LCBO Online Exclusives

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Belgian
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Check with LCBO website when traveling

Postby Belgian » Mon Apr 19, 2021 8:50 pm

Yes, the LCBO 'Controls Liquor' in all of Ontario, even determining the policy by which you're allowed to legally bring across (and declare at) the border.

So any degree of LC store involvement, or not is sort of a side issue.
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Re: LCBO Online Exclusives

Postby Gleemer Imports » Sun May 02, 2021 7:26 am

beerstodiscover wrote:
S. St. Jeb wrote:
beerstodiscover wrote:I think with the loosened booze restrictions Keep6 and others are moving things through non-LCBO channels now.

I'm not sure what you mean by this.


I'm referring to restaurants getting the right to sell alcohol to go during COVID. For instance, Keep6 is still importing exclusive beer/wine/spirits, but selling it through their bars other non-LCBO bottle shops. Previously Keep6 would sell many of these imports as LCBO Online Exclusives.

The LCBO has a few recent issues going on.

-they used to have a Products of the World division that would sell single bottles online. We'd try to put some cases of some SKUs through that. They were incredibly slow at moving product from warehouse to online (4-6 months after it would land), make errors. In the end, even though it was flawed, it still got single bottles out. The LCBO's dropped that category and products are now Ad Hoc submissions
-LCBO outsourced their warehouse. a third party runs it. They have strict packaging requirements that, frankly, all of our breweries cannot meet. it will inhibit beer from being made available (no more Stille Nacht or Oerbier for shelf listing and, after 2021, the chances of major orders of 3 Fonteinen being available online on or shelves decreases significantly)

It can be stated that the LCBO's made it more difficult for smaller agencies and non-Ontario microbreweries to do business with them. In turn, that will make it more difficult for clients to try new beer or to buy bottles of beer that they love.
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Re: LCBO Online Exclusives

Postby Gleemer Imports » Sun May 02, 2021 7:32 am

Provost Drunk wrote:
beerstodiscover wrote: I'm referring to restaurants getting the right to sell alcohol to go during COVID. For instance, Keep6 is still importing exclusive beer/wine/spirits, but selling it through their bars other non-LCBO bottle shops. Previously Keep6 would sell many of these imports as LCBO Online Exclusives.


S. St. Jeb wrote: Oh. I think I thought everything had to go through the LCBO regardless of how it eventually made it's way to the consumer.


Someone can correct me if I am wrong, but although everything has to "go through" the LCBO form a testing perspective, importers like Keep6 can sell at a higher mark-up if they sell through a bottle shop like Volo than the LCBO.

Most of the offerings at Volo and other bottle shops wouldn't have been LCBO listings in any event. And for so long we clamoured for privately owned bottle shops. We now have it - a silver lining to the pandemic. Prices are high, but I'm happy to have the optionality. Perhaps with time there were be a proliferation of bottle shops and some downward pressure on prices.


I'll correct you :)

In Ontario, all imported alcohol sales go through the LCBO.
The mark-up that Keep6 or Gleemer or whomever has is decided prior to the product being ordered. That is built into the price of the product.
Keep6 or other agents to do not "higher mark-up" to bottle shops.

You have to separate Keep6 from Volo. 2 different businesses. One's an importer that makes money off of importing. One's a bar/bodega that makes money off of retail. A retail operation would mark up all of its alcohol, including products they import. That's why there's wholesale and retail price.

Since the Volo bars pay monthly rent, them selling Keep6 products through their locations at a mark-up is absolutely the right thing to do and has nothing to do with sales through the LCBO (see my previous post).

A proliferation of bottle shops might decrease some prices, but Toronto rents are Toronto rents. Buying a $30 bottle of geuze wholesale price costs money, as does paying an employee to stock a shelf, paying utilities, running POS, paying rent and TMI. That's why there's mark-up. If people were crushing $30 bottles, then the price could arguably drop. Arguably.

Hope this clarifies some of the statements made.
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