Category: Archived Articles

Starting a Distillery

Cyndi

Why, When, Where, and How?

By Stephen Tomori, Kindred Spirits Consulting

The process of starting a distillery is a daunting adventure that a number of entrepreneurs have undertaken in the past decade with mixed results. The process itself is comprised of navigating outdated and overly complicated government regulations, tariffs, fights with local authorities unfamiliar with the codes related to building out a distillery, and then trying to stake a claim in one of the fastest growing consumer markets.

  Some of these entrepreneurs have failed at their first attempt, due to improper planning and poor usage of available funds. Others are barely making ends meet, while burning the candle at both ends. Finally, you have the final category of those who planned well, executed their plan, and have reaped the rewards of success.  There are no guarantees when it comes to starting a business and a distillery is no different than any other venture. However, in order to have the best chances in making your business a success you will need to consider the Why, When, Where, and How before embarking on this journey.

Why am I Starting a Distillery?

  The reasons why you are starting a distillery affect your motivations and your willingness to stick out some tough times. If your goal is to make money, you can stop right here. If your goal is to make some truly great spirits and pursue a passion you might be on the right track.

  The world is changing and there have been some major shifts in the buying mentality of the younger generation. Consumers are picking up on the fact that the line between true craft spirits and commercialized mass-produced spirits is becoming blurred. The reason? A number of so-called craft distilleries are simply sourcing in commodity spirits and GNS flooding the market.

  The quality of the spirits you make are largely dictated by the quality of the raw materials you use. Since craft distilleries operate on a smaller scale and have more control over their day to day, there should be a noticeable difference between something made from scratch from the highest quality grains available and standard commodity grains. Your commitment to making something unique and truly great is what will help you maintain momentum despite the challenges you will face throughout the process.

  Your definition of success is also something you should consider before starting a distillery. Are your aspirations to be acquired by a major company? Do you dream of having a nationwide brand on shelves in stores and bars across the country? These dreams can be attained with a large budget for a buildout in a great space and by dedicating an enormous sum to marketing and branding. If your definition of success is a little smaller, doing something you love, something you can share with friends and family while covering your expenses and then some, you will be able to achieve those goals with less monetary investment.

When is the Best Time to Start a Distillery?

  We are currently in a craft distilling boom. There are now over 3,000 craft distilleries in the United States and that number continues to grow each year! Craft breweries and wineries are on the decline, but consumers are continuing to enjoy the great craft spirits being made. Now more than ever people have options when it comes to the sprits they are enjoying. Many are using this opportunity in the market to pivot from other careers to distilling. Some of the best distillers are from backgrounds in art, engineering, sciences, and other fields where they are able to apply the skills they have developed over the years to the art of distilling.

  Every industry has its highs and lows and there definitely was a major increase in consumption during the pandemic, that is not to say that people are not consuming now. The amount of alcohol consumed annually has steadily grown each year in the world and consumers are developing a taste for premium spirits. Over the past few years there has been increases in the premium and super premium markets by 35.2% and 22.8% respectively, according to research done by Penn State. This kind of market shift is great for craft distilleries as it is primarily the highest profit section in the industry. The premiumization focus has been primarily on Whiskies like Bourbon and Scotch, but other spirits are on the rise like American rums, gins and RTDs.

  Each business will have to count the cost to determine if now is the right time.  While still possible to get small business loans and other forms of monetary inputs, loaners are becoming increasingly stricter. Meeting your funding goals is a crucial step in starting a distillery, so be sure to make an honest assessment of whether your goals are feasible.

Where Should I Start My Distillery?

  This is the $500,000/1 Million/10 Million dollar question. The location of your distillery will drastically affect the total amount of funds required in its buildout and construction. Things that can be significantly different from place to place are taxes (both excise and local), property costs, building codes, population density, population demographics, and much more. Expectations also change depending on where you are located.

  The main focus of picking a location is ensuring it is large enough to fit the right sized equipment to be able to meet all of your production goals for the first three to five years and enable you to sell and showcase your products efficiently. 

  If you are in a small town, you might be able to make a decent living with a small distillery with a small bar attached to showcase your spirits. This would enable you to keep your up-front costs down and start turning a profit quickly.

schematic building plans for a distillery

  Life in a big city can be a bit more challenging to start. You will have to deal with increased property or lease prices and in turn have to increase your production and sales to match. You may also have to compete with other bars/restaurants, so the fit and finish of your public facing space will need to be a bit more sophisticated to draw in consumers. You will have access to a much greater number of consumers and your marketing and advertising will see greater impact and returns. You also could potentially have the best of both worlds with a “Non-Contiguous” setup where the majority of production is performed at one site while you maintain a smaller public facing space to interact with consumers. This allows for great production capability in a larger cheaper area, yet maintain the pros of having a smaller location in a prime area for sales.

  Your commute is another thing to think about when selecting a location for your distillery. During the first few years of operation, you will be spending a large amount of time at the distillery. Do you really want a long ride home after working all day? Another thing to think about is the local availability of workers to help you achieve your goals. Are there enough employees available to help with distilling, bartending, and sales in your area? Do a thorough investigation to see what comparable salaries would be for those working at your establishment.

How Can I Make Sure I Make the Best Decisions Throughout the Process?

  If you have made it this far and you are committed to pursuing the process of starting a distillery you no doubt you want to do everything you can to make it a success. This involves wisely budgeting and spending, setting up a safe and productive space for making your product, using the best raw materials you can to ensure the quality of what you make, and to dedicate the proper amount of money towards marketing and branding.

  Marketing and branding are what introduce your product and brand to the consumer. With so many options out there, a compelling story and professionally designed label is key to having someone give your product a chance. It has been said numerous times, “your branding sells your first bottle, and your quality sells your second” so don’t skimp when it comes to developing your brand.

  The best advice anyone can give is to learn all you can before embarking on this journey. There are a number of ways to get familiar with the industry.

  Extensive courses are available through schools like Heriott-Watt, Louisville University, Kentucky State and others. Keeping in mind that these courses take a significant amount of time and going back to school may not be an option for those who already have other careers or family responsibilities. Short courses are offered by other establishments that won’t be as much of a time investment, but they still cost a decent amount of money and only give you a brief overview of the processes typical in a distillery.

