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How to Get Help with Liquor Distribution in America: A Guide for New Brands Entering the U.S. Market

Liquor Distribution in America

Introduction

Entering the U.S. liquor market as a new brand can be an exciting yet daunting process. The highly regulated and state-specific nature of American alcohol laws means that planning, compliance, and the right partnerships are critical. This guide is designed specifically for emerging liquor brands—whether you’re launching a domestic startup or expanding from overseas—who need to navigate the complex distribution landscape in the United States.

For help with beverage distribution in America, please contact Alicia or Sam at BevAssets.

1. Understanding the U.S. Three-Tier System

The American liquor distribution model is structured around a three-tier system:

  • Tier 1: Producers/Importers – These entities manufacture or import alcoholic beverages.
  • Tier 2: Distributors/Wholesalers – These middlemen buy products from Tier 1 and sell them to retailers.
  • Tier 3: Retailers – These businesses sell to consumers, either on-premise (bars, restaurants) or off-premise (liquor stores).

For new entrants, this means you cannot sell directly to retailers without engaging a licensed distributor (with few exceptions). The system was created after Prohibition to ensure proper tax collection and promote consumer safety. However, some states offer flexibility such as limited self-distribution for small producers.

Distribution is all about relationships. A distributor serves as an extension of your sales force, introducing your brand to retail accounts and helping drive pull-through at the consumer level.

For more information about the 3-tier system, please see Sam Anderson’s article How to Get Help with Liquor Distribution.

2. Federal Regulations and Agencies

Before you can distribute liquor in the U.S., you’ll need to comply with federal laws overseen by:

3. State-Level Regulations

Each U.S. state has its own Alcohol Beverage Control (ABC) board that regulates the sale and distribution of alcohol. Key areas include:

  • State and local licensing
  • Franchise laws that can lock brands into long-term contracts
  • Self-distribution rules (varies by state)
  • Dry counties and local ordinances

To get help:

  • Visit your state’s ABC website (see appendix for complete list of Alcohol Beverage Control Boards by State)
  • Hire a local compliance consultant or attorney to guide your brand through licensing

4. Getting Started: Licenses and Permits

New brands must secure the following:

  • A federal EIN and state-registered business entity
  • A TTB Basic Permit
  • State-specific alcohol distribution licenses
  • Local permits as required (zoning, occupancy, health)

Estimated Timeline:

  • Federal licensing: 60–90 days
  • State licensing: Varies, typically 30–180 days

Cost: Varies significantly by state and license type; budget for legal and filing fees

5. Working with Distributors

To successfully enter the U.S. market, most new brands will need to partner with an alcohol distributor. These partners help bring your product to bars, restaurants, and retail stores.

What to Know Before Reaching Out:

  • You should have a finished product or be in the late development stage
  • Your brand story and value proposition should be well-developed
  • Be ready with samples, spec sheets, and a professional pitch deck

Key Meeting Questions to Prepare For:

  • What’s your backstory and why did you create this brand?
  • What makes your product unique?
  • How will you support sales through marketing?
  • Who is your target consumer?

Evaluating Distributor Fit:

  • Are they active in your target market or region?
  • Do they represent competing products?
  • Can they align with your route-to-market strategy?
  • Are retailers familiar with and trusting of them?

Alternative Models for New Brands:

  • Self-distribution (legal in some states): May be ideal for small startups
  • DTC (Direct-to-Consumer) shipping: Some states allow online sales and shipping with permits

Suggested Partner for Help:

6. Trade Associations and Industry Groups

Membership in these groups can offer your brand credibility, networking, and regulatory insights:

7. Consultants, Lawyers, and Compliance Experts

Launching in a new market involves many legal and logistical steps. Experts can help with:

  • Completing and submitting license applications
  • Reviewing or drafting distribution contracts
  • Conducting compliance audits

Where to Find Help:

  • Industry directories and legal networks
  • LinkedIn professional groups
  • Referrals from trade associations

8. Digital Tools and Services

Modern technology platforms can make entering the U.S. market more manageable:

9. Common Challenges and How to Overcome Them

  • License Rejections: Work with a consultant to ensure application accuracy
  • Franchise Contracts: Read carefully; they’re hard to exit
  • Regulatory Confusion: Laws change frequently—stay updated through trade groups
  • Scaling Too Soon: Expand carefully to avoid compliance missteps
  • Mismatched Distributors: Choose partners who truly believe in your brand

10. Summary

The U.S. liquor market offers immense potential for new brands, but entering it successfully requires compliance, strategy, and relationship-building. Learn the three-tier system, secure your licenses, and partner wisely.

