to show the bottle done, I rely on people, not technology.” deposit and taxes on the shelf labels separately,

18 The Publican Marketing Tips by Rebecca Coleman

Using Twitter & Facebook Despite what some may have thought at the serve Strongbow on tap, but you know who does, beginning, social media is here to stay. While many you could also let them know that information. business owners feel overwhelmed by these new Even though you may have lost a sale this time, marketing tools and frustrated at the amount of you will be remembered in the future. time they need to invest in them, if used correctly, Take online relationships offline by offering up they can be incredibly powerful and the payoff your pub or bar as a location for a Meetup or a can be immense. Tweetup. Websites like Meetup.com help to plan Social media allows you to be in the moment. With thousands of real-life meetings every day, and a minimum of effort, you can let people know your business could be the host. The people who about your daily specials and deals. You can share attend the meeting will no doubt be Tweeting this information through Twitter and Facebook, and Facebooking about the experience, so treat and you’ll probably see an even greater response them well, and maybe throw in some goodies if you post photos of the day’s deal. or freebies. Make your clients feel special by offering exclusive Social media allows your clients to get to know deals such as discounts, free appetizers or desserts you better. Do you have a YouTube channel? A with purchase, or a chef’s tasting menu to people great idea is to film interviews with the owner, the who sign up for your e-newsletter. If you offer chef, your bartender, your servers, and your sales great value, people will be interested in signing associates. Ask them questions, both serious and up. You can also do last-minute deals via Twitter silly, and edit your videos down to a minute or and Facebook. Post “the next person to walk in two. Upload them to your YouTube channel and the door and use the secret code word ‘Artichoke’ then put them on your blog and website. Tweet gets a coupon for a free dessert or appetizer.” them, and put them on Facebook. This will allow Avid users of social media pride themselves on your clients or potential clients to get to know being on the cutting edge, and that translates to you better. You can also share “how-to” videos competitiveness in getting the best deals, or being from your chef, your bartender, your sommelier, first-in-line for something. or your wine buyer. Twitter and Facebook allow us greater access to Sandra Oldfield, owner of the Tinhorn Creek the people behind the business than ever before. Winery and Miradoro Restaurant in Oliver, gains Rod Phillips, who owns a chain of private liquor an appreciation for her clients on Twitter. She says, stores on Vancouver Island called Liquor Plus, “There is not one day that passes that someone often has people tweeting him to ask what kind doesn’t tweet about a bottle they just bought of wine they should drink with their dinner. It’s an or opened, and either I personally or the winery individualized, deeply personal service that goes typically thanks them for that sale. How can you a long way towards creating customer loyalty. quantify that kind of good will? How often does the winemaker thank a person they don’t know for These tools can help when there’s a problem a $17 purchase they just made? How much is that as well. If someone Tweets or uses Facebook to kind of interaction worth? It is priceless, I think.” complain about a bad experience at your pub or store, you can know about it immediately, and At the end of the day, the most important thing take steps to make amends. This way, you can to remember about social media is that it’s two- turn a potential public relations glitch into a “win” way communication. You can’t just broadcast your by showing that you care, and that you are truly daily specials and expect people to flock through listening to your customers. the door. These are engagement tools. In the words of Phillips, “It's pretty simple - be real, be Social media can help you to discover new clients. concise, and engage.” Let’s say you are on Twitter, and are using a search feature that alerts you whenever someone uses keyword terms that your bar or liquor store fits Rebecca Coleman is a Vancouver-based blogger, teacher, social media into. For example, someone tweets “Hey - anyone enthusiast, foodie and lover of wine. www.rebeccacoleman.ca know where I can get Strongbow on tap in Vancouver?” If your pub serves Strongbow on tap, respond to their tweet accordingly. If you don’t The Publican 19 THE ALGEBRA OF

GREEDby Chip DeGlinkta with Peter Francis

Reflections on employee theft from the of hundred grand or more a year can add up So, adhering to any theft prevention strategy authors of How to Burn Down the House: before you know it. Let’s say you have a waiter or that ignores them is akin to bringing a knife to the Infamous Waiter & Bartender’s Scam bartender stealing a modest fifty bucks a day, well a gunfight. Bible by Two Bourbon Street Waiters that’s roughly fifteen grand a year. That’s what we The good news is that operators are able to call the Pension Plan. But let’s face it; you’d have to Your pub’s profits are always going to be up for manipulate human nature and social behaviour be Mother Teresa to stop at fifty when you could grabs. It doesn’t matter whose name is on the to their own advantage, by making personal and easily whack’em for two or three times that much. electric bill, that it’s your trademark atmosphere structural changes that will stack the odds in their Most people, given the opportunity, quickly move or your own special brew. It comes down to the favor. In our seminars we like to use the acronym from the Pension Plan on to what we call Early law of the jungle: if you’re the one banking the SLAW to organize some of the most important Retirement, around twenty-five grand a year. Now lion’s share of the profits, then you’re the King. contributing factors: self-actualization, loyalty, multiply that by five to ten employees, add a dirty But when you’re just footing the bill while others awareness, and willingness to act. manager to the mix, voiding and splitting the siphon off your hard-earned capital hand over fist; occasional cash check, along with a few lucky or Self-actualization entails evaluating your own well…there are other names for that. desperate days when they hit you for three or four behaviour as either a part of the problem or a part It seems unfair, but delectable menus, ambiance, hundred apiece, and you have a recipe for disaster.” of the solution, and being willing to ask yourself tireless promotion, and the numerous other the tough questions that allow you to actualize Despite this potential for rapid and disastrous elusive elements that make up a successful your potential as an effective operator. losses, the need for a thorough understanding watering hole are only the pre-season. In the of employee theft with a real-time proactive Are you the reason for the treason? How does end, the only game that really matters is plugging prevention strategy is often lost on veterans and your own personality facilitate theft or create an the leaks and safeguarding the profits from your greenhorns alike. If it is addressed, operators unproductive atmosphere? Are you too naïve or dishonest staff. typically take a two dimensional approach to a too egotistical to see the writing on the wall? Do “It’s chess, not checkers, but on steroids and three dimensional problem, tracking inventory you need help? Are you loyal to certain employees without any rules.” says Scam Bible co-author and pursuing anomalies, looking for theft after who you know, deep down, have been sticking Peter Francis. “People are often ambushed by it has already occurred, without considering the it to you for years? Is it your own family? Are the lightning speed and at times ridiculous human factors; real-time factors like knowledge, you easily intimidated or afraid to enter parts complexity of employee theft.” That’s if they ever desperation, temptation, fear, loyalty, addiction of your establishment where you suspect theft figure it out at all. In fact, it is what makes the food and numerous others, whose dynamic impact occurs? Are you hated or respected? There is a big and beverage industry unique. There are precious on theft can ramp up losses exponentially or, difference. Respect breeds loyalty and conscience, few sectors that are regularly besieged by their if addressed, can minimize losses dramatically. whereas hatred breeds contempt and ultimately, employees to such a mind-boggling extent. Your sticky-fingered staff is already using these theft. Francis takes a stab at the ugly numbers, “A couple factors against you, whether you realize it or not. Depending on your honesty and willingness to change, the results can be dramatic. Often very

