Business of Beer

Industry news related to the brewing industry and the business of beer

BA Releases Annual ‘Top 50’ List

posted Apr 2nd, 2020 by Tom McCormick

The Brewers Association released its annual list of the top 50 producing craft brewing companies and overall brewing companies in the U.S., based on beer sales volume.

“Although 2020 will be a markedly different year than 2019 for the craft brewing market, these companies are well positioned to help the craft category weather the current market uncertainty and rebound with the flavor, variety, and innovation that beer lovers have come to expect from small brewers,” said Bart Watson, chief economist, Brewers Association.
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Gordon Biersch Restaurant and Rock Bottom Chain Announce Mass Layoffs

posted Apr 2nd, 2020 by Tom McCormick

CraftWorks Holdings, which owns the Gordon Biersch Brewery Restaurant chain, Rock Bottom Restaurant & Brewery chain and Logan’s Roadhouse has permanently laid off nearly all of its 18,000 employees and closed its 261 restaurants in response to stay-at-home orders issued in most states due to the coronavirus.

The company filed for bankruptcy in early March and furloughed most employees while keeping some restaurant units open as it tried to restructure out of bankruptcy. The company said they now hope to eventually reopen about half of the units according to an article in the Wall Street Journal.

Ken Grossman – COVID Crisis ‘Most Stressful Weeks’

posted Apr 1st, 2020 by Tom McCormick

In a new NPR podcast Ken Grossman, founder of Sierra Nevada Brewing Company says that dealing with the current Covid crisis is at the pinnacle of challenges he has faced since founding the brewery 40 years ago.

“It’s been one of the most difficult and stressful weeks in our existence,” he explains. “There’s been a lot of sleepless nights, but this has been at the pinnacle of things for us to have to work through and make decisions about.”

The “How I Built This” podcast series is by Guy Raz of NPR who dives into the stories behind some of the world’s best-known companies. Ken goes on to describe in the podcast the challenges of starting a brewery in the pioneering days on the 1980’s with little money and a consumer base with almost no knowledge of “craft beer.”

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Pantry Loading Pops Off-Prem Beer Sales

posted Mar 31st, 2020 by Tom McCormick

The numbers are starting to come in, and no surprise, off-premise sales captured by scan data are showing a pop in beer sales due to the dramatic increase in sales at grocery stores across the country due to the COVID-19 crisis.

According to an article in Seeking Alpha, Nielsen scan data shows beer sales jumped by 16.2% year-over-year for a four-week period that ended on March 21.

Anheuser-Busch InBev clocked in with a 10.9% increase, Molson Coors +10.1% and Boston Beer was up 52.2%.

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Brewpub Lifeline –Take Out Service

posted Mar 29th, 2020 by Tom McCormick

As more states issue shelter-in-place orders due to the COVID crisis, breweries with a kitchen and food service have found a lifeline; providing food to go orders. It can be enough to keep some employees working and enough revenue coming in to pay for some of the fixed costs such as rent, insurance and other expenses that don’t go away when a business temporarily closes.

Pivoting from an on-premise restaurant model to an efficient and profitable take-out business is not in your average brewpub playbook. But in this comprehensive video, David Nayfeld gives a tutorial on exactly how to do that.

David. is the chef/co-owner of Che Fico, an Italian taverna in San Francisco. He served as the first chef for Los Angeles’ seasonal rotating-chef pop up, Fifty-Seven. He has also worked at the Eleven Madison Park and opened the Joël Robuchon at the Mansion MGM Grand.

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Congress Close to Passing Economic Relief Package

posted Mar 26th, 2020 by Tom McCormick

The Senate passed the Coronavirus Aid, Relief, and Economic Security Act to address the economic crisis facing the country due to COVID-19.

The bill is being heard on the House side today with hopes it will be passed by the House and signed by the president tomorrow. Details on how the bill will benefit craft brewers is available from the BA here.

Mexico Halts Construction of Massive Constellation Brewery

posted Mar 25th, 2020 by Tom McCormick

The Mexican government has announced that it won’t allow Constellation Brands to proceed on building a massive, partly-built $1.5 billion brewery on the border town of Mexicali after residents rejected it in a referendum.

Public protests have increased over recent months in opposition to the breweries use of water. The brewery was projected to use more water than all the industrial users in Mexicali combined.

Federal officials said that the plant would lose its water permits and the government would seek to negotiate with the company.

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Industry Experts Analyze the Alcohol Beverage Industry Crisis

posted Mar 23rd, 2020 by Tom McCormick

A podcast featuring leading experts in the alcohol beverage finance, retail, distribution and manufacturing tiers speak about the new world in the beer business.

The podcast features Kaumil Gajrawala of Credit Suisse, JB Shireman of Arlington Capital, and Bump Williams of Bump Williams Consulting and is moderated by Harry Schuhmacher from Beer Business Daily.