  If you don’t have the time or extra funds to attend one of these schools, your best option is to hire a guide to help you along the way. There are a number of consultants and consulting groups in the industry who can help you to reach your specific goals, while saving you money and headaches.

  Many of them offer consulting on the things specific to your situation and needs. They can help you navigate the confusing waters of the TTB paperwork and permitting process, assist with layout and equipment selection, help you develop recipes, teach you how operate your equipment, and much more.

  Don’t be afraid to ask for help when you need it. A good consultant should save you significantly more than you spend on their services. If they aren’t saving you money or headaches switch to someone who will.

Kindred Spirits Consulting: Owner and Lead Consultant Stephen Tomori

Kindred Spirits Consulting: Owner and Lead Consultant Stephen Tomori

Cold Chain Logistics

Cyndi

How Craft Beverage Producers Can Protect Product Quality During Distribution

warehouse full of beer on pallets

By Nick Fryer, Vice President of Marketing, Sheer Logistics

Expanding into new markets is a major milestone for craft beverage producers, but it’s also when supply chain vulnerabilities tend to surface. Inconsistent storage conditions, longer transit times, and unfamiliar distribution partners can all jeopardize product quality and brand reputation.

  For today’s craft brewers, distillers, and ready-to-drink innovators, ensuring product integrity isn’t just about preserving flavor—it’s about having a cold chain strategy that can scale. From temperature-sensitive transit to final-mile delivery, success depends on reliable partners, smart planning, and the right equipment.

  In this post, we’ll break down the cold chain logistics challenges facing small and mid-sized beverage producers and explore the tools and strategies that can help them grow without compromising quality.

What “Cold Chain” Really Means for Craft Beverage Producers

  A “cold chain” is a supply chain that ensures temperature control from the moment a product is produced all the way to its final delivery. This includes any warehousing and storage, as well as transit time.

  Cold chain logistics involve the use of carefully managed refrigeration that can be adjusted to the specifics of whatever is being transported. For most craft beverage producers, 4-6 degrees Celsius has become the standard. Storing craft beer at 4 degrees has been proven to ensure flavor stability and meet food safety requirements. Anything above 6 degrees is associated with a reduction in the overall quality.

Why Craft Beverage Producers Benefit from a Cold Chain

  There’s a common saying that the minute you drive a car off the lot, it loses 10% of its value. Food and beverage products are fighting a similar battle. Every second they’re not in a controlled environment, they risk losing some of their quality and, in turn, their value.

  This is a major issue for craft beverages, which are generally less processed than their conventional counterparts. It’s what creates their unique taste profiles and keeps this industry so interesting. It’s also, however, what puts many products at risk of microbial growth and other chemical reactions that degrade the freshness and quality. The color can shift as the product is exposed to heat, as can the taste.

  Proper refrigeration and a cold chain that enforces it slows this process of degradation so that the product a brewery sends out tastes the same before and after delivery. The benefit of this is:

•     Fewer product recalls.

•     A stronger brand reputation. People feel more confident that they’ll get the same taste and quality, time and again.

•     Happier customers overall.

Spotting Temperature-Driven Quality Failures in Transit

  Experimental beers and spirits are what put American craft breweries on the map. Even with the variety that’s celebrated, there are a few common signs that something’s gone wrong.

  Here are some of the best ways to spot if temperature-related failures in transit are affecting the quality of a craft beverage:

•     Beverages appear cloudy when they shouldn’t be. This is often down to a microbial bloom that can happen with heat exposure.

•     The color of the product has changed. Oxidation is another common chemical reaction that happens when more natural brews are exposed to higher temperatures.

•     Beverages gush or are over-carbonated upon opening. This may even just show up in cans that seem to have expanded or suddenly have leaky seals. The issue comes down to fermentation, which is usually triggered by warmth. It’s something that craft beverages with live cultures in them (such as hard kombucha) have to be particularly wary of.

•   The beverage tastes different. It may suddenly be quite sour or “funky” when it shouldn’t be or develop a hop-forward profile that wasn’t there before. This can be from a combination of oxidation and microbial activity.

  If perfectly good beverages get sent out but then display the above issues upon arrival at their destination, it’s a sure sign that something’s gone wrong in transit. Another general red flag is when a product’s shelf span suddenly seems to be quite limited. That alone can point to issues in the supply chain.

From Tank to Taproom: Identifying Weak Links in Your Cold‑Chain

The best way to identify weak links in your cold chain is to check it, step by step:

•    The Production Facility: From the minute the beverage is packaged, it needs to be in a cold room that is continually monitored and handled carefully by staff.

•     Loading Areas: Docks and staging areas should be kept cold so that as the product is moved from one environment to another, it’s kept at a controlled temperature.

•     Transportation: No matter what method of transportation is used, some method of cooling has to be involved.

•     Distributor Warehousing: Products need to be labelled to indicate that they require cold chain storage, and warehouses should be vetted to ensure they have adequate experience and capacity for that storage.

•     Bars and Retailers: The cold chain isn’t over until the drink is being poured from the tap into a waiting customer’s glass. To ensure cold storage at this final point, retailers need to be educated and informed on how best to refrigerate the product.

warehouse showing pallets full of beer boxes

Cold‑Chain Gear That Works: Trailers, Packaging, & Storage

  There are a myriad of ways to approach cold chain gear. Here’s what actually works:

•     Long-distance cold chain transportation needs refrigerated trailers with insulated side walls, proper seals, and real-time temperature monitoring.

•     Shorter or local logistics can get away with insulated vans that keep portable cooling systems and ice packs stable.

•     Reflective, foil-lined pallet covers and thermal blankets can be used to maintain low temperatures when loading or unloading in unrefrigerated areas.

•     Packaging that keeps out heat and humidity is just as important as fridges and kitted-out cold chain trucks. Even simply making sure that everything is shrink-wrapped can prevent heat buildup.

Smart Monitoring Tools: Tracking Temperature, CO₂, Humidity, & Shock

  Cold chain gear works best when it’s paired with smart monitoring tools and IoT sensors. The technology can track key variables in real time and send alerts if anything changes, so that businesses have time to intervene before quality degrades. The data collected can also be used later to further optimize the cold chain and make more energy and financially efficient decisions.

