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Booze cruise: Liquor sales up for reasons other than growth
(Times-News (Twin Falls, ID) (KRT) Via Acquire Media NewsEdge) Jun. 23--When 84-year-old Perry Swisher was a boy, he noticed his father's colleagues opposed allowing women to vote for the simple fact they feared women would enact Prohibition.
"They'd hold a picnic just to get the old man home with a paycheck," the former state legislator said. "That's how life was."
Not anymore. Liquor sales in Idaho continue to grow strongly, including an almost 9 percent jump since a year ago. Sales are also projected to have doubled in less than a decade. State officials and other observers say the figures are due not only to population surges, but also an evolution of the Gem State way of life.
"There has been a cultural change," said Swisher. "We're more inclined to drink."
At the start of May -- just two months before the new fiscal year -- annual statewide liquor sales were up 8.5 percent, according to the Idaho State Liquor Dispensary. Sales grew from $110 million from May 2007 to $120 million this year, and are projected to finish at $134 million. In 2000, sales tipped over $65 million.
"People are buying more expensive products," said Dyke Nally, superintendent of the dispensary. "People say, 'I can't afford a lot of things, but I'm not going to give up my Crown Royal or Grey Goose.'"
The changes are mirrored in growing Twin Falls County, where annual sales are up 13.9 percent through 11 months. In the city of Twin Falls, sales rose almost 15 percent and in Hollister -- a town of about 250 people -- more than $31,000 in liquor has been sold this year, an increase of more than 36 percent.
The increases across the state and locally are due to growth but also changing demographics, including a more diverse population, changing drinking choices and difficult economic times, said public officials and longtime residents.
Idaho's liquor dispensary was created in 1935 after the repeal of Prohibition, and the state oversees liquor stores. Idaho is one of 18 "control" states, a decision officials have said helps moderate consumption and reduce alcohol-related problems. Sixty percent of the profits are returned to cities and counties; last year, Twin Falls County received $362,929 and the city received $407,655.
"People will say, 'Why don't we privatize?,'" Nally said. "The $47 million in profits (projected for 2008), that gets back to the people."
Meanwhile, history suggests the growing sales will continue -- even if the economy shrinks. Nally cites how economic downturns -- in 2001, 1990, 1982, 1980 and 1973 -- paralleled annual increases. For example, overall spending decreased 4 percent during the months after the Sept. 11, 2001, terrorist attacks. But liquor sales rose 6.3 percent statewide.
"Everybody's totally depressed," said Dave Woodhead. He said he's purchased more liquor since he expanded to three bars along Fifth Ave S. in downtown Twin Falls. "Gasoline is $4. What's to be happy about?"
The increase in sales is also due to customer reliance and repeated business on higher-quality merchandise, Nally said. He said that people might drink cheaper kinds of whiskey outside their home but are fairly stubborn when it comes to personal consumption. Nally said although sales to bars have declined, retail numbers are up. He said that companies are creating flavored liquor and other promotional products.
That might explain why several years ago Black Velvet lost its title as the top-selling liquor in Idaho to Crown Royal. Both are Canadian whiskeys, albeit the new favorite is a little pricier.
The Idaho Legislature might have also contributed to the increase. It's allowed for Sunday liquor sales, and last year lifted the ban on Election Day purchases in stores.
The successful sales figures surprised Leon Smith, a longtime Twin Falls state legislator who during the Legislature in Boise participates in "Choir Practice," a traditional weekly gathering of lawmakers, staffers and reporters for food and drink.
Smith said he's surprised the increases aren't more with wine and beer, instead of hard liquor. He said he notices beer and wine being drank at most restaurants, and the liquor hardly comes out at his home.
But he did note there remains a labor class in Twin Falls, particularly with the recent housing and building boom.
"If you go into a local tavern it seems like everyone's got a bottle of beer on that table. But that must not be the case," he said.
Jared S. Hopkins may be reached at 208-735-3204 or jhopkins@magicvalley.com.
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Copyright (c) 2008, The Times-News, Twin Falls, Idaho
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