Foxtrot co-founder and CEO Mike LaVitola discussed the disruptive convenience and delivery chain’s beverage alcohol business and strategy during the Brewbound Live business conference in Santa Monica, California, earlier this month.
The Chicago-headquartered store sells a curated selection of beer, wine, spirits, packaged foods, grocery items, personal care products, among other offerings. Many Foxtrot locations also offer an on-premise experience throughout the day, serving as a coffee shop in the morning, a cafe at lunchtime, and a bar in the evening.
“Part of the founding of Foxtrot was to be a home, be a retailer for this sort of next generation of brands and to also be somewhat of a curator and a filter on where people should be spending their time,” LaVitola said.
Alcohol accounts for 40% of Foxtrot’s overall sales, and beer accounts for 10-15% of sales, which varies by store. At present, Foxtrot operates 12 stores in its hometown of Chicago, two in Dallas, and three in Washington, D.C.
LaVitola shared tips for beer industry suppliers looking to gain placement in Foxtrot stores.
“The first one is it has to taste amazing, right? I mean, it sounds basic, but everything starts with tastings and blind tastings,” he said. “Anything that we’re adding now is taking shelf space away from something that’s previously there, and so, it has to have a point of view. It has to fit a niche.”
Foxtrot prides itself on bringing new and undiscovered products to market, and serving as an aspirational retailer for the industry.
“The thing that we spend a lot of time on and try to stay true to is being either the first retailer for a lot of new and emerging brands, or wanting to be the shelf space that all the best brewers and other alcohol providers want to be at,” LaVitola said. “We are very open and receptive to everything new happening out there.”
Watch LaVitola’s full conversation with Brewbound editor Justin Kendall below.