Think of your distributor relationship as a partnership or even a marriage—one that thrives on trust, communication, and shared goals. The most successful brands are those that invest in storytelling, engage in the market, and stay aligned with their partners.

Let your passion and preparation shine through, and you’ll be well on your way to making your mark in America’s vibrant and lucrative spirits market.

11. Frequently Asked Questions (FAQ)

Q: How long does it take to start selling liquor in the U.S.?
A: Typically 3–6 months depending on how fast you secure federal and state licenses. Delays may occur due to incomplete paperwork or state-specific requirements.

Q: Can I sell directly to bars and liquor stores?
A: Generally, no. The U.S. three-tier system requires you to go through a licensed distributor unless you are in a state that allows limited self-distribution.

Q: What is a franchise state, and why does it matter?
A: Franchise states impose long-term contracts with distributors, often making it difficult for a brand to switch partners. It’s important to understand these laws before signing an agreement.

Q: Do I need a U.S. office to sell liquor in the U.S.?
A: No, but you need a U.S.-registered business entity and a federal permit from the TTB. You may also need a U.S.-based importer if your product is made overseas.

Q: How do I find the right distributor for my brand?
A: Research distributor portfolios, talk to retailers, and seek referrals through industry networks. Choose a partner aligned with your market goals and category.

Q: Can I ship alcohol directly to consumers (DTC)?
A: Yes, but only in states that allow it and with proper licensing. Many brands use platforms like Drizly or WineDirect to manage DTC sales.

Q: What are the most common mistakes new brands make?
A: Rushing into distribution without proper licensing, misunderstanding state laws, poor partner selection, and underestimating the marketing needed to drive sales.

Appendix

Alcohol Beverage Control Boards by State:

  • Alabama: https://abcboard.alabama.gov/
  • Alaska: https://www.commerce.alaska.gov/web/amco
  • Arizona: https://azliquor.gov/
  • Arkansas: https://www.dfa.arkansas.gov/alcoholic-beverage-control/
  • California: https://www.abc.ca.gov/
  • Colorado: https://sbg.colorado.gov/liquor
  • Connecticut: https://portal.ct.gov/DCP/Liquor-Control-Division
  • Delaware: https://abc.delaware.gov/
  • Florida: https://www.myfloridalicense.com/DBPR/alcoholic-beverages-and-tobacco/
  • Georgia: https://dor.georgia.gov/alcohol-tobacco
  • Hawaii: https://www.honolulu.gov/liq
  • Idaho: https://liquor.idaho.gov/
  • Illinois: https://www.illinois.gov/ilcc
  • Indiana: https://www.in.gov/atc/
  • Iowa: https://abd.iowa.gov/
  • Kansas: https://www.ksrevenue.org/abc.html
  • Kentucky: https://abc.ky.gov/
  • Louisiana: https://www.atc.louisiana.gov/
  • Maine: https://www.maine.gov/dafs/bgs/central-services/alcoholic-beverages
  • Maryland: https://comptroller.maryland.gov/pages/alc.aspx
  • Massachusetts: https://www.mass.gov/orgs/alcoholic-beverages-control-commission
  • Michigan: https://www.michigan.gov/lara/bureau-list/lcc
  • Minnesota: https://mn.gov/commerce/license/alcohol/
  • Mississippi: https://www.dor.ms.gov/alcohol-beverage-control
  • Missouri: https://atc.dps.mo.gov/
  • Montana: https://mtrevenue.gov/liquor-and-gambling/
  • Nebraska: https://lcc.nebraska.gov/
  • Nevada: https://tax.nv.gov/FAQs/Alcohol_Tax/
  • New Hampshire: https://www.nh.gov/liquor/
  • New Jersey: https://www.njoag.gov/about/divisions-and-offices/division-of-alcoholic-beverage-control-home/
  • New Mexico: https://rld.nm.gov/alcohol-beverage-control/
  • New York: https://sla.ny.gov/
  • North Carolina: https://abc.nc.gov/
  • North Dakota: https://attorneygeneral.nd.gov/licensing-and-gaming/alcohol-licensing
  • Ohio: https://com.ohio.gov/divisions-and-programs/liquor-control
  • Oklahoma: https://www.ok.gov/able/
  • Oregon: https://www.oregon.gov/olcc
  • Pennsylvania: https://www.lcb.pa.gov/
  • Rhode Island: https://dbr.ri.gov/
  • South Carolina: https://www.sctax.org/tax/abc
  • South Dakota: https://dor.sd.gov/businesses/taxes/alcohol/
  • Tennessee: https://www.tn.gov/abc
  • Texas: https://www.tabc.texas.gov/
  • Utah: https://abc.utah.gov/
  • Vermont: https://liquorcontrol.vermont.gov/
  • Virginia: https://www.virginiaabc.com/
  • Washington: https://lcb.wa.gov/
  • West Virginia: https://abca.wv.gov/
  • Wisconsin: https://www.revenue.wi.gov/Pages/Businesses/Excise-Alcohol-Bev.aspx
  • Wyoming: https://eliquor.wyoming.gov/
Sam Anderson, BeverageManSam
- Sam Anderson

