so a friend and I are butting heads a bit on which is the best option to pursue for a new brewery.
He thinks we need to get our name out there as much as possible and distribute to bars and restaurants.
I'm of the mindset that we need to grow our brand onsite first, where we can control everything from grain to glass. I think with social media as it is, people will respond to that much better than just seeing a random new tap in their local bar. Plus, onsite sales would be more money directly in our pocket. I've read and heard that onsite you can get around 4 to 6 times more money off of one keg.
Granted, I understand that the brewery couldn't stay open like a bar could, and that more places that serve our beer equals more money for us.
As far as production costs, those would be the same regardless. But, if we were to distribute (most likely self distribute), we'd need to factor in gas, vehicles, time, and the cost of extra kegs into the equation. I'd imagine that we'd need to keep at least 1 or 2 kegs on hand for every 1 we sold to a bar or restaurant.
I'm also a bit worried about keeping up with demand. Some new breweries near me are having a hard time supplying their tap room, let alone outside accounts. I can't imagine a bar or restaurant being forgiving or understanding if you can't make a delivery. I'm still a bit undecided between a 5 or 10 bbl system, but I'm leaning towards 5 bbl, with a few 10bbl fermentors in case we decide to double batch.
I know this is really dependent on local laws and such, but what do you guys think is the best option to start with? Eventually, I can see distribution as part of the picture, but that's a bit down the line.
I should also add that he doesn't really brew or visit breweries nearly as often as I do, he's more into the bar scene.
I appreciate any responses or thoughts, but please don't respond with "don't open a brewery" or something similar
Thanks!
He thinks we need to get our name out there as much as possible and distribute to bars and restaurants.
I'm of the mindset that we need to grow our brand onsite first, where we can control everything from grain to glass. I think with social media as it is, people will respond to that much better than just seeing a random new tap in their local bar. Plus, onsite sales would be more money directly in our pocket. I've read and heard that onsite you can get around 4 to 6 times more money off of one keg.
Granted, I understand that the brewery couldn't stay open like a bar could, and that more places that serve our beer equals more money for us.
As far as production costs, those would be the same regardless. But, if we were to distribute (most likely self distribute), we'd need to factor in gas, vehicles, time, and the cost of extra kegs into the equation. I'd imagine that we'd need to keep at least 1 or 2 kegs on hand for every 1 we sold to a bar or restaurant.
I'm also a bit worried about keeping up with demand. Some new breweries near me are having a hard time supplying their tap room, let alone outside accounts. I can't imagine a bar or restaurant being forgiving or understanding if you can't make a delivery. I'm still a bit undecided between a 5 or 10 bbl system, but I'm leaning towards 5 bbl, with a few 10bbl fermentors in case we decide to double batch.
I know this is really dependent on local laws and such, but what do you guys think is the best option to start with? Eventually, I can see distribution as part of the picture, but that's a bit down the line.
I should also add that he doesn't really brew or visit breweries nearly as often as I do, he's more into the bar scene.
I appreciate any responses or thoughts, but please don't respond with "don't open a brewery" or something similar
Thanks!