2019-06-01_Market_Watch

58 MARKET WATCH | MARKETWATCHMAG.COM | JUNE 2019

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n the wake of the privatization of retail spirits sales in Wash-

ington State seven years ago, the vast majority of indepen-

dent operators have shut down as sales increasingly move

to chain stores. But at least one Seattle retailer has endured—

and flourished—thanks to its varied retail experience, the city’s

explosive growth, and the popularity of its online sales.

“We’ve been able to not only keep the doors open, but

thrive in this market,” says Marques Warren, owner of Down-

town Spirits, which is located close to Amazon’s mammoth

Seattle campus in the South Lake Union neighborhood.

Warren cites organic brick-and-mortar sales, along with

burgeoning e-commerce, as driving the business forward.

“We’ve also benefitted from the tremendous growth the city

of Seattle has seen in the last decade,” he says

Downtown Spirits is a subsidiary of Warren’s News & Gifts, a

family business that—in partnership with travel retailer Hudson

Group—operates 26 stores at Seattle’s Sea-Tac Airport. Warren’s

father, Ardie, is president and chairman, while Warren serves as

vice president of operations. The family’s retail background has

aided Warren as owner of Downtown Spirits, allowing him to tap

into what he calls“a support network that identifies good-sense

solutions when we have a challenge” at the store. Conceding that

he had no experience in beverage alcohol when he opened Down-

town Spirits in 2012—just two months after privatization went

into effect—Warren notes that he’s worked in retail since he was

12 years old, and that wine and spirits stores aren’t that different

from airport gift shops. “They’re both fast-paced retail destina-

tions, with additional margins from impulse sales,” he explains.

Four years ago, Downtown Spirits joined the Wine & Spirits Guild

as the organization’s first retailer from Washington State.

Spotting An Opportunity

Despite the prospects of competing with big-box stores,

Warren had the foresight to see the opportunity that the leased

downtown location offered. Amazon now owns much of the

surrounding real estate, and the area has seen an influx of

wealth with the addition of upscale apartment and condo-

minium buildings. The location also provides easy access to

local neighborhoods and major highways, key factors for

Downtown Spirits’ delivery business.

Seattle’s Downtown Spirits succeeds thanks

to a strategic location and strong online sales

BY TERRI ALLAN | PHOTOGRAPHS BY IAN BATES

OPPOSITE: Seattle’s Downtown Spirits is run by owner Marques Warren (right) and senior purchasing manager Terrence Tompkins (left).

Thanks to varied retail offerings, the city’s explosive growth, and online sales, the store has endured as other independent operators have closed.