  Here are the main aspects worth tracking in a craft beverage cold chain and why:

•     Temperature: This is important no matter what kind of craft beverage you’re transporting, as any heat exposure can cause oxidation and spoilage.

•     Humidity: High humidity often leads to mold growth on packaging or the rusting of metal kegs. Anything transported long distances, especially in warmer months, should have humidity levels monitored.

•     C02: Build-up of this gas can accelerate fermentation in craft beverages and lead to bursting cans and bottles, especially if a product has active cultures in it (such as the yeast in a hazy IPA).

•     Shock: Too much shock during craft beverage transportation risks packaging and product integrity and can also damage cooling systems.

  By monitoring all of the above, especially through centralized tracking and logistics platforms, craft beverage companies can maintain a controlled environment for their products. The result is then improved quality control.

Conclusion:

Keeping It Cool from Production to Pour

  There is so much work that goes into creating craft beverages. Investing in cold chain gear, technology, and logistics strategies ensures that none of that work gets lost in transit. Instead, breweries can rest assured that they’re always putting their best product forward and, in doing so, building a brand reputation that keeps people coming back.

Nick Fryer is the Vice President of Marketing, Sheer Logistics. Nick has over a decade of experience in the logistics industry, spanning marketing, public relations, sales enablement, M&A and more at 3PLs and 4PLs including AFN Logistics, GlobalTranz, and Sheer Logistics.

Crafting the Perfect Fill

Cyndi

Filling Equipment Insights for Brewers and Distillers

By Alyssa L. Ochs

In the craft brewing and artisanal distilling industries, every detail matters – from the meticulously curated ingredients to the final presentation and every step in between. One of the most crucial yet often overlooked steps in the production process is filling.

  Whether you’re filling a bottle of whiskey or a can of IPA, the filling step affects product integrity, shelf life, operational efficiency and regulatory compliance. Fortunately, modern filling equipment has advanced significantly, offering brewers and distillers advanced features that cater to the specific needs and styles of beer and spirits. 

  In this article, we examine how filling equipment has evolved and what it looks like in today’s forward-thinking breweries and distilleries. To gain further insights, we also connected with Tony Saballa, the owner of Fillmore Packaging Solutions, which offers affordable beverage packaging for craft beverage makers.

Types of Filling Equipment Available

  The ideal type of filling equipment for your operations depends upon your product’s carbonation level and viscosity. For example, gravity fillers work well for thin and free-flowing liquids, such as craft spirits. They use the force of gravity to move non-carbonated liquids from holding tanks to cans and bottles. You’ll often use gravity fillers for vodka, gin and whiskey.

  Piston fillers are commonly used for liqueurs that have a high viscosity. Using mechanical pistons, these fillers draw a specific amount of spirit into a cylinder before pushing it into your container. Cream-based spirits and syrups with a thick consistency often incorporate piston fillers. 

  Volumetric fillers help beverage makers achieve a consistent fill volume, allowing you to stay true to your brand while also ensuring legal compliance. Distillers often use volumetric fillers to make ready-to-drink (RTD) cocktails, as they provide high accuracy control and help maintain precise brand consistency. These fillers operate by dispensing a volume of liquid using a rotary pump or flow meter to measure and control the flow of fluid.

  Isobaric or counter-pressure fillers utilize specialized machines that fill beer and other carbonated beverages into bottles with consistent pressure, thereby preventing the loss of carbon dioxide. With isobaric fillers, you’ll achieve equal pressure inside the can or bottle during the filling process, thereby preserving the carbonation. In addition to beer, sparkling wine, cider and carbonated RTD cocktails often use this filling method.

Fillmore’s Equipment Offerings

  Based in St. Louis, Missouri, Fillmore Packaging Solutions helps improve packaging processes for overwhelmed and underserved small craft beverage makers worldwide.

  This company focuses on the mechanical side of the small beverage trade. It has beverage packaging machinery available for both carbonated and non-carbonated beverages, including beer, wine, cider, kombucha, sparkling water and RTD cocktails. 

  Tony Saballa from Fillmore told Beverage Master Magazine that his company offers automated packaging machinery for filling cans and bottles with multiple sizes and formats.

  “Our filling machines are primarily engineered for isobaric filling, also known as counter pressure filling, a method used for filling carbonated beverages under pressure to minimize foaming,” Saballa said. “Our fillers can also be used for filling non-carbonated beverages.”

  Saballa explained that Fillmore’s machinery doesn’t require any complicated installations and is designed to be easily moved into the workspace and rolled away when not in use.

  When asked about the type of electrical connections Fillmore fillers require, he said, “Our fillers are engineered to operate from a standard 120-volt, single phase power outlet, so there are no specialized electrical connections required.”

  Saballa shared that Fillmore products’ packaging fill rates are always dependent on product temperature, carbonation levels and package size.

  “So, the typical fill rates our fillers range between 12 to 16 containers per minute,” he said.

  Fillmore’s equipment is designed to fit in a space of about three by five feet, or 15 total square feet. Its machinery can also be operated by just one or two people in a brewery or distillery, resulting in minimal labor requirements.

Precision Filling for Accuracy & Compliance

  Since the beer and spirits industries are heavily regulated, filling equipment is also relevant to legal compliance. Accuracy is of paramount importance when filling beer or spirits into cans or bottles. Regulatory organizations, such as the Alcohol and Tobacco Tax and Trade Bureau, require that containers meet volume declarations with minimal variation.

  Fortunately, today’s advanced filling equipment prioritizes precise and repeatable fills so that every can and bottle meet the appropriate volume requirements. For example, there have been significant technological advancements in sensor-based fill level detection, piston controls, digital flow meters and programmable fill settings.  

  This level of accuracy helps prevent product loss from overfilling, saving craft beverage makers money and resources. It also prevents underfilling, which can lead to compliance issues and customer dissatisfaction. When your bottles and cans are filled precisely, it shows that you pay attention to the details and run a professional operation that prioritizes quality control.

Automating the Beverage Filling Process

  In general, automated filling systems reduce your business’s need for extensive manual labor and help prevent employee mistakes. However, compact automation solutions like those offered by Fillmore are a game-changer for small craft beverage makers with limited production space.

