NYC Beverage Law Update

As we blogged earlier today, a new beverage law for New York City was scheduled to go into effect tomorrow. But, at the last minute, a NY State Supreme Court Judge put a hold on the law.
According to Michael M. Grynbaum, writing for the New York Times: “A judge invalidated New York City’s limits on large sugary drinks on Monday, one day before they were to go into effect, dealing a significant blow to one of Mayor Michael R. Bloomberg’s signature public-health initiatives and a marquee project of his third term. The decision by Justice Milton A. Tingling Jr. of State Supreme Court in Manhattan blocks the city from putting the rules into effect or enforcing them. Justice Tingling said the rule banning the drinks was ‘arbitrary and capricious.’ In his opinion, Justice Tingling specifically cited a perceived inequity in the soda rules, which applies to only certain sugared drinks — beverages with a high milk content, for instance, would be exempt — and would apply only to some food establishments, like restaurants, but not others, like convenience stores. ‘It applies to some but not all food establishments in the city,’ Justice Tingling wrote. ‘It excludes other beverages that have significantly higher concentrations of sugar sweeteners and/or calories.’ The judge also wrote that the fact that consumers can receive refills of sodas, as long as the cup size is not larger than 16 ounces, would ‘defeat and/or serve to gut the purpose the rule.’ The judge also appeared to be skeptical of the purview of the city’s Board of Health, which the Bloomberg administration had maintained has broad powers to seek to better the public’s health. That interpretation, the judge wrote, ‘would leave its authority to define, create, mandate and enforce limited only by its own imagination,’ and ‘create an administrative Leviathan.’”
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Posted in Part 1: Overview/Planning, Part 2: Ownership, Strategy Mix, Online, Nontraditional, Part 3: Targeting Customers and Gathering Information, Part 5: Managing a Retail Business, Part 6: Merchandise Management and Pricing, Part 7: Communicating with the Customer | Tagged , , , , , , , , , , , , | Leave a comment

New Beverage Regulations Can Be Confusing — To Retailers and Their Customers

Retailers must deal with a wide range of regulations — from zoning laws that restrict hours of operation to minimum wage laws to price advertising laws. Many times, the rules are clear and other times they are not. And chains typically face different regulations in different locales.
On March 12, a New York City law on beverage sizes is scheduled to go into effect (although various lawsuits opposing the regulation are pending). Enactment of this law promises to be quite confusing.
As reported by Vivian Yee and Michael M. Grynbaum for the New York Times: “Come Tuesday, when Mayor Michael R. Bloomberg’s ban on the sale of large sugary drinks goes into effect after months of public debate over the measure, its impact on beverages like soda will be clear: no more jumbo colas. But coffee drinkers, and those who pour them, are likely to face a thicket of complications as varied as the lattes, macchiatos and Americanos on a Starbucks menu. Customers at Dunkin’ Donuts and McDonald’s can expect to add their own sugar packets and flavor swirls to large and larger coffees. At other cafes, some will be given one lump, or perhaps two, in their coffees; those seeking more will need to visit the condiment stand. Dunkin’ Donuts has tried to get ahead of the confusion over the new regulations by handing out small fliers at its cash registers.”
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Posted in Part 2: Ownership, Strategy Mix, Online, Nontraditional, Part 3: Targeting Customers and Gathering Information, Part 5: Managing a Retail Business, Part 6: Merchandise Management and Pricing, Part 7: Communicating with the Customer | Tagged , , , , , , , , , , , , , , , , | 3 Comments

Nordstrom Ranked as Top U.S. Fashion Retailer

Nordstrom is the favorite U.S. fashion chain according to a recent survey by  Market  Force Information. Nordstrom, a high-end department store chain, was praised for its customer  service, store atmosphere, easy returns, and merchandise selection. Kohl’s was second and Macy’s third in this study.
Click the chart to read a Daily Mail story on this.

Posted in Part 1: Overview/Planning, Part 2: Ownership, Strategy Mix, Online, Nontraditional, Part 3: Targeting Customers and Gathering Information, Part 5: Managing a Retail Business, Part 6: Merchandise Management and Pricing, Part 7: Communicating with the Customer, Part 8: Putting It All Together | Tagged , , , , , , , , , , , , , , , , , , | 1 Comment