Just Pick Up The Phone 📞
Empowering individuals through meaningful connections, one person at a time.

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How Liquor Sales & Distribution Work

How Liquor Sales & Distribution Work: The Basics

The journey of your favorite spirit from distillery to your glass involves several key stages:

  • Production: Alcohol is produced by distilleries, breweries, or wineries using raw materials like barley, grapes, or sugar3.
  • Import/Export: For international products, importers and exporters handle customs, compliance, and logistics1.
  • Wholesaling/Distribution: Distributors purchase in bulk from producers or importers. In the U.S., the three-tier system requires that producers sell only to distributors, who then sell to retailers2.
  • Retail: Retailers (liquor stores, bars, restaurants, online shops) purchase from distributors and sell to consumers1.

Facts About the Backend

  • Three-Tier System: This is the backbone of U.S. alcohol distribution, separating producers, distributors, and retailers to prevent monopolies and ensure tax collection2.
  • Distributor Revenue Streams:
    • Sales commissions (percentage of wholesale price)
    • Distribution fees (warehousing, transport)
    • Volume discounts from suppliers
    • Value-added services (inventory management, analytics)1
  • State-by-State Differences: Some states run their own distribution or retail operations, while others allow private businesses to handle all tiers2.
  • Major Industry Players: The alcohol value chain includes raw material suppliers, producers, distributors, and vendors (on-premise and off-premise)3.

What’s Happening Now?

  • Consumer Preferences Are Shifting: Growth in ready-to-drink (RTD) spirits and non-alcoholic beers is disrupting traditional categories. RTDs saw a 30.4% year-over-year growth in 20235.
  • Distributor Consolidation: As consumer tastes diversify, distributors are merging to offer broader portfolios and streamline operations5.
  • Tech Transformation: AI, blockchain, and IoT are making supply chains more transparent and efficient, allowing for better inventory management and e-commerce integration6.
  • Pandemic Impact: Off-premises (retail) sales spiked during COVID-19, but have since normalized as on-premise (bars/restaurants) consumption returns5.

Future of Liquor Sales & Distribution

  • Digitalization: Expect more online sales, direct-to-consumer models (where legal), and digital marketing for spirits6.
  • Data-Driven Decisions: AI and machine learning will further optimize logistics, demand forecasting, and customer engagement6.
  • Sustainability: Pressure is mounting for eco-friendly packaging and greener supply chains.
  • Regulatory Evolution: Some states may relax the three-tier system, especially for small producers and online sales channels2.

Opinion: The Three-Tier System-Barrier or Backbone?

