Minnesota Municipal Beverage Association Newsletter
(February 28, 2010 - March 6, 2010)
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As I See It...... 
 
 

NeilsenAs I see it.....

 

A few years back I was contacted by the ACNielson Company. They are a company that receives information from retailers and reports on what products consumers are purchasing. They offered to pay the liquor store for our sales information.

Who would say no to that?

I filled out the application and then started sending my sales information to them on a weekly basis. They send a person into my store on a monthly basis who takes notes on specials, new products and what we have on display. ACNielson then compiles the information and sells it to the product makers and marketing gurus.

This has been an additional source of income for my City and without much work. The store receives approximately $4,000 annually for providing them with our information.

Thinking out of the box with ideas like this is just another way to increase the value of our operations to the benefit of the citizens.

Lara Smetana
Voyageur Bottle Shop (Pine City) Manager
MMBA Vice President
What You Can Do to Make Customers WANT to Do Business With You 
Crowd 
By 2010 MMBA Conference Presenter Darryl Rosen
 

Creativity is what separates the partners from the pretenders. 

 

Creativity is always asking yourself - What can I do to make my customers want to do business with me.

 

Here are some thoughts for being more creative:

 

Write down your ideas - I know many professionals who carry a little notebook to capture fleeting thoughts.  As French author Emile Chartier once said, "Nothing is more dangerous than an idea when it is the only one you have."

 

Brainstorm with your teammates - to come up with more reasons why a customer should buy your product.  Here's what I would do if I were running a sales meeting.  I would hold up a new item and we wouldn't leave the room until we had 10 solid reasons why a customer should buy the product.  In true brainstorming fashion, no thought could be too stupid.  At the end of the meeting each professional would possess the combined creative juices of the entire company.

 

Follow thru - on your ideas.  Don't let others tell you why it can't be done.  If you think you have an innovative way to introduce a new product, then give it a whirl. 

 

Put yourself in your customer's shoes - by asking yourself "If I was the buyer, what would excite and interest me?"  

 

Do something different - to see things differently.  One sales manager I know told me of the time he assembled his sales team on a Saturday night to visit the trade.  A great way to see your customer's business from a different perspective. 

 

Leave no stone unturned - in your pursuit for ideas.  If an idea or approach works in another industry, perhaps it can work in your industry as well.  Recently, a salesperson told me that when it comes to planning Halloween displays, he goes to several Halloween stores for ideas.  That's just what I'm talking about. You'll never know unless you try.  

 

Think bar rings, customer counts and average tickets - so you see the light at the end of the tunnel.  Sometimes, you have to start with the end in mind.  The goal of any product is to create excitement.  To capture the imagination of consumers.  To keep consumers in the store longer or coming out to a restaurant or bar more frequently.

 

Who's Driving?
 
Dog
So many businesses are driven by greed, rules, inadequacies and just plain stupidity.
 

Customers want competitive pricing, flexibility, compassion and common sense.

 

What are the things that drive your business?

 

 

Foremost...you had better be "Dog Gone Good."

 
2008 Municipal Liquor Report Released 
 

State Auditor Rebecca Otto has released the

2008 Analysis of Municipal Liquor Store Operations, which provides comparative data on municipal liquor operations owned and operated by Minnesota cities.

 

Minnesota municipalities were originally authorized to own and operate liquor establishments as a means of controlling the sale of alcohol.

 

For many communities in Greater Minnesota, municipal liquor operations provide access and convenience in areas that might be unable to attract a privately-run establishment. 

 

In addition to these functions, profitable municipal liquor operations have provided additional revenues to supplement traditional tax and fee revenues.

 

In 2008, 214 Minnesota cities (two not reporting) operated 242 municipal

liquor stores, with 120 cities operating both on-sale and off-sale liquor establishments and 92 cities restricting their municipally-owned establishments to off-sale liquor stores.

 

Highlights from the report include:

 

-- During 2008, Minnesota's municipal liquor stores transferred $17.8 million of their profits to other city funds. This represents an increase of 8.9 percent over the total net transfers made in 2007. Transfers totaled $6.8 million among Metro Area establishments, compared to $11.0 million for Greater Minnesota establishments.

 

-- During 2008, Minnesota's municipal liquor operations reported a 13th consecutive year of record sales totaling $303.0 million. Total sales generated in 2008 increased by $11.3 million, or 3.9 percent, over 2007.

 

-- The combined net profit of all municipal liquor operations totaled $20.4 million in 2008. This represents a decrease of $2.0 million, or 8.9 percent, from the amount generated in 2007.  Among on-sale operations, net profits totaled $1.9 million in 2008, which was a decrease of $913,333, or 31.9 percent, from 2007. Total net profits for off-sale operations totaled $18.5 million in 2008, which was a decrease of $1.1 million, or 5.6 percent, from 2007.

