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Message
Beer Distribution Laws in LA
Posted on 3/31/12 at 11:58 am
Posted on 3/31/12 at 11:58 am
I'm interested in entering the beer sales game here in New Orleans.
I know there is a mandatory 6% mark up on product and that products are sold on a COD basis (has to be paid up front).
I understand we have the 3 tier system in trying to get craft beers.
I've heard that we cannot get certain beers, such as Yuenngling, in LA. But ive also heard this isnt true, you just need to make a deal with a distributor.
does anyone have a good grip on this situation or know any good reading to do on the legislative side of things to better understand the whole situation?
any help is really appreciated.
I know there is a mandatory 6% mark up on product and that products are sold on a COD basis (has to be paid up front).
I understand we have the 3 tier system in trying to get craft beers.
I've heard that we cannot get certain beers, such as Yuenngling, in LA. But ive also heard this isnt true, you just need to make a deal with a distributor.
does anyone have a good grip on this situation or know any good reading to do on the legislative side of things to better understand the whole situation?
any help is really appreciated.
4
Posted on 3/31/12 at 1:22 pm to BlacknGold
you're on the right track
...I know the laws regarding distribution are a nightmare
good luck
...I know the laws regarding distribution are a nightmare
good luck
Posted on 3/31/12 at 1:46 pm to heypaul
Here is my understanding of the system. You cannot legal sell beer unless it comes from a distributor. Distributors have deals with breweries to sell their beer in the state. If the brewery and the distributor do not have a deal then we cannot buy their beer. Typically distributors want a breweries product in the majority of their accounts so small breweries have a tough time meeting the companies contract demands.
People have been known to smuggle beer in and sell it though.
People have been known to smuggle beer in and sell it though.
Posted on 3/31/12 at 2:19 pm to Fratastic423
Louisiana gets a D- in beer distribution. Off the top of my head, only beer sales in Pennsylvania and Utah are less desirable. Mississippi gets an honorable mention for not being able to sell beer at liquor stores.
Posted on 3/31/12 at 3:14 pm to Degas
Mississippi beer laws suck. Nothing stronger than 5.5% or so. No Camay etc. Fine if all you want is Bud Lite
Posted on 3/31/12 at 3:39 pm to Degas
Yeah, I've tried a couple specialty stores around Acadiana to see if they could order Dogfish Head for me. No can do, because none of their distributors carry it.
Seems like a complete hijacking of the free market. Wonder which current/former state legislators got their wallets padded for creating and maintaining such restrictions.
Seems like a complete hijacking of the free market. Wonder which current/former state legislators got their wallets padded for creating and maintaining such restrictions.
Posted on 3/31/12 at 4:15 pm to Degas
quote:
Louisiana gets a D- in beer distribution. Off the top of my head, only beer sales in Pennsylvania and Utah are less desirable. Mississippi gets an honorable mention for not being able to sell beer at liquor stores.
Link? I'd love to read that.
Posted on 3/31/12 at 4:53 pm to BlacknGold
I work in the distribution business. The three teir system is used by all brands. This prevents the everyday person from being able to walk to the brewery and buy a case of beer. You cannot get yuengling because yuengling does not want to come to LA. once they want to come down they will shop around for a distributor. Then they select the distributor and begin to ship. The distributor is then in charge of putting the brand into the market.
For example, New Belgium brewery just recently started looking into selling in north carolina, virginia, dc, and Maryland. Most distributors made sales pitches to have the rights to carry it. Then New Belgium decides who to give the rights to carry and sell.
Hope this helps.
For example, New Belgium brewery just recently started looking into selling in north carolina, virginia, dc, and Maryland. Most distributors made sales pitches to have the rights to carry it. Then New Belgium decides who to give the rights to carry and sell.
Hope this helps.
Posted on 3/31/12 at 6:15 pm to ragincajun03
quote:
Seems like a complete hijacking of the free market. Wonder which current/former state legislators got their wallets padded for creating and maintaining such restrictions.
This is a system that has been set in place in all 50 states since prohibition was repealed. Watch the documentary "Beer Wars" and you'll learn more about this.
Which part of the beer business are you looking to get into? I know Yeingling, New Belgium, Dogfish Head do not have capacity to handle more than they currently produce, so they haven't moved into other states at this point.
Posted on 4/1/12 at 1:29 am to RonBurgundy
quote:
Link? I'd love to read that.