“The three-tier system has long been criticized for stifling innovation and complicating market entry for small producers. Yet, it remains a crucial framework for ensuring fair competition, tax collection, and responsible sales. As technology and consumer expectations evolve, the industry must find a balance-modernizing regulations to allow for more direct-to-consumer sales and digital innovation, while preserving the safeguards that prevent monopolies and promote public safety. The future belongs to those who can adapt quickly, leverage technology, and build strong relationships across the value chain.”

Resources for Suppliers

  • TIPS Alcohol Safety Training: Courses on responsible sales and compliance1.
  • Industry Associations:
    • National Alcohol Beverage Control Association (NABCA)
    • Distilled Spirits Council of the United States (DISCUS)
  • Technology Partners: Explore platforms offering inventory management, analytics, and digital marketing6.
  • Trade Shows & Events: Attend industry expos to network and stay updated on trends1.

Quick Reference: How Alcohol Gets to Market

Stage Key Players Main Activities
Production Distilleries, Breweries Brewing, distilling, bottling
Import/Export Importers, Exporters Compliance, logistics, customs
Distribution Wholesalers, Distributors Warehousing, transport, marketing
Retail Stores, Bars, Restaurants Sales to consumers

Sources Used

  • 1 TIPS Certification Blog: Understanding the Alcohol Distribution Process
  • 2 Wikipedia: Three-tier system (alcohol distribution)
  • 3 Institute of Alcohol Studies: The Alcohol Industry Overview
  • 4 IWSR: Five Key Trends Shifting the Beverage Alcohol Market in 2025
  • 5 Capstone Partners: Beverage Market Update – August 2024
  • 6 Accelpay: Streamlining Distribution: Tech Advances in Alcohol Fulfillment

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Sam Anderson, BeverageManSam
Samuel Anderson

Just Pick Up The Phone 📞 | Joy 🦋 | Empowering individuals through meaningful connections, one person at a time.

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Help with Liquor Distribution: Understanding the Three-Tier System

Liquor Distribution USA

Your Complete Guide to Liquor Distributors and the Right Questions to Ask

Samuel Anderson

May 12, 2025

In today’s competitive alcoholic beverage market, understanding distribution channels and building strong relationships with the right distributors can make or break your success. Whether you’re a craft brewery, a distillery, or a winery looking to expand your reach, navigating the complex world of liquor distribution requires strategic planning and careful partner selection. This guide outlines everything you need to know about working with distributors, including the essential questions to ask when evaluating potential partners.

Understanding the Three-Tier System

The backbone of alcohol distribution in the United States is the three-tier system, established after the repeal of Prohibition in 1933. This system continues to govern how alcoholic beverages move from producers to consumers.

What Is the Three-Tier System?

The three-tier system consists of:

1. Tier 1: Producers/Manufacturers – Includes brewers, distillers, vintners, and importers who create or import alcoholic beverages

2. Tier 2: Distributors/Wholesalers – Independent intermediaries who purchase from producers and sell to retailers

3. Tier 3: Retailers – Businesses that sell directly to consumers, including liquor stores, restaurants, and bars

This system was designed to prevent any single entity from controlling the entire supply chain and to facilitate tax collection and regulatory oversight. Under this framework, producers can only sell to wholesalers, who then sell to retailers, creating a mandatory middleman in most states.

State-by-State Variations

It’s important to note that regulations vary significantly from state to state:

• Some states operate as “control states” where the government manages part or all of the distribution tier

• Washington State is unique in allowing retailers to purchase directly from producers

• Many states now permit limited self-distribution for small producers

• Each state has its own “fence” of liquor regulations that enforces the system differently

Developing Your Distribution Strategy

Before approaching distributors, you need a clear strategy that aligns with your business goals. Here are five key questions to address:

1. Define Your Long-Term Vision

Ask yourself:

• What are your growth objectives?

• Do you aim to become a national brand or focus on regional success?

• Are you targeting high-end restaurants, retail chains, or local markets?

