Total Wine doesn't get it (yet another freshness rant)

Exactly!

As I detailed in my post above:

"Two things I can state as fact:

• Just a year or two ago there was more brewing capacity then demand for beer
• Over a thousand more breweries opened in 2018 and over a thousand more will open in 2019

Folks who think the status quo will serve them are sadly mistaken."

The distributing beer industry can either open their eyes and truly recognize the above facts (and react properly) or they can just plod along like today is like it was in the past and think they can have the same successful (i.e., profitable) business. Businesses who do not respond to changing market conditions more often than not do not do well and even go out of business. All you need to do it look and see how Sears is doing today vs. how how it was a decade ago for an example.

Cheers!

 

They were called Total Beverage in Virginia (NoVa anyway) before changing the name to 'Total Wine and More' and have had a large selection of beer going back to the 90's and it seems like they are still stuck in the 90s with their approach to beer. If they are still learning, they need to find a new teacher because aside from adding a growler station, which I couldn't care less about, they've done nothing to improve the beer side of the business. Beer is still warm (a lot of it old) and the employees know nothing about the beer they sell.

 

Jack, a wholesaler has to be nimble and quick to respond to changing markets for sure. I used to make an effort to balance our portfolio, and specialize in certain categories. I turned down very good brands and took chances with unknown ones. It would behoove many wholesalers and retailers to trim their offerings to more easily managed inventories..

 

Do you think that Total Wine & More will adopt this business strategy?

Cheers!

 

On a side note, my Sam's Club carries a handful of local craft beers and others like Stone. Usually when I check the dates all are fresh. The point is they are a large company, and seem to get the drift about keeping it fresh. I am usually in the store every two weeks and the beers are always within date.
Maybe in time more large outfits will follow. I am honestly shocked still to see them keeping it fresh and its been like this for at least 2 years now.

 

Never.

 

I agree with your prediction here.

Cheers!

 

The real damage to the Brewery reputation you mentioned is very true imo and quite serious. This is where sales reps need to be vigilant too, they have skin in the game, but it could easily be stopped at the distribution level if they so chose, from there the retailer needs to be on top of things too. But the damage to reputation creates a circle of old beer, bad beer, pissed off customers who think your beer stinks, who then won’t buy even if it’s dated ok. It’s too late.

 

What's wrong with being anti inbev? They are the scourge of the beeri industry!

 

I personally know of at least 3 stores who closed due to close proximity to a TW in MN. Nice try, though. I don't frequent the muni stores, either, so, again, nice try.

 

Since this same line of objection/argument often gets raised with lots of other large chain stores, exactly how did you establish causality? I.e., how do you know those stores were not on their way to closure anyway?

 

I don't. I'm not an investigator for the FTC. I just note, TW moves in; nearby stores close within months. Same with Wal Mart. So, I guess it is a "good thing" that the TW brothers are the Sam Waltons of liquor retail?

 

TW carries at least equal blame since they are demonstrating they care more about labor costs that quality product for sale,

 

In other words you're inferring causality from correlation. Thanks.

BTW, The nearest Total Wine to where I live is located in a shopping mall just over the Delaware border. On the other side of I 95 there is another beer store still in business years after TW Wine opened. Similarly, not far from Total Wine, along one of the highways back to where I live there are at least two different beerstores that are quite viable and doing well.

 

Yup, Tri-State Liquors has been going strong since 1979. Total Wine & More had not put them out of business.

Cheers!

 

You don't have to be an investigator for the FTC. Over the years my wife and I have visited central Indiana quite a bit, including two different towns where WallMarts are on the edge of town. Both were heavily populated with mom and pop stores in the business district--e.g., hardware, furniture, etc. However those stores were already on the verge of going out of business because the 2nd generation had gone off to get a college degree and pursue a career that would keep them in or near the big city. In both cities stores began to close. In one the natives just threw up their hands and felt sorry for themselves. In the other the natives began to explore opportunities for using the downtown shops for other purposes, e.g.. an ice cream parlor where the drugstore used to be, the furniture store became an Antique shop, and so on. Last time my wife and I visited the latter town we left behind over $100 in the local antique shops.

Correlation may represent a relationship but it does not entail causation.

 

As competition stiffens, I'm now even seeing local breweries with older product on the shelves at TW. Competition is affecting everyone.

I think it's blame all around. I'm seeing them order new cases of product while they have old product just sitting. They must have great margins. Definitely the Walmart of the liquor game. They've raised their prices since pricing out the smaller players in my town. Then again, maybe they need to buy 25 cases in order to give them marginally better prices for consumers. Maybe it's okay to have some sold out products though. Something's gotta give. Shorter orders and quicker turnarounds. The big bulk model only works for 5-6 local products that can fill the order need. Yet sometimes, if a product doesn't sell once, maybe it just shouldn't be sold. TW doesn't understand that concept.

You have to be luckier than anything to find out of state product that is fresh these days. May product may be still around in August. So it's a score to find it now.

Even five years back when I was visiting AZ, Product freshness was a huge ordeal. They haven't quite learned. And consumers aren't exactly shopping elsewhere. I sense they could cut back inventory and skus in half and just sell stuff that actually sells. 80% of these breweries aren't truly pushing product efficiently. TW has the space to let stuff sit.

And my biggest pet peeve. Their wages are minimum wage. Around my parts, they may have one beer person. Otherwise, it's just the distributors who are stocking the shelves who are giving really bad beer advice. Ie they push their own lineup.

But again, they don't seem to care too too much about beer.

I believe half the breweries in America are pushing mediocre product. Some stuff just shouldnt be as if it's sitting. Distributors are ordering random crap for the most part. No one likes admitting defeat (most stuff just shouldnt be on the shelves).

But some of that isn't a TW problem. Even local grocery stores and beer stores, you'll find old product. They either think we're dumb enough to buy or don't know how to order products in demand efficiently

 

Last point.

Beer needs to be seen as a expiring time sensitive commodity. You don't see local bread or even chain bread wittering away on the shelves. They are tossed and within weeks or months, that company may not even be selling bread. Maybe quantities are reduced or item location is shifted. Breweries need to shutter if they aren't producing.

Imagine going to the grocery store and half the products are old. It's too bad we don't hold beer to that same standard of freshness. TW would be half the size they are if they sold fresh product.

 

I posted a similar sentiment in post #10. I will set my timer to see if you obtain the same replies to your post #178 as I did.

Cheers!

 

Another thing with TW, we all know they sell a lot of beer, but the wine sales and Macro beer sales imo really drive the stores business. The craft beer section is quite small in comparison to total available shelf space. So two things, it’s lost in the shuffle of things that produce more revenue. And two, since it’s a relatively small section it shouldn’t be all that time consuming to spot check the product, but still they don’t. I worked retail and they watch payroll to the tenth column, and it’s why most employees are PT, no paid vacations, most times no insurance and fringes. Could be craft beers doesn’t pay the bills there, and because we’re into craft ,,,, well ya know we’re hawks. It looks like Total Wine values the Walmart philosophy on running a store, profits above all else. And from a money making standpoint that’s true, but I wonder how much money they’re leaving on the shelf with poor products, and poor customer service. Could it be there’s a flaw somewhere in the ratio of man hours to bottom line profit? Cleaner store, updated product, more staff to help customers, could be the average ticket would tick upwards.