20 The Publican small adjustments can pay huge dividends. For instance, people tend to steal more under familiar and predictable circumstances, so simply altering your daily routine, popping up to spontaneously count a drawer or create an unnerving presence, can go a long way towards interrupting negative cash flow. Loyalty is leverage. It allows you to be many places at once, maximizing your presence and minimizing losses when you aren’t around. There are numerous creative ways to cultivate loyalty, from basic respect and fair treatment to advancement opportunities and profit sharing, all of which are well worth your due consideration. Because its importance is so often overlooked, it is one of the most common factors used against the careless employer. Think about it, they are going to be loyal to someone, so it might as well be you. Awareness begins with a concrete understanding of your potential vulnerabilities and the numerous ways that they can be exploited. In other words, become a master scammer yourself, and you will instinctively know how to defend yourself. You are at a huge disadvantage if you are the only one in your pub that doesn’t know how to cheat your POS system or slip a few bucks in your pocket undetected. At the same time, you also need to know a little something about the players. Keep your ear on the rail. Who are the biggest tippers? Who are the bad boys with the expensive habits? This is where your loyalty campaign can provide you with some useful counter-intelligence. Willingness to act is at the core of any solution. Information is only useful if you or your managers are willing to act on it. This concept is country simple, but unfortunately, its application is far from it. Certain individuals are hard-wired for confrontation, but a lot of them become cops - not managers. Others have a deeply personal and ingrained sense of dread at the very mention of it. They may come into the business with a romantic idea of what the industry is all about. A solid system for tracking and analyzing transactions and inventory is an absolute must. It can yield an invaluable picture of the what, the how much and even the who; some systems do everything but reach out and slap the cuffs on you. But generally speaking, even the best play-by-play POS systems only provide info on crimes after they have already been committed, and depending on the system, the customer support and the user, this info can be a long and costly time coming. Understanding and devising effective strategies to address the contributing factors and others described in How to Burn Down the House: The Infamous Waiter & Bartender’s Scam Bible by Two Bourbon Street Waiters is a preemptive strike that will help take the sting out of the ugly numbers when they eventually do show up.

The Publican 21 8 Ways to Lose Good Employees by Jim Sullivan

Finding outstanding team members is hard materials? Are they aimed and designed for with rules and regulations. A better philosophy? enough, so don't waste all that time, money, the right mindset? Are we talking down a few Have a strong culture and a thin rulebook. And it's and effort by then losing someone through bad generations in tone, style, and format? The helpful to remember the difference between rules management or poor leadership. Here are eight generation gap today is less a lifestyle difference and principles. Rules tell your people what they common ways you lose employees you shouldn't: and more of a technology disconnect between can do. Principles tell them what they cannot do. the age groups. Relative to cyber-skills, we have And as far as rules go, the only thing that's sacred 1. Don't ask them what works and what doesn't. Digital Aliens training Digital Immigrants and is this: the customer comes back.

Ignore the input, ideas and insight of your team, Digital Natives. and plan your direction without their input, at 7. Hire the wrong people. High performers like to your own peril. 4. Don't let your employees know where they work with high performers and hate working with stand - good or bad. What's the old saying? low performers because they cause all kinds of 2. Hire because you "need someone". Do you hire Never let either good work go un-praised (if you problems that high performers have to fix. to fill a slot or to make a difference? What are the see it, say it), or poor work go unnoticed (make it talent gaps in your current teams? Do you look private and positive). 8. Keep them in the dark. If you don't give your for people that bring those talents and make your team a plan before each shift they'll presume you team stronger? 5. Don't re-recruit your crew every single day. don't have a plan, and then they'll substitute their As Michael McLaughlin said in a recent Workforce own. Download a free pre-shift meeting planning 3. Don't improve your training program magazine interview, "Maybe if you keep your eyes template from our website www.sullivision.com. on a regular basis. Turnover thrives on bad closed, you won't see the rush for the door when training programs and poor communication. the economy picks up again." Sound pessimistic Jim Sullivan is CEO of Sullivision.com, that creates service, sales, training, Now that Baby Boomers are owners in our - or prescient? You be the judge. After every shift marketing, leadership and e-learning resources for the foodservice and industry, and Generation X managers are running let each team member know how they did and retail industries worldwide. Get free podcasts, articles, templates and establishments staffed with Gen Y (giving new how much they're appreciated. product catalog at www.sullivision.com. insight to the term "generation gap"), shouldn't we ask some serious questions about the current 6. Play by the rules - lots of them. A sure way to relevance of our communication and training turn over more employees is to over-burden them

22 The Publican Spotlight on Irish Whiskey by Lauren Mote

This is a story of family - a whiskey family. Whiskey’s For 750 years, the Irish whiskey industry enjoyed very Empire the Irish were fighting against - Great origins take us to the chilly rolling plains, rugged low spirit supremacy. However, the Temperance Britain - was the world’s largest importer of Irish level mountains, and seaside cliffs of Ireland. Today, Movement during the 1800s became the first of whiskey. After Prohibition ended, the Irish started the contributions from this gorgeous green country, several roadblocks, as abstinence movements back into full scale production. However, the time its copper pot-stills, and care and consideration for were popping up all over the world. In 1838, an necessary to create quality Irish whiskies created a quality ingredients can be experienced all over the Irish Catholic priest led a movement condemning wait list and a backlog in production. At this time, world. This is a story about Irish culture, pride, and the consumption of alcohol, and was successful Scotland’s distilleries were ready and willing to how national charisma kept their whiskey industry in his recruit of adults all over the country: a life of move large quantities of whiskey all over the world. alive. Once the supreme spirit, Irish whiskey has abstinence was a life of righteousness. During this This Scottish whiskey movement really pushed suffered through its fair share of devastation - time, several Irish distilleries either shut down or the Irish whiskey industry into a corner, and until religious, social, cultural, political, and economic merged with other companies in order to hedge just recently that’s where it stayed. World War II disasters. Yet Irish whiskey remains one of the their business bets. presented strong market closures, and the Irish whiskey category almost completely vanished from most loved and embraced of all the dark spirits Two decades later, Europe was engulfed by the spirit markets, making up only 1% of global whiskey throughout the global bar community. Indeed, Irish phylloxera epidemic, causing significant damage to consumption. It’s no surprise that Scotland’s 90 whiskey taught us to “drink the drink”, and learning vineyards and the French economy. Consequently, distilleries completely dominate Ireland’s four. the stories behind our favourite spirits makes our wine and brandy industries were hit hard, paving appreciation much stronger. the way for Irish whiskey to become the number However, Irish whiskey is gaining in popularity During the Middle Ages, throughout Europe grapes one spirit import throughout Europe. By the once again. Its unique unmalted barley and were harvested and distilled to create aqua vitae or beginning of the 20th century, Irish whiskey was traditional pot still distillation method create Irish “water of life”. The same was true of voda (Polish for enjoying a comfortable spot sitting on top of the whiskey’s signature character. It is triple distilled water) and eau-de-vie (French for “water of life”). In world. for smoothness and body, while its light oak aging brings out aromatic and spicy character, Gaelic uisce beatha (later ushky or “whiskey”) is used As 1914 approached, World War I erupted and making it palatable for everyone. It’s incredibly to categorize a fermented liquid resembling a flat markets were closed. This turn in the global easy to become friendly with Irish whiskey, since beer-style beverage. This liquid was created from marketplace devastated most industries, and it’s smooth, gentle and calm, and creates a great the multitude of wild Irish barley grasses, soaked Irish whiskey production was surely among stepping-stone into the world of Scottish single in water to create a more manageable texture, and them. In 1919, a national abstinence campaign malts and peaty whiskey styles. As a bartender, naturally fermented by wild environmental yeasts. was underway in the US. Prohibition foreclosed I use Irish whiskey’s depth of flavour and quality It wasn’t until the 12th century that more modern distilleries and depleted spirit stockpiles. for creating subtle yet bold cocktails with a heavy distillation techniques were brought to the Isle of Simultaneously, the Irish War for Independence mouth and long bright finish. Eire by the Romans and the Normans. was creating a deep wound economically; the Irish whiskey may not return to global supremacy in our lifetime, but every bottle counts. With every Active Irish Whiskey Distilleries bartender, liquor store employee and patron that’s made aware of Ireland’s whiskey tale, their products Cooley Distillery Greenore, Connemara, Tyrconnell, Clontarf, Knappoque, Brennans, Hennessy become more popular. After all, we can attribute Kilbeggan Distillery Kilbeggan, Locke's Blend, Locke's Malt pub crawls and craic to their culture. Sláinte! Midleton Distillery Jameson, Powers, Tullamore Dew, Paddy, Red Breast, Midleton Very Rare Old Bushmills Distillery Bushmills - all ranges, The Irishman

