The Founder Hour’s Post

Success in the craft beer industry often comes with accolades from top authorities. For instance, Samuel Adams Boston Lager, launched by The Boston Beer Company in 1985, quickly gained acclaim, winning the title of Best Beer in America just six weeks after its debut. According to Kirk O'Neil, TheStreet, over the past 40 years, Samuel Adams has grown to become the second-largest U.S. craft beer producer. Yet, even iconic names face hurdles. San Francisco’s Anchor Brewing Company, despite its awards, filed for Chapter 11 bankruptcy in 2023 but found a savior in Chobani founder Hamdi Ulukaya. Similarly, Sarasota’s 99 Bottles Taproom & Bottle Shop, honored by Wine Enthusiast, faced financial struggles, filing for Chapter 11 despite being a beloved local spot. Interestingly, beer brands and other “vice” products often weather hard financial times better than many industries. However, the rising costs of goods and real estate present significant challenges for microbreweries (and so many businesses alike). https://lnkd.in/gQQ6zzDJ #HalifaxWest #WinTogether #capitaladvisory #MandA #restructuring #operatingadvisory #CraftBeer #BrewingIndustry #Entrepreneurship #SmallBusiness #SamuelAdams #AnchorBrewing #99Bottles #CraftBeerCommunity #EconomicChallenges

"American breweries are currently at about half their capacity. That’s not good! But it’s actually worse that in looks because growth has been dead flat for three years. Were the industry growing, it would need headspace, so to speak, for future expansion. Here’s Bart: “When you’re growing rapidly, excess capacity is a good thing so you can keep up with that growth. Athletic has a lot of excess capacity right now with the purchase of that former Ballast Point facility, but no one thinks that’s an issue. So the ratio in the mid-2010s was different because brewers were rapidly growing into it. As I pointed out in 2015, the 2012 and 2014 ratios look the same, but 2014 production was actually bigger than 2012 total capacity. “So you need to understand the capacity number in the context of its time. If we were growing 18% again right now, even 51% might not be that bad (at 18% you’d use up all that excess capacity in 4 years), but at static or negative growth, it’s a lot worse, because it represents investments that aren’t being utilized.” I don’t have a lot more to add to this, except to say that if you want to open a brewery in the next few years, you might consider starting a contract brewery or alternating proprietorship. Not only would it save you a ton of money at the outset, but you might be doing another brewery a favor in helping them fill up those tanks." https://lnkd.in/eyaEsTDA

Support your local businesses. Brewery, bar, liquor store, restaurant, pool supply shop...whatever it is you shop for. Shop local when you can. Shop local when they deserve it... The beer business has been rocky the past few years. According to the Brewers Association in 2023 there are more breweries than ever (9,761), while annual openings are decreasing year over year (495), and closures increased (418). Can you think of a brewery that closed lately? I can! Any that surprised you? Covid, variable interest rates loans, lots of breweries have tons of investors/partners....it's tough out there. I'm curious how 2024 data shakes out but I'd guess more of the same. I'm on record on Youtube: The Business of Craft Beer F**king Sucks. We are growing here at TailGate Brewery, we don't make that a secret. But "success" in small business is an interesting dynamic. I see a lot "oh they're always busy, they don't need my business." I hear it all the time about other local businesses too. But just because their parking lot is full at peak hours, does not mean they don't need your business! Ever wonder why Wednesdays are Half Priced Pizza in the taprooms? It's not as busy as Fridays! Craft beer is not in the completion game. We don't hang up our safety glasses and slap each others' backs til we die drunk from all the beer we brewed. Every day is a start from zero. Every day we have to make sure our trajectory continues. Because in our case, we built a pretty big organization that is growing! And like a teenager, that growing business needs to eat! That means we have to maintain that level of growth that got us here. To me that starts with being better than we were yesterday. So whether it's us, or whatever your local business is: support them. We are growing when the industry is loud about some shaky times. But just like every other business - it's you that decides if we continue to grow or not. Pro tip: Money's tight but you want to help your local business? A 5 star review on any online platform is the single most valuable thing you can do for a local business. Trust me.

TailGate Brewery distributes in Tennessee only. Why? Since 2014, we've *only* distributed in Tennessee. The "*only*" is because we used to have a really neat niche of distribution in the UK of all places. But that was pretty small potatoes, and was really just too cool to pass up. We enjoyed a cult following for some of our core beers, and we were able to participate with the Brewers Association's export and development program. These days, it's all Tennessee. On the topic of craft beer distribution, I like the saying: "a mile wide and an inch deep." Since we opened in West Nashville in 2014, a lot of breweries were able to grow by opening new distribution markets in a nearby state. But what's interesting is, everyone was opening new markets. So what happened was: a brewery would send a truck of beer, enjoy the bump in sales...and never get a reorder. That beer would sit, go out of code, have to get bought back....all sorts of nightmares. But the brewery could launch another state to help smooth the bumps. Right? Eventually, your distribution footprint becomes huge. It's spread all over, but has no depth. The distribution footprint becomes....a mile wide and an inch deep. We had no crystal ball in 2014, but we could see which way the wind was blowing. Other states have other laws. The distributor end of the three tier system can be about as fair as robber barons in the early 19th century. And trying to manage all sorts of operations 4-10 hrs away? Forget about it. We chose home. All things change. All things evolve. But sitting here today, we're Tennessee only. And we have no real designs on other states. Yes we get asked a lot to expand. Yes we have opportunities to expand. But there's not real measurement when that time will be. But for now? We're here to continue our business plan of: Be the The Best Brewery in Tennessee. From there? We'll see.

