Who has advice about opening a bottle shop?

Discussion in 'South Atlantic' started by Lsxs13, Apr 9, 2018.

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  1. Lsxs13

    Lsxs13 Initiate (0) Mar 22, 2018 North Carolina

    I'm looking into another business venture, and a bottleshop in Eastern, NC is something I'm thinking about. I'm looking for advice on the order of operations or small things I may be over looking. I'm heading to Raleigh on Wednesday to see what all paper work is involved with getting the correct licenses. My current location is set up as retail so I may have to have it changed being I'd like to keep a few beers on tap.

    So far I've researched draft systems, hunting distributors, space allocation, start up cost, documentation etc...

    If anything, this is the first documented start to a new adventure!

    So, if you've been down this road before and have any pointers, please share with the new guy.
     
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  2. dbrauneis

    dbrauneis Grand High Pooh-Bah (8,071) Dec 8, 2007 North Carolina
    Mod Team BA4LYFE Society Pooh-Bah Trader

    The really good bottle shops I have experienced in NC have all gotten beers from breweries that don't distribute by traveling to the breweries and picking up kegs/cans + bottles to offer for sale. I think you should consider that if you want to have top notch selections available - I think they tend to make trips to beach/Wilmington, mountains/Asheville/Boone, triangle, and Charlotte metro areas.
     
  3. treznor

    treznor Pooh-Bah (1,814) Dec 20, 2006 North Carolina
    Pooh-Bah Trader

    I don't know the market you're moving in to, but in general (everywhere in NC? Not sure about the Triangle) your competition isn't other bottle shops, its grocery stores. There's generally not enough craft-focused beer stores to cover the entire craft market as-is (hell, my tiny town has 2 craft beer stores, and both are busy) so you have to draw people in that would go to the grocery store instead. You aren't going to beat them on price, they move too much volume for that. So you'll either need to beat them on shopping experience (which is getting moderately tougher around where I'm at as grocery stores are starting to offer beer dens and the like), staff knowledge and helpfulness, or selection. Preferably all three. The more beer you have that can't be found in the grocery store the better, and even more so for breweries that aren't in the grocery store. And then your staff needs to be able to explain the beer selection and point out options for people that don't know what they want.

    My favorite places are places that encourage you to open a bottle at the store, get a draft, whatever. Luckily that's easy to do in NC these days. The best craft beer stores in NC, in my experience, are places that are close to being bars.
     
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  4. Lsxs13

    Lsxs13 Initiate (0) Mar 22, 2018 North Carolina

    One of my goals for owning a bottle shop is to supply beers that are difficult to locate. There are no craft beer bottle shops in my town. The two Food Lions in town stock craft beers but it's not that great of a selection, and it looks that not many people purchase much from them. We do have a brewery in town so that brand is stocked everywhere locally. My "research" as of lately has been to visit every bottle shop possible. I look around at their stock, shop layout, number of taps/tap selections and the over all vibe of the place.

    I also visit breweries and try everything they have on tap and ask about seasonal/limited batches. I'm not sure if the rules force you to only purchase through distributors, but if not, I plan to visit NC breweries to purchase the "hard to find" beers personally.

    From what I've seen, the shops doing well hosts tons of events. One of my favorite shops right now is Well Traveled Beer in Goldsboro. The owners seem to be very knowledgeable and helpful. They host lots of events and have food trucks come around. I've been to other shops to where the staff doesn't know anything about beer besides pouring it.
     
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  5. treznor

    treznor Pooh-Bah (1,814) Dec 20, 2006 North Carolina
    Pooh-Bah Trader

    Distribution is... fun. In NC you may be hard-pressed to get some of the releases that Raleigh and Charlotte get. A lot of that is just your distributors not picking up those beers or not being allocated those beers from the breweries. You'll need to get handy with the ABC website to see which distributor carries which breweries for your county. Most beer is distributed so picking it up at the brewery isn't an option. For beers that aren't distributed, there's two models (both called self-distribution confusingly enough):
    - Breweries distribute themselves
    - Shops have to go get the beers from the breweries

    For breweries distributing themselves, you may be out of luck. It sounds like you're in a smaller area, so getting a brewery to come to you could be difficult. Unless you're close the route they'd take anywhere to a larger area, in which case you could be in luck.

    For breweries where you go pick it up, the limits are up to you. Some places (like NoDa) limit who can pick up how much (mainly because I think they deliver to places in Charlotte and want to make sure they have enough), others you can probably pick up whatever you want to. But you'll need to build that relationship to figure out what breweries do this, which are worth it (both from a selling perspective and from a time perspective since you'll need to drive to the brewery).

