PUBLICANTHE

Agre

emen

t #40

0260

59

Hideaway Pub

Summer 2008

Maximizing Guest Frequency • Beer Trends • Risky Business • Cash Handling & Fraud

NOTES / STOCK:

02 July 13.07 Warst_thepublican Ad 8.5” x 11” 0.00” x 0.00” NA TBD

Warsteiner New Ad for The Publican

COLOUR

B3 Communications Inc. Suite 1250 1500 W. Georgia St. Vancouver. BC V2G 2Z6 T.604 / 909 / 2200 F. 604 / 909 / 2201 Info@B3com.com B3com.com

DATEPROOF FILE TRIM SIZE LIVE SIZE BLEED SIZE LINE SCREEN CD

CW

D

A

C M Y K

It's Not Beer!

It's

Warsteiner

is proudly

served in the

finest establishments

around the world

and across

Canada.

ColumnsPresident's Message 4

Editor’s Notes 5

Product Showcase 10

Spirit Spotlight 14

What's New? 21

LDB Report 22

LCLB Report 23

Gismondi on Wine 28

Human Resources 29

Back in Time 30

FeaturesMaximizing Guest Frequency 6

Beer Trends 12

Cover Story - The Hideaway Pub 16

Risky Business 18

Cash Handling and Fraud 24

Checking for Counterfeit Cash 26

Quarterly Publication for the Alliance of Beverage Licensees

200-948 Howe Street, Vancouver, BC V6Z 1N9T 604-688-5560 F 604-688-8560Toll free 1-800-663-4883info@ablebc.ca www.ablebc.ca

2007-2008 Board of Directors

President Al ArbuthnotVice President Kurt PyrchVice President Ronnie PatersonVice President Salim KarimVice President Al McCrearyTreasurer Roger GibsonExecutive Director Kim HaakstadDirectors Fred Beruschi Jack Butterworth Jonathan Cross Dave Crown Al Deacon Poma Dhaliwal Richard Gibbons Werner Klann John Lepinski Danny Rickaby Grant Smith

Designed, Produced & Published by: EMC Publications6058 187A Street, Surrey BC V3S 7R6Ph: 604-574-4577 1-800-667-0955 Fax: 604-574-2196 publican@emcmarketing.com www.emcmarketing.comPublisher Joyce HayneAccount Manager Johannis BreytenDesigner Krysta FuriosoCopy Editor Debbie MinkeABLE BC Editor Kim HaakstadContributing Karen AyersWriters Trevor Frers Anthony Gismondi Katharine Jowett Debbie Minke Jonathan Niven Carrie Powell-Davidson Lori Rubenstein Jon Taffer Suzanne Westover Sandy Yates Copyright EMC Publications

PUBLICATIONS MAIL AGREEMENT NO. 40026059RETURN UNDELIVERABLE CANADIAN ADDRESSES TO CIRCULATION DEPT EMC PUBLICATIONS6058 187A STSURREY BC V3S 7R6email: info@emcmarketing.com

The statements, opinions & points of view expressed in published articles are notnecessarily those of ABLE BC.

s u m m e r 2 0 0 8

ON THE COVER The Hideaway Inn - Cliff Michael, Gord Erickson and Bob Stubbins

� P u b l i C a n /s u m m e r 2 0 0 8

ABLE BC’s Strategic PlanAs our industry continues to change, ABLE is working hard to always remain relevant and responsive to our members. ABLE works hard to provide quality service and we are proud of the strong relationship we have with the provincial government, key industry partners, and our members. But we can always improve.

To ensure that we continue to improve, succeed and better represent the industry, ABLE is in the process of developing a new strategic plan. This plan will guide ABLE’s work for the next few years and allow us to measure our success.

The plan identifies over 30 strategic objectives that we believe need to be acted upon in the short, medium, or long term to provide for the ongoing success and profit of pubs, bars, and liquor stores. Action items are being developed to meet each objective and the board and staff are excited to get to work on achieving our new goals.

Some of the key areas of the plan include:

• Strengthening our relationship with government to ensure members’ interests are reflected in policies and decisions

• Providing resources to assist members in working with their local governments

• Maintaining the requirement for holding a Liquor Primary License in order to operate an LRS

• Maintaining and possibly enhancing the distinction between Liquor and Food Primaries

• Improving the level, methods, and effectiveness of the communication with ABLE members

• Working to improve the enforcement hearing process

• Enhancing member benefits that add to the value of ABLE membership

• Working to provide members with a convenient and cost-effective empties return method for wine and spirit containers.

As part of our action plan, members and non-members will be surveyed to provide input into how ABLE can grow and improve. I look forward to your input, and I am excited about the future opportunities for ABLE as an association, and for our industry as a whole.

President's messageAl Arbuthnot, President, ABLE BC

�

ABLE BC is always growing. Please join us in welcoming our new members:Brett Large, Douglas Liquor Plus, Victoria Gerry Rees, Oak & Carriage, DuncanBrett Large, Royal Oak Liquor Plus, Victoria Vinny Dumas, Rusty's Neighbourhood Pub, Surrey Harry Veller, Salmon Point Restaurant and Pub & LRS, Campbell River Donald Schuberg, Wolf's Cry-Inn Pub & Adult Eatery & LRS, Clinton

New AssociatesReginald Boaler, Boaler Inc., RichmondRobert Greene, Effective Resource Management (ERM) Biosource, Port CoquitlamJess Schmidt, Medallion Healthy Homes of Canada Inc, Maple RidgeAJ Hanson, OzoneShockers, LangleyDan Marce, PrintWest – Flavours Magazine, ReginaRick Benson, Provent Technology Corporation, Richmond Danielle Topliss & Stewart Johnston, SJ Law, VictoriaWayne Clements, Tree Brewing Co., Kelowna

One hotelier member would have added an additional $18,000 in revenue, another over $10,000.

Earn money for work you are already doing. Why wait? Call the ABLE office today for more information.

ABLE BC Golf 2008The ABLE 2008 Golf Tournament is quickly approaching. A registration brochure is included in this edition of The Publican. Since last year’s event sold out, register now so you are not disappointed. If you can’t make it to the golf tournament, please consider sponsoring team prizes. Contact the ABLE office for more details.

BC Hospitality Industry Conference and ExpositionMark your calendar for November 23-25 for the 2008 Conference: Embracing the Future. Watch for more information coming soon. This year’s conference promises to be bigger and better than ever. We have some great new things in store for the Trade Exposition. Don’t miss out on the hospitality industry event of the year!

editor's notesby Kim Haakstad, Executive Director, ABLE BC

Are you an ABLE BC member?ABLE members receive discounts, services and information important to their business.

ABLE works hard to provide member services and advocacy that advance our industry and improve your business’ bottom line. If you haven’t considered membership recently - give the office a call. We would love to tell you more about how your company can benefit from membership.

CondolencesIt is with sadness that I pass on condolences to the family and friends of Gordon Card. As a past president of the Neighbourhood Pub Owners’ Association and a long time director, Gordie contributed so much to our industry as a whole. On behalf of all of us at ABLE, I want to pass on my deepest sympathies to all that loved, worked with, and respected Gordie Card. He will truly be missed.

Bottle Return ProgramWould your LRS benefit from an additional $2,000 in revenue? Over 70 LRS locations in BC would have benefited $2,000 or more from the bottle return program last year.

� P u b l i C a n /s u m m e r 2 0 0 8

by Jon Taffer

elements, your business will never develop guest loyalty for Wednesday nights.

Develop promotional schedules that recur on each mid-week night for at least eight consecutive weeks. Using this approach provides you with a basis to grow your business. With a schedule like this, after several weeks, you will begin to develop clientele who come for that promotion.

Remember in the last issue, we discussed that you only need to grow your guest traffic by a couple of percentage points each week (typically 6-15 people more each week) to realize terrific results over 2-3 months. With a recurring promotional format you will have the basis to do so. Without it, you don’t.

ast issue’s article on maximizing your sales per guest provided you with programs and tactics that will significantly increase your sales per guest by over 8%.

Hopefully, after implementing some of those tactics, you’re starting to see how quickly they will impact your daily revenue. With that foundation, the increases you can create in your guest traffic will yield far more revenue.

Increasing your guest frequency by only one visit per month will increase your revenue by up to 12%. Combining this with improved sales can change the performance of your business forever. All marketing research proves that increasing frequency with your existing customers is easier and far cheaper than marketing to new customers. So, with

lMaximizing Guest Frequency

your “sales potential per guest” maximized, it’s time to review some key frequency tactics that will get your business that powerful extra visit each month.

