Online retailer Liquor Loot has entered voluntary administration, appointing Andrew Spring of Jirsch Sutherland as administrator to oversee an economic restructure.
Liquor Loot CEO Joel Hauer told National Liquor News that the current economic environment is the main factor that led the company to enter voluntary administration.
“Retail has slumped, particularly in niche and higher-end discretionary products. Cost-of-living pressures have also impacted consumers’ spending habits,” he said.
Other online liquor retailers have also suffered from this adverse economic climate over the past 12 months, including BoozeBud, which was acquired by Hairydog Group in May last year, and Gintonica, which was placed for sale in the same month.
Liquor Loot will continue to operate as normal during the administration period, with Spring working with the business owners to keep it running smoothly.
Hauer is confident that Liquor Loot will be in a better position following the administration period.
“Our hope for the future is to right-size the business, focusing on delivering value to consumers and maintaining our unique approach to spirits. I am optimistic it will live on in a new, restructured, and right-sized format,” he said.
In recent years, the business has continued to appeal to consumers, expanding its retail presence through partnerships with Aldi, Qantas, and David Jones.
“The last few years have seen Liquor Loot gaining traction by focusing on tasting and experiencing spirits, which has resonated with consumers, both online and in the retail environment,” Hauer said.