Alright – so today we’ve got the honor of introducing you to Jacob Yacoub. We think you’ll enjoy our conversation, we’ve shared it below.

Jacob, looking forward to hearing all of your stories today. One of the toughest things about entrepreneurship is that there is almost always unexpected problems that come up – problems that you often can’t read about in advance, can’t prepare for, etc. Have you had such and experience and if so, can you tell us the story of one of those unexpected problems you’ve encountered?

There can be several unexpected problems or issues that can arise in a liquor store. Here are a few examples:

1. Underage customers: One of the main challenges for a liquor store is preventing underage customers from purchasing alcohol. This can be a legal issue and can result in fines or even closure of the store if not handled properly.

2. Shoplifting: Liquor stores can be a target for shoplifters due to the high value of the products. Implementing security measures such as surveillance cameras, security tags, and attentive staff can help mitigate this issue.

3. Inventory management: Keeping track of inventory can be challenging, especially if the store carries a wide variety of products. Running out of popular items or overstocking on slow-moving products can lead to lost sales and decreased profitability.

4. Compliance with regulations: Liquor stores must adhere to various regulations and licensing requirements. Failure to comply with these regulations can result in fines or even the revocation of the store’s license.

5. Dealing with intoxicated customers: Liquor stores may encounter customers who are already intoxicated or become intoxicated after purchasing alcohol. Store employees should be trained on how to handle these situations responsibly and ensure the safety of both the customer and others.

6. Managing customer expectations: Customers may have specific requests or expectations regarding the availability of certain products or discounts. Balancing these expectations with the store’s inventory and pricing can be a challenge.

7. Marketing and competition: In a competitive market, liquor stores need to find ways to stand out and attract customers. This can involve creative marketing strategies, offering unique products, or providing exceptional customer service.

Overall, running a liquor store requires careful attention to legal compliance, inventory management, customer service, and security to ensure a successful and profitable business.

Awesome – so before we get into the rest of our questions, can you briefly introduce yourself to our readers.

I’m an engineer with 15 years in the oil and gas sector. I moved from Qatar in 2018 (where I used to work) to open my own business in Austin. Initially, I was trying to figure out what type of business. The liquor business was tempting, with shorter hours and a more relaxing retail business. It was supposed to be a temporary deal to add something else, either pen up another location or add a corporate job. Then covid hit, liquor business went up like never before, and that distracted me from other plans. The liquor business has re-balanced right now but is still strong.

Running a successful liquor store requires that you stay on top of trends, offer unique products, organize events and tastings, create a loyalty club, offer a selection of amazing products, and encourage impulse purchases. Most importantly, it is essential to comply with the various regulations regarding selling alcoholic products in your state not to lose your license.
Competitive prices, convenient location, great staff/best customer service/we get many compliments on the inside finishing (wood shelves, wall colors, etc.).

Can you open up about how you funded your business?

As I was working overseas for 10 years, I managed to save some cash that definitely was the key to get into the business owners world. Back in 2017, i needed around $150-200k to create a liquor retail business from scratch, and thats including inventory.

The first one year and a half, pretty much the business was “feeding” itself, means all profits were going toward expanding the business products needed to operate in full scale.

Have you ever had to pivot?

Two Liquor Stores opened up within 1.5 miles proximity. Dealing with competition in the liquor store business requires a strategic approach:

1. Price competitively: While it’s important to differentiate offerings, pricing is still a significant factor for customers. Conducted market research to understand the pricing landscape in our area and ensure our prices are competitive. Considered offering loyalty programs, discounts, or bundle deals to attract and retain customers.

2. Focus on customer experience: Create a welcoming and enjoyable shopping experience for customers. Trained our staff to be knowledgeable and helpful, and ensure store is clean, well-organized, and visually appealing. Offering tastings, hosting events, or providing educational resources to enhance the overall customer experience.

3. Embrace technology: Leverage technology to streamline operations and improve customer convenience. Utilize point-of-sale systems to manage inventory, track sales, and analyze customer data. Offer online ordering and delivery options to cater to customers who prefer the convenience of shopping from home.

4. Collaborate with other local businesses: Partner with complementary businesses in our area, such as restaurants, bars, or event planners. Explore opportunities for cross-promotion, joint events, or exclusive collaborations. By working together, we can expand your customer base and strengthen your position in the market.

5. Continuously innovate: Stay ahead of the competition by continuously innovating and introducing new products or services. Keep an eye on emerging trends and customer preferences, and adapt offerings accordingly. Consider introducing private-label products or exclusive partnerships to offer unique options customers.

6. Monitor and respond to customer feedback: Actively seek feedback from customers and we’ve used it to improve our business.

Contact Info:

• Website: https://jacobs-liquor.business.site/
• Instagram: @jacobsliquor
• Facebook: @jacobliquor