Recurring Promotions ScheduleWe hate one night or one day promotions. The key to establishing frequency is to repeat the elements of your guest experience that appealed to the guest in the first place. If a guest comes to your pub or restaurant on a Wednesday and experiences an appealing, motivating, and fun event, promotion, or product, they will want to come back and experience it again. If the following Wednesday (and other Wednesdays) have different products, entertainment or other

�

Festivals and Month-Long EventsThe busiest month of the year for a national seafood restaurant chain is Lobster Fest. Each year, during this month, they increase their revenue by over 20%. This increase in business during only one month each year equates to an annual sales increase of over 2%. Now, they’ve launched another food based festival to duplicate that success for another month of their year.

Combined, these two month-long events can increase annual sales results by well over 4%. I can cite many other similar situations where month-long events or LTO’s (limited time offers) have generated similar results. Pub ideas include things like steak festivals, BBQ bonanzas, burger bashes, wine festivals, etc. Nightclubs should mimic this success with product-based festivals such as an Island Rum Festival, BC Beer Fest, International Beer Festival, Italian Wine Extravaganza, outside deck parties, and such. These month-long events should not conflict with your weekly promotional schedule. Rather, they should complement them, adding something even more appealing to your guest experience.

In your planning, consider that the word “festival” may be wrong for your event. So, be creative and create a name for your event that is noticed. Remember, if you’re not noticed, you’re invisible! Don’t forget to seek support from your suppliers!

Eblasts and Text MessagingCommunicating with your customers is cri t ical. However, effective communication is a delicate thing. Considerable research shows that when you over eblast, email to strangers, or worse, text message strangers, it can have a negative effect upon your business. At a minimum, they will stop reading your communications, which makes them meaningless.

To reach a broader audience than just your own email lists, reach out to co-promotional partners. Often you can cross promote on a partner’s

list or efforts, but only if their targeting matches yours for that night’s promotion. There is no benefit to reaching or attracting the wrong audience.

Use different communication approaches for each of the nightly promotions. Female-oriented, male-oriented, sports, music, or other types of promotions have different target audiences. Each audience will respond to different looks, wording, phrases, and other elements. Accordingly, first develop graphics and wording to make it compelling to your target market. Then, look for unique ways to distribute your messageto that audience.

Social MarketingToday’s online communities provide outstanding opportunities to build both new customers and guest frequency. Maintaining effective pages on MySpace and FaceBook can also achieve surprising results. Select keywords and phrases so your page continuously develops a larger network of friends within your market area. Always include your town/city name and include words to match your business like; singles, entertainment, music, food, steak, seafood, live rock ‘n roll, etc.

8 P u b l i C a n /s u m m e r 2 0 0 8

Track your results each week to make sure your community grows. With some care and attention, you can develop a valuable group of local “friends” who will respond to your business and, best of all, you’re able to reach them anytime for free.

Targeted AdvertisingRather than spending money on radio, newspapers, and other traditional media, look at advertising or donation opportunities with smaller, highly targeted newsletters, publications, and other local opportunities such as:

• Association newsletters (female executives, car dealer, retail, etc.)

• Service organizations such as Rotary

• Employee newsletters for hospitals, malls, factories, etc.

• Union newsletters (auto, electricians, etc.)

• Professional association publications for attorneys, accountants, developers, medical professionals, sales networking, entertainment, etc.

• University publications such as athletic newsletters, campus publications, club newsletters, theatre functions, booster events, and others

These approaches to getting your message in the right target customer’s hands really work. So, if you have a compelling and targeted message for each audience to support each promotional night, and targeted, inexpensive ways to distribute that message, each individual promotion has a far greater opportunity to succeed. Then, if sales only grow by 1% a week (Wednesday to Wednesday, Thursday to Thursday, etc), in ten weeks you will have increased your guest traffic counts by over 10%.

Bounce Back Incentive ProgramsBounce backs or incentives can take any form. They could be invitations for chef tastings, or a coupon for a free appetizer. With effective creative, there is no reason why an incentive program cannot be used for any concept or audience in any situation. Nightclubs can take many approaches, including “private” invitations to “pre-opening premieres” (earlier evening) wine, buffet, martini tastings, and other special (often complimentary) events before nightly promotions. Other pub or nightclub opportunities include door passes, VIP admission, beverage tickets, and free “reserved table” confirmations.

Periodic Themes and MenusPubs should consider making environmental changes a few times a year to exploit the seasons. Changing some visual elements can keep interest and keep your environment fresh. For example, summer uniforms (tropical shirts, bikinis, etc.), winter uniforms, and other seasonal costumes can be very effective. Always introduce new products or menus to support these changes to maximize your results.

Step Outside The BoxLike many, I’ve made a lot of money with football-based promotions over the years. When we sought out and formed our own in-house fan clubs for teams outside our markets, we really grew our Sunday business. I’ve watched us all do Monday night football promotions and with the game always being on TV, it diluted our efforts. We launched “I hate football Mondays” instead. We still had the game on our video monitors, but we

Switch to DirectCash and make MORE MONEY plus get BETTER SERVICE

National service & support

Member of Interac

Largest Branded ATM Provider in Canada

Member ofThe Interac Association

�

targeted all our promotional ideas and outreach to females. We were the only operation on Mondays to be filled with women. Ever see a pub with a couple of hundred females go broke? I never have.

For that very reason, we often take this approach. Think out of the box. Do the exact opposite of your competition. Get noticed!

Your EnvironmentRemember, frequency and sales growth is driven by three key elements:

1. Your Guest Experience

We can’t emphasize this enough. Your operation must establish positive guest reactions particularly from its staff, products, entertainment, and environment. If it doesn’t, marketing and promotion won’t fix it.

2. Effective Communications

Your internal and external marketing communications must be properly targeted to create a reaction for each audience you have. Each promotion typically requires its own look, phrasing and targeted distribution. Sure, this requires more work, but who ever said getting rich was easy?

3. Targeted Advertising

Always support your nightly promotional efforts with additional marketing programs. I promise a big pay off. This level of detail and marketing follow up is the difference that creates home runs.

There you have it - Step Two. These tactics, programs and ideas should keep you busy the next quarter. Then, next issue we’ll move on to Step Three: Building New Customer Traffic.

10

P u b l i C a n /s u m m e r 2 0 0 8

ProduCt sHoWCase

OBIKWAWhite and Red WineSouth AfricaObikwa wines comes from the Land where Craft Began, South Africa. Obikwa is the top selling South African wine in BC, and now has two SKUs exclusive to the LRS Channel. Priced at $8.99 everyday, they are $2 cheaper than the BC Liquor Store SKUs. Not only will you make a great margin (50%+), but the wines will also fly off your shelves as consumers already recognize and trust the wines from Obikwa.

Merlot750 ml $8.99SKU 636191

Chenin Blanc750 ml $8.99SKU 449942

604-269-9994 www.markanthony.com

ATTILA THE HONEYAleCanadaThe buzz is genuine about this beer! A combination of exceptional specialty malts and local British Columbian honey has given Mt. Begbie Brewing Co. a seasonal honey ale that is unforgettable. Attila the Honey is a rich amber ale with distinctive malty characteristics followed closely by the light lingering taste of rich clover honey. It truly is the ‘ultimate’ summer beer. Mt. Begbie Brewing Co. is located in beautiful downtown Revelstoke and has been brewing award winning beers for 12 years.

650 ml $4.95SKU 486928250-837-2756 www.mt-begbie.com

COWICHAN BLACKBERRYDessert WineCanadaThis rich, sweet dessert wine is produced by Cherry Point Vineyards, Vancouver Island’s premier estate winery. Created from luscious blackberries, hand-picked in the Cowichan Valley in the first weeks of August. Specially aged in barrels, the result is a wine with a deep garnet colour, a heady aroma of ripe blackberries and black fruit, with a rich, velvety mouth feel. Each taste is sweet and juicy with a spicy finish. Enjoy this special wine on its own or with any rich dessert.

375 ml $19.96SKU 149336250-743-1272www.cherrypointvineyards.com

MANGUE TROPICGiffard LiqueurFranceMango fruit macerationwith a touch of passionfruit in natural alcohol.