The Publican 23 The Brewery Creek

Liquor Store by Chris McBeath

As neighbourhood liquor stores go, The Brewery Creek is a standout. Not only A Modern Twist on History does it consistently win awards for categories that include “best cold beer & wine Main Street was once a creek along which 16 breweries plied their trade, and store”, “best beer selection” and “best liquor store”, from CAMRA and locals alike, while asphalt has long since covered the still-running creek, and the breweries its unique styling and selection have made it a go-to destination for specialty dissolved, the store’s name is a salute to that heritage. brands. Owned by Fred Wilson and Gary Reilly, The Brewery Creek is another marker of the up-and-coming, slowly gentrifying Main Street neighbourhood. The area where boys once pumped gas has been restyled into a cozy back room, complete with collectible metal beer signs, and one of Canada’s most eclectic, diverse range of craft beers - some 850 skus in total. In retail space that once Engineering a Vision sold green tea and vitamin-power, The Brewery Creek has installed upwards of 750 skus of wine, many from small, estate wineries, as well as a quality selection “Finding a location in a developed city like Vancouver was a challenge, and it of hard-to-find spirits. took some re-engineering to create what we wanted,” admits Fred. “We started in a converted, back alley 1950s garage in 2005 and within three years, expanded into a store-front operation. This hybrid space, which totals 3,000 sq. ft., has Crafting the Focus given us a quirky boutique layout, great parking access - back and front, a real neighbourhood vibe, and a story that goes beyond what we sell.” “When we first opened, we carried a large selection of Big Beer brands,” notes Gerry Erith, store manager, who has been with The Brewery Creek since day one. 24 The Publican “Mixologists come here because we’ll probably have the premium brand or obscure cocktail mix they’re looking for..."

"Our goal was always to specialize in the smaller producers and today, big beer brands fill only four of our 15 doors. Now we carry beer from every continent - except Antarctica,” he quips, “and we’re working on that! “ The challenge is to keep The Brewery Creek ahead of the micro-brew bonanza. “Unlike many LRSs, we buy in small batches so we can sell single and ‘share’ bottles,” Gerry continues. “We’re interested in every new brew, and will always give a BC-based beer a chance. We even carry brews like Main Street Pilsner, created by two of our neighbourhood restaurants. We also pay particular attention to organics like Lotusland, which even makes its deliveries in a bio- mass fueled vehicle.” True to its focus, The Brewery Creek is a lead sponsor of Vancouver Craft Beer Week, during which it hosts an ever-popular Beer Tasting Festival. And, through Gerry’s efforts to establish the BC Beer Awards, local craft beer is quickly gaining a celebrity stature. The store’s wine selection is equally intriguing. “Traditionally, this has been a beer neighbourhood, but as its demographics change, our wine sales are growing,” explains Doug Hutchison, assistant manager. Consequently, displays are clearly divided between value wines, where the price point hovers around $16, and premium wines that move toward $25 and beyond. Choices are from all over the world, however the “Best of BC” is located on an island, with the “Rest of BC” on wall shelves nearby. Bringing its specialty focus into spirits, The Brewery Creek has developed a reputation for carrying unusual lines. “Mixologists come here because we’ll probably have the premium brand or obscure cocktail mix they’re looking for,” notes Doug. “Our tequila selection is unparalleled, and we were one of the first stores to carry the hand-crafted artisan sake made on Granville Island.”

The Aficionado Touch The Brewery Creek has also established itself as a knowledgeable resource. Partners Fred and Gary are committed to ongoing training, product tastings, and promoting industry experience. The result is a motivated, well-versed staff of 20 that includes Chester Carey, Canada’s first Certified Cicerone, who will share his expertise on pairings, blends, and his seeming uncanny ability to find a beer to match the vaguest description of one tried elsewhere.

The Value of Interactive Relationships “We may be a bit old fashioned, but we take great pride in being a part of this Having a larger-than-average staff has other benefits. Shrinkage is less than neighbourhood,” explains Gary. “We give back to the community by supporting .02%. Customer loyalty is strong - 75% visit the store twice a week; and causes such as Avalon Women’s Centre, mobile medical clinics, and various neighbourhood relationships thrive through personal interaction. That’s why sports teams. We strive to provide customers with a value-experience through you won’t find wine and food pairing technology here, or any shelf talkers or knowledgeable and hospitable service, and we’re always available to give a other POP materials. Their absence engenders a level of service that really sets forum for new tastes and entrepreneurial producers. That’s a big part of the The Brewery Creek apart. The Brewery Creek story.” The Publican 25 LDB Report by Donna Mohn

Webinars The verdict is in. After webinar training wholesale customers place orders Webinar Benefits online immediately. Take advantage of the online distance learning benefits. The flexibility of In March of this year, the BC Liquor Distribution Branch (LDB) began offering webinars delivered in the customer’s office or home promotes relaxed learning webinar training to its wholesale customers. Since then, over 50 customers have in a comfortable environment. Customers can engage and interact with the simplified their product ordering process by ordering online. In 90 minutes and facilitator, ask questions, and offer comments. Webinars are also available for at no cost, webinars allow wholesale customers in locations throughout BC to your employees responsible for product ordering. learn online ordering from the comfort of their office or home. Topics include an introduction to the benefits of the LDB Web Store and a hands-on user session. Webinar Topics Exclusive Benefits for LDB Web Store Customers Benefits of Ordering Online • Introduction to the best practices for ordering through LDB Web Store Available 24 hours a day, 7 days a week, the LDB’s Web Store offers cost-effective • Access to online reports services to its wholesale customers and provides a simple, interactive, and secure way of ordering beverage alcohol online. • Order anytime, anywhere. How to Place an Online Order • Single sign-on to LDB Web Store using your BCeID. Quick Item Entry - Placing a small order? Use quick item entry. • Reduce your lead time required for order placement by 10 hours. Product Search - Filter by wholesale only products or search all available products within the LDB database. • Secure inventory immediately upon order placement. File Upload - Upload an order from an electronic file. • Multiple orders placed on different days of the week will consolidate into one order. (Order slower moving products earlier in the week to ensure all Customized Shopping Lists - Create and save shopping lists for reoccurring, products are shipped together.) specialty, or seasonal orders. • Search the entire LDB online product catalogue. • Create personalized shopping lists and save for future use. Before participating in a webinar, customers are asked to obtain a Business BCeID and password through www.bceid.ca. A BCeID account provides secure • Upload an order via electronic file, reducing data entry. electronic access to online government services, anywhere, anytime. • Receive the Order Submission Report 60-90 minutes after placing an order. Customer service continues to be the LDB’s number one priority. Customers • Access LDB reports including price change, top selling products, new that are members of the Wholesale Customer Centre can register for a webinar. products as well as delisted and clearance products. Advanced registration for a webinar is required. Visit www.ldbwholesale.com and click the “Register for a Webinar” button on the right side of the page.

