Wondering if anyone who works at a brewery / knows the systems better than I, which is more profitable for a brewer?
I buy their beer at the LCBO, or
I buy their beer direct from them, using an AMEX card.
I know merchants of all types complain about the high fees American Express charges them, but I doubt that for brewers it adds up to more than what they have to pay to get their beers on LCBO shelves?
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Breweries who sell via LCBO but don't accept AMEX direct
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El Pinguino
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According to this: http://hellolcbo.com/ci/fattach/get/794 ... e+2016.pdf when 37 bucks of beer gets sold in the LCBO 11.43 goes to the supplier, if you include freight. The Feds get 4 bucks and there's 2.40 container deposit (because all these estimates are based on macro 24s) that you have to pay either way. That still leaves 19 bucks, or a little over 50% that goes to the LCBO.
What I'm not sure about is if brewers have to pay the LCBO markup or any of the other fees when they sell out of their own shops. I suspect not, which would make them well ahead of any fees on an AMEX.
Also, all those LCBO fees are based on $/volume, not a % of the price. So they don't cut as deep percentage-wise on a 15$ bomber as they do on a 24 of 1.50$ bottles.
What I'm not sure about is if brewers have to pay the LCBO markup or any of the other fees when they sell out of their own shops. I suspect not, which would make them well ahead of any fees on an AMEX.
Also, all those LCBO fees are based on $/volume, not a % of the price. So they don't cut as deep percentage-wise on a 15$ bomber as they do on a 24 of 1.50$ bottles.
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El Pinguino
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Thanks Craig....that seems to make sense to me.
There aren't a lot of them, but there are some breweries I don't visit direct as much as I would, because they don't take AMEX, yet I can get their stuff at the LCBO. It's always been kind of funny to me. Even Bellwoods once took Amex for a brief period in time after they first opened....but I understand them not doing it as they don't have any other distribution channels (yet) where you can buy their bottles.
There aren't a lot of them, but there are some breweries I don't visit direct as much as I would, because they don't take AMEX, yet I can get their stuff at the LCBO. It's always been kind of funny to me. Even Bellwoods once took Amex for a brief period in time after they first opened....but I understand them not doing it as they don't have any other distribution channels (yet) where you can buy their bottles.