2. Identify Target Markets

Consider these factors when selecting markets:

3. Determine Your Ideal Segment

Decide where your products fit best:

4. Assess Production Capabilities

Before scaling distribution, ensure:

5. Evaluate Distribution Models

Modern distribution options include:

• Traditional three-tier wholesale distribution

• Self-distribution (where permitted by state law)

• Hybrid approaches combining multiple channels

• E-commerce and subscription models (subject to state regulations)

Essential Questions to Ask When Evaluating Distributors

Choosing the right distributor is crucial as these relationships often last for years. Here are the key questions to ask potential distribution partners:

1. Company Values and Market Position

• What are your company’s core values?

• How has your market share changed over the past five years relative to other distributors?

• What sets you apart from other distributors in this market?

• Who are your current top suppliers and why are they successful?

2. Geographic Coverage and Sales Strategy

• Do you have multiple locations or representatives that cover all necessary areas?

• What Off-Premise and On-Premise accounts do you see my brand fitting into?

• What kind of structure do you prefer for planning and accountability throughout the year?

• How do you approach marketing support-especially financially?

3. Operational Capabilities

Warehouse Network:

• What temperature control systems do you use?

• How do you manage inventory and quality control?

Delivery Operations:

• What are your delivery frequencies?

• What are your minimum order requirements?

• Can you handle special requests or rush orders?

Sales Force:

• What training programs do you provide to your sales team?

• How do you incentivize sales of new brands?

• What is your account coverage strategy?

4. Technology and Integration

• What technology infrastructure do you use for inventory management?

• How do your systems integrate with supplier systems?

• What analytics and performance tracking do you provide to your partners?

5. After-Sales Support

• Can you describe your after-sales process when a client needs support or repairs?

• How do you handle product issues or customer complaints?

• What kind of merchandising capabilities do you have?

Modern Distribution Challenges and Opportunities

Digital Distribution Revolution

E-commerce and direct-to-consumer models have transformed traditional distribution channels:

• Online sales platforms provide new routes to market

• Club memberships and subscription services build direct consumer relationships

• Digital distribution often offers higher profit margins but requires different strategies

• Mobile apps and online ordering systems create convenience for consumers

Market Trends Affecting Distribution

Stay aware of these evolving trends:

1. Growth of craft producers changing distributor expectations

2. Increasing consumer demand for local products

3. Rise of non-alcoholic and low-alcohol beverage alternatives

4. Direct-to-consumer shipping laws evolving in many states

5. Technology integration between producers and distributors

Where to Go for Additional Research

To further develop your distribution strategy, consider these resources:

• Industry Associations: The Distilled Spirits Council, Wine & Spirits Wholesalers of America, and Brewers Association offer research and guidance

• Legal Resources: Connect with attorneys specializing in beverage alcohol law

• Books and Publications: “An Insider’s Guide to Wholesale Alcohol Distribution in the USA” by Ian Pfeffer

• State Alcohol Beverage Control Boards: Each state’s ABC website for specific regulatory information

• Distribution Management Software: Platforms like Ekos offer tools to manage distributor relationships

Summary

Finding the right distribution partner is critical to your brand’s success in the complex alcoholic beverage market. By understanding the three-tier system, developing a clear distribution strategy, and asking potential distributors the right questions, you’ll be well-positioned to build beneficial relationships that drive growth.

Remember that distribution is ultimately about relationships. The best partnerships are built on alignment between your brand values and your distributor’s capabilities. Take the time to thoroughly evaluate potential partners, understand their market position, and ensure they have both the passion and infrastructure to represent your products effectively.

Source:

1. National Alcohol Beverage Control Association (NABCA) – Overview of the Three-Tier System

https://www.nabca.org/three-tier-system

2. Overproof – Understanding the Three-Tier System in Alcohol Distribution

https://overproof.com/2023/04/13/understanding-the-three-tier-system-in-alcohol-distribution/

3. National Beer Wholesalers Association (NBWA) – The Three-Tier System Explained

https://nbwa.org/three-tier-system/

4. NABCA – The Three-Tier System: A Modern View

https://www.nabca.org/three-tier-system-modern-view-0

5. Wikipedia – Three-tier system (alcohol distribution)

https://en.wikipedia.org/wiki/Three-tier_system_(alcohol_distribution)

6. EasyCheck – What is the Three-Tier System and Why Does it Exist?

https://www.easycheck.io/blog/what-is-the-three-tier-system-and-why-does-it-exist

