Brew Pub Business Plan

Brew Pub Business Plan-81
PHOTO: COURTESY FUNKY BUDDAH BREWERY “My mom wouldn’t go to a brewery with me, but she would go to a brewpub,” says Scott Kerkmans, director at Metropolitan State University of Denver’s Brewing Industry Operations Program, which offers degrees in both brewery operations and brewpub operations.

PHOTO: COURTESY FUNKY BUDDAH BREWERY “My mom wouldn’t go to a brewery with me, but she would go to a brewpub,” says Scott Kerkmans, director at Metropolitan State University of Denver’s Brewing Industry Operations Program, which offers degrees in both brewery operations and brewpub operations.“Brewpubs give you so much flexibility and so many opportunities to showcase your brand that a tasting room just doesn’t offer.“They try to have a hand or play an important role in the restaurant side, the brewery side, and on the management side, and they don’t delegate enough responsibility.

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“Überbrew is kind of our mission statement and our name all rolled into one.

It reminds us what we’re trying to do every day, and that is to use the best raw materials and really work hard to make sure everything is the best that it can be.” The competitive advantages represented by brewpubs haven’t escaped some of the bigger players, including AB In Bev, which has invested in or acquired brands with a strong brewpub presence in recent years, including 10 Barrel Brewing, which operates five brewpubs, mainly centered in the West and on the West Coast, including a location in Portland, Oregon.

But, for those willing to take on both, brewpubs are an attractive way to diversify their revenue streams and attract customers outside core craft-beer drinkers.

Operating a kitchen as well as the brewery has made Funky Buddha Brewery (Oakland Park, Florida) a more consistent draw.

Maybe it’s become a little more of our niche than what we wanted—about 65 percent of our sales are food—but it’s working pretty well.” Hastings says that in addition to providing a significant revenue stream in food sales and also helping to bring in a more diverse clientele, the food, beer, and entertainment options at Überbrew all complement each other in creating an overall pleasant and inviting atmosphere.

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“We believe that things such as atmosphere and service—even the music that’s playing when you’re enjoying our beer—only enhance the beer, and in the same way the food enhances the beer,” Hastings says.’ I wanted a brewpub that could deliver a better experience all around, where people aren’t just served frozen fish and chips and mozzarella sticks or whatever.“I wanted to put the foodies and the beer geeks together and have them both be happy.You’re also going to reach people who you wouldn’t have reached before, and I think you can also brew interesting beer.“I encourage our students to think more open-mindedly about brewpubs,” he says.While the term “brewpub” may once have described venues known more for their food, today’s leading edge brewpub operators are proving them to be a compelling outlet for creative expression in food and drink and a compelling business model.Brewpubs have come a very long way since the days of wood-paneled bars, animal heads and beer signs on the walls, and—with notable exceptions, of course—middle-of-the-road beer to match the middle-of-the-road food.“There’s a lot of room for the brewpub model,” says Madeleine Pullman, director of the Business of Craft Brewing Program at Portland State University.“Especially because it hasn’t historically been a particularly creative space and people are becoming more creative with different kinds of foods, beers, and things they do in that retail environment.“A lot of them don’t have the desire to run a restaurant, but when you look at the types of breweries that are becoming successful right now—and that I think will continue to be successful—it’s not the large production breweries with a big footprint around the country.Instead it’s small tasting rooms and small brewpubs that serve a local community.

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