  Small and mid-sized beverage producers are consistently seeking ways to balance efficiency with their space limitations. With an automated filling system, you can maximize the space you have while streamlining labor demands and achieving high throughput. Every square foot matters if you operate in tight quarters, such as a shared co-manufacturing environment or converted warehouse.

  Gone are the days when automated filling solutions were only reserved for high-volume-producing mega breweries and distilleries. Now, craft beverage producers of all types and sizes are embracing automation technology and working smarter on a smaller scale.

Flexibility & Seamless Integration

  When it’s time to invest in new filling equipment, consider automated systems with a user-friendly setup to get up and running promptly. Another priority might be plug-and-play simplicity that doesn’t require costly upgrades or infrastructure expansions.

  As some modern craft beverage makers now produce multiple types of beer and spirits, flexibility is another priority for filling equipment. Distillers and brewers often look for filling equipment that can work alongside their existing systems and accommodate various bottle and can sizes. Pieces of filling equipment aren’t isolated machines but rather one of many pieces in a broader production ecosystem.

  Universal compatibility is top of mind for companies specializing in filling equipment as demand increases for variable speed settings, modular designs and adjustable container guides. It is now possible to fill carbonated and still beverages with the same filling equipment line, easily switching between cans and bottles with minimal adjustments.

Scalability for Future Expansion

  In the fast-evolving world of craft beverage production, it’s essential to plan not only for today but also for future growth. Filling equipment should support your current needs and your goals for the years ahead.

  It’s often advisable to start small with your filling equipment, such as with a compact and entry-level system that allows you to build capacity as demand hopefully increases. For instance, you could launch with a two- or four-head filler and then upgrade later to a six- or eight-head model, provided the electrical infrastructure and base frame will support the expansion.

  Scalability involves increasing both speed and versatility, as many beverage makers are starting to explore new products that deviate from their original creations. If you choose a flexible filling machine, you will be able to accommodate various fill volumes, types of products and multiple containers.

  Another goal of scalability is to minimize downtime, so you never have to shut down your production line to install a new system based on new needs. Automation modules, adding additional filler heads during scheduled maintenance and software upgrades can help you achieve this goal. Keeping these factors in mind will help you protect your filling equipment investment and help your business evolve with the times and shifting consumer demands.

What’s Next for Beverage Filling Equipment?

  Looking ahead, next-generation filling equipment promises even greater precision, adaptability and efficiency than ever before, benefiting breweries and distilleries.

  Emerging technologies include remote equipment access, allowing operators to control and monitor filling equipment from their mobile devices. There has also been progress in AI-powered diagnostics and monitoring, which can automatically adjust regulate carbonation, viscosity and temperature.

  Meanwhile, some innovators have been perfecting automated clean-in-place systems and adjusting machine design to improve production speed further and ensure legal compliance. Fully integrated beverage packaging lines that handle filling, rinsing, closing and labeling are also in demand as equipment-makers take smart technology and automation to the next level.

Did Home Distilling Get Legalized?

Cyndi

It Depends on Who You Ask

distillery equipment on a table outside a home

By Kris Bohm, Distillery Now Consulting

Every distiller got their start distilling somewhere even if it was not necessarily legal. Many American distillers did not make their first batch of spirits in compliance with the laws of the United States. If you ask most professional distillers and distillery owners where they got their start, these people are not always open to discussing this topic. The reason for the hushed tones or outright silence when discussing learning distilling is that many distillers made their first batches of distilled spirits illegally. United States laws spell out that it is illegal to distill at home. If you were to hypothetically set up a little 5 gallon still at home and distill a few bottles of moonshine you have committed a criminal activity that warrants a felony in the United States. Because many distillers got their start in this exact way, the topic of the roots for distillers is not a vocal discussion. Hobbyists and professional distillers alike both tend to agree that home distillation should be legal and better regulated, but the battle to change the laws has not been an easy one.

  It is not common knowledge among the public of the antiquated laws regarding home distilling. The TTB, which is the government organization that regulates distilling states the following. Within title 26 of the United States Code, section 5601 sets out the following criminal penalties for producing distilled spirits at home. Offenses under this section are felonies that are punishable for up to 5 years in prison, a fine of up to $10,000, or both, for each offense. Some of these offenses include owning an unregistered still and possessing distilled spirits that have not been paid tax. While it is perfectly legal for an individual to produce their own beer or wine at home without any consequences (nor any taxes due) the production of distilled spirits at home is wholly illegal. It is quite absurd at first glance to understand why some homemade alcohol is legal (beer and wine) and others (distilled spirits) are not. This difference has helped to form the argument and a legal case to change laws related to home distilling.

  There are many books on the topic of home distilling and vendors all over the United States who can and will legally sell distilling equipment and materials for distillation. It is legal to sell distilling equipment of all sizes and the responsibility of the still purchaser to register the equipment with TTB. The Federal Government does not allow home distilling and so small stills fit for a hobby size scale are inherently illegal to own as you cannot register them with the TTB. Home distilling is a perfect platform to perfect the art of science and distilling. In fact, many professional distillers made spirits illegally at home prior to growing their hobby into a commercial distillery. While there are many new craft distilleries emerging, if home distillation was made legal it would likely contribute to more commercial craft distilleries opening their doors. The boom and growth of craft breweries is partially attributed to the legalization of homebrewing which was allowed in 1978.

  In 2024 the ridiculous restrictions regarding home distilling are finally getting their day in court. A home distilling group known as the Hobby Distillers Association (HDA) which represents over 1300 home distillers, is a group based in North Texas. One member of this organization had received a letter from the TTB notifying the individual that the TTB was aware that this individual purchased a small still and the still was not registered with the TTB. The letter further went on to cover the penalties for home distillation which can include jail time and large monetary fines. The individual who received this letter not only felt threatened by the TTB but felt action was needed to protect other hobby distillers. The HDA decided it was time to take action to change the laws that prohibit their hobby and work to protect its members from criminalization. Thus, the Hobby Distillers Association filed a case with the United States Court of North Texas that in essence stated the laws regarding home distilling were unconstitutional for a slew of reasons. The HDA contested that laws prohibiting home distillation did not accomplish the intent of the law to protect tax revenue. As part of this case the goal for the Hobby Distillers was to get the court to rule in their favor so that participating in the hobby of home distilling would no longer put hobby distillers at risk of severe criminal penalties.