Passage to India1 oz Giffard Mango Tropic1 oz Havana Anejo Blanco1/2 oz fresh lemon juice1/2 oz Simple Syrup1 slice fresh jalapeno8-10 cilantro leaves1/8 tsp yellow curry powder

Muddle jalapeno slicein mixing glass. Pour inall liquid ingredients.Add cilantro, curry, andfill with ice. Shake tochill. Double strain intoa chilled martini glass.Garnish with a cilantroleaf.

Mixologist: David Wolowidnyk, Barman of the Year - Restaurant Awards 2008

700 ml $29.99SKU 175794604-685-6790www.nonsdrinks.com

KESTREL VINTNERS LADY IN REDRed WineUSA48% Cabernet Sauvignon, 39.5% Merlot, 10% Syrah, 2.5% Sangiovese Newest Lady In Red has a new red hot price at $19.99 (was $29.99)! Possessing a ruby-red colour and brimming with fully ripened fruit flavours, this alluring wine is now one of the top values coming out of Washington. White wine lovers will also enjoy Kestrel Pure Platinum (Third Edition) with its unique blend of spicy Gewürtztraminer and floral Viognier for the same new price. The extraordinary quality of these wines will intrigue you and have you wanting more!

750 ml $19.99Red SKU 152934White SKU 299420

604-898-1004www.newworldwines.ca

11

ProduCt sHoWCase

CIRCUSRed WineMendoza ArgentinaNew Spec wines from David Herman & Son Ltd.

Circus is produced by Bodegas Gascón. The Gascón vineyards are located in the Agrelo region of Argentina, an oasis irrigated by the Mendoza River offering excellent growing conditions due to long and sunny, yet mild fall seasons.Please call for posters, shelf talkers, and winery notes.

Malbec 2006750 ml x 12 $12.99SKU 775072

Cabernet Sauvignon 2006750 ml x 12 $12.99SKU 667956

604-737-0018www.dhs-wine.com

COSTA DE OROWhite and Red WineSpainA Denominacion De Origin Valencia from the Costa De Oro coastal region of the Mediterranean. Valencia is famous for its citrus fruits and the quality of its grapes and wines. The Costa De Oro wines are no exception, as they are very well made. Good fruit on the nose leads to a very smooth palate and long finish. The price point of these wines makes them very attractive to LRSs and Licensees. They are very competitive wines that will ensure you get repeat business. Try some and enjoy the sales. Please contact us if you have any questions. Spec items:

750 ml x 12 $7.99Red SKU 506287 White SKU 457341

250-483-5633www.markat.ca

CYCLES GLADIATOR MERLOT 2005Red WineCalifornia, USA88 Points and a Best Buy - Wine Enthusiast Magazine“What an interesting wine this is! Classic California Merlot, soft and rich, with a burst of cherry, raspberry and mocha flavours, and spicy, smoky vanilla from considerable new oak. The addition of Petite Sirah, Syrah and Cabernet Sauvignon give it added depth, texture and nuance. At this price....stock up by the case!!” Wine Enthusiast Magazine

Try pairing this with a dinner of pepper teriyaki beef, mushrooms and sausage.

750 ml $13.13 SKU 833830604-986-4000www.landmarkselections.com

BODEGA CORTESWhite and Red WineSpainMade with a blend of grapes from the Mediterranean area of Spain. The wine from these grapes has a fruity nose and a well balanced and smooth palate. These table wines are well made and will appeal to most people. Their price point makes them very competitive with government stores and the quality of the wine will ensure repeat business. Try these wines. You’ll see they will provide you with good returns. Please do not hesitate to contact us for more information.

Spec items:

750 ml $6.99Red SKU 56937White SKU 206920

250-483-5633www.markat.ca

VAN GOGH DOUBLE ESPRESSO VODKAVodkaHollandNew Spec listings from David Herman & Son Ltd.

Vincent Van Gogh Double Espresso Double Caffeine vodka delivers a wealth of flavour. Dutch chocolate gives your clients another new flavour. Both these vodkas have been awarded 4 Stars from The Spirit Journal, which states, “The Best In the flavored vodka business, Period.”Hundreds of recipes are at vangoghvodka.com.Call for shelf talkers or information, or email dhs-wine@portal.ca.

750 ml x 6 $46.99Double Espresso SKU 221879

750 ml x 6 $42.99Dutch Chocolate SKU 423103

604-737-0018 www.dhs-wine.com

12

P u b l i C a n /s u m m e r 2 0 0 8

nless you live in Cumberland on Vancouver Island, a quick look at the current beer trends may be helpful in planning for the summer season. Declared the “Luckiest Town in Canada” by the Labatt Brewing Company in 2002, it’s a sure bet that the beer

menus of Cumberland feature Lucky, Lucky, and more Lucky Lager. For the rest of us, a little pre-planning will help to ensure that we offer as much selection in suds as we have tastes to tempt.

At 43%, beer accounts for almost half of the gross liquor sales in BC, so most licensees wouldn’t argue that having a well stocked selection of beer just makes good business sense. With its short shelf life, stocking every import, domestic, craft, draught, and mainstream bottled beer available to us would not only provide us with some quality control issues, we can be darn sure our accountants would have issues too.

On one hand, it’s a crapshoot trying to guess what the next big trend will be. On the other hand, being an innovator is a surefire way to

promote your store’s and bar’s standing in the popularity competition. By looking at today’s trends and seeing what’s hot now and what has been hot in the past, we can try to determine what will be hot in the future. As the old saying goes, “If you know where you’ve been, you’ll know where you’re going.”

Domestic Draught BeerAccording to LDB statistics, domestic draught beer sales in 2007 decreased slightly from the previous year. Interestingly, while the commercial breweries still commanded the lion’s share of sales, craft draughts showed an increase of 13%, while brew pub draught sales increased 6%. Consumers are showing more interest in regional and specialty beers, which offer unique and interesting flavours. Microbreweries are paying attention to the little details, such as the

Beer Trendsby Carrie Powell-Davidson & Debbie Minke

u

13

quality of ingredients, as they prepare small batches for the discerning public. Brew pubs are also gaining in popularity, offering their unique varieties of freshly brewed beer for consumption on the premises or to be enjoyed at home in small kegs.

Imported Draught BeerEnglish draught sales showed a large decrease in 2007, down from strong sales levels in previous years. Belgian draught continues to show a rise in the popularity polls, while draughts from Holland show a steady increase.

Imported Beer Market - Draught Sales in LitresCountry 2006 2007 % Change

Belgium 938,530 1,153,520 22.9

England 110,080 82,000 -25.5

Holland 349,000 395,250 13.3

Ireland 1,330,550 1,313,500 -1.3

Source: Quarterly Market Review, December 2007, LDB

Domestic PackagedThe commercial breweries are showing a very slight decline in domestic packaged beer sales with -0.6% for 2007, while the micros are up 22.1%. Many brew pubs have started bottling their beer so we see quite a hike in their packaged beer, up a whopping 68.2% from 2006.

Imported Packaged BeerWhile packaged domestic beer continues to outsell imports, consistent upward growth is evident in the imported packaged beer category. Perhaps the rise in immigration and the ever-expanding global tastes of the public have contributed to this trend. Baby boomers are drinking less, but choosing better quality beverages, so international beers have received more attention. Beer and food pairings are in vogue, and import beers vary greatly in style from the domestic offerings.

Imported Packaged Beer - Sales in LitresCountry 2006 2007 % Change

Belgium 3,626,661 4,041,605 11.4

Denmark 790,353 902,541 14.2

Germany 2,613,662 2,967,059 13.5

Holland 5,243,227 6,161,107 17.5

Mexico 9,095,825 10,845,004 19.2

United States 7,952,386 8,825,333 11.0

Source: Quarterly Market Review, December 2007, LDB

Non-Alcoholic BeersLike it or not, the drinking public is consuming less alcohol. Awareness of the effects of excessive alcohol consumption on health has increased, and society has done a great job of making us aware of the dangers of drinking and driving. Whatever the reason, a good selection of non-alcoholic beer caters to this growing sector. Most of the popular beers in this category come from outside of Canada.

Organic BeersIs there a trend here? Maybe not yet, but as more and more organic beers make their way to market, this may be something to watch out for. This has certainly been a consideration in the wine world, and as with so many other aspects, beer just seems to follow where its alcohol cousin leads.

Cooking With BeerBeer has caught the fancy of chefs and customers alike, adding flair and flavour to many offerings. It can be used for marinating, deglazing, poaching, braising, stewing, and even baking. Try offering some beer batter vegetables, beer-marinated steaks, or a chocolate cake made with stout to add pizzazz to your summer menu.