You just did. Those are my words, not from an article.
Posted on 4/1/12 at 8:43 am to BlacknGold
Yeah the problem with yeungling is that they don't have the capacity to make enough product to expand. They tried to buy a brewery in Memphis a few years back that would have gotten LA the brand, but the deal fell through. Maybe one day! 
Posted on 4/1/12 at 4:22 pm to DCSportsBeerMan
ok, so basically small crafts just cant meet demand it seems.
i have contacts with Glazer, Southern Eagle, and Crescent Crown (basically the 3 distributors of all beer here).
Could I contact them asking if they could somehow get a beer like Yuengling or is it a lost cause? Because basically Yuengling has to take the step to WANT to be here and then they will contact the distributor?
I ask this because Marcello's in BR will usually take specialty orders as long as you buy like a whole case or something. and im assuming they call an out of state distributor?
just trying to get more facts straight.
i have contacts with Glazer, Southern Eagle, and Crescent Crown (basically the 3 distributors of all beer here).
Could I contact them asking if they could somehow get a beer like Yuengling or is it a lost cause? Because basically Yuengling has to take the step to WANT to be here and then they will contact the distributor?
I ask this because Marcello's in BR will usually take specialty orders as long as you buy like a whole case or something. and im assuming they call an out of state distributor?
just trying to get more facts straight.
This post was edited on 4/1/12 at 4:31 pm
Posted on 4/1/12 at 8:58 pm to BlacknGold
Yeingling has no interest in getting into then Louisiana Market. Also, Glazer isn't a major beer distributor. They primarily distribute liquor, but do carry some beer. Southern Eagle (owned by the same people who own the company I work for) is the AB house, Cresent is the Coors house and I'm not sure who the Miller house is in NOLA. But it's not Glazer. Some places sell it here(BR) and probably NOLA as well, but they go out of state to get it. Usually at Sam's. The basics of the beer business is that you usually have 3 major distributors each associated with one of the big 3. Sometimes the Miller/Coors house is combined. Which is probably the case in NOLA.
Posted on 4/1/12 at 9:38 pm to BlacknGold
You won't be able to get yuengling without going to an area who sells it and buying it from a store.
Distributors can only sell to those with proper license to sell to consumers (other than to its own employees).
My suggestion is to travel to one of the 14 or so states to get it. Expensive drive for a case.
Distributors can only sell to those with proper license to sell to consumers (other than to its own employees).
My suggestion is to travel to one of the 14 or so states to get it. Expensive drive for a case.
Posted on 4/1/12 at 10:45 pm to Dac311
quote:
Sometimes the Miller/Coors house is combined. Which is probably the case in NOLA.
For distribution they are combined. It's called MillerCoors after all.
Posted on 4/2/12 at 12:14 am to LSUBoo
quote:
For distribution they are combined. It's called MillerCoors after all.
As I stated above, sometimes it is and sometimes it is not. In BR we have separate distributors. Crescent Crown for Coors and BR Beer for Miller. CC has the rights to Miller and Coors in some areas. In others they don't. Jim Carney out of Hammond has miller in some places and both Miller and Coors in others.
Posted on 4/2/12 at 12:16 am to Degas
quote:
Louisiana gets a D- in beer distribution. Off the top of my head, only beer sales in Pennsylvania and Utah are less desirable. Mississippi gets an honorable mention for not being able to sell beer at liquor stores.
Where do you get your info? Louisiana has some of the least restrictive alcohol laws in the country. Are you simply talking beer selection?
Posted on 4/2/12 at 12:27 am to Dac311
quote:My info is merely from past experience, and I am talking more about beer selection. For the love of beer, I look forward to venturing outside the state lines. If I'm driving to AK, I'll call ahead and have a few cases of Goose Island waiting for me to bring back. If I'm headed around the US, the Bell's beer finder comes with me. Don't get me wrong, there are good beers available, but the selection seems to be a bit primitive, although it's getting much better.
Where do you get your info? Louisiana has some of the least restrictive alcohol laws in the country. Are you simply talking beer selection?
Posted on 4/2/12 at 2:07 am to Degas
Posted on 4/2/12 at 7:28 am to Dac311
quote:
Yeingling has no interest in getting into then Louisiana Market.
Et al.
Actually, I heard directly from Yuengling that they ARE planning to be in La soon. (At least this is what they told me late last year) Not that it matters to me. Personally, I have no interest in their beer at all.
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