  District Judge Mark Pittman who sat on the case found himself ruling in favor of the distillers on a rather interesting angle regarding the law. Pittman found that while the laws regarding distilling are intended to protect federal tax revenue they do not actually accomplish their intent. Because the original intent is not accomplished the laws are an over extension of the power of Congress. While the TTB outright bans the use of distilling equipment at one’s home, there is no space within this ban to regulate taxation. Further, the limited amounts produced in home distillation as demonstrated by the HDA does in no way jeopardize the revenue collected by the government from the taxation of spirits produced by legal commercial distilleries. In the opinion written by Judge Pittman he stated Congress did nothing more than statutorily ferment a crime— without any reference to taxation, exaction, protection of revenue, or sums owed to the government. With humor the judge has in essence ruled in favor of the hobby distillers to carry on with their hobby at home without fear or risk of prosecution.

This ruling is a positive change for home distillers and hobbyists, but it is not certain just yet. There are still bigger changes that need to be made to truly legalize home and hobby distilling. The opinion as put out by the judge does not change the laws. It merely protects the individuals from a law that is unjust. Currently the federal government and TTB still can seek changes to the judge’s ruling. It is important to note that some states have specific laws regarding home distilling. If you are considering practicing home distilling or distilling without a permit, I would recommend you research laws regarding the hobby and learn safe distilling practices as well.

  Written by Kris Bohm of Distillery Now Consulting. When Bohm is not busy distilling he can be found cracking lame dad jokes and riding bikes.

  The Decision regarding this case is Hobby Distillers Association et al. v. Alcohol and Tobacco Tax and Trade Bureau et al., Case No. 4:23-cv-01221, in the U.S. District Court for the Northern District of Texas

  TTB rules on Illegal Distilling can be found here.

https://www.ttb.gov/distilled-spirits/penalties-for-illegal-distilling

Is it Time to Elevate Your Beverage Brand

Cyndi

Even Legacy Beverage Brands See the Value in a Brand Refresh

banner sign says rethink revise rebrand

By Hanifa Sekandi

Everyone is doing it, changing their brand to look more modern or something fresh to appeal to a new consumer base. One could argue that social media made them do it. It is easy to feel the need to compete with the social media engine that never slows down. What beverage is everyone talking about now? Not your beverage, but why? This can be frustrating when you know that you offer an excellent product. At times, it seems hard to cut through the beverage marketing noise, but it is possible. As you think of ways to do so, you may have considered a rebrand. Yes, there is always room for improvement. No matter how great your brand may be performing, there is always that one thing that can boost awareness and increase sales.

  Even legacy beverage brands are seeing the value in a brand refresh every few years. If you are a new brand, a rebrand should be the last thing that crosses your mind. Remember, nobody knows about you just yet, and until everyone does, consider yourself in the clear. This does not mean that you should not develop compelling marketing strategies. It simply means that you still must introduce yourself to your audience. This may take months to years, but you must stay consistent to gain brand familiarity. A slow rise to the top is sustainable. If in doubt, look at legacy brands; most of them have steadily climbed their way into the elite beverage club. Then think of brands that had their glory in the sun, fifteen minutes of fame, and now they are simply an afterthought.

When is it Time  for a Rebrand?

  Before you start, ask yourself, does your beverage brand need a refresh or a rebrand? A rebrand, in most cases, is a complete overhaul of your existing brand. A refresh is when you add new elements to your brand while maintaining brand familiarity. A refresh tows the line, whereas a rebrand pushes limits; it is a business risk that may benefit or hurt your brand eventually. Either way, it is a roll of the dice. Will the odds be in your beverage brand’s favor? You will not know unless you try.

  For some brands, a substantial risk is not worth it, companies would rather do a brand refresh that provides new energy to their existing branding without too many risky changes. Other brands choose to undergo a rebrand, and this strategy often achieves their intended results. A rebrand often works when brands are launching a new product line. A change in ingredients of an existing beverage may prompt brands to overhaul their previous branding, highlighting that everything is different, not just the addition of cleaner ingredients, but also new sustainable packaging. For cases like this, even a logo and color change may be appropriate. Keep in mind that substantial changes also require marketing efforts to support them. You need to inform your consumer that things are different and here is why. It is an unveiling of a new product, an out with the old, in with the new moment.

  The way your team approaches brand development should be consistent. Before hiring an agency, be clear on your goals. Remember, not all great ideas are great for your brand. Also, do not erase what makes your brand familiar or stand out. Particularly, know your brand voice. A couple of notable examples of gentle rebrands that fall in line with more of a brand refresh are Pepsi and Fanta.

  Both refreshes perfectly married the old branding with the new and it was so seamless that unless you are a die-hard enthusiast of either beverage, you would not have noticed. The changes were subtle yet bold. You may also notice that they used a variation of their existing brand colors and slightly altered their logos.

  Just a little but more than enough is a great approach to rebranding, particularly for legacy brands.

  Let us say you are not a legacy brand, still relatively new, but have built a strong consumer base. Should you rebrand or should you refresh? Other than increasing sales, what is your end goal? Do you feel that a rebrand will further solidify your beverage brand as a top contender, joining ranks with a legacy brand? Are you the next Heineken? Or the next best top-shelf tequila every bar should carry? Will you lose your existing consumer? Lastly, is your brand familiar enough that making these significant changes will not confuse people who purchase your beverage? A brand refresh might be a better course of action for your brand if you are less than 10 years old.

  What does a refresh entail? Adding new prints or graphics to your cans or bottles. Hopefully, when you selected brand colors, you chose different variations of green, for example, or blues that sit perfectly within your color wheel. It is okay to add pops of colors that are not signature to your brand. But the integrity of your branding should remain intact. 7Up does an excellent job using different variations of green that are signature to their brand.

The Notable Introduction

  It may be time to reintroduce yourself to existing and potential new consumers. This introduction is a fantastic way to tell your story, remind your consumer why they support you and to highlight your brand to a new audience. Consider this a reintroduction, also as an introduction. Have you ever attended an event with people you know and people you do not know? The assumption is that you do not have to introduce yourself because there are people there who know you, and the rest will fill in the blanks.

  The reality is that people forget things; they forget the details about people they meet regularly. I am sure you have met someone at an event and walked away and forgotten their name. You know the face but cannot seem to recall their name or pertinent details about them. If you are in beverage sales, then you will understand the value of these details. This is how every brand should view itself as a familiar face but an unrecalled name.

