Category: Distribution
Understanding and navigating the beer distribution tier and self-distribution
News Anderson Valley Wins ‘Fair Market Value’ Case Against Beer Wholesaler
Anderson Valley Brewing won a court case against Golden Brands Distributing, a subsidiary of Reyes Holdings, in which the definition and application of “fair market value” was contested. It is a case that puts some guardrails on just how far beer distributors can go when demanding to be paid for a brands distribution rights.
(more...)
News Hard Fought Franchise Reform Passes in Wyoming
Wyoming Governor Mark Gordon has signed Senate File 0079 (SF 0079), a franchise reform bill into law. The bill has been a long fought and negotiated compromise between the states beer wholesalers and craft brewers to provide some relief to small brewers when terminating a distributor.
(more...)
Selling Beer and Getting Tap Handles: Distribution Strategy and the “Tapline Mafia” aka Santa Cruz County Beer Distributors
I can’t believe it has been almost 20 years since my cousin Emily and her (then) husband Chad the homebrewer and I opened the doors of Santa Cruz Mountain Brewing, only the 3rd brewery in all of Santa Cruz County, California (there are 15 or so today). Emily and I grew up in the small mountain town of Ben Lomond, California home to redwoods, Henflings (a local biker bar next to the volunteer firehouse) and a strong community of hard working people. It is safe to say that during the 70’s, 80’s and 90’s when Emily and I grew up there were likely 2 tap handles at Henflings Bar: Bud and Bud Light. (back then Coors was a non-union brewery)
(more...)
News Craft Collective Beer Wholesalers Expand Territory into Vermont
Craft Collective, an independent craft beverage distributor serving Massachusetts, Rhode Island, and Maine, has announced the expansion of its service area to Vermont in conjunction with a new, local distribution partnership with Vermont Beer Makers.
(more...)
A Cooler Looking Cooler: Dressing up a Jockey Box
The real workhorses of a beer festival are the humble, beaten and scratched ice filled coolers that have been fitted with taps and stuffed with coils and lines to dispense draft beer. Placed atop folding tables, the coolers become part of a brewery’s display and public-facing image. While important, it is an item that often does not look very good.
(more...)
Expert Topic Self-distribution versus using a distributor – off-site draft sales for breweries
The following article was posted on Feb. 18, 2015. It has been reviewed and updated as necessary by the ProBrewer editorial staff. Footnotes have been included where updated content has been added.
(more...)
10 tips for a valuable distributor sales meeting
Distributor sales meetings are perhaps the single most time effective way to make an impact on your distributors sales force. It allows you face to face time with the entire sales force and helps put a personal touch on your brand. Distributors should allow you access to a group sales meeting on a quarterly basis. Sales meetings can vary significantly from distributor to distributor. Some wholesalers will only allow you a short 15 or so minutes, often sandwiched in between numerous other suppliers also giving a presentation. Other distributors may give you the opportunity to speak for most of the meeting.
(more...)
Off-site draft sales for brewpubs
As brewpubs continue to proliferate across the country, many are opting to sell their products through retail accounts to utilize excess capacity and increase revenue. Off-site sales can also increase your walk-in business by creating exposure and interest in your brewpub. As attractive as this may seem, off-site sales entail a great deal of time, resources and effort to successfully achieve these objectives. And in some states, brewpubs are not allowed to sell their products outside the confines of the licensed premise.
(more...)
Specialty Beer Distributors meeting a first
In a small windowless hotel conference room amongst sweating carafes of water and large steamy coffee urns, more than 40 individuals from the specialty beer business gathered for a roundtable discussion on the business of distribution. The first-ever Specialty Beer Distributors Conference had convened, and although the setting was classic drab hotel conference room, the spirit and enthusiasm was radiant, and conversation flowed steadily for the two-day meeting.
(more...)
Obligations of beer wholesalers – What you should expect
The relationship between a brewer and wholesaler is a very complex and regulated one. State alcohol regulatory agencies mandate certain responsibilities of both the wholesaler and brewer such as payment terms, incentives, price posting, contracts, etc. Every state has a different set of regulations. It is extremely important that you familiarize yourself with the rules and regulations pertaining to the brewery and wholesaler relationship before doing business in that state. Many states also have franchise laws that define very specifically the parameters for terminating a wholesaler. Even in non-franchise states, a brewer can not terminate a wholesaler without cause unless they are willing to compensate the wholesaler for relinquishing the brand.
(more...)
Distribution 101 – The distribution handbook
In the current distribution climate, where distributors have many more brands than they are able to adequately and properly attend to, it is imperative for the supplier to take steps to gain and retain mind-share within each distributor. Many times, the distributor needs information about a particularly brand, either by request of a sales rep or a retailer. The easier it is for the distributor to access the information, the more likely that information will be passed on as a sales tool to the person in need.
(more...)
Distribution 101 – A short course in distribution basics
Distribution is one of the most important, yet commonly overlooked components in the operation and success of a craft brewery. A common misconception by those entering the craft beer industry is that once the beer is brewed, packaged, and shipped to a wholesaler, the brewer can essentially forget about it, leaving the sales, marketing and promotion to the wholesaler. This is not the case, since beer distributors function primarily as a delivery and warehousing mechanism. Most distributors do little, if any, selling and promotion of the beers in their portfolio, with the exception of the top selling two to three brands. Hence, it is imperative that the craft brewer know and understand the second tier of the business – distribution – in order to ensure their products are adequately marketed.
(more...)
Distribution – Our Top Distribution Resources and Info
Distribution is perhaps the most difficult and frustrating issue facing the specialty beer segment. In a highly regulated three tier system, access to market has grown exponentially more difficult for small brewers in just the last decade. Consolidation within the distribution tier has created far fewer and much larger wholesalers to choose from.
(more...)
News Reyes Buys Another – Picks Up Northern California Division of Columbia
Posted by Tom McCormick
The buying frenzy continues as Reyes Beer Division announced last week that it is buying the Sonoma and Marin County division of Columbia Distributing in Northern California.
(more...)