26 The Publican LIQUOR SALES AND TRENDS April 1 to August 27, 2011

Beer

Volume % Change Gross Sales % Change Marketshare Litre Sales BC Liquor Stores 37,484,604 -3.1% $159,654,948 -2.2% 30.2% LRS 55,640,196 -1.1% $236,649,110 0.1% 44.8% Licensee 26,653,116 -3.2% $99,522,601 0.2% 18.8%

Product Total from All Sources 127,343,011 -2.5% $528,534,108 -1.0%

Wine

Volume % Change Gross Sales % Change Marketshare Litre Sales BC Liquor Stores 12,601,009 -0.5% $169,976,031 2.6% 46.5% LRS 6,033,516 6.0% $76,443,295 8.4% 20.9% Licensee 3,484,068 -3.7% $57,039,822 0.2% 15.6%

Product Total from All Sources 25,049,075 0.9% $365,456,489 3.6%

Spirits

Volume % Change Gross Sales % Change Marketshare Litre Sales BC Liquor Stores 4,683,504 -1.3% $148,103,944 1.2% 47.4% LRS 3,213,487 0.6% $99,508,188 3.0% 31.9% Licensee 1,286,696 -4.6% $41,414,154 -2.3% 13.3%

Product Total from All Sources 9,869,834 -1.3% $312,322,178 1.3%

Refreshment Beverage Volume % Change Gross Sales % Change Marketshare Litre Sales BC Liquor Stores 4,676,676 -6.3% $21,730,779 -4.2% 33.2% LRS 7,006,537 -2.0% $33,665,313 0.5% 51.4% Licensee 1,008,139 -6.3% $5,467,213 -5.3% 8.4%

Product Total from All Sources 13,711,578 -4.1% $65,472,684 -2.0%

Note: (1) Measured in Gross Retail Sales Dollars. (2) Report includes all liquor sales from BC market. Source: BC Liquor Distribution Branch

The Publican 27 MERCHANDISING FOR

SALES by Tim Vandergrift

28 The Publican Bringing More to Your Bottom Line through Cross Sales and Upselling Although they are closely related, cross-selling and upselling are subtly different. Cross-selling is a sales technique in which a customer’s purchases are evaluated and suggestions or recommendations are made for other related merchandise the shopper may also be interested in purchasing. Upselling is a sales technique where the customer is encouraged to purchase more expensive items and upgrades to make a more profitable sale, such as suggesting a premium brand when a customer makes a generic request. Cross-selling and upselling are popular and usually effective tactics to increase the average sale in any retail store, and can work very well in your LRS. Usually cross-selling and upselling are the responsibility of the staff on the sales floor - and if your staff isn’t constantly working both of these techniques, your store will be giving up an important piece of your bottom line. But what about when your sales staff is already engaged, or even when there are no staff on the floor? Relying on the cashier to make every upsell or cross-sell isn’t a tenable solution: during busy times, selling techniques can slow down goal-oriented consumers and become an irritant to customers lined up to pay. That’s when merchandising for cross and upselling come into play.

General Merchandising It’s important to understand that the way you present your items in your LRS is a key influencer on purchase decisions, and will either reinforce the customer's product choice or make them second-guess that choice. In a split second a sale can either be clinched or lost. Having the right product mix is a good start, but presenting those products artistically, while accounting for the customer's purchase motivation and shopping inclinations is just as important. Well-planned, well-executed presentations help promote both ease of shopping and impulse sales. When Some customers are goal-oriented enough to endure this kind of experience, customers find the items they are looking for, segmented according to their but many aren’t, and no causal browser will put up with it. Good merchandising motivation to purchase and cleverly presented, it eases their purchase decision. minimizes customer effort, giving them more time to shop. Correctly cross- They are also impulsively drawn to exciting and well-executed presentations promoting leads to extra purchases, and upselling gives higher average sales that project a “buy-now” appeal. per transaction. Creative, well-executed merchandising shows off a store where Every shopper has been in stores that fail to make the best merchandising it’s easy to shop and encourages both impulse and add-on purchases. decisions. Instead of a stimulating shopping experience that makes choosing products easy and exciting, customers have to thread past boxes stacked in aisles, reach for high-demand items on high shelves, squat down to sort Merchandising for Upselling through a bottom shelf for the size they need, or look helplessly for a related To promote your high-value items most successfully, your merchandise displays item for their main purchase. have to be properly arranged for both density and accessibility.

The Publican 29 Density is the amount of merchandise on the fixture or display. Empty or sparsely merchandised "... condense the display to make a tighter footprint, fixtures give the impression that you do not have a increasing product density and the appearance of complete assortment or are in a state of transition, plentiful stock." while overstocked presentations look ad-hoc and messy, and can overwhelm your customers. That’s no way to put a best foot forward. It's an ongoing challenge to work around the customers will simply not take the time to strain, Eye and Hand Level - As a rule, customers visually realities of specialty retailing: late shipments, reach, or squat to remove items from fixtures for scan at eye level and make a purchase decision at overstocks and sometimes even your own buying closer inspection. Take the customer's vantage hand level, making the space in between generally decisions. The reality of LRS retail is that you won’t point into account and position merchandise the the most productive in any store. Returning again always have exactly the right amount of stock for most attractive way possible. to grocery stores, items with the highest margins every fixture or display, but stocking and shelf or highest marginal contribution are placed at maintenance must be an everyday routine. Sales Just as customers have an intuitive inclination to what is considered the optimum buying height: 5 staff must be trained in - and held accountable turn right as they enter a store, they also visually feet, 3 inches. This is the sweet spot for your most for - maintaining merchandise presentations. scan and subconsciously shop in observable profitable shelf height. Displays should always appear well-stocked, but patterns. North Americans read a page of text from not bursting at the seams. left to right and similarly tend to visually scan at eye level, as though they are "reading" the story When faced with an under-stock situation in your Merchandising for Cross-Selling of your merchandising. Therefore, merchandise display, you have several options. The best, of is best presented: Many customers in our LRSs are either pressed course, is to get more stock and sell it through. for time, or are not completely sure of their However, you can also condense the display • Left to right knowledge of our products - especially in the wine to make a tighter footprint, increasing product • At eye and hand level category - and they will appreciate merchandising density and the appearance of plentiful stock. that sparks their interest or gives them an • Face-out Second, you can re-work the display to include attractive purchase option. Good merchandising associated merchandise and get in a little cross- • Vertically also adds to the overall image and impression of promotion as well as filling out your display gap. • By ascending size: small to the left, large to the your operation: consumers remember stores that Third, you can pull the display until you have right present product creatively and make shopping sufficient stock to make an attractive presentation, fun. and substitute another product in the meantime. Left to Right - Your LRS sells items of various sizes (such as pints, 750ml or 1.5 litre volumes). Essentially, there are two methods of cross- If you’re overstocked, rather than building a Obviously the most profit comes from selling the presenting merchandise in the store. You can giant tower of products, you can manage it by largest size/highest price point. Every grocery merchandise within the primary product’s section, holding some product back in your stock area. If store follows a set pattern: the larger volume or or at some outpost in a high-impulse location of you don’t have an in-store storage space, you can sized item of a brand is usually stocked to the right your store. Cross-presenting within a primary expand the display or build a second feature in a of the smaller item, for everything from shampoo product’s section suggests an additional item high visibility location such as a window or near to laundry detergent, breakfast cereal to orange that "goes with" the primary item the customer a cash register juice. Because nearly 80% of consumers are right- is considering. Some simple cross-merchandising Accessibility is the customer's ability to view the handed, they are inclined to go for the larger size examples Triple Sec or Cointreau with tequila merchandise in the best light possible and make with their right hand, or move right along the (suggesting Margarita cocktails), or better yet, a purchase with minimal effort. Time-pressed display to compare features and value. Grand Marnier with premium tequila for a cross and upsell.

