Arkansas Destination

COLONIAL WINES & SPIRITS HAS A TOP-FLIGHT INVENTORY, AND PUTS ITS SHOPPERS FIRST

Andy Kumar purchased Colonial Wines & Spirits in Little Rock, Arkansas in 2024, though he’d been in other retail sectors for several years prior. Kumar joins the Market Watch Leaders roster for his passion and dedication to beverage alcohol retail.
Andy Kumar purchased Colonial Wines & Spirits in Little Rock, Arkansas in 2024, though he’d been in other retail sectors for several years prior. Kumar joins the Market Watch Leaders roster for his passion and dedication to beverage alcohol retail.

Andy Kumar purchased his first gas station in 2001 after working in that retail sector for his family in earlier years. The 2001 purchase, in Orlando, Florida, was his first independent foray and one that helped shape his affinity for the beverage alcohol sector, as his location sold beer and wine. Eager to expand, Kumar “found a good deal” in Arkansas on a set of six gas stations available for purchase, which prompted his move to the state in 2011. In 2017 he added a liquor store to his portfolio. Shortly after, Kumar crossed the state border into Missouri and picked up a franchised Macadoodles store in the town of Joplin. Kumar and his family added seven more gas station-liquor store hybrids in Missouri and a second in Arkansas before purchasing Colonial Wines & Spirits last year from previous owners Clark Trim and Henrick Thostrup. “I was a customer of this store and I really liked how [Trim and Thostrup] ran it,” says Kumar. “They wanted to retire so I picked it up.”

As for the broader move from gas stations to focused beverage alcohol retail, Kumar says the switch just made sense. “I’ve been in the retail industry for a long time and this is my passion,” he explains. “I love being in customer service, and I really enjoy taking care of the community.” Today, Kumar owns the single-unit Colonial Wines & Spirits store in Little Rock, Arkansas.

For his strong business acumen and his commitment and passion for beverage alcohol in Arkansas, Andy Kumar has been named a 2025 Market Watch Leader.

Spirits are a big mover at Colonial, comprising 40% of total sales. Tequila is doing well, particularly newer additive-free brands, and the store highlights staff favorites in its monthly magazine. A recent staff Tequila pick was Lobos Red 1707 Reposado.
Spirits are a big mover at Colonial, comprising 40% of total sales. Tequila is doing well, particularly newer additive-free brands, and the store highlights staff favorites in its monthly magazine. A recent staff Tequila pick was Lobos Red 1707 Reposado.

Focus On The Customer

In fact, for Colonial—and for all the stores he operated before it—Kumar says he’s laser-focused on customer service. “We have very good staff in the store,” he says. “They’re very knowledgeable in all kinds of liquor, and specifically in wine.”

Colonial Wines & Spirits employs 36 people, several of whom have expertise in various areas of beverage alcohol. They are equipped to guide customers through their purchases, Kumar says. At any given time, the store—which generates $13-$15 million in revenue annually—carries 7,000-10,000 SKUs. Wine is indeed a key focus, and Kumar seeks to differentiate from the competition by offering service and knowledge. “We have a couple of [staff members] who are Level 2 [certified by the Wine & Spirit Education Trust] in wine,” Kumar notes. He adds that Colonial strives to offer a much broader selection than rival stores, especially grocery stores with their limited offerings, as a way to ensure customer loyalty.

Wine accounts for about 40% of sales at Colonial. Kumar says a broad selection is key. “We try to bring in the wines that a lot of people don’t carry,” he says. “It takes a lot of inventory and you need a bigger store, then of course you need [the expertise] to sell it. It’s not everybody’s cup of tea to do it this way but we try to, and it means we have a huge selection.”

The selection is broad enough that Colonial has become a destination store for people all over Arkansas, Kumar notes. “They know if they want a particular wine, it’s likely Colonial will have it, and we’ll have it at a very competitive price,” he says. Staff at Colonial is happy to make recommendations, which are also highlighted in the store’s magazine and blog posts. In June, for example, six staff members shared their wine picks for the month, including the 2023 Raeburn Sonoma County Pinot Noir, on sale for $20 a 750-ml. (regular $27); the 2022 Decoy Alexander Valley Limited Release Cabernet Sauvignon, on sale for $25 (regular $35); and the 2019 M.A. Monticelli Barolo, on sale for $38 (regular $49). That same month, Jax Vineyards was named winery of the month, with five wines featured and discounted.

Colonial Wines & Spirits also holds regular wine tastings to expand education and spark interest. The tastings are beneficial “when there are new products, because people are eager to try them. And, of course, if they like it they buy it,” Kumar says. Some tastings are offered by winery or distributor representatives while others are led by staff.

Whether tasting or simply shopping, most customers opt to come to the store to make their selections. Colonial offers delivery, although Arkansas state law has some limitations. Colonial can only deliver within the county, and cannot deliver to businesses. The operation also recently added DoorDash to enhance customer options.

Colonial puts a big emphasis on wine, stocking a varied selection of labels that aren’t available elsewhere. The company’s wine offerings have made it a destination in Arkansas and staff are well-trained on making suggestions for shoppers.
Colonial puts a big emphasis on wine, stocking a varied selection of labels that aren’t available elsewhere. The company’s wine offerings have made it a destination in Arkansas and staff are well-trained on making suggestions for shoppers.

