Liquor store owners get an earful from oenophiles who dream of stocking shelf after shelf with hard-to-find vintage wine; they listen patiently while craft beer enthusiasts estimate aloud the square footage they would need to refrigerate all the rare ales they would stock. But in a real-life store, even when business is booming, it doesn't look like those customer daydreams. There is payroll to process, a license to renew, and the challenge of stocking what will appeal to loyal specialty liquor enthusiasts as well as the masses. Non-owners imagine this to be the fun part: tasting liquors, choosing mixers, getting first crack at new brands of fine spirits. In reality, smart buying involves complex data and demographic analysis, and calls for store owners to have access to fast funding. The most successful liquor store owners keep their fingers on the pulse of entertaining and dining trends in their area as well as changes in beverage tastes nationwide. They plan strategically for annual events - big beer orders before football season and liqueurs for the winter holidays all while also being able to move quickly when an unexpected purchase opportunity is presented.
Change With The Seasons
Game day and holidays demand special attention, but every page of the calendar has its unique needs. No matter how much white wine and light beer is in stock at summer's end, liquor store owners still need to push out those hard cider and spirit orders as soon as the days start getting shorter. This high degree of seasonality can create a disconnect between revenue and required spending that sends liquor store owners looking for loans or other fast funding for small businesses to temporarily bridge the financial gap.
Accommodating Changing Tastes
Trends in spending and consumer behavior also play a part in what customers expect from a well-stocked liquor store. A recent study by Mintel found that shoppers ages 21 and above are consuming more alcoholic beverages in private homes than in bars or clubs. More drinking at home means demand for beverages that suit informal gatherings and meal times. Liquor store owners may be pleased about these positive changes, but capitalizing on them often means finding fast funding take advantage of bulk-purchase savings on popular beverages.
Beer Cave
A well-stocked beer cave is a shopper’s paradise that can help you drive new and repeat customers who are looking for something special in terms of selection, temperature, and buying experience. Just remember, once customers see that you are offering a special beer-buying experience, you may want to expand your beer selection, so design your beer cave with a little room for growth. If you plan to stock your beer cave with a wide variety of brews, it may be in your best interest to invest in a large walk-in freezer or to create a custom space that has enough square footage and shelving to showcase all of the beers that your customers love. The investment will be greater, but if you have the product and the demand to support it, it can ultimately increase liquor store sales. The research in support of installing a beer cave is quite impressive. Stores that sell beers in beer caves see foot traffic increases of approximately 35 percent as well as increases in large-pack beer sales. In addition, beer caves can increase your average sale by $6 per customer.
No matter how owners make the final decision about what to buy, few things are as important to a liquor store's bottom line as proper stocking. Diversifying the store's product lineup, adding new suppliers, and taking advantage of bulk opportunities are all good reasons to seek an influx of capital. The first step to finding that capital is to collect more information about how to obtain fast funding.
Quikstone Capital Solutions has been providing small business owners with merchant cash advances to stabilize and improve their companies for more than 10 years. If you are in need of a cash to cover unexpected costs, or if you’re looking to make long overdue improvements, fast funding with a merchant cash advance could be right for you. With the ability to quickly qualify and get your money in a timely fashion, there is no more convenient business loan alternative.
Looking for ways to boost liquor store sales? Download our Free Liquor Store Investment Guide.