Share your thoughts with others on the ProBrewer Community Covid-19 Crisis Resource Center

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Brewers Association to Host Legal Options Webinar on Monday, March 23

posted Mar 21st, 2020 by Jeff Scott

The Brewers Association has announced an online webinar focusing on legal options for brewers in this time of crisis. Monday, March at 9am Pacific, 12pm Eastern. Details and a link to register can be found below.

Date and time:
Monday, March 23, 2020 10:00 am – Mountain Daylight Time (Denver, GMT-06:00)
Monday, March 23, 2020 12:00 pm – Eastern Daylight Time (New York, GMT-04:00)
Monday, March 23, 2020 11:00 am – Central Daylight Time (Chicago, GMT-05:00)
Monday, March 23, 2020 9:00 am – Pacific Daylight Time (San Francisco, GMT-07:00)

Duration: 1 hour
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Some Brewers Turn to Making Hand Sanitizer

posted Mar 19th, 2020 by Tom McCormick

As beer sales plummet across the country and many breweries begin to shut down and layoff staff, some are turning to making a scarce commodity – hand sanitizer. Distillers are getting in on the act as well. In most cases it is being handed out to free to the local community.

Not quite making lemonade out of lemons, but you get the picture.

California Craft Brewers Association Releases Statement on Speech by Governor Newsom on Latest Coronavirus Requirements for CA Breweries

posted Mar 16th, 2020 by Jeff Scott

The CCBA has released the following statement after California Governor Gavin Newsom’s press conference on the latest business changes in the state in response to the Coronavirus/Covid-19 crisis.

Statement from the California Craft Brewers Association in Response to Governor Newsom’s March 15 Press Conference:
Today the Governor addressed the people of California, requiring certain businesses to close and others to increase social distancing protocols. The Governor is requiring breweries to close their tasting rooms, but he did not direct breweries to stop production or cease off-site sales. Breweries are still allowed to continue to manufacture beer, self-distribute beer, conduct off-site sales (to go orders from the brewery) and deliver beer direct-to-consumers.
While the Governor used the term “brewpub” to broadly describe breweries with on-site sales, he was likely referring to breweries with only a tasting room. “Brewpubs” are breweries with restaurants. While we are still seeking clarity, based on the recommendations of the Governor regarding restaurant operations, CCBA’s understanding is that brewpubs will be allowed to stay open with the directive to maintain “deep social distance” between patrons and reduce capacity by 50 percent to accommodate this.
CCBA will continue to communicate in real time to its members as more information is released. Breweries interested in guidance on these items should contact the CCBA.

Via: CCBA

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Marketing And PR Suggestions For Brewpubs And Taprooms During Social Distancing

posted Mar 16th, 2020 by Jeff Scott

The next few months are going to be unprecedented. We don’t know exactly what will happen. Will people abide by the idea of social distancing or will they not be able to? We just don’t know. As a business owner it’s important to adjust and adapt with the times. Following on with our last post about Taproom And General Business Considerations For The Coronavirus Crisis, here are some more thoughts on business during a crisis.

We asked some marketing and PR executives for some ideas on how to handle a potential future where a brewpub or taproom sees it’s customer traffic drop due to the current crisis. Easy points to generate business during a downturn. The responses are impromptu and off the cuff, but authentically enthusiastic.

Beer To Go = Order Online + Drink At Home / Virtual Bar and Virtual Bar Visits / Virtual Tastings

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ProBrewer Wants To Help In This Crisis — ProBrewer Community Covid-19 Crisis Center

posted Mar 15th, 2020 by Tom McCormick

Dear ProBrewer Family,

First and foremost, I hope each of you and your family are holding up well and are healthy in these trying times.

The COVID-19 crisis has changed our businesses and the world around us. I am hopeful that we will indeed return to normal sometime soon, but for now we need each other. One thing that has always been unique about our industry is the cooperative and collaborative nature that we all share. The brewing industry is indeed one big family. In this time of crisis, ProBrewer would like to offer a virtual resource center to meet and talk and share with one another anything you want to talk about or questions you may have regarding the COVID-19 situation.
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Taproom And General Business Considerations For The Coronavirus Crisis

posted Mar 9th, 2020 by Jeff Scott

With the current virus crisis changing so quickly, it’s easy for a business to misstep and do things that are detrimental to their business and community if not properly prepared. We can’t provide any specifics of what a business should do, other than stay informed with updates from local health departments. But we can provide some common sense business considerations every company should remember during this time of crisis. These apply to any crisis, but particularly in a time like this when everyone is on edge and things are changing rapidly.

• Check to make sure you don’t do anything tone-deaf or non-compassionate with marketing, events, or new products. Pay particular attention to things that people are specifically sensitive to at the present time. Check your schedule for anything pre-scheduled to make sure it still fits. Don’t be afraid to cancel or suspend plans.

• Consider any changes to your business practices to meet current issues. For example — many coffee shops no longer allow refillable coffee mugs. Tap rooms might consider no longer offering growler fills. Take a look at events that might not fit the current times.

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