Why is your product portfolio important?
Most retailers review their portfolio at least once a year to ensure they have the right products for their customers. Many venues have too much money tied up in the wrong stock and by reviewing your product portfolio you not only keep your customer happy, you also maximize your profits at the same time.
4 Reasons to focus on spirits
Reviewing your product range
Reviewing your range every year will help you to stay on top of trends and keep an eye on your costs and profit. There are some generic principles that apply to determine the right range:
- Keep it tight – Too wide of a range can be costly and can confuse customers.
- Stock only what you sell – Ensure you remove or promote the products that don’t sell.
- Order only what you need – Dead stock is dead money. Forecast and order accordingly.
- Stay on top of the trends – Keep an eye on trends - gaps in your range represent lost sales.
- Ensure no gaps – When thinking of your range, ensure you include best-sellers, premium brands, pouring brands and trending or local products.
Must stock spirit categories
Gin is one of the fastest growing spirits, offering a wider variety of flavors. Premium Gin serves are on trend and can give you upsell opportunities.
Vodka is a highly versatile and a popular spirit for mixed drinks among consumers. Cocktails with Vodka and Premium Vodka brands offer you great upselling opportunities.
The Whisk(e)y category is very fragmented into sub categories. Young adults are enjoying long mixed Whisk(e)y drinks like Johnnie & Ginger while others tend to embark on a journey of Premium Whiskies.
Rum is the base for a mojito cocktail which is extremely popular with customers. Served neat or mixed with cola, like Captain and Cola, the Rum category goes from spiced to craft to Aged Rums and can differ in flavor and serve.
Over the last few years, Tequila has seen a growing interest among customers. The “shot” occasion can open up sales opportunities with different ingredients and types of Tequilas at different price ranges.
Liqueurs are used in several cocktails. When served neat they can be more successful with the female audience. Cream Liqueurs can offer different flavors and combinations that can represent new opportunities for your business.
Showcasing your portfolio
Organizing your products on the back bar or in the menu ensures that customers can see your offering and helps them to make informed and quick decisions. We have some tips to ensure your bar layout works both for you and for your customers:
- Always keep best sellers at eye level for customers and easy to reach for bartenders.
- Group your light spirits together and dark spirits to facilitate choice.
- Introduce a premium shelf with the levels: good, better, best.
Join in the conversation and tweet us at @diageobarac, share your serves on Instagram @diageobarac or like us on Facebook – we’d love to hear from you!Sign up and become a member of Diageo Bar Academy today and unlock the latest industry news, trends and tips to keep your bar knowledge up to speed!