Why You May See Kirkland Signature Products On Local Liquor Store Shelves
Kirkland Signature products at local liquor stores? For anyone doing a double-take: Yes, it's possible. This unusual circumstance stems from alcohol monopolies. If you've seen a rogue Kirkland scotch on the shelves, chances are you live in a control state.
According to the National Alcohol Beverage Control Association (NABCA), there are 17 states in the U.S. that maintain full control over spirits and occasionally beer and wine sales as well. Iowa, Michigan, Montana, Utah, Maine, and Idaho are just some of the states affected by these regulations. These areas all have liquor board catalogs, whereby the state can sell Kirkland Signature alcohol to any licensed store. In short, when operating within control states, Costco essentially agrees to non-exclusive sale rights in order to stock its own shelves.
Kirkland might be Costco's personal brand, but the company is overruled by state-specific laws, and in this case, that means sharing its stock. Interestingly, customers might also notice pricing variations. All local liquor stores access Kirkland Signature at the same state-set rate before adding their own variable mark-ups. It might be worth shopping around for the most popular Kirkland liquors at Costco. Who knows where that next deal will pop up?
Surprising rules behind the scenes
Kirkland Signature wiggling its way onto liquor store shelves is a surprising realization for many. Those without connections to the alcohol or wholesale industry might not realize how deep that the state is involved. Behind the scenes, the variation between state liquor rules is huge — did you know that 26 states permit underage consumption for religious reasons? And the difference in alcohol taxation means that there's a cheapest state to buy whiskey?
Costco abides by strict guidelines. Most states dictate that workers must be 21 to serve alcohol, with slight lenience allowing 18-year-olds to distribute in environments that also retail food. Additionally, Costco is unable to offer discounts on alcohol sales. With so many states leaning towards alcohol restriction, the company isn't permitted to financially encourage consumption. In some cases, Costco actually faces a total ban on its ability to retail alcohol. Fortunately, there are only two states where you can't buy alcohol at a Costco. Perhaps you've found Kirkland Signature bottles at your local corner store or had a Costco alcohol delivery rejected (which could be due to controlled sale timings). Regardless, it's helpful to understand the impact of state-specific alcohol regulations — Costco is juggling lots of liquor-related rules.