Prime Marketing

Each month, Colonial Wines & Spirits publishes a magazine showcasing a wide range of wine and spirits options for its customers. The magazine is chock full of information, ranging from mixology suggestions to wineries of the month, as well as food and wine pairings and staff picks. Called Celebrate More!, it’s available both in print in the store and digitally online, and it’s the prime marketing vehicle for the 10,000-square-foot store.

“We allocate a good amount of dollars to put that magazine together every month—it takes a lot of time and money to print it and put it on the website,” says Kumar. “We try to focus on [highlighting] what’s trending and offer suggestions according to the month or the season.”

Kumar says it’s a great marketing tool—a way to connect with his customer base in the competitive Little Rock, Arkansas market. The magazine is supplemented with extensive blog posts about everything from Elevating Your Tailgate to Spooktacular Party Planning Ideas, complete with beverage alcohol suggestions amidst enticing images. The blog also features a “Getting to Know…” series for wine types and similar approaches for spirits and beer.

Two other big draws are a weekly “Wine Wednesday” and a points-based loyalty program. For Wine Wednesday, the store offers 20% off all wines. “We do pretty good business with that 20% off, with the price becoming more competitive,” Kumar says. “The plus for us is getting more people to come into the store. The loyalty program helps convert casual shoppers into loyal customers.” With the point system, they get cash back based on the amount of dollars they spend, and it’s really brought people in, he adds. The previous owners launched the program, but since Kumar purchased the store in 2024, he’s expanded it. “We implemented it on a wide scale and advertised a lot, and it’s really paid off,” he says.

While beer is a smaller player, Colonial makes an effort to stock popular styles, including IPAs and offerings from nearby craft brewers.
While beer is a smaller player, Colonial makes an effort to stock popular styles, including IPAs and offerings from nearby craft brewers.

Shifting Demand

Overall, Kumar says he’s seen a dip in wine sales as newer consumers gravitate to other products. “The newer generation doesn’t know much about wine—they’re more into seltzers and drinks like that,” he says, mentioning ready-to-drink spirits-based seltzers and THC-based seltzers. “But our core wine drinkers will drink wine no matter what.” Spirits account for another 40% of sales at Colonial, and Kumar says the growth right now centers around Tequila. “There are a lot of additive-free Tequila brands coming out—that’s a big category for us,” he says. “We see a good amount of new Tequila brands and we try to carry them all for our customers. We do a lot of tastings on those so people can try them.”

As it does for wine, Colonial showcases select spirits brands through its “staff picks” section in its magazine. Tequila made the list in June with Lobos Red 1707 Reposado Tequila, available on sale for $36 a 750-ml. (regular $42). Other selections included Bombay Bramble gin (sale price $23; regularly $36) and Planteray Stiggin’s Fancy pineapple rum ($35; $42). Colonial offers tastings for spirits as well, and also offers extensive guides for hosting spirits tastings at home in its blog posts.

Beer, RTDs, and other products make up the final 20% of sales at Colonial. Similar to his strategy for wine and spirits, Kumar tries to keep ahead of a constant cycle of new products. “It’s hard to keep up with beer, because there’s always a new company coming up with a new product,” he says, noting that IPAs are “a huge category” currently.

For June, the “Brewery of the Month” was Bike Rack Brewing Co., a craft brewery located in nearby Bentonville, Arkansas. Three of its beers—Epic Trail amber, Slaughter Pen IPA, and Bike Rack lager—were featured at a cost of $10 a 6-pack of 12-ounce cans. Separately, the staff picks for beer included Bell’s Oberon from Michigan and Golden Road Mango Cart from Golden Road Brewing in Los Angeles, both priced at $10 a 6-pack of 12-ounce cans.

Next Moves

While beer is a smaller player, Colonial makes an effort to stock popular styles, including IPAs and offerings from nearby craft brewers
While beer is a smaller player, Colonial makes an effort to stock popular styles, including IPAs and offerings from nearby craft brewers

As it’s still early days in his ownership of Colonial Wines & Spirits, Kumar is solidifying his presence in the Little Rock community. The store is a “major sponsor” of Little Rock’s Central Arkansas Radiation Therapy Institute (CARTI Cancer Center) and is a longtime sponsor of Ballet Arkansas as well, among other efforts. In addition, “we do take care of the community where needed,” Kumar says.

For himself, Kumar is focusing on solidifying and growing his business. “This is a huge operation and it takes a lot of time,” he adds.

While further expansion isn’t in the immediate plans, Kumar isn’t ruling it out either. Opportunities in Arkansas are limited. Earlier this year, a law passed that raised the number of liquor licenses that one person or corporation can own in the state of Arkansas from one to three. However, the law limits the number of liquor licenses to one per county. Nevertheless, the entrepreneur may not be content to stop, whether it be in Arkansas or elsewhere. “I’ve not decided anything on what we do next,” Kumar says. “But definitely, the door is open for opportunities.”