Today I am going to teach you how to start an alcoholic beverages business.
I will also tell you how to find profitability in this type of items as soon as possible.
In this article you will learn…
– The pros and cons of buying a liquor store.
– And the pros and cons of starting a liquor store on your own.
– The way an alcoholic beverages business is run (stock management, supplier management and much more)
Are you ready to share this informative drink with me?
As you can see:
For you looking for the perfect post on craft beer, I recommend reading: Homemade Beer: From Recipe to Store
Buy a shop or open a new one?
A difficult question to answer.
Both options require a business plan, capital investment, and dedication.
Advantages and disadvantages:
Taking over an established liquor store can present an opportunity.
Because you already have the premises, the trading point, permanent customers, the spirits license, the presence of stocks, shelves, refrigerators, air-conditioned warehouses and other variables that favor a short-term start of your business.
Your first attention should be on evaluating existing goods, equipment, furniture and infrastructure for possible replacements and conversions.
As well as conducting proper inventory and merchandise rotation and updating licenses for the sale and marketing of alcoholic beverages and spirits.
If you need advice on customer care, maintenance and quality, do not hesitate to contact us.
Here are some tips for taking inventory of spirits:
[Artículo de interés: Inventario de Licores- Reglas para Inventarios]
Your business plan should be geared towards consolidating and capitalizing or restarting your liquor business.
Digital, state-of-the-art marketing and content marketing strategies would come in handy
Before you decide on this option, consider the following:
- Reason for sale.
- General conditions of the premises, equipment and furniture.
- Evaluation of the trading point (its location).
- Status of permits and licenses.
- Dates of the last inventories and the last replenishment of goods.
- Commercial and financial relations between the former owner and distributors of spirits and alcoholic beverages.
Open your own liquor store
Starting a business from scratch is a challenge. It’s like watching a child grow and develop. Your dream will come true, just as you imagined.
To carry out the project of a liquor store, a first phase must be considered in which you plan the choice of premises (will you buy or rent them?).
As well as conditioning furniture, shelves and warehouses with adequate ventilation, light and storage conditions, financial planning for the acquisition of the initial inventory, processing licenses and permits in the appropriate places.
We are presenting this link to help you consider what you need for your new liquor store’s initial supply of spirits and alcoholic beverages.
[Artículo de interés: ¿Qué nivel de inventario inicial se recomienda para una licorería pequeña?]
Likewise, I leave you a guide to calculate your initial investment.
At the same time, you need to work on a promotional plan for opening your liquor store or liquor store in a variety of ways…
Establishment of the trading point, customer acquisition (think of an attractive selection of goods to attract customers), find out about the restrictions that some locations have for the establishment of liquor and alcoholic beverage stores and take the necessary precautions.
Check out these print media advertising tips available on our blog:
Articles of interest:
Advertising in the printed press for your company
Web tools to create your personal brand
Guide to creating your brand’s visual identity
First steps for personal branding
Perhaps the most difficult part of this business alternative is obtaining a license to sell spirits and alcoholic beverages.
To do this, you will need to coordinate the location of your premises and the regulations of the relevant bodies, as well as ascertaining the number of existing liquor stores in the area to facilitate the process.
Opening your liquor store will take longer with this option, but you guarantee your business dream will come true.
If you are looking for a partner, look in this article for the elements to consider
It starts off on the right foot by keeping control of the sale, as goods are received and dispatched daily and in very short periods of time.
As you will see, the considerations when starting your own alcoholic beverages business are different than when you buy one already in operation.
However, my last recommendation of the day for both cases is: Don’t be afraid of failure and learn from mistakes.
Host a great promotional event to mark the opening or grand opening of your liquor store.
That your customers do not forget such an event.
How to run an alcoholic beverages business
I invite you to read each of them.
Warehouse and inventory management:
I’m going to list some tips to help you manage and manage your alcoholic beverages business’s inventory:
- Check the goods that arrive so that you can check the quality, quantity, product spills, parties or an error in the initial order in relation to what you received. Remember that brands are very important in the alcoholic beverage business. Your customers are very demanding about their preferences. Therefore, if they send you goods of a different brand, you will have to make a claim.
- When you receive the goods, you must store them immediately. Remember that there are products like beer that need to be kept refrigerated to maintain their quality.
- Record all movements on a control sheet. The entrances and exits of the warehouse up to the counter. The broken bottles must also be subtracted from inventory and state what was the case.
- Use the method of FIFO inventory (First in, first out).
- Do the daily physical count before opening the liquor store so you have a diagnosis of the daily turnover with the amount of goods coming out. If you calculate with the store open, you will not get exact results.
- If you suspect staff is stealing goods, the inventory of the month must be taken on different days so they are not alerted.
I recommend these inventory management items:
A good liquor store manager should follow these tips:
- The orders must be placed by a person who is very familiar with the incoming and outgoing goods.
- You must have a main supplier and several alternatives.
- You need to negotiate the best prices and payment terms.
- Determine which products are best to buy.
- When negotiating with suppliers, ask for prices first and let them know you will be consulting other options. This way you stimulate it to offer you the best prices and promotions.
- Build a strong customer-supplier relationship. As a customer, you want good prices, punctual delivery and quality products. And you need to offer them timely payment, frequent purchases, and higher volume.
Payment Providers – The Entrepreneur’s Guide
Offline and online trade management
The dynamic of the store itself takes you to what is most consumed in the store. However, if you want to increase sales of a specific product (which may have a higher price), you can apply Upselling Techniques which consists in proposing to the customer to buy the product.
You can also run marketing campaigns.
Here I have selected some interesting articles that can help you with the commercial management of your alcoholic beverage business:
Inbound marketing for a sweet grandma
7 steps to content marketing
Notable products with your marketing strategy
Commercial Manager: the guru of sales
To set up an online alcoholic beverages store, I recommend the following articles: Electronic Store: Marketing Strategies and Online Stores: The Guide to Maximizing Sales
If you’ve gotten this far, I recommend reading on:
Until next time!