  Never assume that people who consume your beverage have had enough of seeing you highlight the unique components of your beverage and the cultivation process. Seeing every day as an opportunity to introduce your brand, like you are the new kid on the block, will force you to keep things fresh. Just like saying hello to a friend you care about never gets old. Saying hello to your audience and reminding them who you are and what you bring to their tastebuds should be embraced.

Are You Ready to Elevate Your Branding?

  Elevating your brand should not be complex. There are simple and attainable ways to highlight your beverage without doing too much rebranding. It is important to be creative. Think of ways to highlight what you already have. Isn’t it funny that people search for vintage items from their favorite brands? Do not lose sight of what is already loved by your audience. Also, do not lose your creative spark.

  How can you market this beverage, which your team has already beautifully branded? Brainstorm hundreds of ways to tell your beverage’s story with your existing branding. If the opportunity arises to do a refresh or rebrand, it should feel like the next step to brand elevation rather than a thirst simply to compete. Do not chase your competitors’ story or their wins; instead, stay in your lane and run your race and celebrate your wins. It is easy to feel pressured to make changes to your branding when you see other brands do it.

  Remember, you cannot see their process or the budget they have allocated for this. The majority of companies plan; therefore, what looks like a sudden rebrand may have gone through years of development. It is best to set long-term brand development goals. In the next 5 years, you may want to adjust the logo or brand colors. This will give you enough time to refine your branding and curate a rebrand that is impactful and embraced by old and new beverage enthusiasts.

Make It Easy to Say Yes

Cyndi

How Brand Clarity Drives Shelf Space, Sales Growth, and Strategic Opportunities

bottles of corona extra beer in sand

By Jake Ahles, Morel Creative

Craft doesn’t guarantee growth, Clarity does. In today’s saturated beverage market, the brands winning shelf space, closing distribution deals, and attracting serious investment aren’t always the ones with the best product. They’re the ones with the clearest story.

  The ones who make it easy for buyers, investors, and consumers to say: “I get it. I want in.”

If you’re preparing for the next big trade show, fundraising round, or distributor meeting, here’s the hard truth: your product alone isn’t enough. You need a brand story that sells.

  This article lays out how distillers and craft beverage founders can use brand clarity as a sales weapon—turning marketing from an afterthought into a revenue driver, a distributor enabler, and a signal to future investors that you’re ready for prime time.

The Growth Bottleneck No One Talks About

  You’ve nailed the flavor. The packaging pops. Maybe your tasting room hums with energy or your founders’ story turns heads.

  But when a buyer asks, “What makes you different?” or an investor says, “Why now?”, you find yourself fumbling.

  It’s not because you don’t care—it’s because clarity is hard. Especially when you’re close to the product.

Here’s what often happens:

•  Your sell sheet is too busy.

•  Your pitch deck meanders.

•  Your reps are all telling different stories.

•  Your digital presence confuses more than it converts.

And so…

•  Buyers pass.

•  Distributors deprioritize you.

•  Your reorder velocity flatlines.

•  Funders say, “We’re not quite sure where this fits.”

  All while a competitor brand with half your soul—but a sharper story—wins the shelf.

Clarity = Conversion: What Trade Buyers and Investors Need to Hear

  Let’s start with what your key decision-makers are really thinking:

Distributors and Trade Buyers:

•  Can I sell this easily?

•  What makes this different from what’s already on my shelves or menu?

•  Will consumers understand it right away?

•  Will my staff be able to talk about it with confidence?

Investors:

•  Is this brand built to scale?

•  Can the founder or team articulate their differentiation in under 60 seconds?

•  Does the positioning reflect a deep understanding of the market?

•  Will this story resonate with future buyers or acquirers?

  If your content and messaging don’t answer these questions clearly and consistently, you’ve created friction. And friction kills momentum.

Brand Clarity in Practice: The Assets That Drive Decisions

  Clarity isn’t just a vibe—it’s a system. When your materials are clean, aligned, and easy to use, you create confidence. Confidence leads to yes. Here’s what that looks like:

1. Your One-Liner: The headline on your sell sheet, website, or intro slide should immediately explain what you do, who it’s for, and what makes it different.

Not: “A bold new botanical experience.”

Better: “Zero-sugar craft spirits designed for modern mixologists.”

2. A Streamlined Trade Deck:

Three to five slides max. Visuals first, words second. Answer:

•  What is it?

•  Why now?

•  Who’s buying it?

•  Why it moves units.

3. Sell Sheets with Punch: Focus on the highlights.

•  Brand origin in 2–3 lines

•  Product SKUs, pricing tiers

•  Flavor profiles or use cases

•  Distribution + reorder details

•  Beautiful bottle shots + fast contact info

4. Distributor/Rep Tools:

•  One-pagers for each product

•  Internal videos explaining the brand story

•  Ready-to-send follow-up kits with shareable content

5. Digital Ecosystem:

•   A centralized media library

•   Consistent messaging across web, social, print

•   Video shorts that reinforce key points

The Ecosystem Approach: A Playbook for Growth

  At Morel Creative, we think of clarity not as a single asset, but as an ecosystem—a cohesive content system that works across:

•  Internal team training

•  Sales meetings and trade shows

•  Distributor enablement

•  Consumer marketing

•  Investor conversations

  This approach is what inspired our F.E.E.E.D. Framework, a storytelling system designed to unify your brand story across sales, marketing, and trade—with assets that build clarity, foster connection, and drive momentum across every touchpoint.

For distillers, this could look like:

•   Crisp sell-in tools that win attention in national accounts

•   Thoughtful origin stories that connect in regional campaigns

•   A modular content system that works across markets and team members

The goal? Scale your story

without diluting your soul.

Proof: What Happens WhenYou Nail It.

We’ve seen the results firsthand:

•  Faster shelf placements.

•  Higher distributor engagement.

• Improved sell-through and reorder velocity.

•  Better investor traction.

•  Readiness for acquisition or national expansion.

  Brands that invest in clarity don’t just look better. They move faster. They scale without chaos. They enter new markets with confidence. They stop relying on founder charisma alone—and start building momentum that’s replicable.