30 The Publican To be effective, cross-presented merchandise must Hints for Successful Upsell and Cross-Sell Most importantly for cross and upselling, make relate in a logical way, such as a the liqueurs for a Merchandising sure to close the deal. You or your staff should popular layered drink grouped together, “Three Don't worry about what a customer can afford. take every opportunity to reinforce the customer’s Wines for a Dinner” made into a display of white, red, Many retailers fear that an attempt to move a purchase decision. If they come to the register and dessert wines with a menu suggestion for each. customer to a premium product will meet price with a bottle of premium tequila and a bottle of Grand Marnier, compliment them on their taste: While it can work in a regular shelving area, cross- resistance. But if you’ve never asked for the sale, “Aren’t Margaritas made that way wonderful? merchandising pays off best when located in prime how can you know? Let the customer decide. Not They’re so delicious!” This must be sincere and real estate areas such as strike zones (along aisles every sales promotion works on every customer, personal: customers can detect when they’re or on end caps), or focal points such as the store but that’s not your problem! All customers in being shined on by a rote sales effort. Assuring entrance, or near service areas such as the check-out our LRSs are adults and know the state of their them that they will enjoy the product will help or the ice machine. finances better than you. cement their positive feelings about it before they Displays in prime real estate areas can drives sales, Accessorizing is the surest upsell. Wine accessories, leave the store, and can help you form a bond but make sure you keep a selection of the product such as standard corkscrews and stoppers work with your customer and possibly win a long-term within the original section where customers well, but in a more upscale display, specialty patron for your LRS. can expect to find it. No matter how good your corkscrews can be paired with premium wines. In Your merchandising displays should be changed merchandising display is, there will always be the super-premium category, decanters are very at minimum every three weeks. Longer than that people who will walk past it to the original location, impressive, as are the new crop of wine aerators and they can become part of the background and it only takes a few moments of frustration to that have become available in the last few years. of your store, and worse, they take up valuable lose a sale. Other items such as wine stain removers, pouring spouts, and bottle stands can work well too. There high-traffic strike zones that should constantly Remember, for your cross-merchandise display to are now accessories for whisky aficionados as well, be generating sales for you. be most effective: including specialty ice-cube trays, rocks intended With a bit of creativity and a small amount • Strategically locate your display in a high-impulse to be frozen and then used to chill the beverage of planning for cross and up-sales, your area, near or with related product. without diluting it, and, of course, books on the merchandising displays can not only generate • Stock it with a sufficient quantity of the product subject. When matching accessories, put yourself extra sales for you, they can increase your average to make an impact, and keep it neat, in the customer's shoes: if you were buying the sale and impress your customers for repeat merchandised, and filled at all times. item you’re trying to cross merchandise, what business - and provide a healthy return for your would you buy with it? Canvas your staff as well: bottom line. • Remove or replace the display when it sells down you are all customers, and your opinions are as or is no longer relevant. valid as anyone else's.

The Publican 31 BC Hospitality Foundation by Renee Blackstone

Momentum Continues to Build “We're going to give away 50% of everything we unable to work since January of this year, and in Fundraising Efforts raise each year. And with the golf tournament, March was diagnosed with lymphoproliferative Dish 'n' Dazzle, and Tip Out to Help, the plan is cancer. Funds raised at the pub this past summer Following a highly successful golf tournament in to raise between $250,000 and $300,000 a year,” for Winstanley were matched up to $5,000 by July that drew more than 200 golfers and raised Howes reveals. the BCHF. $100,000, the foundation is preparing to launch its biggest campaign yet, the Tip Out to Help The idea of Tip Out to Help is to fill the largest tip Also receiving help from the BCHF through the campaign, which was held in October and will jar in the world with donations. Those wanting purchase of a wheelchair is Darlana Marsha, who become an annual event. to participate can download all the necessary has cancer in her leg and recently had her leg, promotional materials for an ongoing campaign: hip, and part of her pelvis amputated. Marsha Tip Out to Help allows everyone employed in the posters, newsletters, logos, fundraising ideas, and had worked as a server in restaurants (Smitty’s, hospitality industry - more than 200,000 in BC - to more at www.TipOutToHelp.com. Ricky’s) for many years. She couldn't afford a chair donate to the BC Hospitality Foundation. “Imagine and other agencies were unable to help. Jeannie if everyone involved donated just a Toonie each. Meanwhile, the BCHF continues to disburse Crane, BCHF advisory board member, delivered We're hoping to hit $100,000 this year,” says BCHF funds to those who need them. Among them the good news to Marsha, and said “She is over business development manager Alan Sacks. “But is Steve Schmietenknop of Gotham Restaurant. the moon. She feels very trapped not being more than fundraising, this is also a major effort to He received a cheque for $5,000 this summer to able to get out on her own. This will give her the get the word out to everyone in the industry that help Charlie, his son, cope with autism. “Words independence and freedom she needs.” we are here to help those who need it.” can’t express our gratitude,” Schmietenknop said. “Charlie is doing great in his ARA program and will For more information on the BCHF, please visit With corporate support for Tip Out to Help, continue to do so, thanks to the generosity of the www.bchospitalityfoundation.com. such as sponsorship from the Okanagan Wine BC Hospitality Foundation.” Festival, which is this year's presenting sponsor for the campaign, every single penny raised will Another grant recipient is Sherry Winstanley, Renee Blackstone is on the BCHF advisory board. go directly to build the foundation's resources, who has worked at the Frog and Nightgown Pub according to BCHF chairman Geoffrey Howes. in Coquitlam for 20 years. Winstanley has been

32 The Publican What's New? by Debbie Minke

Spirits Wines Three Olives Dude is a delicious blend of imported English vodka and the natural, refreshing taste of lemon-lime. Reminiscent of Mountain Vino Cacao’s Ivoire is white Bordeaux chocolatized wine that’s sure to Dew, Dude is targeted at the young male demographic. 750ml $24.99 wow you. Sauvignon-Semillon is infused with cocoa, dark chocolate Spec 54% cocoa (100% cocoa butter), and natural vanilla. It contains no preservatives, colouring agents, or artificial flavours. Noir is a Cabernet House Junmai #6 Sake offers a unique cocoa/azuki bean nose. Warm, Franc-Merlot blend infused with chocolate. Candied fruits and sherry- gentle, and well balanced, it can be served on the rocks. 720 ml $28.50 flavoured dark chocolate flavours dominate this pleasant combination. or 1.8L $56.50 Spec Both 375ml $21.66 750ml $36.68 Spec

Smirnoff Coconut Flavoured Vodka offers a smooth and creamy Bolla Prosecco offers a lean bouquet with an apple scent up front. Its coconut flavour with the aroma of sweet toasted coconut. Great for flavour is well-balanced between acidity and residual sugars. 750ml cocktails. 750ml $25.79 Listed $16.99 LTO Spec

Chambord Flavoured Vodka combines premium quality French vodka Jeio Cuvée Rose Brut - Bisol is a sparkling wine from Chardonnay, Pinot with extraordinary black raspberry flavour. Floral aromatics of hibiscus Grigio, Incrocio, Manzoni, Sauvignon and Glera grapes. Full bodied with with notes of vanilla and white chocolate. 750ml $39.99 Seasonal intense flavour and aromatic qualities. 750ml $19.99 Spec

St-Rémy à la Crème pairs the notorious French brandy with cream. Rosa de Argentina is an unoaked rosé crafted from Malbec grapes. Bright Offering notes of rich caramel, creamy chocolate, and exquisite nuts, ruby red in colour, this well-structured wine boasts cherries, raspberries, it’s smooth and delectable. 750ml $26.99 Listed and strawberries on the nose and in the mouth, with a crisp finish. 750ml $14.95 Spec Fragoli Wild Strawberry Liqueur is infused with small, whole wild strawberries. Serve it cold - it’s perfect as an aperitif, with sparkling Temático Torrontés 2010 is an Argentinian white packed with zesty, ripe white wine. 500ml $25.99 Listed tropical and citrus fruit flavours, overlaid with notes of rose and spice. 750ml $15.99 Spec Jack Daniel’s Tennessee Honey is a blend of Jack Daniel’s Tennessee Whiskey and honey liqueur that is rich and naturally smooth. 750ml Daniel Belda Verdil 2010 is a Spanish white crafted from Verdil, a grape $29.99 Listed indigenous to Valencia. Look for bell and black pepper, lime, sage, and resin on the nose. It has a cool flavour profile, with less spice and apple/ Bailey’s Hazelnut Irish Cream liqueur is a new take on the classic pear notes. 750ml $17.99 Spec liqueur, teaming it with deep hazelnut flavour and aromas for something a little different. 750ml $26.49 Listed Long Neck Cabernet Sauvignon has arrived from South Africa. It’s youthful, with intense fruit on the nose, and delightful cherry overtones. Ripe fruit on the palate is followed by a sustained finish. 750ml $11.99 Spec

