LCBO Trade Resources Online

General Purchase Product Lifecycle
New Item Submission System
Product Needs Letters
How to introduce new products to VINTAGES
How to introduce new products to stores
Product Management Policy and Procedures

New Product Facts

• Local representation is important when doing business with the LCBO. Foreign suppliers are strongly encouraged to arrange for a local licensed agent to represent them.

• Each year, we are offered more new product submissions than we can accept.

• The Canadian Association of Liquor Jurisdictions (CALJ) manual, Product Identification Standards for Use in the Distribution of Beverage Alcohol, identifies the various types of bar codes used for beverage alcohol, their basic structure and standards for their use. Click here to view the updated 2005 version of the CALJ manual.

• To be successful, a product must stand out from all other submissions in terms of price, quality, value and packaging.

• Detailed market analysis and extensive marketing plans are essential to do business.

• Technical standards such as label requirements must be adhered to. Click here for details.

• Partnerships are the key to success.

Packaging
LCBO's highly automated main warehouse facility has high packaging requirements. Product packaging and shipping cartons must comply with the LCBO packaging standards details set out in LCBO Product Packaging Standards and Guidelines for Chemical Analysis.

1. Initial Forms and Marketing Plans

The LCBO issues Product Needs Letter requesting product submission. These letters are issued through various trade associations and are available online through the New Item Submission System (NISS).
Category Manager and Agent/Supplier meet to discuss other product opportunities not covered by the Product Needs Letter.
The agent/supplier submits an application through NISS with a one-page preliminary marketing plan and a product sample.

2. Product Evaluation by the LCBO (approximately four weeks)

Organoleptic Assessment (tasting) by LCBO Grading Panel.
The LCBO assesses the application and marketing plans.
If the LCBO is interested in further review of the product, we will request submission of the LCBO Product Profile and Marketing Plan.

3. Approval Process (approximately four weeks)

Once the LCBO decides to consider a purchase:

Product is submitted to Laboratory for chemical analysis.
Packaging (label, selling units and shipping cartons) is reviewed and LCBO Product Profile and Marketing Plan is received and evaluated.

4. Preliminary Decision to Purchase (up to 3 weeks)

The LCBO issues a Commitment Letter outlining conditions to be satisfied before a Purchase Order will be issued.
All conditions must be met before proceeding.

5. Procurement (up to 16 weeks if imported)

The LCBO issues a Purchase Order that specifies the terms and conditions of the purchase. All purchase orders are subject to the LCBO's standard Conditions of Purchase. Click here to download the Conditions of Purchase.

6. Product Receival and Release (three to four weeks)

Upon receipt, new products are put on hold in warehouse until second lab test is completed and final retail price is determined.
A memo is issued to stores notifying them of the product's availability. Stores with suitable demographics may get an introductory allocation.

7. Marketing and Sales Support

Suppliers and agents are expected to work with the LCBO as well as independently to build brand and product awareness and build sales.

8. Ongoing Product Monitoring

Performance of all products is regularly reviewed.
Products not meeting sales targets are discontinued.