    I know a handful of distributors and listening to their stories is always a good time :slight_smile:
     
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  6. lateralusbeer

    lateralusbeer Savant (1,222) Feb 7, 2010 North Carolina
    Trader

    As someone in Charlotte, I've noticed an increasing trend of Bottle Shops removing retail space to add more bar seating. Think Brawleys, Good Bottle, Kits etc. As noted here, you aren't going to compete with the grocer on price, so you won't be able to fall back on high volumes of core craft brands. People will buy their Sierra Nevada Pale Ale for the house while they grocery shop and come to you for experience, ambiance and special occasion stuff.

    Something to think about: your town has no bottle shops and the Food Lion craft doesn't appear to move. Are you certain there's enough local demand for craft beer? Or will you just cannibalize the local brewery and vice versa, fighting for the same handful of folks who make beer the first deciding factor when deciding where to go out? Does your local brewery seem to be killing it, expanding and growing, or have they stagnated? Might tell you a lot about your market.
     
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  7. NeroFiddled

    NeroFiddled Grand High Pooh-Bah (7,276) Jul 8, 2002 Pennsylvania
    Pooh-Bah Trader

    As someone who's worked for a distributor before I'll say be nice to your delivery man. Great customers get great service, including heads up about new beers, the freshest beer (for the most part, depends on how big the distributor is and who's pulling the orders), and flexibility with your delivery schedule and so forth - bad customers get the minimal service that they deserve; and that has nothing to do with money or volume, just how they act.

    As a customer I would say price everything. A pricing gun and stickers is a minimal cost. I don't know how many beers I've passed over because I didn't know the price and didn't feel like asking or didn't have the time for it. Shelf tags are great, but if you're going that route keep up and keep them very clear.

    Staff is of course very important. Training. Not to sell, but to be friendly and aware and available to help the customer find what they want. This is obvious. I think there's book was called "In Search Of Excellence". It's a little 80's-dated but worth reading. Management/motivation/etc.

    Good luck. Don't let the distributors sway you towards something you don't want to sell; and don't let your beer get old.
     
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  8. NoleBeerNoleFun

    NoleBeerNoleFun Initiate (0) Aug 17, 2015 Florida
    Trader

    I would advise against it..know a guy pretty well who is The Craft Beer Manager for one of the bigger Craft Beer Store(s) in Tampa Area and he told me two years ago already Sales were plummeting and it's kept getting worse since because everyone was just buying at local breweries...granted not every area has as good as local options that Tampa does but The Hyper Local Trend has clearly spread across the country as you see almost weekly now stories of National Craft Beer Brands struggles...what does seem to be taking off at least in my travels around Florida are Crowler/Draft Stores which have 25-30 options and where you can get a Draft and sit and/or get a Crowler or several to go...that's the wave of the future in retail stores and I see others in this thread have mentioned the same in their areas..good luck on whatever you decide
     
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  9. dbrauneis

    dbrauneis Grand High Pooh-Bah (8,071) Dec 8, 2007 North Carolina
    Mod Team BA4LYFE Society Pooh-Bah Trader

    A lot of the independent craft beer stores operate in just this manner - ~20 drafts of local NC/rarer beers for growler/crowler fills, on-site consumption allowed, and a smaller well curated selection of bottles/cans for on-site or off-site consumption.

    Generally they do not carry any beers available in grocery stores.
     
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  10. Lsxs13

    Lsxs13 Initiate (0) Mar 22, 2018 North Carolina

    I have yet to visit a bottle shop that didn't have somewhat of a bar with no less than five taps. Most seem to have metal shelving on one side of the room with cans/bottles, and the other side of the room has a bar with seating for 10-15 people. That's the style trend I see on the Eastern part of NC. Mother Earth is the local brewery which is a block from my location. They have a bar called The Taproom where they have their beers on tap (10 tap setup). The Taproom opens around 4pm and closes at 10pm. I think it closes early because the same guy owns The Red Room which is another bar/small band venues. I don't know the census of craft beer folks in town so that's why I wanted to also serve wine. There is a restaurant across the street from me that brings in tons of out-of-towners, so during the summer months a lot of folks are be-bobbing up and down the side walk.