Beer Insatiable Red NV is a Californian blend with ripe black cherry and red MTL Premium Lager offers a unique taste experience from blending currant flavours. Full bodied and versatile, it’s smooth and velvety on the European hops with Canadian malts. Balanced with a clean, crisp finish. finish.750ml $19.99 Spec 6x341ml $12.99 Spec Polo Sur Malbec 2010 is intense ruby red in colour, with aromas and Page 24 Reserve Blonde is a light, fresh French beer. Crafted with flavours of ripe berries and plums. Fresh and delicious with a soft finish. the hops of Flanders and regional malted barley, it’s a multiple award 750ml $12.99 Spec Polo Sur Cabernet Sauvignon 2010 offers flavours winner. Page 24 Reserve Ambrée is a true amber with a lightly roasted of currants, blackberries and bell peppers 750ml $12.99 Spec taste, due to the use of malts torréfiés. Both sold in 6-packs. 6x750ml Embocadero Tempranillo 2008 spent 14 months in new French oak $10.95/bottle Spec barrels. Opaque purple in colour, it offers a complex perfume of toasty Royal Jamaican Ginger Beer is brewed with Jamaican-grown ginger, oak, spices, espresso, and black fruits. This Spanish wine is dense, firm, considered to be the finest in the world. Other ingredients include and layered. 750ml $16.99 Spec Cascade hops, Jamaican cane sugar, and Royal Jamaican new crop rum. Intis Malbec 2010 from Finca Las Moras is a medium-bodied wine with 24x355ml bottles $1.99/bottle Spec ripe red fruit aromas of plum and cherries. Intis Sauvignon Blanc 2010 is fresh and well-balanced with intense floral aromas and fresh citrus notes. Both wines offer excellent value. 750ml $8.99 Spec

The Publican 33 LCLB Report by Karen Ayers

Purchasing Liquor if You Have More Than As a reminder, a liquor register must be available On average, 95% of establishments that One Licence at the Same Address for branch inspection at any time. In this case, it LCLB inspect are found to be in compliance. must detail all the liquor purchased under the one Approximately 120 establishments receive a A number of establishments in the province licence showing its distribution amongst the other monetary penalty or suspension each year. have two or more licences at the same address. relevant licences. Until now, these establishments were required to purchase their liquor for each licence separately Taking Empty Container Returns and to maintain separate inventories - unless Suspension and Monetary Penalty Signs The LCLB, LDB, and the Ministry of Environment they had approval from LCLB to purchase under Establishments serving a suspension post a are receiving a growing number of complaints one licence. “suspended” sign during their suspension. from the public about bottle returns. The recycling Recognizing that buying liquor under one licence Licensees receiving a monetary penalty for regulation under the authority of the Ministry of is more convenient and maintaining a single contraventions that occurred on or after August Environment stipulates that an LRS must accept liquor inventory is less costly, LCLB has waived this 15 are now required to post an equivalent sign. up to 24 empty container returns per person, per requirement for food primary and liquor primary Introducing signs for monetary penalties is day for the product brands and sizes they sell. In licensees provided they are at the same physical consistent with LCLB’s ongoing effort to ensure consideration of the health and safety of staff, location, the licensee is the same legal entity for that various penalties have relatively equal licensees are not obliged to accept for refund each of the relevant licences, and an accurate consequences. any container that is rusty, dirty, or contaminated. record of liquor sales is tracked separately for The monetary penalty sign will be posted LRSs must refund the full deposit in cash. The each licence. according to the monetary penalty’s equivalent refund cannot be given as a store credit. Persons An LRS is not eligible to do this. Liquor purchased suspension time period. For example, a first contravening the Ministry of Environment for an LRS can’t be sold in another establishment contravention for selling liquor to minors is either regulation commit an offence. because LRS outlets buy their liquor at a discount. a 10-15 day suspension and/or a $7,500-$10,000 For more information about the bottle return However, liquor for an LRS and food or liquor monetary penalty. Therefore, if a licensee receives program contact the Ministry of Environment at primary on the same site can be stored in the same a $7,500 monetary penalty, a monetary penalty 250-387-0389. room provided the LRS’s liquor is clearly marked sign must be posted for 10 days. as separate inventory.

34 The Publican Names in the News by Debbie Minke

ABLE welcomes new LP/LRS member, Ken Whitaker of 17 Mile Pub & Liquor Store in Sooke. New associate members include Western Financial Group Insurance Solutions; Rhonda Harris, Executive Mat Service; and Lori Collins, Prontoncis Corp. Kim Campbell has been appointed to the position of Director, Industry Human Resource Development for go2. Kim takes over the HR portfolio from Peter Larose, who has been appointed Director, Policy and Research. Peter is now responsible for tourism employment policy and labour market research initiatives, and is facilitating the update of the BC Tourism HR Action Plan. In a planned transition consistent with the company’s by-laws, Molson Coors Brewing Company announced that Andrew Molson, the current vice chairman of the Molson Coors board of directors, will assume the role of chairman, and Pete Coors, current chairman, will assume the role of vice chairman. The by-laws provide for the chairman and vice chairman to alternate between the Molson and Coors families every two years. Congratulations to the winners at this year’s Canadian Brewing Awards (CBA) competition. A panel of approximately 20 Certified Beer Judges (BJCP) consider five criteria: aroma, appearance, flavour, mouth-feel, and overall impression to determine who brews the best Canadian beer in 31 style categories. The 2011 Beer of the Year is Fat Tug IPA, from Driftwood Brewing Co.

BC’s CBA Gold Medal Recipients Brewery Beer Category Central City Brewing Co. Thor’s Hammer English Style Barley Wine Dead Frog Brewery Pepper Lime Lager Fruit Beer Driftwood Brewing Co. Fat Tug IPA American Style India Pale Ale Fernie Brewing Co. Sap Sucker Maple Porter Special Honey/Maple Lager or Ale Granville Island Brewing Co. Belgian Wit Wheat Beer - Belgian Style White/Wit Mt. Begbie Brewing Co. High County Kolsch Kolsch Tree Brewing Co. Serendipity #3 Wood and Barrel Aged Beer Vancouver Island Brewery Hermannator Ice Bock - Traditional German Style Vancouver Island Brewery Sea Dog Amber Ale North American Style Amber/Red Ale Yaletown Brewing Co. Hill’s Special Wheat Wheat Beer - German Style Hefeweizen See a complete list of the winners at www.canadianbrewingawards.com.

The annual Great Canadian Beer Festival was held in Victoria in September, with guests and volunteers from around the world. Over 55 craft breweries from across Canada and the USA showcased their brews. Just a stone’s throw from the Georgia Strait, Comox’s new 40 Knots Winery has opened its doors with a small production from 2009 and 2010 of Pinot Gris, Chardonnay, Pinot Noir, and a Rosé. For every bottle of Santa Margherita Pinot Grigio, Prosecco and Syrah purchased this summer, Santa Margherita Wine Group donated a portion of their proceeds to the Canadian Aids Society. Since 2007, Santa Margherita has raised more than $400,000 to help Canadians living with HIV/AIDS and expects to raise an additional $180,000 as this year’s platinum sponsor for Scotia Bank Aids Walk For Life. Perseus Winery in Penticton donated two 3L bottles of specially labeled BC Hockey Hall of Fame Collector Series Invictus 2009 to the BC Hockey Hall of Fame’s fundraising gala. The two bottles, auctioned off by celebrity auctioneer Stockwell Day, sold for $4,000 each. After 20 years of existence, BC’s Vintners’ Quality Alliance (VQA) program is proving itself to be a success more and more each year, with sales of BC VQA wines growing at a tremendous rate. Total sales for 2010 were up 12.6% over 2009. BC VQA sales volume totalled 8.5 million litres in 2010, for total sales of $196 million. The Publican 35 MEASURED MARKETING by Bruce Hayne

