StateWays Nov/Dec 2015

StateWays is the only magazine exclusively covering the control state system within the beverage alcohol industry, with annual updates from liquor control commissions and alcohol control boards and yearly fiscal reporting from control jurisdictions

Issue link:

Contents of this Issue


Page 33 of 51

StateWays ■ ■ November/December 2015 34 The Idaho State Liquor Division, which owns and operates retail locations throughout the state, is always looking for ways to im- prove customers' experience and im- prove profi tability (and thereby revenue for the state). In 2014, the agency be- gan installing centralized displays called "pods" in its highest-revenue stores, as a way to make new products more visible to shoppers. Soon, the project expanded in scope and an innovative display program was born. "We made some changes for the right reasons," says Deputy Director of Procurement and Retail Operations, Howard Wasserstein. "We wanted to increase our per- centage of female consumers, emphasize premium prod- ucts and provide drink solutions for customers." Each goal has now been incorporated into the pods, which have grown from an initial test market of 12 stores to 45, and which are changed every two months. Each store contains two pods, with a total of eight sides. Each side contains a different set of products, designed to complement each other. "We found that just putting new products on the pods with no synergy didn't work at all," Wasserstein says. "It's better to be focused around a category, brand or promotion around consumption. Many times we'll create a solution selling kit, which means consumers can get a free or reduced price bag, cup or mug with their pur- chase of two to three products that go into a cocktail recipe." The ISLD has seen great success around a Tito's Moscow Mule kit featured earlier this year. In addition to showcasing new and premium products, many pods throughout the year have seasonal themes, which attract customers eager to see what the new display will be each time they visit the store. Two years in, the program has exceeded expectations. BEST RETAIL INNOVATION DRIVING SALES WITH CREATIVE DISPLAYS By Jeremy Nedelka "We wanted to raise the modernization of our stores, improve sales and get people to drink better and more responsibly," Wasser- stein says. "All of the display brands out- perform what they do in stores without pods because they're much more visible and shoppers have an added reason to buy them." Brands featured in the new displays have seen a 10.7% sales lift in stores with the pod program, versus those stores that haven't been added yet. Buy-in from store employees was tepid at fi rst. "Change is dif- fi cult, but we mandated this from the central offi ce and explained why we started the program at the beginning," Wasserstein says. "We allocated distribution of the products and created all the signage and shelving internally, so everything would arrive at the store from the warehouse in a kit. We even provided a map show- ing what each side of the pod should look like during each time period." As the pods program has caught on, buy-in isn't a concern. "Initial- ly our stores looked at these as just another display, but now we're al- most two years in and getting bet- ter with our signage and selections each quarter," Wasserstein says. "The employees are seeing more consumer takeaways, and that increases their enthusiasm." WINNER CONTROL STATE BEST PRACTICES AWARDS All of the display brands outperform what they do in stores without pods because they're much more visible and shoppers have an added reason to buy them. – Howard Wasserstein

Articles in this issue

Links on this page

Archives of this issue

view archives of Stateways - StateWays Nov/Dec 2015