Have a hoppy summer!

1�

P u b l i C a n /s u m m e r 2 0 0 8

sPi r it sPotligHtby Carrie Powell-Davidson

Flavoured VodkasWhen vodka first exploded onto the North American party scene around the middle of the last century, it was its mixability that made it a huge success with bartenders and imbibers alike. We were mixing it with everything from orange juice to beef bouillon and loving the illusion that no one could tell we were drinking it because it was supposedly odourless and tasteless. Then in 1962, the unthinkable happened. Bond, James Bond, ordered a vodka martini, and suddenly we were drinking straight vodka and loving it. By the mid 80s, even the most ardent of straight vodka fans were growing tired of the alcohol taste, and they started looking for flavours. The marketing gurus from Absolut jumped all over this and their Peppar Vodka introduced North Americans to flavoured vodkas.

Americans have had a love affair with flavoured vodkas almost from the start. It took Canadians a little longer to catch on. In fact, we were creating our own flavoured vodkas using infusions of multiple ingredients such as vanilla beans, fruit, and spices. These infusions were pretty to look at (until they rotted) but the trend didn’t really catch on. Fortunately, our passion for flavoured vodkas did catch on, and today we are seeing more and more flavour options available to us in liquor stores.

The art of flavouring vodka has its roots in the early production of the non-flavoured variety. What began as an attempt to mask the crudeness of the first primitive vodkas soon became a testament to the skill of the distiller. The extra ingredients were added to the vodka, but then it became a talent to know what should be in there, in what form and for how long. Not all ingredients require the same amount of “steeping”, so knowing which items to remove (and when) before they created bad tastes also became part of the skill. Once all that flavouring has taken place, filtering ensures the clear liquor is free from all tiny bits.

With the success of Absolut’s Peppar Vodka, the company quickly followed up with Absolut Citron. When those flavours were well received, they immediately set to work on new options and soon released Kurant, Mandrin, Raspberri,

And finally, there seems to be an emerging trend in the UK. Brits are having fun creating their own flavoured vodkas using candy. Simply crush 4-5 bags of Skittles (remove the green ones or your vodka will go brown), jelly babies, mint Aero bars or whatever candy you like, and add it to vodka. Shake the bottle often and check for doneness. They use coffee filters to get all the broken bits out. Sounds weird? How about Bacon Vodka? Apparently, it’s great in a Bloody Mary or a Pickle Juice Sport. Happy infusing!

Vanilia, Apeach, Pears, and Ruby Red. Not to be outdone, other vodka producers introduced their line of flavour fashions. Smirnoff, Stolichnaya, Van Gogh, Skyy, Grey Goose, and Finlandia have all released flavoured vodkas of their own. While North American palates tend to go for the more fruity flavours, traditional vodka producing countries still favour plant material such as St. John’s wort and bison grass. As good as that sounds, there are vodkas flavoured with strawberries, black cherries, green apples, limes, watermelon, cranberries, pomegranates, blueberries, blackberries, black currants, passion fruits, mangoes, bananas, pineapples, melons and even caramel, espresso, chocolate and cinnamon. Not all of these are stocked in government liquor stores, so you can offer your customers some unique flavours.

There are literally hundreds of recipes for cocktails made with flavoured vodkas.

Here are a few new recipes to add to your list:

Luxury Martini1 oz Absolut Raspberri Vodka

½ oz white crème de cacao

½ oz Godiva White Chocolate Liqueur

½ oz Chambord

Dash of cream

Shake and strain into a chilled martini glass.

Coffee Cake1½ oz Van Gogh Espresso Vodka

½ oz Baileys

¼ oz cinnamon schnapps

Shake and strain into a chilled cocktail glass.

Note: Try espresso vodka with Frangelico or amaretto.

Pomegranate Sunrise1 oz Van Gogh Pomegranate Vodka

1 oz Grey Goose L’Orange

3-4 oz orange juice

Shake and strain into a margarita glass or build over ice into a sling glass.

Drizzle grenadine in a circle and garnish with an orange slice.

Hot August Night2 oz Smirnoff Green Apple Twist

½ oz Amaretto

4-6 drops white vermouth

2 splashes lime juice

Shake and strain into a cocktail glass and garnish with a cinnamon stick and apple wedge.

Blueberry Sling1½ oz Stolichnaya Blueberi Vodka

4 oz cranberry juice

Splash soda

Build in a sling glass and garnish with a lime wedge.

1�

BLACK CYAN

YELLOWMAGENTAPrint Scale: 100% Op: Marny

Trim Size: 8.5" W x 11" H Live: n/a Bleed: .125”

Colour: 4/C Line Screen: 150 line Logos: Repro

Fonts:

P77331 GIB • Hefeweizen Publican AdSAATCHI& SAATCHIDrum

P.604.687.8852F.604.687.7003

Proof: 104.13.07@12.45PM

P77331 Hef Publican Ad.qxp

Helvetica , ITC Officina Sans, Goudy Old Style

Hefeweizen(Hay-fuh-vy-tzen)

Thanks for making HefeweizenBC’s favourite patio beer.

1�

P u b l i C a n /s u m m e r 2 0 0 8

It may be called the Hideaway, but there is nothing hidden about the Hideaway Pub and Liquor Store on the Trans Canada Highway in Salmon Arm. This high-traffic location has become a regular stop for vacation travelers in the Shuswap as well as locals.

Gord Erickson and his business partner purchased the pub seven years ago while it was still a restaurant. Three years later, new partners Bob Stubbins and Cliff Michael joined them, and they added the LRS. A year later Gord’s original partner was bought out, and a major renovation on the pub was completed, taking it from an Irish pub concept to the art deco, sports pub it is today.

The décor of the pub reminds me of a Florida beach bar with garage doors opening to a sunny patio, exposed aggregate floors, and lots of bright colours. In a word, the décor says, “Party!” which fits in nicely with the pub’s theme: "When it comes to a great Party...there's only one way, the Hideaway."

One unique feature of the Hideaway is a self-contained off-track

betting room. Operated by TBC (The Betting Company), the off-track room provides patrons with a multitude of video screens showing horse races from around North America on a continuous basis. Wagers are made with a representative of TBC who sits in that room, and food and beverages are supplied by the pub. As Gord points out, “We get a different clientele in the off-track room. These aren’t patrons that we might otherwise see in the pub, so it’s great additional business for us.” The closest casinos are located in Kamloops or Kelowna, so the off-track betting room at the Hideaway has proven to be a popular spot with local gamers. Since Salmon Arm is a resort town, the off-track betting room is a big contributor to the pub’s success throughout the winter months.

Local support is critical for any operation that relies so heavily on summer tourist traffic. Gord makes sure the locals have a reason to keep coming back to the Hideaway. Every month the pub promotes a special theme, kicked off with a themed party night. May’s theme was Mexico with special food offerings, drink specials, bands, decorations and a fiesta party to bring the regular patrons in. The sports aspect of the pub also keeps

1�

P u b l i C a n /s u m m e r 2 0 0 8

The

Hideaway Pubby Jonathan Niven

The Hideaway on the Highway

1�

customers happy with major sporting events such as UFC, football, and hockey playoffs. (OK, let’s not talk about hockey playoffs…)

With a 152-seat license, keeping the pub busy in the off-season can be difficult. “We’ve tried very hard to have consistency with our food. Our portions are huge and the quality is great,” says Gord. “It also helps that I was born and raised here, so the locals really support me.” Of course, like almost all successful neighbourhood pubs in this province, Gord also supports the community in a big way. He tries to use as much local talent in the pub as he can, especially on event weekends, and also holds fundraisers for worthy causes.

Gord and his partners lease the property that the pub and liquor store are on from the local First Nations. They just leased out the property beside them, which will be converted into a country cabaret. While some operators might not want a nightclub right beside them, Gord sees it as a great opportunity. “It will create an entertainment destination,” he explained. “I can see people coming here for dinner and drinks, then going next door to dance, and coming right back for a quiet drink. It gives people another option and one more reason to stop here.” Of course. the LRS will also benefit greatly from the addition of the club next door.

The LRS has become a tremendous success, and is one of the most unique LRSs in the province. Partly due to the influx of summer vacationers, especially houseboaters heading out on a week’s vacation, the LRS has become THE place to stock up on liquid libations. Ample parking, highway frontage, and great signage have helped to attract many a passing tourist. But that’s just part of the story. Gord and Pat Brede, his LRS manager, have turned this 3,800 sq. ft. store into much more than just a liquor store. Pat searches all over the province to find unique items for sale. Logo apparel is a big hit of course, but the store also features novelty items, souvenirs, fireworks, adult novelties (a big hit with the houseboaters), games, and other great merchandise.