36 The Publican 36 The Publican Measurement - Now There’s a Concept accurately measure their campaign ROI. Part of John Wanamaker, considered by many to be the the difficulty lies in clearly founder of modern advertising, once said, "Half determining what data to the money I spend on advertising is wasted; the track and what defined trouble is I don't know which half." This may have outcomes are expected been quite true in his day, but times have changed. from various forms of The demand for increased marketing effectiveness advertising. In the pub coupled with tighter and tighter marketing and liquor store industry, budgets means all companies must justify every your goal might be to dollar spent. In order to do that, they must build brand recognition have the ability to analyze campaigns quickly (awareness) to generate and accurately and make adjustments where a first time purchase. necessary to increase the return on investment. Of When we talk about indication of whether a particular market is worth course, agreeing where to spend those resources measuring marketing effectiveness, we are advertising to or not. Tracking first-time clients to is another matter. With accurate information, you talking about the number of customers, tracking your pub or store may provide a better indication will be better equipped to make those decisions. customer satisfaction, loyalty, and average sales. of the effectiveness of a campaign. If you are struggling to measure your marketing With a depressed economy and more stringent To begin to measure your marketing activities, activities, you are certainly not alone. According drinking and driving legislation, simply looking you must first start with a baseline. This may be to an Accenture study, nearly three quarters of at the number of customers year over year may statistics from a year ago, or it may be statistics senior business executives in North America be misleading in terms of how well a campaign from just prior to a campaign launch. and the UK say that their company is unable to works. However, this information will provide an

The Publican 37 First, determine what is expected from the campaign and what specific action you want potential customers to take. For example, if you want to increase sales of a particular brand of beer, determine the increase you expect over the previous month, either in volume or dollar sales. By determining a specific goal, you can now accurately track the effect of the various campaign components. What will often occur in a given campaign is that multiple media ads will be used to attract a response. Each of these should be given a unique identifier to track response rates. Different offers can be used and tracked for various publications. For example, to drive business in your LRS, one newspaper ad may offer a free glass with the purchase of 24 beer. Another may offer an opener.

" As consumers spend an increasing amount of time online searching for information before making a purchase, more and more of your marketing activities (read dollars) will be spent in this medium."

If your goal is to drive traffic to the web, then tracking is much, much easier than with traditional media options. Your website should have an integrated statistics package such as Google Analytics. If you’re buying banner advertising and sending electronic ads (newsletters, etc.), your statistics package can track exactly where each click is coming from. Not only that, it can also track exactly what happens when these inbound visits occur (e.g. what pages were viewed, how long they stayed on the site, what forms were filled out, etc.). With a comprehensive banner ad campaign, you can send visitors to unique pages of content that clearly identify (through Google Analytics) where each visitor came from. This then allows you to shift marketing dollars from ineffective ads and sites to the more effective ones, thereby reducing your overall cost of lead generation. As consumers spend an increasing amount of time online searching for information before making a purchase, more and more of your marketing activities (read dollars) will be spent in this medium. This is particularly true for the hospitality industry. That’s not to say that traditional media is not effective. However, your traditional marketing efforts (print ads, direct mail, print coupons, etc.) should leverage your online presence. In this way, you can measure a traditional ad or direct mail campaign by the traffic you generate online. With direct mail and print ads, you can use QR codes (those small square maze-looking ink blots) to send customers to a specific, unique web page not published in your website navigation. This means that any traffic to that specific page could only have gotten there through your print or direct mail campaign. The real beauty of this method is that you can track, in real time, how your campaign is working. If it’s not meeting your stated goals, you can quickly change various aspects of the campaign (offer, price, media, etc.) before you’ve spent your entire budget only to find out it didn’t resonate with your customers. Regardless of what outcome you want to achieve - whether it’s increased traffic, loyalty, customer satisfaction, or average sale, setting campaign targets and then tracking your progress will be providing you with the knowledge needed to make adjustments and refinements. These, in turn, will ultimately reduce your marketing expenditures and will pay dividends to your bottom line. Now there’s a concept everyone can agree on!

Bruce Hayne is a partner at ThornleyHAYNE Creative Communications and can be reached at 604-581-2827 or [email protected]

38 The Publican The Publican 39 THE ART OF CRAFTING COCKTAILS Three Pieces of Advice for Bartenders

by Scott Young

1. Understand the wide variety of ingredients and products available. This will enable you to be creative in the building and the garnishing of each drink you serve. It will help you intelligently suggest/discuss/ describe the drink to your customer, educating them as to why it tastes the way it does and presenting yourself as a master mixologist rather than a robotic drink-pouring machine. With a wide array of ingredients, you can offer your customer some new and interesting choices in drinks.

2. Understand that portion control, proper balance and blending of all ingredients for a specific taste is more important than the strength of the drink. The quality of the finished drink as well as the quality of the ingredients it contains is what today’s discriminating drinkers expect and appreciate. This trend toward artful, skillful, gourmet mixology is growing as customers search for a “total cocktail experience”. They are more adventurous in seeking out new and innovative recipes and ingredients to try. Remember, it is not the quantity of alcohol that is valued, but the quality of the drink.

3. Most importantly, stand out from the ordinary by serving each drink in a stylish and interesting way. This will keep your customers connected to you and entertained while you have a little fun. Include them in the experience as you make their drink, giving them that “total cocktail experience” that will bring them back again and again. It will pay off in tips, appreciation, good will, and loyalty. Put your focus on the customer and make him feel special and noticed by taking the trouble to serve his drink with a little originality and pizzazz, always remembering that a simple smile goes a long way.

Scott Young is president and founder of Extreme Bartending.

40 The Publican Human Resources by go2

Tips on Interviewing Screened Candidates Use a consistent list of questions to ensure you can make a fair comparison of all candidates, but In the fall issue of The Publican, we reviewed some allow yourself to naturally go off in a different techniques on pre-screening applicants. After direction and ask probing questions to explore an engaging in a methodical pre-screening process, area of concern or dig deeper into a candidate’s you are now ready to conduct interviews with the response. Be sure to take notes, as they’ll help shortlisted candidates. jog your memory and may help with legal issues, For some businesses, the interview process can be should any arise. extensive, often including several stages. Whether you are looking for a bartender or a cook, choosing the right interview format is key. A face-to-face Prepare Properly interview is ideal for confirming whether the Hold the interview at a quiet place, free from information provided on a candidate’s resume is distractions. Introduce yourself and your role and consistent with their body language. It also gives make the applicant feel at ease. The interview you the opportunity to ensure that their skills, is also a time when you can promote your qualifications, and experiences fit with your needs business and “sell” the candidate on why they and overall culture. would want to work for you. Tell them about In addition, you can also consider a panel, group, your company, your values, and services that you Skype (video-conferencing), or phone interview. offer. Ensure you practice active listening and Select an interview format that matches your observe the 80/20 rule - the candidate talks 80% company style. of the time and you ask questions, or answer the candidate’s questions, 20% of the time. Invite the candidate to ask you questions as this will give Develop Your Interview Questions you an indication of what they value in a work environment and how much preparation they Develop your interview guide in advance and have done for the interview. focus on questions that are relevant to the skills, attitudes, and experience that you require. Start the interview with generalized questions Ensure Human Rights Compliance about a candidate's background and interest in the position. Then review the candidate’s In order to protect both you and your candidate’s resume, including job details, responsibilities, rights, it is important to be familiar with the accomplishments, and reasons for leaving principles of human rights legislation set out past positions. Make sure to ask about any by the BC Human Rights Code, which prohibits Evaluate the Interview discrimination in terms of employment or inconsistencies or gaps in employment or For each interview question, create a set of criteria potential employment, based on a series of education. to determine what type of response would “meet”, specific protected grounds. Interview questions Once you have assessed that the candidate “exceed” or “not meet” your expectation. After each should steer clear of the following protected has the prerequisite skills, ask behavioural- interview, evaluate each candidate by comparing grounds and focus strictly on determining the based questions that encourage them to draw his/her answers to the criteria. This method allows applicant’s ability to perform the essential duties examples from past work experience, as opposed you to assess the candidates more objectively of the available position: race; colour; ancestry; to situational questions such as “what would and fairly among each other. In addition to the religion; place of origin; age; sex; marital status; you do if...” and simple “yes/no” questions. Past candidate’s skills and experience, also look at family status; physical or mental disability; sexual behaviour is considered the best indicator of their “fit” with your working environment and orientation; political belief; and conviction of a future performance. Behavioural questions have company culture. criminal or summary conviction offence that is three parts: unrelated to the employment or to the intended The situation: Ask the candidate to describe a employment of that person. go2 is BC’s tourism and hospitality human resource association responsible specific situation when a particular skill was used. Sometimes a position may require that a candidate for coordinating the industry’s Human Resource Action Plan. For more The action: What action/steps did he/she take to be of a certain age or flexible availability to work interviewing tips, visit www.go2hr.ca as well as the Employees First Guide handle the situation? shifts. In this case, employers are permitted to ask produced by Tourism British Columbia in partnership with go2. questions related to these areas; however, they The result: What happened as a result of the must still be careful in doing so. For example, if actions he/she took? you are hiring a bartender, you may not ask the For example: Describe a time when you handled a candidate his/her age but you can ask if they are customer complaint. What was the situation that of legal age in BC to serve alcohol and if they have caused the complaint? What steps did you take to their Serving It Right certification. handle it, and what was the outcome?