7. Ohio Department of Commerce – Three Tiers and a Tied House

https://com.ohio.gov/wps/portal/gov/com/divisions-and-programs/liquor-control/new-permit-info/guides-and-resources/three-tiers-and-a-tied-house

8. Avalara – Beverage Alcohol Compliance Basics: The Three-Tier System, Product Registration, and Taxes

https://www.avalara.com/us/en/learn/whitepapers/beverage-alcohol-compliance-basics-the-three-tier-system-product-registration-and-taxes.html

9. New York Craft Beer – Understanding the Three Tier System

https://newyorkcraftbeer.com/2015/07/understanding-the-three-tier-system/

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Scaling Your Beverage Brand

Your Guide to Scaling a Beverage Brand for Success

Test it, Build it, Scale it and Sell It or Keep It!

In the competitive world of beverages, scaling your brand requires not only strategic planning but also a thoughtful execution of well-defined steps. This newsletter provides essential insights and practical advice to help you thrive in this dynamic industry.

Testing the Market

The first step in scaling your beverage brand is to thoroughly understand the market landscape. Start by conducting comprehensive market research. Identify your target audience by defining their demographics, preferences, and consumption habits. This knowledge will help you tailor your products to meet consumer needs.

Next, analyze your competitors. Examine their products, pricing strategies, distribution channels, and marketing tactics. This analysis will reveal gaps in the market and opportunities for your brand to stand out.

Once you have a clear understanding of your target market, develop a Minimum Viable Product (MVP). Create prototypes of your beverage formulations and packaging designs. Gather feedback from focus groups, surveys, and taste tests to refine your product based on consumer insights. This iterative process ensures that your product resonates with your audience before a full-scale launch.

To validate demand, conduct a pilot launch in select markets or through pop-up events. This allows you to gauge consumer response and assess performance by monitoring sales data, customer feedback, and repeat purchase rates. Understanding how your product performs in real-world settings is crucial for determining its viability.

Building the Brand

With a validated product, the next focus should be on building a strong brand identity. Start by crafting a compelling brand story that communicates your mission, values, and unique attributes. This narrative should resonate with your target audience and set the foundation for your brand.

Visual elements play a significant role in brand recognition. Design a memorable logo and cohesive branding materials that reflect your brand identity. Ensure that your packaging stands out on shelves and communicates your value proposition effectively.

Your value proposition should emphasize what differentiates your beverage, such as organic ingredients, unique flavors, or sustainable packaging. Highlight these unique selling points (USPs) in your marketing efforts.

Establish a robust marketing strategy by leveraging both digital and traditional marketing channels. Utilize social media platforms, email marketing, and influencer collaborations to build brand awareness and engage with your audience. Additionally, participate in events, in-store promotions, and print advertising to reach a broader customer base.

Building effective distribution channels is crucial for expanding your reach. Foster strong supplier relationships to ensure quality ingredients and packaging. Collaborate with distributors to enhance your product’s availability in various retail and on-premise (hotel, restaurant, café) channels. Consider setting up an e-commerce platform or partnering with online retailers for direct-to-consumer sales.

Scaling the Business

As your brand gains traction, focus on scaling your operations. Start by optimizing production. Invest in scalable manufacturing facilities or partner with co-packers to meet increasing demand while ensuring quality control. Implement stringent quality assurance processes to maintain consistency as you grow.

Expand your distribution by entering new markets. Leverage distributor networks to navigate regional, national, or even international markets while understanding local regulations and consumer preferences. Channel diversification is also essential; explore additional sales avenues such as on premise, specialty stores, and subscription services to reach diverse customer segments.

Strengthen your sales strategy by building a dedicated sales team to manage relationships with retailers, distributors, and sales partners. Utilize customer relationship management (CRM) systems to track interactions, manage leads, and enhance customer service.

Enhance your marketing efforts through brand awareness campaigns that include advertising, public relations, and influencer partnerships. Additionally, consider implementing customer loyalty programs to encourage repeat purchases and foster brand loyalty among your consumer base.