For the locals, the LRS has a rewards point system, so patrons can redeem earned points on a wide range of merchandise, from drinking glass sets to bar fridges.

Pat also puts together gift baskets for clients. At Christmas, the Hideaway gift baskets are a huge seller. One corporate client in particular comes in every year and orders 20 baskets for his clients. This kind of innovative thinking is making the Hideaway LRS one of the busiest in the province.

The store devotes significant floor space to local wines from the Interior and has a wide selection of import and domestic beers. There is even a walk-in cooler with larger beer products (24s) that sees non-stop traffic in the summer.

If the pub and the store are not quite enough to keep Gord busy, he also has a thriving catering business out of the pub’s kitchen. The catering business serves banquets, meetings, parties, and wine festivals throughout the year.

Gord’s endless energy and infectious smile have helped make the Hideaway a very successful pub in the past seven years. As we sit talking on the sunny Shuswap patio, European tourists rush up to give Gord a warm hug. They were last in Canada three years ago and have stayed in touch with Gord. They’re now planning to spend a couple of relaxing weeks in one of the most beautiful vacation spots in the world, and quite a bit of that time will be under an umbrella on the Hideaway’s patio.

Returning guests and regulars alike make Gord’s job very enjoyable. As he says, “Have fun - life’s too short!” It’s a pretty good philosophy to live by.

18

P u b l i C a n /s u m m e r 2 0 0 8

it’s difficult to escape the fact that both the alcohol and liquor service industries are intrinsically tied to the concept of risk. Health risks, risk of injury, and high risk

behaviour are often touted as the result of too much alcohol, while for licensees the phrases “risk of litigation”, “at risk of losing license” or the risk of being associated with crime or gang activity are enough to send shivers up the spine.

In an ideal world, a constant flow of patrons would consume reasonable amounts of alcohol, and minors would have neither the desire nor the resources to enter a licensed establishment, while door staff would manage

crowds with absolute precision and total cooperation from those waiting to enter. Everyone would enjoy themselves immensely, and leave the premises quietly and respectfully in a readily available taxi.

Reality, of course is somewhat different. It’s easy to point the finger at unruly patrons, cite other establishments that push the boundaries, or simply call for more policing, but evidence from countries with similar problems indicates that a cooperative approach is by far the most effective way to manage and mitigate risk. Canada is not the only country participating in a sensitive juggling act, ensuring the health and safety of the population, while at the same

time supporting this multi-billion dollar industry, which is a key provider of employment, tourism, and tax revenue.

Two of our commonwealth compatriots, England and Australia, are regarded as frontrunners in creating grassroots solutions to the problems faced by everyone associated with the liquor industry. Despite the irony of achieving this status as a result of reacting to social and industry problems, the proactive approach now being taken in both countries provides an excellent model for Canada.

The federal government of the UK - a country famous for its quaint pubs and infamous for its “lager louts” - published a multifaceted national

Risky Business by Sandy Yates

1�

alcohol strategy last year. Titled Safe. Sensible. Social., the strategy details national and local action to deal with alcohol related problems, from ill heath to crime. Strong emphasis is placed on establishing local partnerships to tackle these issues, and participating licensees go far beyond merely meeting the requirements of their liquor license. Joint efforts between the community, police, transport providers, and other pubs and clubs in the area is proving the most effective way to reduce alcohol-related crime, injuries, and anti-social behaviour.

Throughout the UK, many licensees have taken it upon themselves to establish voluntary operations focusing on compliance, public safety, and stakeholder cooperation. Pubwatch is a community-based crime prevention scheme organized by groups of local licensees which work hand in hand with police. Best Bar None is an awards scheme that provides incentives for licensed premises to improve their operations to a commonly agreed upon national benchmark. Both these industry initiatives are excellent examples of licensees creating their own best practices and the federal government has thrown its full weight behind these programs.

Similarly, in Australia, Liquor Accords were instigated by a publican in the notorious Kings Cross district of Sydney in 1998. Utterly fed up with the divisive approach to problem solving, John Franks founded the concept of Liquor Accords, whereby police, local government representatives, transport authority officers, and resident groups banded together to identify problems, come up with workable solutions, and take responsibility for the outcomes. Ten years later, over 150 accords are operating in regional and metropolitan areas throughout the state of New South Wales. The relevant

government office now has a department responsible for these accords, and the updated Liquor Act 2007 outlines new requirements for liquor accords.

Two distinct themes emerge from the experiences of Australia and the UK. Firstly, there is no “one size fits all” solution to the risks around licensed establishments and alcohol. Local issues require local knowledge, cooperation and solutions. Challenges for bars on Granville Street in Vancouver, for example, differ vastly from issues faced by licensees in Prince George or Nelson.

Secondly, when owners take action, government support follows. The most effective and long lasting schemes have been instigated by proactive licensees who have the knowledge and experience to implement effective strategies. And let’s face it - it’s far more preferable to have government backing than government imposed conditions and solutions fashioned from the desk of a bureaucrat.

Like it or not, the upcoming Olympics will have a major impact on our liquor industry. Media and public perception is massively heightened

and any incidents in or around bars, pubs, or nightclubs will be placed in the spotlight. Rather than wait with fingers crossed, now is the ideal time to review your own systems, identify potential problems in your establishment, and most importantly, take action! Proactive behaviour benefits not only the individual operator, but also the industry as a whole.

When it comes to the best of best practices, here are some suggestions for dealing with current issues, pre-empting problems, and ensuring efficient and safe management of your establishment. Audits and other inspections are

20

P u b l i C a n /s u m m e r 2 0 0 8

best conducted on an annual basis by an experienced external operative, but if that’s not possible, you MUST make observations through the eyes of an outsider, which is easier said than done!

Compliance Audit - Do an in-depth analysis of your business with respect to compliance and the management of your liquor license. Review all your current policies and practices and make sure they meet, if not exceed, all the criteria.

Systems and Security Audit - This audit is a comprehensive appraisal of how your venue approaches security and public safety, both inside and in the immediate vicinity. Consider the resources currently being used, both human and automated - are they adequate, can they be improved, or is it time for a total overhaul?

Check, Check, and Check Again - ID, that is! The BC government has a zero tolerance policy when it comes to minors on premises, and underaged would-be drinkers can be very creative in their attempts to get in. All staff should be proficient in ID checks, including how to recognize a fake ID. Bar staff and servers should never assume that a young patron has entered legitimately and has been properly checked at the door.

Incident Register - A formal register is a vital tool to record details of any incidents that take place in your establishment as well as any action taken by management, staff, and security. A paginated book with triplicate copies is ideal as the potential for “fudging” is minimized.

Daily Diary - This is a seemingly innocuous document that can alleviate all sorts of trouble! The diary is essentially a checklist of daily events, which creates the habit of continued compliance and evidence of due diligence if needed. It also allows you to monitor staff levels of compliance.

Bar Marshal - Neither server nor security, the bar marshal’s role is to observe the behaviour of patrons (and in some cases staff) through unobtrusive interaction. If people are becoming unruly or are being overserved, the marshal can take subtle action to prevent any trouble.

Staff Training and Meetings - Communication from top to bottom and back again is vital in every establishment. Regular meetings encourage all staff to share their experiences, air their grievances, and suggest solutions. Short training sessions held before each shift can highlight key concepts and encourage ongoing learning.

Individual Policies - Only you know the specific issues that apply to your venue, so don’t be afraid to be creative in finding solutions. For example, if late night intoxication is a problem, consider a “no shooters” or “no doubles” policy after 11:00 pm. If late night transportation is lacking, negotiate deals with bus and taxi companies to ensure your patrons get home safely.

Owning a bar can be a risky business, but foresight, communication, and preventative action can minimize the risks.

Sandy Yates is a Managing Partner of BHARhouse Solutions, liquor licensing advocates for the bar, hotel, and restaurant industries. For more information, visit www.bharhouse.com.