Biz New Orleans Magazine Louisiana's craft beer industry faces a dynamic landscape, with nearly 50 brewers contending with slowed growth and fierce competition. From transformed industrial spaces to innovative business strategies, breweries are adapting to thrive in a changing market.

NEW POD: Adin Wener from Henderson Brewing Company joins us to explain the ins-and-outs of the craft beer business, from supply to chains to hardware innovation to product development. We cover... 3:10 - What is Henderson Brewing and how did it grow? 7:11 - Why craft beer boomed, and where it's at today. 9:13 - The basics of the craft brewery business model. 11:29 - How bars and restaurants choose what beer to serve. 14:10 - The margins on brewing beer vs. hospitality and events. 18:55 - How Henderson develops new beers. 25:06 - Why some beers flop. 27:59 - Are young people drinking less than in the past? 31:36 - Why non-alcoholic beer is getting better. 36:58 - What sort of innovations have there been in brewing? 42:33 - Big trends in beer and alcohol. https://lnkd.in/dVs-xiap

"American breweries are currently at about half their capacity. That’s not good! But it’s actually worse that in looks because growth has been dead flat for three years. Were the industry growing, it would need headspace, so to speak, for future expansion. Here’s Bart: “When you’re growing rapidly, excess capacity is a good thing so you can keep up with that growth. Athletic has a lot of excess capacity right now with the purchase of that former Ballast Point facility, but no one thinks that’s an issue. So the ratio in the mid-2010s was different because brewers were rapidly growing into it. As I pointed out in 2015, the 2012 and 2014 ratios look the same, but 2014 production was actually bigger than 2012 total capacity. “So you need to understand the capacity number in the context of its time. If we were growing 18% again right now, even 51% might not be that bad (at 18% you’d use up all that excess capacity in 4 years), but at static or negative growth, it’s a lot worse, because it represents investments that aren’t being utilized.” I don’t have a lot more to add to this, except to say that if you want to open a brewery in the next few years, you might consider starting a contract brewery or alternating proprietorship. Not only would it save you a ton of money at the outset, but you might be doing another brewery a favor in helping them fill up those tanks." https://lnkd.in/esCxj5RU

𝗢𝘃𝗲𝗿 𝘁𝗵𝗲 𝗽𝗮𝘀𝘁 𝟯𝟬 𝘆𝗲𝗮𝗿𝘀, 𝗘𝘂𝗿𝗼𝗽𝗲 𝗵𝗮𝘀 𝘀𝗲𝗲𝗻 𝗮 𝗵𝘂𝗴𝗲 𝗿𝗶𝘀𝗲 𝗶𝗻 𝗺𝗶𝗰𝗿𝗼𝗯𝗿𝗲𝘄𝗲𝗿𝗶𝗲𝘀, changing the brewing scene in a big way. What started in regions with a strong brewing tradition quickly spread to places that had never seen much brewing before. 📈 🌍 This boom was driven by people looking for local, authentic beers instead of the mass-produced options offered by the big brewers. 🍻 Growth came in two stages: First, microbreweries flourished in areas where large breweries were declining, offering something different and special ✨. After 2010, the trend quickly spread to other parts of Europe with no brewing history, fuelled by a growing interest in unique, local products. 🌱 In 2022 the country with the highest number of microbreweries was France (2500), followed by England (1830) and Germany (1507) (source: https://bit.ly/3yPBufC). As microbreweries have sprung up across Europe, so has the demand for reliable, high-quality packaging. Vetropack is here to help, offering a wide range of beer bottles that suit the needs of brewers big and small, helping them share their craft with the world. ✨ If you want to delve deeper into this topic, check out the full article: https://bit.ly/46SvUW8. #CraftBeer #vetropack #sustainability #GlassPackaging

Do you know one thing about Brewery Owners that makes me giggle? Brewery owners, have you ever noticed how when you're picking out a new brew kettle or tank, you're all in on the specs knowing exactly where its going to go and what it will do for you, but freeze up when it's time to talk rebrand and what you want to achieve with that? It's funny how that works! Here’s a quick tip to help you out: Think of a rebrand like choosing a new piece of brewing equipment. What do you want it to achieve by purchasing it? More sales? Boost your local rep? Pack out the taproom? Spread your bottles far and wide? Maybe even scoop up some awards? Setting clear goals for your rebrand is just like knowing what you need from your next big equipment purchase. It makes sure you invest in changes that really pay off, whether it’s beefing up your bottom line, expanding your distribution, or just making more people fall in love with your brews. Here are a few example goals I've been talking to breweries about recently... - Local Fame: Becoming the toast of the town - Crowded Taproom: Looking to draw more people to their membership - Bottles on Shelves: Getting a wider distribution network - Award Winner: Chasing some shiny medals. - Press Buzz: Featuring in some of the most reputable industry magazines. Choose what matters most, and then find the right partner to help you nail it. And hey, if you’re wondering where to start, I’m just a message away. #BreweryBranding #CraftBeerMarketing #RebrandingGoals #BreweryLife

Last week we brought you an article on the UK’s up-and-coming brewers 🍻 The UK’s brewing industry has seen a steady increase in active companies over the past decade, which at the end of 2023 reached 1,623. Using our data, we mapped the UK’s brewing landscape as a whole, looked into which region had the most breweries, how many breweries were founded by an all-female team, and brought you the UK’s emerging brewers. This week, we’re taking you BTS to see how we got our data, and how we analysed it — so you can do your own industry deep dives. Discover how you can map niche industries like the brewing industry using the Beauhurst platform 👉 https://hubs.ly/Q02J2n2d0 #BeauhurstInsights #UKBrewers #UKBreweries