Beverage Dynamics Winter 2024 | Page 14

CHILLY ’ S DISCOUNT LIQOUR
liquor stores like Chilly ’ s . So much so that you ’ ll notice it referenced fairly discreetly in the business branding — and in the store layout . Coram credits his son Matt with the idea to install a 500−foot , walk-in “ beer cave ” in the store .
“ It ’ s 19 degrees in there ,” Coram says . “ We have the coldest beer in town . If anyone else tries to say they have the coldest beer , I just point to our freezer temperature .”
This massive walk-in freezer also helps with employee retention .
“ Their job is no longer as physical ,” Coram explains . Rather than breaking down palates of beer for the coolers , Chilly ’ s staff can simply direct distributors to wheel deliveries into the huge freezer and plop them down there .
Coolers do remain important at Chilly ’ s , of course : the business boasts 36 doors full of cold products .
As elsewhere in the country , canned cocktails remain a big trend at Chilly ’ s , and another opportunity for an differentiation .
“ We have a huge RTD selection here , so I added some more coolers for it ,” Coram explains . “ Our RTDs outgrew our beer cave , so I had to buy more coolers .” Coram ’ s kids see canned cocktails similarly . “ RTDs are on fire ,” Matt observes . “ They ’ re doing very well .” “ A lot of women are buying RTDs ,” says Abbey . “ Women of all ages . Especially the RTDs that have alcohol in them instead of malt . These are great if you ’ re tailgating and don ’ t want to bring all your mixers to make cocktails . You can just toss them in a cooler and then consume them later as is . And a lot of these RTDs are only 100 calories , and they taste really good . You really know what you ’ re getting from them now .”
TAPPING INTO OTHER TRENDS
Beyond RTDs and cold beer , Coram remains perceptive of other top trends in his store and market . For instance , American whiskey nationwide has cooled off from Covid highs , plateauing or receding in sales after recent boom years . But at Chilly ’ s ?
“ We ’ re a huge bourbon store and our bourbon has not leveled off ,” Coram reports . Why ? “ We ’ re so close to Kentucky ,” he says . “ People are coming through on their way to the Bourbon Trail .”
Chilly ’ s sees whiskey tourists traveling from next-door Ohio , a state known for its famously generous Weller allocations . But not all Buffalo Trace products are so readily available over there , which has Ohioans making a drive . “ We get more Buffalo Trace and Blanton ’ s versus Ohio , which doesn ’ t get as much of those bottles ,” Coram says .
Like other whiskey retailers , Chilly ’ s has seen a recent shift for store pick single barrels . “ It ’ s definitely slowed down ,” Coram says . “ The market has become saturated with picks . So many barrel clubs are doing them now . We still do them , but picks just aren ’ t unique anymore .”
“ We were doing 10 to 12 picks per year just on our own ,” he adds , “ but now we ’ re down to five per year on our own , and ten more split with our co-op group .”
Chilly ’ s first joined their co-op 25 years ago . This setup gives a combined 55 or so independently owned stores significantly greater buying power . “ We meet on Thursdays , and we buy together ,” Coram says . “ We buy in bulk size that we wouldn ’ t be able to afford or have the space for otherwise . It gives us the ability to compete with everyone in the market .”
14 Beverage Dynamics • Winter 2024 www . beveragedynamics . com