21

WHat's n eW?reFresHmentbeVerages MandraRossa Fiano 2006, Sicily - From the perfect Mediterranean

climate and terroir, this white wine has notes of banana, pineapple, vanilla, peach, and herbal tea. Fiano's racy acidity makes it perfect for foods with high fat content like creamy cheeses, salami and sausages, and heavier dishes such as veal, pork or poultry. $12.99

Vina Chocalán Rosé Selection 2007, Chile - Made from syrah and petit verdot grapes, this fruity, crisp wine has aromas of fresh strawberries and raspberries. There’s an excellent balance between body, acidity, and sweetness. The wine does well before, during, or after dinner. $12.99

Zantho Muskat Offonel, Austria - This is a nice, light wine to enjoy in the summer with aromatic hints of white flowers and lilac together with a fine minerality. On the palate this wine offers spicy fruit notes with balanced acidity. It pairs well with salads or fish, or can be enjoyed as an aperitif. $19.95

Chateau Ste. Michelle Indian Wells Chardonnay 2006, Washington State - This white wine offers pineapple and mango aromas with hints of fresh red apples and ripe apricots. It has a nice, crisp balance. Great for summer sipping. $27.99

Crios de Susana Balbo Malbec 2006, Argentina - This malbec boasts aromas of freshly crushed black cherries and toasty oak. On the palate, the flavours of cherries and spice are obvious, and the jammy fruit quality keeps coming on strong, with hints of sandalwood and spice. $19.99

CIAO Organic Chardonnay & Sangiovese, Italy - Available in one litre tetra paks, this organic chardonnay boasts flavours of ripe pear and tropical fruit while matching a dry and full-bodied palate with well-balanced acidity. $13.99 The organic sangiovese has a lively ruby-red colour and a delicate violet scent. It’s dry and harmonious with a slightly tannic flavour. $13.99

Wine

Mojo is an alternative vodka beverage with guarana, a fruit from the Amazon that has approximately three times more caffeine than coffee beans in its seed. With 7% alcohol, each bottle also contains the equivalent caffeine of a cup and a half of coffee. It comes in three exotic flavours: Star Fruit, Dragon Fruit, and Tropical Fruit. $9.95 (4 x 330 ml plastic bottles)

Another new energy drink is coming to BC. Crazy Mexican combines tequila, vodka, ginseng and guarana in 2 flavours - lime and strawberry - for a marguerite-type beverage. $7.36 (4 x 300 ml slimline cans) Calorie counters might want to try Alive, a sugar free, low calorie vodka beverage that comes in three flavours: grapefruit, watermelon, and lime. $7.69 (4 x 300 ml slimline cans)

Smirnoff is introducing two new refreshing drinks for the summer. Smirnoff Blueberry Twist is made with the essence of blueberry and Smirnoff vodka. $22.18 (750 ml). For something completely different, try the new Smirnoff Twisted Strawberry Acai. This great new RTD combines fresh strawberry with the crisp flavour of the super food acai berry from South America. The result is a smooth refreshing beverage with just the right amount of sweetness. $8.73 (4 x 330 ml)

Seagram’s new Strawberry Lychee Vodka Spritzer is sure to be a hit. The delicate sweetness of lychees is paired with the flavour of freshly picked strawberries in this refreshing beverage. Its all natural flavours, low sugar, and light carbonation will make it a popular choice for the health-conscious. $8.22 (4 x 341 ml)

Woodstock is a bourbon and cola mix, a product that has enjoyed great success in New Zealand and Australia. $8.43 (4 x 330 ml cans). Mudshake RTD (ready to drink) beverages are expanding into two new flavours - Piña Colada and Tropics - just in time to hit the shelves for the summer. $8.46 (4 x 270 ml)

SENSE Rose Nectar is a unique new mixer made from the nectar of the Kazanlak rose from central Bulgaria. It can be mixed with vodka, tequila, cognac, rum, gin, sake, and champagne. $3.95 (12 x 250 ml)

beerThe Rogue Brewery in Oregon introduces

its extensive lineup of brews made without

chemicals, additives, and preservatives. From

American Amber to Brutal Bitter, from Dead

Guy Ale to Chocolate Stout and Hazelnut

Brown Nectar, the choices are impressive.

Most are also available in draught. $5.75-

$5.90 (12 x 650 ml) Other sizes are offered

in selected labels.

by Debbie Minke

22

P u b l i C a n /s u m m e r 2 0 0 8

ldb rePortby Katharine Jowett

First, my thanks to all of our customers for their patience and understanding during the recent implementation of the Wholesale Order Management (WOM) system. There are always unexpected events in any major project that impacts all facets of a business - ours was invoice formatting. We are pleased to announce that the revised invoice is now in place.The WOM system replaces our old legacy systems and provides the foundation for us to build an online web-based ordering process (web store) - a key request from our wholesale customer research. Over the next few months we will be engaging an industry pilot group to provide input on site development and our preliminary online ordering system.The LDB web store will be implemented in a phased approach, so that we can measure response time and system capacity as the site progresses, to ensure maximum customer satisfaction.

PHASE 1

June 2008 Industry test group presentation

July - Aug. 2008 Industry test group working pilot

PHASE 2

Sept. - Oct. 2008 Roll out to expanded test group of approximately 50 customers (LRS outlets only)

PHASE 3

Timing to Availability to largerbe determined customer audience

The LDB web store will have four different ordering methods:1. Build online shopping carts, item by item, using product searches of the web catalogue

2. Quick item entry (customer must know SKU numbers of items)3. Use of an already “saved” online shopping cart which can be modified before submitting an order4. Upload a CSV file from an Excel spreadsheet, customer’s point-of-sale system data, or data drawn from a previous order entered by one of the Wholesale Customer Centre’s data entry clerks.

One of the benefits of the new online web store ordering system will be the product search capability. Customers will have the means to sort by wholesale product and refine searches to reflect those products only available to wholesale customers. Margin enhancement is key for private retailers and this tool will allow access to a wholesale catalogue of products.Registered web store customers will also have access to featured reports such as top 25 ranked wholesale product sales (wines, spirits, and refreshment beverages), new listings and de-listed products, existing policies and policy changes, user guides, and market trend reports.As always, we look forward to your constructive feedback to help us ensure we are meeting our customers’ needs. We know that websites and online ordering models are journeys and not destinations, and we expect the initial site to change and evolve based on customer feedback.In this regard, we hope you have received your wholesale customer survey by now, which asks for customer feedback on online ordering. If you have not already done so, please take the time to fill it out and send it to our research partner, Corporate Insights.I look forward to providing you with more information on the progress of the LDB web store in future issues of The Publican.

Katharine Jowett is the Director of Wholesale Business at the LDB.

23

lClb rePortby Karen Ayers

The Enforcement Hearing Process Licensees often ask about our enforcement hearing process and the factors considered in determining whether to recommend enforcement action. It is important and gratifying to note that the vast majority of licensees voluntarily comply with BC’s liquor regulations. If a liquor inspector believes that an establishment has contravened the Liquor Control and Licensing Act, its regulations, or the terms and conditions of a licence, the inspector must issue a Contravention Notice as required by the Act. The inspector then reviews the alleged contravention against our branch file for the establishment, looking into compliance history for the previous 12 months and any compliance meetings or other contact they may have had.

Every time an inspector issues a contravention notice, he will determine whether to recommend enforcement action in order to achieve voluntary compliance. The inspector will consider factors such as the licensee’s compliance history, the seriousness of the contravention, the evidence and circumstances surrounding the contravention, and any other relevant factors. If enforcement action is not recommended, the licensee may be required to attend a compliance meeting, the purpose of which is to promote voluntary compliance and assist the licensee in finding solutions for potential problems.

If enforcement action is recommended, the licensee will receive a Notice of Enforcement Action. The notice includes details of the

It is important to be aware that the hearing adjudicator is the de facto general manager in his decision-making role, complete with the general manager’s authority to impose penalty in this regard. Post-enforcement appeals to the general manager are not possible.

Possible enforcement action may include:

• suspension of the liquor licence for a period of time• imposition of a monetary penalty• cancellation of a liquor licence• amendments to the terms and conditions of the licence• transfer of the licence to another operator

If the adjudicator finds that a licence suspension or a monetary penalty is warranted, the adjudicator is obliged by legislation to impose the minimums set out in the regulations, in the very least, and may impose higher penalties when it is in the public interest to do so.

If licensees have specific questions about the hearing process, they are encouraged to contact one of our three Regional Managers, or the area liquor inspector. Liquor inspectors are a good resource.

