A law awaiting the signature of Gov. Scott would reshape how hard liquor is sold, and small stores fear it could put them out of business.
The dividing wall between liquor stores and grocery stores is one step closer to coming down in Florida.
Last Tuesday, the Florida House passed Senate Bill 106, a law that allows grocers and big retailers to sell liquor inside their stores.
Currently, distilled spirits can only be sold in a separate location.
The bill is now awaiting Gov. Rick Scott’s signature.
The bill generated controversy. Those opposed, mainly independent liquor store owners and chains, say it will put them out of business.
Supporters, made up of grocers and big-box retailers, say the change is about updating an outdated law and giving consumers more options.
Even so, retailers aren’t necessarily eager to talk about the changes.
The Daily Record contacted several of Northeast Florida’s largest grocers including Publix, Whole Foods Market, Winn-Dixie owner Southeastern Grocers, Target, Walmart and Lucky’s Market to see how they plan to incorporate spirits.
A spokesperson for Whole Foods Market declined an interview request.
Publix, Walmart and Target didn’t respond to emails and phone calls.
In an email, Zack Bingham, senior director of communications for Southeastern Grocers, said the company didn’t want to comment other than to say they are taking a thoughtful approach moving forward.
Like most of their competitors, Southeastern Grocers operates separate liquor stores which are often next door to their main buildings. Bingham said he wouldn’t speculate on how that may change.
The area’s newest grocer, Lucky’s Market, moved into Northeast Florida in 2016 with a location in Atlantic Beach. It too, has separate liquor stores, but, doesn’t expect that to change any time soon.
Kristen Tetrick, director of marketing and community impact for Lucky’s, said there are no plans to move spirits inside the main store.
“In the grand scheme of things, spirits aren’t a primary focus for us,” Tetrick said. Instead she said the brand will continue to focus on building a welcoming atmosphere.
The company is known for selling organic and locally sourced products.
It’s also famous for allowing customers to “sip and shop” with a glass of wine or beer while in store. Tetrick doesn’t anticipate expanding that to include hard liquor.
Other retailers might consider silence their best option.
Dennis Stouse, professor of communications at Jacksonville University, said he believes talking openly about the legislation could be a double-edged sword.
“Although chain grocers will no doubt benefit from the legislation, they may be reluctant to publicly commend the law for a couple of reasons,” Stouse said.
He said vocal support could alienate patrons of the mom and pop, or independent liquor stores, creating a “big guy vs. little guy” scenario.
“Also, the appearance of spirits on the shelves of family oriented retailers would be disconcerting to some,” he added.
“It is probably better for Publix and other major chains that sell groceries to remain silent about the legislation,” Stouse said.
He said customers will begin seeing vodka and whiskey on their shelves soon enough, because it’s profitable. How they plan to do that will likely vary depending on location and shopper trends.
For existing independent liquor stores, the added competition could come at a high price.
“It’s going to put me out of business,” said Reekee Patel, who owns about a dozen Shores Liquor Stores in Jacksonville and St. Augustine.
He said several of his locations sit next to or within the same shopping centers that are anchored by big retailers.
As more of them begin to incorporate liquor, Patel believes fewer people will need to stop in his specialty stores.
“It’s going to create an impulse buy, for many,” he said. “It’s like buying a candy bar at the checkout. You don’t need that, but you’ll grab it because it’s staring you in the face.”
Patel said the larger retailers will be able to undercut his prices because of lower overhead.
“They can use existing shelf space, saving them on rent and labor,” he added.
Moving forward, Patel said he’ll focus on offering good customer service, a larger selection and promoting his stores as a space for adults only – which he said is important to remember when it comes to hard liquor.
“You can’t have 16- or 17-year-olds stocking the shelves, and an 18-year old selling the product, and don’t think minors won’t get their hands on it,” he said, calling the change a detriment to public health.
Other than that, he said it’s business as usual, adding, “What can I do?”
Patel, who said he traveled to Tallahassee several times, was disappointed to hear that lawmakers he had spoken to had voted to approve the legislation.
“A few of them said they wouldn’t do it, but ended up supporting it in the end,” he said. “I just hope Governor Scott vetoes it.”
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