BusinessFEATUREDGeneralLatest

Ontario Beer Store Closures

Beer Store Closures Mount as Ontario’s Alcohol Market Shifts

Beer Store locations across Ontario are shutting down as the chain struggles to compete in a rapidly changing market.

Once the dominant retailer for beer and ready-to-drink alcoholic beverages in the province, The Beer Store now faces an uncertain future, with closures accelerating in recent months.

John Nock, President of UFCW—the union representing Beer Store workers—tells blogTO that since May 2024, 23 locations have either closed or are set to close by Feb. 28. According to him, this is a direct result of the Ontario government’s decision to expand alcohol sales to convenience and grocery stores.

“This is all due to Ford allowing alcohol to be sold more widely,” Nock explains, referring to Premier Doug Ford’s move to accelerate retail expansion last summer.

Although the new policy officially took effect in September—coinciding with a heated LCBO labor strike over the same issue—The Beer Store had already been feeling the impact of increased competition. And the pressure isn’t letting up.

While 23 closures may seem minor for a chain with over 350 locations, Nock warns that more could follow.

“The Beer Store is required to keep at least 300 stores open until the end of 2025,” he says. “After that, there’s no limit on closures.”

To offset losses, The Beer Store has explored new revenue streams, such as selling lottery tickets and non-beer items. However, these efforts may not be enough to counteract the mounting competition.

Beer Store Vice President of Retail, Ozzie Ahmed, tells blogTO that the company is constantly reassessing its operations.

“Like any retailer in today’s evolving market, we are evaluating our business to ensure we meet customer needs and adapt to change,” Ahmed says.

Beyond The Beer Store, Ontario’s craft breweries are also feeling the squeeze. In late 2024, local brewers Left Field and Blood Brothers voiced concerns over how the market shift could impact their businesses.

“It’s clear that foreign macro brewers are the real winners in this expansion,” Blood Brothers told blogTO.

“One of our biggest revenue streams—our bottle shop—is now competing with every corner store in our area. And while we’d love to sell our products there, they’re just not interested in craft beer.”

With no protections in place beyond 2025, the future of The Beer Store—and Ontario’s beer market—remains uncertain.

Leave a Reply

Your email address will not be published. Required fields are marked *