Enforcement for the 2007/2008 Fiscal Year:

• Total Inspections: 11,449• Total Contraventions: 750• Contravention Notices issued: 482 • Notice of Enforcement Actions issued: 135• Enforcement Hearings: 28

allegation and the proposed penalty. The licensee has the option of disputing this allegation at an enforcement hearing. If the licensee does not dispute the contravention and is willing to accept the proposed penalty, he can sign a waiver. During the 2007/2008 fiscal year, 135 Notice of Enforcement Actions were issued. This number may include more than one contravention. Of these notices, 80 (59%) went to waiver. It must be noted that not all activity on these 135 notices is complete.

If a licensee does not sign a waiver, he will be asked to participate in a pre-hearing telephone conference to determine if an enforcement hearing is required. They will obtain his response to the allegations, clarify issues that will be addressed at the hearing, identify and discuss evidence, and arrange for the exchange of documents or other evidence. It is also an opportunity for the Registrar to explain the enforcement hearing process and set a date for the enforcement hearing. It is important to be aware that failure to participate in the pre-hearing conference may result in the licensee losing his opportunity for an oral hearing, and the general manager may make a decision based on written submissions only.

Enforcement hearings may be conducted in person, via teleconference, written submission, or any combination of these. After considering all evidence and arguments from both sides, the hearing adjudicator will decide whether the alleged contravention(s) occurred and what enforcement action, if any, is warranted.

2�

P u b l i C a n /s u m m e r 2 0 0 8

ncorporating proper cash handling procedures goes a long way to improving profits at a bar. Every bar should have a double check system in place and operating for all employees and managers. Following are some

recommendations for avoiding fraud in cash handling.

Monitor Comp and Void Reports It is an unfortunate reality that there are many instances where a bar manager will go into closed checks, after a server has turned in her paperwork, and re-close out a check to a comp or void. The manager then pockets the money! We've even seen this happen among family members. At a restaurant in Vancouver, we found one manager voiding $20-30 in take-out orders every night for years. The cost to the restaurant reached over $40,000 before it was discovered.

To eliminate this possibility:

• The owner should receive a daily void/comp report and monitor it.

• The server and the manager should be dropping an envelope of cash and credit cards into a safe together after each shift. Both should sign for the amount of money being dropped into the safe.

• A third person (bookkeeper) should be the one collecting these individual drops to make deposits at the bank.

Blind Drops A blind drop occurs when the bartender has to drop the cash in his drawer into a safe without balancing the cash to the register/POS. This helps eliminate a lot of the scams that a bartender can dream up by using his cash register as a holding area. If the bartender knows how much he

and Fraudby Lori Rubenstein

Cash Handlingi

2�

rang into the cash register, then he knows that he can keep anything over and above that amount. With a blind drop, this type of fraud is eliminated. Management should be looking for too many overages with blind drops, because that usually shows that the bartender is not ringing in all of the drinks that he charged his guest for.

Ring in All Drinks as they are Served This is an important control so that the manager can, at any time, watch the bar to confirm that all drinks are getting accounted for. With most POS systems, the manager could even watch the bartender serve a number of drinks and then look up the most recent transactions to see if those drinks were indeed rung up correctly. This practice also assists many honest bartenders who may just forget to ring in a drink if they get busy, intending to ring up the drinks later.

Ring in All Comps and Spills as they Occur For the same reasons, it is important that a manager can observe the bartender and confirm that all comped/spilled drinks are accounted for. Whether comps/spills are rung up into the POS system or written down, it is critical to see who is comping/spilling and how often they are doing it during a shift.

Present a Receipt for Every Drink Made There are a few reasons why your bartenders should always present receipts to guests. First, you should know that they are charging the guest the right amount and not adding a dollar as a tip. You should also know that they are actually ringing in an amount into the register and not just hitting “No Sale” in case anyone is watching.

Fake Walk Outs It should be every bar's procedure to collect a credit card number if a guest wants to run a tab. Remember, your guests are drinking and impairing their memory. So if a bartender says she had a walk out, but didn't collect a credit card number for payment, then she should be responsible for the money on the check, not the establishment!

Servers’ Drink Procedures A bartender should never make a drink for a server if it is only called out to them. Many POS systems will provide a bartender with a chit as an order, while others use the old fashioned ticket to order. When the ticket system is used at bars, make sure the practice of red-lining the ticket is in place so the server can't reorder the same item and use the same ticket again.

Cash Advances from Credit Card Receipts Employees who are short on cash might ask the bartender to place a charge on a credit card in return for cash from the register. The bar owner is now charged about 8% for this cash advance practice. In order to eliminate this practice, make sure that all credit card receipts have an attached detailed receipt.

Lori Rubenstein is an independent auditor for BEVINCO (bevinco.com), an inventory control service for bar and restaurant owners. Bevinco can be reached at 1-888-329-7884.

2�

P u b l i C a n /s u m m e r 2 0 0 8

ou’re having a good night. Cash is changing hands quickly as guests order more drinks to keep the evening going. It’s hectic, so you don’t bother checking to make sure that the cash you’re taking in is genuine. At closing time you notice that a couple of

twenties from the night’s receipts seem a little off. It turns out they’re fake. A counterfeiter picked out your busy pub as an easy target, or maybe a regular guest had no idea his money was bogus. Either way, you’re out forty bucks.

How to Avoid Counterfeit BillsChecking money to avoid counterfeit bills is quick and easy to do. With

some simple know-how, you can make sure that counterfeiters don’t take a cut from your hard-earned profits. You’ll also avoid inadvertently giving out fake bills to guests in their change. Use the word TiLL to help you remember how to verify that bills are genuine.

• Touch the bill. Pay attention to how real bills feel. Feel for the raised ink on the large number, the shoulder in the portrait, or the words “Bank of Canada • Banque du Canada” on the left side.

• Tilt the bill. Watch for the changing colours in the maple leaves and numbers of the metallic stripe.

Y

Checking forCounterfeit Cash

by Trevor Frers

2�

• Look through the bill. Hold your bill in front of a light source to check for three features at once: a ghost image (watermark) in the middle of the bill, a puzzle number matching the bill’s value, and dashes forming a solid line inside the paper. If your pub is dimly lit, hold bills up to your computer display or TV screen.

• Look at the appearance and action of each security feature carefully. It’s not enough to notice that a security feature is on the bill. You also need to look at the details of the feature to make sure that it appears and works as it should.

You can check several bills at once by fanning them out and tilting them to check the metallic stripe, or looking through them to verify the ghost image. Look for the odd one out.

Don’t feel that you have to accept older-style bills if you don’t know how to check them. Ask for current bills (the ones with the metallic stripe) and suggest that your guest exchange his/her older bill at the bank. Older bills don’t have the latest and best security features, which can make them easier to counterfeit.

How to Avoid Other Types of Payment FraudCriminals can try to compromise any form of payment, not just cash, so the Bank of Canada has partnered with several organizations to develop a free training kit called Fighting Fraud on the Front Lines: A Retailer’s Guide. The kit contains

a DVD and four fact sheets to help you avoid becoming a victim of counterfeit bills, payment card crime, cheque and money order fraud, and identity theft.

Don’t let the bad guys earn an easy buck on you. To order free anti-counterfeiting information or the Fighting Fraud guide, go to www.bankofcanada.ca and click on Bank Notes, email education@bankofcanada.ca, or call 1-888-513-8212.

Trevor Frers is the Bank of Canada’s Regional Representative for BC and the Yukon. His team raises awareness in the region about how to prevent counterfeit bills from circulating.

28

P u b l i C a n /s u m m e r 2 0 0 8

gismondi on Wineby Anthony Gismondi

summertime and the sipping is easyIs there anything more fleeting than summer in BC? Often it arrives early in April for a week or two and then disappears until mid-July before vanishing as quickly as it appeared by early September. Despite its quirky arrival and departure times summer has always had a special meaning for wine drinkers. For a few brief months the big hefty wines that control most wine store shelves and restaurant lists take a back seat to a broad category of wines that offer instant gratification and frankly are in tune with the warmer weather and the rush to the patio.

In the summer, there’s something about eating and drinking outdoors that is hard to resist. Wines that offer instant gratification are always welcomed by wine drinkers and at this time of the year, as the weather warms up, it’s the fresh, aromatic flavours of wine country we reach for. It’s amazing how a few warm days can transform a lightweight, fruity wine into a quenching patio favourite that has everybody asking to see the label. Remember light and fruity doesn’t have to mean flavourless and flabby, nor should the wine possess a finish that lasts longer than a weekend round of golf. The key characteristics to look for in the perfect summer sipper include a balance of fruit and acid, moderate alcohol, and a clean, crisp, refreshing finish.