Evaluating Your Options

As your brand matures, it’s essential to evaluate your business performance regularly. Analyze your financial health by reviewing revenue growth, profitability, and cash flow. Assess your market position to understand your brand’s competitive standing and market share.

Consider strategic options that align with your long-term goals. If you contemplate selling the brand, attract buyers by showcasing growth potential, strong brand equity, and established distribution channels. Obtain a professional valuation to determine your brand’s worth and negotiate favorable sale terms.

Alternatively, if you decide to keep and grow the brand, reinvest profits into expansion, product innovation, and market penetration. Strengthen brand equity by maintaining high-quality standards and engaging marketing strategies.

Make informed decisions by aligning your strategies with your long-term personal and business objectives. Consult with financial advisors, industry experts, and mentors to guide your decision-making process.

Final Tips

As you navigate the journey of scaling your beverage brand, remember to maintain strong relationships with suppliers, distributors, and customers to ensure smooth operations and foster loyalty. Stay adaptable and be prepared to pivot based on market trends and consumer feedback.

Successfully scaling a beverage brand involves a combination of strategic planning, effective execution, and continuous evaluation. By methodically testing, building, and expanding your brand, you can achieve sustainable growth in the competitive beverage market.

Sam Anderson, BeverageManSam
- Sam Anderson

Just Pick Up The Phone 📞 | Joy 🦋 | Empowering individuals through meaningful connections, one person at a time.

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Let’s Talk Jobs

Let’s Talk About Jobs (And Why Networking Matters!)

Sippers,

Let me tell you a little story about job hunting. It’s not just for fresh grads or those in mid-life crises—it can happen to anyone, at any time.

Picture this: I’m sitting down for coffee with a friend, just catching up, when he casually mentions that his company is expanding and looking for new talent. I wasn’t even job hunting, but that little nugget of information got my wheels turning.

Opportunities don’t always come when you’re looking—they can pop up when you least expect them.

That conversation reminded me of something important: it’s not just what you know, but who you know—and who knows you. In today’s market, job openings don’t always get filled by the best resume in the stack; more often, they’re filled through personal connections and referrals.

So, let’s break down why networking matters and how it can fast-track your next career move.

Why Networking is Your Secret Weapon

1. Referral Programs: The Shortcut to Getting Hired

Companies love referrals because they work! A study by Jobvite found that referred candidates are hired 55% faster and 45% more likely to land the job than those applying cold.

Translation? If you have a friend working at a company you’re interested in, ask for that referral! It could put your resume at the top of the pile.

Source: Jobvite, “The Job Seeker Nation Study.”

2. The Hidden Job Market is Real

Not every job opening makes it to LinkedIn or Indeed. Research from LinkedIn shows that 85% of jobs are filled through networking. That means while you’re clicking “Apply” online, someone else is getting hired over a coffee chat.

Source: LinkedIn, “The Power of Networking.”

3. Hiring is a Trust Game

Companies want to reduce risk, and hiring managers naturally feel more confident choosing someone they or their colleagues already trust. A study from Harvard Business Review found that referred candidates tend to be a better cultural fit and perform better in their roles.

So, if a hiring manager has two candidates with similar qualifications, guess who has the edge? The one with the personal connection.

Source: Harvard Business Review, “Why Employee Referrals Work.”

4. Employers Feel More Secure with Referrals

Hiring is expensive, and employers want to get it right. The Society for Human Resource Management (SHRM) found that hiring managers feel more confident in candidates who come recommended because they believe these candidates are more likely to succeed.

That’s why it pays to stay connected!

Source: SHRM, “The Impact of Employee Referrals.”

5. Recruiters: The Middleman You Should Know

Recruitment agencies aren’t just resume pushers; they’re professional matchmakers who often fill roles through their own networks. If you’ve got a recruiter in your circle, stay in touch—they could be your golden ticket.

6. The Diversity Factor: Expanding the Circle

Networking is powerful, but if companies only hire within familiar circles, it can limit diversity. McKinsey’s research shows that diverse teams are more innovative and successful. So, while referrals are great, companies should still think outside their usual hiring bubbles.

Source: McKinsey & Company, “Diversity Wins: How Inclusion Matters.”

