Tuesday, September 27, 2022

Update on Increasing Liquor Store Profits by Using Dual Pricing

 Due to the popularity of my previous post about how liquor stores can instantly increase profits by using Dual Pricing, I have reached out to a couple of liquor stores who have agreed to provide data and feedback as they start using Dual Pricing in their stores.

The key metrics that we will be tracking are:

  1. Net decrease in merchant services fees paid (processing fees)
  2. Net change in monthly gross sales
  3. Net change in average transaction amount
  4. Customer complaints/customer loss

All of these stores will be using Dual Pricing as part of the Cloud Retailer liquor store point of sale software.

It will likely take a good 30-45 days to gather all the data but initial feedback is that Dual Pricing is covering around 90% of their merchant services fees resulting in a monthly increased profit of $2400 to $2800/month.

Some customers have complained but these are:

  1. Customers who only buy loss leaders
  2. Many of the customers who complained came back the next week which matches industry data that 98% or more of customers won't change their buying habits

If you have a beer, wine, or liquor store in the United States and have questions or feedback on Dual Pricing, please contact me at kevinantosh@gmail.com or 208-340-5632.

Tuesday, September 6, 2022

Cash Discounting, Credit Card Surcharging, and Dual Pricing

 One of the biggest trends that I have seen over the last few months has been more and more liquor stores in the US offering different prices when it comes to customers paying with cash versus paying with credit. While some states ban the use of offering a cash discount or applying a credit card surcharge, it appears that the use of Dual Pricing is allowed in all 50 states.

Dual Pricing has the advantage of creating instant additional revenue for most liquor stores as the fees paid for merchant services are mostly paid for by the customer. 

There are some other advantages well but I'm still learning about how Dual Pricing works. Here are some great Dual Pricing resources that I found online:

Beer, Wine, and Liquor Store Point of Sale Software with Dual Pricing: https://www.dualpricing.cloud/

More in depth explanation of Dual Pricing: https://northamericanbancard.net/dual-pricing/