Will the enormously clever marketers at Trader Joe's meet their match in Texas because of somewhat unusual state rules regulating the sale and distribution of beer?
When you walk into the new Trader Joe's in Fort Worth and find an unfamiliar line of beers called Josephs Brau, T-shirted clerks -- the chain's trademark Hawaiian shirts in Texas are worn only by managers -- will tell you that they're from a "San Jose brewery," as if it were a regional microbrewery. Sort of.The chain is famously tight-lipped about its suppliers and even makes them agree not to publicly disclose their connection to Trader Joe's. The policy is aimed at maintaining its standing as a retail leader in offering private-label items as good or better, and often cheaper, than the top national brands. Probably no national food merchant comes close to such a high percentage of house-brand inventory.But keeping the origins of its beers secret is difficult because state and federal labeling laws require that everything be spelled out.So the Texas Alcoholic Beverage Commission online database makes clear that the generally well-made line of $5.99 Josephs Brau six-packs are produced in the San Jose plant of Gordon Biersch Brewing Co.TABC spokeswoman Carolyn Beck confirmed last week that there have been recent but inconclusive discussions over purchase and distribution issues with representatives of Trader Joe's.Under state law, beer brands cannot be exclusive to one chain.Wine and spirits can be sold exclusively by retailers here, Beck told us. Charles Shaw wines, Trader Joe's famous "Two-Buck Chuck," is a classic example, and sells here for $2.99. Kroger, Aldi, Costco and liquor stores compete with their own proprietary beverages.But Beck says beer cannot be distributed and sold that way.Trader Joe's is not alone in carrying beer brands that no one else sells. Kroger, Sprouts Farmers Market and Aldi are among those that also do, but not as extensively as TJ.Theoretically, any beer retailer can order from Josephs Brau's Texas distributor under state law. But that becomes problematic if only enough is trucked in to satisfy Trader Joe's needs.Without commenting directly on the TJ case, Beck said Texas law makes it illegal for deals to be worked out directly between brewer and retailer, including pricing.Trader Joe's spokeswoman Alison Michizuki insists that the chain's stores in Fort Worth and The Woodlands near Houston comply with TABC requirements.Will the Trader Joe's winning private-label strategy meet defeat in Texas, at least in the beer aisle?Stay tuned.Yay yay for Jay JayThey must be doing something right.Jay Jay Cafe, begun about a decade ago by two couples from Orange County, Calif., opened its third area location in Arlington last week, at 4401 Little Road. For the opening, fruit pies are going for $6.99, cream varieties for a dollar more.Like other Jay Jay restaurants, the new one bakes a wide selection of cream and fruit pies, which it serves to folks still hungry after the signature meatloaf, chicken-fried chicken or chicken-fried steak. We're talking comfort food, Southern-style, said Oswaldo Abarca, manager of the new location.The cafes are owned by siblings Blanca Ceron and Teodulo "Tito" Montiel and their spouses, Ramon Ceron and Mary Montiel. The women are professional bakers, and their husbands have 27 years' experience in the restaurant business, Abarca said.The first Jay Jay is at 518 N. Fielder Plaza, the second at 1001 Bowen Road.Have more to add? News tip? Tell us