7. The Psychology of Connections

People naturally trust those who are like them—it’s human nature. If you can find common ground with a hiring manager (same alma mater, shared interests, mutual connections), you’re already ahead.

How Do You Put This Into Action?

  • Tell people what you’re looking for. No one can help if they don’t know.
  • Reconnect with old colleagues, mentors, and industry peers. Even a quick check-in can open doors.
  • Attend industry events and meetups. Face-to-face interactions still matter.
  • Follow up!

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Sam Anderson, BeverageManSam
- Sam Anderson

Just Pick Up The Phone 📞 | Joy 🦋 | Empowering individuals through meaningful connections, one person at a time.

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Tariff Turmoil

Cover Photo: Tariff Turmoil
How U.S., Canada, and Mexico trade tensions are shaking up your drink menu
Cover Photo: Tariff Turmoil

How United States, Canada, and Mexico Trade Tensions Are Shaking Up Your Drink Menu

A Better Sip of Trade Wars

As if inflation and supply chain woes weren’t enough, the latest round of tariffs between the U.S., Canada, and Mexico is coming straight for your glass. Whether you’re a whiskey enthusiast, a tequila connoisseur, or just someone who enjoys a casual cocktail, these trade tensions could soon hit your wallet—and your bar menu.

Let’s break it down.

The Shot Heard 'Round
North America

On March 4, 2025, the Trump administration slapped a 25% tariff on Canadian and Mexican imports and an extra 10% on Canadian energy products—citing “extraordinary threats to U.S. national security” under the International Emergency Economic Powers Act (IEEPA).

Not surprisingly, Canada fired back with a 25% tariff on $30 billion worth of U.S. goods, including—you guessed it—alcoholic beverages. Because if there’s one thing politicians know how to do, it’s make a tense situation even more expensive.

Inflation

Your Bar Tab’s
New Best Friend: Inflation

So, what does this mean for you? In short, get ready to pay more.

According to Yale’s Budget Lab, these tariffs could increase overall prices by 1.0–1.2%, costing the average U.S. household $1,600–$2,000 in 2024 dollars.

And if you love American spirits? Well, Chris Swonger, CEO of the Distilled Spirits Council (DISCUS), put it bluntly: “This aggressive retaliation targeting American spirits is extremely disappointing and counterproductive.”

Provincial Prohibition?

In a surprising move, some Canadian provinces aren’t waiting for federal action.

  • British Columbia banned U.S. alcohol from Republican states in BC Liquor Stores
  • Ontario’s LCBO (Liquor Control Board of Ontario) is pulling U.S. brands from shelves

For major American players like Brown-Forman (parent company of Jack Daniel’s), this is a nightmare. If this trend continues, some U.S. distillers could see their biggest international market dry up fast.

Mexico’s Margarita Markup

Mexico hasn’t fully outlined its counter-tariffs yet, but let’s be real: Tequila is a billion-dollar powerhouse in the U.S.. Any disruption could reshape the entire spirits market—especially since tequila just surpassed whiskey as America’s fastest-growing spirits category.

Will American drinkers have to pay a premium for their favorite agave-based spirits? Don’t be shocked if that top-shelf margarita gets even pricier.

World Currency

Our Take: A Sobering Situation

The alcohol industry is no stranger to challenges, but these tariffs could reshape North American trade in a major way.

📉 For consumers: Expect higher prices, fewer imports, and possibly some unexpected shortages. 📈 For producers: This is a wake-up call to diversify, innovate, and rethink sourcing strategies.

But if there’s a silver lining, it’s this: We could see a booming demand for local, craft, and alternative spirits. Maybe it’s time to check out that small-batch distillery in your own backyard.

What's Next?

With tensions escalating, negotiations are still on the table—but don’t expect a quick fix. In the meantime, if your drink of choice is imported, you might want to stock up now.

Because in the world of trade wars, today’s price hike might be tomorrow’s “good old days.”

🥂 Cheers to staying ahead of the game!

—Sam

Sam Anderson, BeverageManSam
- Sam Anderson

Just Pick Up The Phone 📞 | Joy 🦋 | Empowering individuals through meaningful connections, one person at a time.

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