 

-- Forty-two Minnesota cities reported net losses for 2008, compared to 31 cities in 2007. All 42 cities with losses were from Greater Minnesota. (Editor's Note: Some of these cities showed losses due to accounting procedures.  Others are successfully working with MMBA to improve profitability. Still others are encouraged to contact MMBA for assistance.)

 

-- Over the past five years, net profits have increased 9.9 percent. Among off-sale stores, there was a 23.5 percent increase in net profits, while on-sale stores showed a decrease of 46.3 percent.

 
 
 
The Number 12 Walks Into a Bar
12 

A number twelve walks into a bar and asks the barman for a pint of beer.

"Sorry I can't serve you," states the barman.

"Why not?!" asks the number twelve with anger showing in its voice.

"You're under 21," replies the barman.

 
Liquor Storage Myths 
Liquor Bottles 
By About.com
 
We're going to look at two common debates - Does liquor have a shelf life? and Will alcohol freeze? Simply, the answer to both is yes and no. Not so simple are the variables.
 

Does liquor have a shelf life?

 
Distilled spirits do not mature once they are in the bottle so unopened bottles will not go bad unless they are stored improperly. Opened bottles on the other hand are exposed to some air over years and may lose some of their finer qualities, which may or may not be noticeable. However, cream liqueurs like Bailey's and Advocaat have a shelf life of around 18 months, after which you want to be careful before consuming. You may even see the sugars of some liqueurs crystallize over months or years, this is a good sign that you don't want to drink that anymore.
 

Will liquor freeze?

 

Simply put, yes, but the freezing point of any alcoholic beverage is lower than that of water. I guess the question should be "Will a bottle of vodka freeze in my home freezer?" The answer to that is "likely not." Beer, malt beverages and low proof liqueurs may get slushy, frozen or even burst if left in the average freezer for too long, but the more alcohol a beverage contains, the lower the freezing point. Typically vodka, gin, rum, etc. are 80 proof and need to reach around -34.44°C (-30°F) to actually freeze so you'll be safe if you want to quickly chill a bottle in the freezer. And, if you forget it there you can be pretty sure it will still be a liquid when you return.

Future Dates to Remember!!
 
2010 MMBA Conference
 
May 15-18, 2010 Arrowwood 
Ask A Director
 
Gary Buysse
Rogers
763-428-0163
 
Bob Leslie
 Pelican Rapids
218-863-6670
 
Brian Hachey
Stacy
651-462-2727
 
Nancy Drumsta
Delano
763-972-0578
 
Lara Smetana
Pine City
320-629-2020
 
Joyce Zachmann
Spring Lake Park
763-780-8247
 
Virgene Shellenbarger
Hutchinson
 320-587-2762
 
Tom Agnes
Brooklyn Center
763-381-2349
 
Steve Grausam
Edina
952-903-5732
 
Toni Buchite
50 Lakes
218-763-2035
 
Michelle Olson
Sebeka
218-837-9745
E-Mail Me
 
Bridgitte Konrad
North Branch
651-674-8113
 
Paul Kaspszak
MMBA
763-572-0222
1-866-938-3925

 
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Removal of Wine from a Restaurant
wine glass
A member asked this week if it was legal to take a bottle of wine from a restaurant.
 
According to Minnesota Statute 340A. 404
 

Subd. 11.Removal of wine from restaurant.

A restaurant licensed to sell intoxicating liquor or wine at on-sale under this section may permit a person purchasing a full bottle of wine in conjunction with the purchase of a meal to remove the bottle on leaving the licensed premises provided that the bottle has been opened and the contents partially consumed. A removal of a bottle under the conditions described in this subdivision is not an off-sale of intoxicating liquor and may be permitted without additional license.

Selling 3.2% Products
A member asked this week if a facility that sells intoxicating liquor is required to get a license to sell 3.2% products.
 
According to Minnesota Statute 340A.403
 
Subd. 3.Exemption.

(a) Any person licensed to sell intoxicating liquor at on-sale shall not be required to obtain an on-sale license under this section, and may sell nonintoxicating malt beverages at on-sale without further license.

(b) Any person licensed to sell intoxicating liquor at off-sale shall not be required to obtain an off-sale license under this section, and may sell nonintoxicating malt beverages at off-sale without further license. 

 
 
Cost has nothing to do with what you sell something for.
 
What matters is what you think the customer is willing to pay for it.