The Publican 41 CLASSIC COCKTAIL HISTORY by Scott Young

42 The Publican 42 The Publican Historically, there have been two types of popular drinks: drinks that taste very strongly of alcohol, and those that don’t. Another way to describe this is that some drinks have an immediate kick while others are smoother and more drinkable over time. The stronger traditional cocktails that have survived to this day are the straight martinis, manhattans, scotch on the rocks, etc., and the mellower cocktails are the slings, mai tais, pina coladas, etc. Many of the true classic or traditional recipes have interesting stories behind them. Some have turned into urban legends where one truly never knows if it really happened that way or not, but they’re still worth telling to your buddies at the bar. Here are a few:

Martini The origin of the martini is very hotly debated, so I’ll stick to a fact. Harry Johnson, author of the New and Improved Bartender’s Manual, is credited with first publishing the drink recipe under the name martini, but he did label the drawing of the drink, “The Martine”. Soon after, with the marketing help of vermouth maker Martini & Rossi and The Oxford Dictionary crediting the company with the drink’s creation, the name martini was here to stay.

Harvey Wallbanger This was a very popular drink in the 1970s, named after a Californian surfer named Harvey. The story goes like this: a surfer named Harvey liked his screwdrivers spiked with Galliano, and after a hard day, he had one too many and walked into a wall. Another story is that Bill Doner created it while tending bar in a place named “The Office on Newport Beach”.

Tequila Sunrise Most believe this drink was invented in Mexico in the 1950s for welcoming tourists to Acapulco and Cancun, but there is also a nice urban legend about its creation: There was a bartender who stayed out late one night drinking with his friends - “late” meaning about 9:00 am. The boss walked in and demanded that the bartender explain what he was doing. The bartender said he wanted to stay in the bar to concoct a drink that looked like the sun rising. The drink gained popularity again in the 1970s.

Bacardi Cocktail This libation became popular during the 1920s Prohibition, when Cuba became the unofficial American saloon for those who could afford to fly there. In 1936, a strange and heated New York Supreme Court case defined the drink’s recipe and made it a legal offense to mix the cocktail without Bacardi rum.

Mint Julep The julep dates back to ancient times. The Arabs called it “julab”; Portuguese, “julepe”; Latins, “julapium”. “Julep” is a French term. The mint julep was probably first made in Kentucky, Georgia, although Virginia lays claim to it as well. Kentucky may very well take credit for its popularity, since it is the official drink of the Kentucky Derby. Over 80,000 mint juleps are served over the two-day period of the Kentucky Oaks and Kentucky Derby, requiring 8,000 quarts of julep mix, 150 bushels of mint and 60 tons of snow ice. The racetrack’s clubhouse began mixing juleps circa 1875 out of convenience - the mint was right out back and the bourbon well-stocked within.

Scott Young is president and founder of Extreme Bartending.

The Publican 43 SHOOTERS by Scott Young

I’ve always liked recommending and serving shooters to my customers. They 4. Easy to make many at once - If you are an easy and fun way to get the party started and are a great way to get a have a group of people, it’s difficult group together. My favourite shooter to recommend to my customers is a Killer and time consuming to get a round of Watermelon. cocktails or beers because people are very particular about “their drink”. For After serving approximately 800,000 drinks in my bartending career, I found example, Melissa only drinks a vodka that I rarely did anything without a reason. I developed a system of what I and soda with a twist of lime, but if you made and how I made it in order to maximize the odds of succeeding, which suggest a shooter like this for everyone, is a combination of customer satisfaction and higher sales. There are four main your work will be significantly reduced. reasons I recommend the Killer Watermelon: Layering drinks can slow you down if you don’t do it properly, so making five or ten 1. Fun factor is high - As a flair bartender, I’ve always been a fan of making a shooters at a time in a shaker works well. drink with a little style, and this shooter allows me to use multiple objects and bottles, so I have many options of what I can play and entertain with: shaker tin, shaker glass, two liquor bottles, one bottle of cranberry juice, shooter glass, etc. Killer Watermelon ½ oz. Southern Comfort ½ oz. melon liquor 2. Bigger sales - Even if you don’t do any flair, when you have two alcohols in Approx. ¾ oz. cranberry juice a drink or shooter, you generally round up for the higher cost item, which in this case would be a premium Southern Comfort. Higher cost leads to a larger Shake and strain into a 2 oz. shooter glass, average check, which leads to a higher sales total at the end of the night. or small rocks glass. Melted ice should make it exactly a 2 oz. shot.

3. Great taste with a strong kick - When you mix a strong alcohol with a sweeter one and add cranberry juice, you get a nice combination of a strong drink that Scott Young is president and founder of Extreme Bartending. many people will still think actually tastes smooth and good. I can sell more because it appeals to a larger demographic.

44 The Publican Marketplace

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The Publican 45 2nd Annual CPBA Cocktail Challenge

The Publican is proud to sponsor the 2nd annual black box event the following day. In the black CPBA Cocktail Challenge, being hosted by The box, bartenders will be given a secret ingredient Canadian Professional Bartenders Association or ingredients to use with Flor de Caña Rum as the (CPBA) and taking place during the BC Hospitality main ingredient. Then they create a brand new Industry Expo at Vancouver Convention Centre cocktail for the judges. With one hour to create East on November 7 and 8. Drop in to watch the their signature drink and five minutes to prepare competition while you visit exhibitors showcasing it on stage, it gives the entrants plenty of time the latest innovations and products for the to adjust and perfect their creations. When the hospitality industry. final tally is counted and the points are awarded, the winner of the two-day competition will be This year the event is being sponsored by Flor announced. de Caña Slow Aged Rums, which are Nicaragua’s national treasure. Flor de Caña prides itself on The winner will receive a trip to fabulous product consistency that only a single-estate Nicaragua, flying into Managua, Nicaragua’s rum can guarantee. Produced with the finest capital, to be met by the Flor de Caña Rum team molasses from sugar cane harvested in fields for a private bus tour of the country’s finest adjacent to the distillery, Flor de Caña Rum is attractions. The largest country in Central America, distilled five times using the latest technology, Nicaragua boasts volcanoes, vast freshwater Lake craftsmanship, and a continuous distillation Nicaragua, beautiful beaches, and lush wildlife column process. Flor de Caña acquires its amber preserves - and its ceramics are second to none. colour, rich flavour, smooth taste, and unique The highlight of the tour will be a visit to the aroma in small American white oak barrels. There Flor de Caña estate and distillery in Chichigalpa, are no additives or accelerants used to promote where visitors emerge with a vastly increased artificial aging. Traditional barrelhouses, built appreciation for the art of rum making. The bus’s without air-conditioning, provide Flor de Caña on-board rum cocktail service will make the a natural, undisturbed environment for the full travelling extra special. flavour to unfold. Every drop of Flor de Caña Rum The CPBA Cocktail Challenge is designed to is naturally aged, and the bottles carry a true age showcase the growing bartender talent in BC. statement. The preliminaries, the black box, and the ultimate The competition is a multi-faceted cocktail event, finale when the winner is announced will be worth with the preliminary round being judged on watching when you are down at the Expo. We look November 7th, with the top five moving onto the forward to seeing you there.

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