Final Thoughts: Clarity Is an Act of Respect

  You’ve put your heart into your product. You’ve spent late nights dialing in flavor, sourcing, compliance, packaging, and logistics.

Now give your sales partners, buyers, and future investors the same attention.

Make it easy for them to say yes:

•  Build a one-liner that lands.

•  Create a pitch deck that converts.

•  Organize your story so others can tell it for you.

Because the best products don’t always win. The clearest ones do.

Clarity sells!

It’s Time to Roll Out the Barrel

Cyndi

Oktoberfest in Germany and Around the USA

Oktoberfest 2025 group shot

By Melissa Watkins, Loan Mantra

As we prepare to roll out the barrel for Oktoberfest, the world’s most renowned beer festival taking place in Munich, Germany, we invite you to immerse yourself in this grand celebration of Bavarian culture. This annual two-week event showcases an abundance of beer steins, pretzels, lively dancing, traditional attire, beer tents, carnival rides, and fun. Although its name suggests it occurs in October, Oktoberfest kicks off in September. This year’s festival begins on September 20 and continues until October 5, 2025, marking an impressive 190 years of festivities! We will explore the various aspects of Oktoberfest, including its financial impact on the Munich economy and how these valuable lessons can be applied to your beer business.

Oktoberfest History

  The inaugural Oktoberfest took place on October 12, 1810, as part of the wedding festivities for Crown Prince Ludwig (later King Ludwig I) of Bavaria and Princess Therese von Sachsen-Hildburghausen. Residents were invited to enjoy a five-day celebration culminating in a horse race at Theresienwiese or “Therese’s green.” The event’s popularity led to the race being held annually, eventually evolving to include food stalls and beer tents, resulting in the pop-up beer halls made of plywood, complete with interior balconies and bandstands, that visitors enjoy today. These beer halls and tents accommodate over six million guests anticipated at the 2025 Oktoberfest.

  Preparations for this year’s event started June 30. Each Munich brewery constructs temporary structures with seating for around 6,000 people. The breweries also participate in parades featuring beer wagons, floats, and people dressed in folk costumes. The mayor of Munich officially opens the festival by tapping the first keg. Total beer consumption during Oktoberfest exceeds 75,800 hectoliters (approximately 2 million gallons).

Economic Impact of Munich Oktoberfest

  Oktoberfest serves as a significant driver of economic growth, generating €1.25 billion and accounting for up to 2% of the city’s Gross Domestic Product (GDP). Millions of visitors from across the globe greatly contribute to hotel occupancy rates, dining, shopping, and public transportation. Despite rising beer prices and high inflation, 6.7 million guests attended Oktoberfest last year. Each year, 12,000 to 13,000 jobs are created due to the festival, resulting in an annual wage growth of 6.6%.

  The creation of both temporary and permanent job opportunities benefits individuals and bolsters the city’s economy. The influx of workers leads to increased spending in Munich, positively affecting businesses beyond the festival. Local restaurants, transportation services, and accommodation providers all experience heightened activity, contributing to the city’s overall economic vitality.

  The Department of Labor and Economic Opportunity reported that Oktoberfest had a significant economic impact, attracting about 7.2 million visitors who spent €442 million on the festival grounds. Total spending on food, drinks, and rides reached €1.25 billion. Visitors from outside Munich spent €505 million on accommodations, boosting the hotel sector. Beer tents generated €300 million, with setup costs between €1-2 million, and organizers earned a 7.8% profit. The festival produced 7 million liters of beer, resulting in €75.7 million in tax revenues. The hotel and hospitality sectors gained €500 million, while stalls, bars, and rides contributed €140 million to the economy. Souvenir sales, including Lederhosen and Dirndls, added €160 million to individual trade.

Long-Term Economic Impact

  Beyond immediate economic benefits, the festival also generates long-term advantages. Oktoberfest fosters strong brand recognition and nostalgia for Germany, attracting year-round visitors and tourists, leading to revenue that stretches beyond the Oktoberfest season. This allure encourages infrastructure investments and foreign businesses, directly benefiting the German economy, promoting international collaborations, and enhancing the nation’s global presence.

Oktoberfest 2025 group shot

Willkommen (Welcome) to Oktoberfest in the U.S.

  Some of the most popular Oktoberfest celebrations in the U.S. include:

1. Oktoberfest Zinzinnati (Cincinnati, OH), September 18-21, 2025, largest with 800,000 2024 attendees.

2. The Denver Oktoberfest (Denver, CO), September 25-28, 2025, activities: keg bowling to stein hoisting, live music and more.

3. Oktoberfest La Crosse, (La Crosse, WI), September 25-28, 2025, longest running.

4. Big Bear Lake Oktoberfest (Big Bear Lake, CA), September 6- November 8, 2025, celebrating 55 years.

5. Helen Oktoberfest, (Helen, GA), September 25 – November 2, 2025.

6. Mt Angel Oktoberfest, (Mt. Angel, OR), September 11- September 14, 2025.

7. Wurst fest (New Braunfels, TX), November 7- November 16, 2025. Ten-day festival that raises over $20M for nonprofits.

8. Reading Liederkranz Oktoberfest, (Reading, PA), October 1 – October 5, 2025.

9. Schmidt’s Columbus Oktoberfest, (Columbus, OH), September 5-September 7, 2025

10. New Ulm Oktoberfest, (New Ulm, MN), October 3- October 11, 2025.

Bavaria in America

  Here are some of the most delightful Bavarian villages in America:

1.    Leavenworth, Washington: Leavenworth, set by the Cascade Mountains, has evolved from a logging town into a Bavarian-themed destination. Highlights include alpine architecture, beer halls, the Nutcracker Museum, the Christmastown Village of Lights, Oktoberfest, and year-round outdoor activities.

2. Frankenmuth, Michigan: Founded by German immigrants in 1845, Frankenmuth is known as “Michigan’s Little Bavaria.” The town hosts numerous annual festivals, including a Bavarian Easter, World Expo of Beer, and Christmas events. Don’t miss Bronner’s Christmas Wonderland, the world’s largest Christmas store.

3.   Helen, Georgia: Helen is a village in the Blue Ridge Mountains, located about 100 miles northeast of Atlanta, recognized for outdoor recreation options. The town has cobblestone streets and offers wine tasting, mini golf, a water park, and German cuisine. September and October bring visitors for Oktoberfest, while the Christkindlmarkt is held during the holiday season.

