Setting a Minimum for Credit Card Transactions in a Liquor Store. Are You Selling Alcohol Responsibly?

Finding ways to offset credit card fees is becoming the goal and practice of retailers all over.  There’s good reason why: the costs to accept credit cards are astronomical.  

We see it in gift shops, ice-cream shops, at the mechanic… It feels like it’s at every restaurant now.  It’s showing up seemingly every lately.  There are many methods that you may have seen retailers deploy to recoup or lessen their CC fees.  Surcharging, convenience fee, cash discount, Dual Pricing, random line-item fees, and even requiring a minimum sales total (like $5 or $10 minimum) to use a credit card as payment.  

We aren’t going to get into the pros versus cons of each, but rather, we’d like to focus on one method: requiring a minimum purchase and the effect that it could have on the liquor industry.  

If you are a conscientious liquor store operator, you are one who takes seriously the responsible sale and consumption of alcohol.  You know that some customers have addiction problems.  You know that protecting these customers is part of being a responsible citizen and important to protecting the industry.  Some states even restrict the “incentivizing” of alcohol sales.  

Here is an important question:
Is a $5 or $10 minimum transaction for credit card use rule putting your customers in danger?

The customer who comes in to buy a NIP may be purchasing it because if they bought a pint, they know they would drink it all.  Credit cards account for 82% of total sales on average.  Using a card is hard to escape for many.  Is a $5 or $10 minimum transaction for credit card use rule putting your customers in danger?

When I worked in a liquor store, we told our people never to push a customer to buy a 24 pack (maybe on sale) when they came up with a 6 pack.  If the customer wanted a 24 pack that’s what they would have grabbed!  Alcohol used responsibly enriches socialization, relaxation, etc.  It is a great thing, but it also can be dangerous, which is why we all have jobs!  It’s why liquor stores are and SHOULD be separate from grocery.  We reminded staff that they did not know what is going on in someone’s personal life and shouldn’t assume – and therefore give the customer room to make the best choice for THEMSELVES.

If you want to recoup your fees, consider something we’ve seen work in 100+ liquor stores: Dual Pricing.  This means having a cash price and a card price.  Not only can you get your credit card fees back, it may be a more responsible way to distribute alcohol.  You can protect sensitive customers and accomplish the same goal (and then some). Win, win.  Better still, everyone is “allowed” to use their card for ANY size purchase.  Simple.