The story of Columbus Distributing Company: how the prohibition paved the way for Ohio’s leading beverage distributer 

A century ago, the American prohibition of 1920 was perhaps the most significant event the beverage industry has faced in recent history. The legislation enforced a complete ban on the manufacture, consumption and distribution of alcohol, turning the industry upside down in a 13-year duration that’ll never be forgotten. From the shadows of the prohibition, however, Columbus Distributing Company emerged, a family-owned beer wholesaler whose journey to success is quite the story.   

It all started at the turn of the 20th century with an enterprise called ‘Columbus Coal & Ice’, a coal and ice supplier doubling up as a Ford equipment dealership. However, business began to dwindle as electricity and refrigeration grew prevalent, rendering the company’s future unviable. Soon after, the prohibition ended, giving birth to a new era under the name of Columbus Distributing Company (CDC). Founded by Richard (Dick) Jenkins, CDC was the first company in Ohio to be granted a Federal B permit to sell wholesale alcohol – a major development following the long dry period. Its first beer brands were Red Top Brewing of Cincinnati and Atlas Brewing of Chicago, before Dick agreed to meet with Adolphus Busch III in 1941 and formed a handshake agreement to start distributing Anheuser-Busch beer (Budweiser).   

Following this partnership, CDC saw fifteen years of continual success before Dick sadly and suddenly passed away. At just 25 years old, Dick’s son, Paul Jenkins stepped up to run the company, but uncertain years followed. Eventually, in 1979, Paul purchased a small company called DelMar Distributing and sent his son, Paul Jenkins Jr., to run it. With succession plans in place and the craft beer industry rapidly changing, the business experienced tremendous growth and established a robust infrastructure that would see it into the future. Paul Jr took over the company following his father’s retirement and won the rights to Pennsylvania-based Yuengling Brands, paving the way for CDC’s current President, Paul Jr.’s son, Erik Jenkins.   

Today, Erik continues to lead the company with Paul Jr. still serving as Chairman and CEO. Presently, CDC operates out of three facilities – two in Columbus and one in Marian County (DelMar Distribution) – with additional infrastructure to be added at its DelMar facility to accommodate further expansion. To learn more, Food Chain sat down with Erik Jenkins, who shares valuable insight into the company’s present operations and future plans.   

“Since I took over running the company day-to-day, the industry has continued to change, only this time it’s being driven by consolidation within the beer and beverage wholesale industry,” Erik begins. “My job – as I see it – is to ensure that this company is on solid footing and can continue to be a viable, profitable business for the next 30 years. With that as a mandate, we’ve turned our focus from bringing in new suppliers and products to acquiring other wholesale operations. We believe we’re just getting started in this new direction and will continue to seek expansion through M&A over the coming decades.”  

Prioritizing partnerships 

With the company well-positioned for further growth, CDC is keen to expand its offerings by continuing to incorporate delicious new brands into its portfolio. The business is currently permitted to stock a range of staple beers, including Bud Light, Budweiser, Ultra, and Yuengling Lager, and has also diversified into wine, bottled water, energy drinks, and ready-to-drink cocktails – with many more products yet to be added.   

“We’re always adding suppliers and products. This year alone we’ve introduced various new beer brands, along with several new ciders and a well-known, ready-to-drink cocktail called Carbliss,” Erik shares. “The burning issue in our industry right now is whether or not to jump on the THC/Delta-9 train, which we’re actively considering. With overall alcohol consumption declining, it’s imperative that we look for new products and new markets to not only achieve our annual goals but also to ensure we’ve got a growing ten-year trajectory. As a long-term family-run business that operates in the communities we service, the ethical and moral implications of what products we pick and how we go to market are always at the forefront of brand and category decisions.”  

As a distributor, CDC understands the importance of maintaining strong relationships with its suppliers – both to ensure the continuing success of the business operationally as well as to ensure its customers are receiving the highest-quality products.   

“Our suppliers have great operational knowledge and matching commitments to excellence and product quality. Our job as the distributor is to make sure those products are put into accounts that will move them in time to ensure the customer is receiving the best possible product from an age and freshness standpoint,” Erik explains. “Our commitment to our suppliers is to ensure that, when products are close to code, we’re removing them and replacing them with products that will move faster. This benefits our retail partners as well, as they can be confident that what we’re selling them will produce the expected ROI in a reasonable time frame while bringing their customers back to their store as a trusted retailer. We also continually train our sales and merchandising staff on what a perfect account looks like, as it pertains to brand presence and display, to ensure that the way we position the brands aligns with their attributes and the marketing efforts of our supplier partners.”  

Firm family foundations 

Looking to the future, CDC is set to introduce some exciting new developments, both internally and for its customer base. The company has invested heavily in digitization, encouraging its clients to move their ordering onto its online B2B platform whilst implementing new administrative software to track its entire sales process, from point of receipt to delivery and invoicing. With the company’s 100th anniversary on the horizon, now is the perfect time to celebrate the extraordinary hard work and passion of each generation of the Jenkins family, all of whom have led CDC to where it is today. Reflecting on the journey thus far, Erik discusses all the factors that have contributed to the longevity of CDC.   

“Being the fifth generation of my family to operate the business, the first principle is always focusing on the long term. We make investments and portfolio moves based on where we want the company to be in the next 36-to-48 months and not necessarily on what would produce the best P&L result this month or quarter. I also think our succession program has a lot to do with our long-term success. As a family member, you’re allowed to work at the company while you’re in high school (and college if you choose to go to school in town) to get a small level of familiarity with the operation. On graduating college, employment with the family business is terminated and you are encouraged to work elsewhere, pursue a different career and achieve a level of success outside the family firm, whether that’s getting a promotion or hitting objectives and proving you know how to work. It’s imperative, in our opinion, that anyone who eventually may sit in the president’s seat knows the company, the people, the manufacturers, the retailers, and the industry from the ground up. It also ensures that, by the time you get to the top office, you’ve matured enough to know what to do with the resources and income and are less prone to making rash decisions in both your personal and professional life.” 

www.columbusdistributing.com