    Either way, I need beer and wine permits for the business I currently have, so I've started all that paper work as of last week. Now, I need to build another larger bar and find a good distributor. I'd like to keep at least 10 beers on tap so I've been looking for the correct setup. Seems like a walk in cooler and running beer lines the tap is the best choice as of now. Most keg-o-raters max out at 5 kegs.
     
  11. treznor

    treznor Pooh-Bah (1,814) Dec 20, 2006 North Carolina
    Pooh-Bah Trader

    Kegorators aren't optimal for a bar/beer store but are doable. Walk-in cooler is definitely much preferred. You'll need to find multiple good distributors. Distributor portfolios are fairly small, even the big ones, so you can't fill a store with a single distributor, good or not. You'll more than likely end up with at least 5 or 6 just for beer. Then the wine distributors are different companies. There's a small handful of distributors that handle both beer and wine but usually aren't awesome at both. I can count maybe 1 or 2 that I think handle both beer and wine well. The NC ABC website has a section where you can lookup, by brand, who the distributor is for your area. I'd probably spend some time with that getting a feel for the brands you want to bring in and who carries those brands, then reach out and get a sales rep to come visit. Depending on how your distributors are in your area (most aren't state-wide though a couple are), you may or may not get blown off for a little while by some of the distributors.
     
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  12. Lsxs13

    Lsxs13 Initiate (0) Mar 22, 2018 North Carolina

    I’ve been going by a few brewery’s and telling them what I’d like to do. So far the few I have been to self-distribute. I’ve been living on the ABC site for a few weeks with research on distributors and permit forms. I’ll slowly get there because I want to be as beer nerdy as possible when I open that side of the business.

    I have yet to find a bottle shop that had a walk-in cooler set up that’s somewhat local to me. They all have the 5-10 tap under bar kegarator. I looked up a few walk-in coolers. Some can be had for 3k with a 6x6x7 foot print.
     
  13. dbrauneis

    dbrauneis Grand High Pooh-Bah (8,071) Dec 8, 2007 North Carolina
    Mod Team BA4LYFE Society Pooh-Bah Trader

    There are definitely some in NC - my favorite local spot (Gate City Growlers in Greensboro with 20 taps) comes to mind. I'm sure there are others maybe Ridgewood Wine and Beer Co in Raleigh with 16 taps.
     
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  14. treznor

    treznor Pooh-Bah (1,814) Dec 20, 2006 North Carolina
    Pooh-Bah Trader

    Pretty much all of my normal places (Hops & Grapes and Craft Beer Cellar in Hickory, Tasty in Asheville, Salud in Charlotte) have a walk-in of some sort. Gives you a lot more flexibility on keg sizes. That's all in Western NC though so not much help to you.
     
  15. Lsxs13

    Lsxs13 Initiate (0) Mar 22, 2018 North Carolina

    My home town is near Greensboro so I'll be that way in June. I have some friends in Concord I need to visit, that'll give me a reason to do some "research" on the west side. Next on my list is the Double Barley and Duck Rabbit brewery being they're less than an hour away.
     
  16. gtatk

    gtatk Initiate (0) May 4, 2015 North Carolina

    Nice outdoor seating area is a plus. If it can be semi covered even better.
     
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  17. Dtrain22

    Dtrain22 Devotee (347) Nov 2, 2017 North Carolina

    When driving through/around the triangle check out House of Hops off of Glenwood Ave in raleigh. Also worth a look most definitely is both Sam’s locations in Durham, quik stop and the one off of 54, as well as the glass jug. All amazing set ups and offerings. And. Great usage of space. I second the comment about optimizing your outdoor space. Good luck! Kinston and the 252 need this growth to work!
     
  18. Mineo

    Mineo Savant (1,115) Jul 7, 2010 New York

  19. gothedistance

    gothedistance Initiate (0) Jul 23, 2009 South Carolina

    I work for a distributor and we are in SC and NC. Our beer portfolio in NC is tiny but growing. Feel free to message me if you have any questions. You have good advice on this thread so far!
     
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  20. evilcatfish

    evilcatfish Pooh-Bah (2,116) May 11, 2012 Missouri
    Pooh-Bah Trader

    This might sound weird, but don't be too proud to special order or even stock a couple domestics. At one point a local shop wouldn't deal with them at all, but they came to realize they were turning down perfectly good money, and that the customers buying domestics were often open to trying new things. "Oh you drink Bud? We have that, but you might like this other beer too." Good way to start a conversation and win folks over, and much friendlier than just saying "no"

    *Obviously in no way am I saying you should have full displays of Miller light 12 packs or whatever
     
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