Liquor Store Expansion Meets Consumer Demand

PORTLAND, OR. – The steady addition of independently owned and operated liquor stores across Oregon is helping meet customer demand for products while keeping pace with Oregon’s growing population according to the Oregon Liquor and Cannabis Commission (OLCC).

The retail liquor store expansion effort was launched in 2015 with the objective of providing consumers greater convenience and improved product offerings. Expansion also generates small business opportunities for Oregonians to own and operate liquor stores while providing support to Oregon’s hospitality industry. Liquor stores sell and deliver distilled spirits to restaurants, bars and hotels which historically represents between 20 to 25 percent of all liquor sales.

 “Locally owned liquor stores are a vital business partners for Oregon’s hospitality industry statewide and our expansion is mindful of the need for a strong and dependable business-to-business supply chain,” said Chris Mayton, Director of the OLCC Distilled Spirits Program. 

During the six-year expansion, 36 additional liquor stores have opened across Oregon, bringing the total to 281 stores*. In that same period, for all stores, the average sales per liquor store improved from $2.3 million to $2.9 million, a more than 25% increase (4.3% annualized.)

To date, the stores added during retail expansion have generated more than $287 million in revenue, producing about $109 million in funding for state programs, and created more than 165 new jobs. The OLCC previously reported that Oregon’s liquor stores sales set a new high of $813 million in 2021.

The sales of distilled spirits by liquor stores is projected to generate $631 million dollars (2021-23 budget) distributed to state, county, and city services for education, health, public safety and other public services.

“Our partnerships and contracts with all these private businesses that sell distilled spirits, are the key ingredient to us being able to meet demand and providing access to local and world class products,” said Steve Marks, OLCC Executive Director. “OLCC’s successful work to tie store expansion to population growth is mission driven. The agency strives to balance sustained consumer satisfaction and the prosperity of the hospitality industry, with public safety and considerations along with our fiscal responsibility for ensuring predictable and stable revenue growth for state and local public services.”