Mineral, chalk, and citrus flavours are excellent white wine flavours;

red fruits and soft tannins are the attributes one associates with summer barbeque reds. Both types should work solo, as a patio sipper, or alongside a variety of summer inspired dishes.

Now that you are ready to start sipping, the question is, what should we be drinking? In the BC market we have a wide selection of styles from around the globe to choose from, and while they can be dramatically different, it’s the similarities that make them summer sipper candidates. In no particular order, these wines have few if any mouth-drying tannins, little or no wood, and an abundance of fruit, that when served in the right situation can be as pleasurable a wine experience as it gets. If you are ready to make the leap, read on and discover our list of grapes and/or types of wine that shout summer. All you need to do is add sunshine, a patio, and some small, light bites of food to complete the picture.

Aromatic WhitesThis is a category that is on every mind or palate nowadays led by riesling, gewürztraminer, and the many crosses we have come to know in BC such as ehrenfelser bacchus, and schönburger. The general style is a wine with perfumed, flowery aroma, mixing apples and apricots, while its flavour is often distinctively peachy or even orange. The best are now bottled under screwcap and should sell for less than $20 retail a bottle. Best sources include Germany, BC, Ontario, and Australia’s Clare Valley.

The other side of the aromatic spectrum includes wines that jump from the glass but are decidedly drier, such as sauvignon blanc, viognier, albariño, verdejo, pinot grigio/pinot gris, and even some chenin blanc. Each is a versatile patio wine, but all are better with food. Your sources here include South Africa in general for sauvignon and chenin blanc; Australia’s Adelaide Hills for sauvignon; Barossa Valley for viognier; Chile for coastal sauvignon; Marlborough, New Zealand for sauvignon; Spain’s Rueda region for verdejo; and Rías-Baixas for albariño. Finally, France and the Loire Valley, Sancerre, Pouilly Fumé, and Touraine are the best bets for sauvignon, while Vouvray and Anjou are your starting points for chenin blanc.

Roses and Lighter RedsLighter red wine is more of a challenge, but anything that doesn’t see a lot of oak would be a good start. Throw in some gamay, grenache, or zinfandel and you get the picture. Don’t forget the rosé. The latter seems to have more mouthweight than most whites, but does not overpower the food in the way red wine tannins might. Less acidity and lower alcohol are two key features of dry rosé, when compared with whites and reds, and that smoothness allows it to pair well with a variety of dishes both warm and cold. My rosé sources are global, but clearly Spain and the south of France get the nod especially where the core grape is grenache or garnacha.

Zinfandel leads the light red category, and it’s made for summer and the barbeque. My advice is to stick to the fruity, inexpensive offerings, not the big expensive blockbusters. Gamay, the grape behind Beaujolais, is the prime gamay choice, although a handful of varietal examples from Canada and California make new world gamay an interesting option.

Anthony Gismondi is the editor in chief at Wine Access - Canada’s Wine and Food Magazine, and is completing his 19th year as the weekly wine columnist at The Vancouver Sun. For more reviews log onto www.gismondionwine.com.

2�

PUBLICANTHE

•Attracting New Customers•Setting Up Your Back Bar

Book your ads for the Fall 2008 issue by July 18th.Call EMC Publications at 1-800-667-0955

Fall 2008

Human resourCesby go2

summer staffing issuesFor an industry that traditionally employs young people, the summer months can be particularly challenging when it comes to retaining staff. Thankfully, the hurdles aren’t insurmountable - they just require some creative leaps.

“The challenge is that we really need people on nice, sunny long weekends,” acknowledges Kim Haakstad, Executive Director of ABLE BC. Enticing people to work while their friends are soaking up rays at the beach or enjoying a backyard barbeque isn’t always easy.

“The fortunate thing is, our industry is fun and social,” says Haakstad, who notes that this atmosphere is a natural fit with a young, energetic demographic. “Our busy periods mesh with university and college schedules…plus tips on top of salary are a great way to save for tuition, that trip to Europe, or a first car,” she explains.

But in order to keep young people happy at work, despite the tempting sunshine, pubs have to recognize the emphasis that most young people place on workplace values such as camaraderie, flexibility, and career advancement. In fact, pubs that have embraced an HR policy that reflects these tenets will likely find they are better equipped to cope with the added challenges of summer staff shortages.

Filling cook positions in pub kitchens can be particularly tough. “Kitchens can be very hot, and consequently unappealing in the summer months,” says Haakstad, who notes that by offering apprenticeship programs pubs can sometimes entice otherwise reluctant workers. Once they’ve gotten staff in the door, things like regularly scheduled social events, flexible work hours, and bonuses to returning employees can help to ensure that the fire in the stove stays lit and the drinks continue to flow.

Pubs could also consider offering concrete incentives to keep staff from feeling the sting

of missing out on vacation time in the summer. “How about offering employees an extra day or two of paid vacation if they agree to take time off in the winter months, or giving Labour Day bonuses to those seasonal staff who fulfill the entirety of their summer contract?” suggests Haakstad.

And while keeping younger staff primed to work throughout the sunny summer months might appear to involve creative thinking and a little extra effort, Haakstad notes that the dividends are definitely worthwhile. “Young people bring energy and enthusiasm, and they have the stamina to stay on their feet for long periods of time,” she says.

Mariana Fiddler, owner of Rhino’s Pub in Coquitlam agrees, “I definitely rely on students. In fact, come summer, I try to hire as many as I can so that I can give my full-time staff members a little extra time off.” Fiddler has found that the simplest staff retention strategies are often the most effective, regardless of the season. Her principal human resource initiatives revolve around scheduling. “Whenever possible, I try to give my staff two days off in a row, to simulate that weekend feel. Everyone needs a proper break in order to recharge. I also remain aware of the fact that when people close, they shouldn’t then be asked to open the next day. Finally, I try to fairly rotate weekend shifts, so that everyone has a chance to enjoy that time off with their family and friends. My human resources philosophy really revolves around the Golden Rule: I have to respect my staff if I want that respect returned.” Fiddler’s plan has worked. “My phone has really started to ring; all my students are eager to come back again this summer.”

Suzanne Westover is writing for go2 - The resource for people in tourism. For more information on using human resources to improve your business’ bottom line, visit www.go2hr.ca.

•Managing Labour Costs•Wine Varietals

30

P u b l i C a n /s u m m e r 2 0 0 8

A.B. Seating 18Abcco Products 12 AsomBroso 13BC Hosp. Industry Conf. & Exposition 30Barnet Logic Group 24Bruce Ashley Group 27Budget Food Equipment 33Canadian Restaurant Supply 25Cantex Equipment 8Cherry Point Vineyards 10ContainerWorld 28David Herman & Son 11Dead Frog Brewery 22Direct Cash 8, BCEnergy Wise 18Grand Marnier IBCGranville Island Brewing 15Greenbank Murdoch & Company 6Homelife Benchmark Titus Realty 9Johnstone's Benefits 27Landmark Selections 11Lothar Heinrich Agencies IFCMair Jensen Blair 26Mark Anthony 10Markat Services 11Matthews Campbell 18Merchant Fast Cash 19Molson Canada 20Mt. Begbie Brewing 10New World Wines 10Nons Drinks to Go 10Pooles Rock Wines 5Prosperous Financial & Insurance 25Prudential Sterling Realty 23Stewart Johnson Law Corp 29Time Access Systems 9Tree Brewing 7

list oF adVertisers

<<<BACK IN TIME

Ask Your Liquor Board1979 Patron capacity was decreased from 100 seating capacity and 25 standing capacity to 75 seating capacity, with previously approved D licences grandfathered.

1980 Legislation was passed to decrease seating capacity for new applicants to 65 seating capacity, with all previously approved licenses grandfathered.

1985 Neighbourhood public houses became eligible to apply for licensee retail stores.

1986 Sunday hours of sale were permitted enabling neighbourhood public houses to open seven days a week - driving force for this regulation change was Expo 86.

1987 As a result of a Liquor Policy Review, a maximum of 20 seats on an outdoor patio were permitted in addition to inside pub capacity.

1988 Legislation was passed to preclude neighbourhood public houses from being eligible to apply for licensee retail stores.

1992 Legislation was passed to enable neighbourhood public houses to participate in the Designated Driver Program allowing limited extra seating capacity.

1993 Legislation was passed to allow neighbourhood public houses having a licensee retail store earlier hours of sale on Sunday. Operating hours could begin at 9:00 am rather than the previous 11:00 am.

Published in the Summer 1993 issue of The Publican.

31