4. Fredericksburg, Texas:  Established by German settlers in the mid-1800s, Fredericksburg features architecture such as a replica of a 19th-century German church and has a local wine industry with over 100 wineries and vineyards. Located within reach of Austin and San Antonio for day trips, Fredericksburg holds more than 400 festivals and events annually, including a three-day Oktoberfest and a fall Food & Wine Fest.

5.   Vail, Colorado: Vail blends Swiss and German architecture with notable charm, making it one of the top ski destinations in the United States. Stroll cobblestone streets, enjoy Austrian-Bavarian cuisine and stay in cozy Bavarian-style lodges. 

German Heritage in the United States

  It’s fascinating to examine the geographic distribution of populations identifying with German heritage.

map of united states showing percentage of german population by state

  Ready to Roll Out the Barrel? Is your beverage business prepared to leverage Oktoberfest’s popularity and success? Here are some insights and ideas to consider.

Leverage Technology

  E-commerce and social media platforms are crucial for breweries to engage consumers and boost sales. Embrace digital media to fully exploit the Oktoberfest brand and its seasonal appeal. Think about how your business can capitalize on this by:

a.  Utilizing e-commerce platforms

b.  Engaging social media

c.  Implementing innovative digital marketing strategies

  Consider creative approaches, such as partnering with a sister city near Munich or livestreaming from events. Additionally, utilize technological tools like AI and ChatGPT to explore opportunities and gather insights.

Enhance Customer Experiences

  Consumers are eager to invest in premium, high-quality, and unique beer experiences, providing craft brewers an opportunity to distinguish themselves. How can Oktoberfest be optimally utilized to create memorable experiences for patrons? Reflect on whether your craft brewery or distillery could host events such as an Oktoberfest celebration, “A Taste of Bavaria,” or even a live beer tent with Polka dancing. Additionally, consider how to enrich the taproom experience with food pairings, engaging events, and various activities that will captivate and resonate with consumers.

Share Your Story

  Brewers focusing on regional storytelling, ingredient sourcing, and eco-friendly practices are likely to connect with today’s value-driven consumers. What compelling aspects of your unique business journey stand out? Can you collaborate with similar businesses or local events to enhance and promote your craft brew brand? This approach can help narrate your local company’s story. Emphasizing regional storytelling and sustainable practices can truly resonate with consumers seeking meaningful connections.

Diversify and Test

a.   Explore brand diversification and testing to introduce new and improved beverage options. Diversify Product Portfolios: Offer a mix of traditional and non-traditional drinks to cater to a broader range of consumer preferences.

b.   Sales of non-alcoholic beverages, both within and outside of Munich’s Oktoberfest beer tents, surged by 50% compared to the previous year.

c.   This trend aligns with significant shifts in the U.S., where consumer interest in unique flavors, as well as non-alcoholic beers and beverages, is on the rise.

d.   Invest in Non-Alcoholic and Low-Alcohol Options: Dedicate resources to research and develop high-quality, flavorful non-alcoholic and low-alcohol beverages.

  Oktoberfest can be a flagship event to capture and reinvigorate beer sales. By exploring its history, aligning your beer brand with regional and local celebrations, and tapping into Oktoberfest’s brand equity, beverage businesses can capitalize on the festival and position their business for success.

  Raj Tulshan is founder and managing partner of Loan Mantra. For more information visit www.loanmantra.com or connect with Raj at https://www.linkedin.com/in/tulshan/.

Five Bucks & a Bag of Chips

Cyndi

As We Peer Into Our Crystral Kegs & Stills Trying to Forecast the New Year, We Can’t Ignore the Trends!

crystal ball and tarot cards

By Mark Colburn

Beer, wine and spirit sales are sagging due to reduced consumption, inconsistent tariffs that threaten many aspects of our industry, wholesaler consolidation and low consumer confidence. Combining these trends means that the battle for shelf and handle space will be frenetic. The fight for the consumer’s share of stomach will be equally challenging. As a craft beer wholesaler marketing director in a major metro, I sat through hundreds of supplier business plan meetings which typically begin in October. These next year plans were filled with new products and clearly absorbed a great deal of executive supplier attention. Herein lies the chink in your competitor’s armor.

  Sitting on the opposite side of the supplier vs. distributor (I was the marketing director for one of the country’s largest craft, beer, cider, wine and spirits wholesalers) conference room table, I wondered how the fourth quarter seemed to be overlooked, or taken for granted by our large, medium and even small suppliers. Perhaps they were satisfied with the long summer’s results I mused during these marathon meetings?

  This particular large supplier was presenting in mid-September hoping to get the “attention jump” on the rest of the supplier roster. As I sat there viewing slide #68 of their PowerPoint presentation I got an idea. Keep in mind my background is in the ad agency business…

  As the one responsible for each month’s rather bulky sales plan (8-10 pages), I started looking for common denominators. It was easy. One of my brand managers even sarcastically coined his monthly supplier incentive as, “five bucks and a bag of chips.” I found that the vast majority of monthly sales incentives were alike – five dollars per Off Premise placement and slightly more for On Premise.

  The volume incentive was equally similar as was the compensation for a new tap handle placement. As a believer in the “zig vs. zag theory” I recognized a unique opportunity for a supplier that wanted to get a bit creative.

  Since it was still September I knew I had time to whip up something and get it agreed to…and funded. I also knew that Halloween had grown into a $12+ billion business. Moreover, anything to do with Halloween was fun. This seemingly obvious point is forgotten by so many businesspeople. Over my 15 years in this distributor position, I experimented with hundreds of fun incentives to assess their selling significance with a highly street smart, unionized and sizeable ON and Off Premise selling team.

  Most succeeded while a few did not. The one I’m about to share with you shattered all volume and distribution expectations and was in my top three of all time. Although this incentive may not be applicable to your situation, the point is to inject creativity and fun into your brand. Where legal, you might even fine tune my incentive into a consumer or employee event that will garner results.

The Sam Adams Haunted House

  By far the smartest executive I have ever met is Jim Koch. I first met him in Boston and later we rode together several times visiting key accounts throughout San Francisco. Mr. Koch had heard about some of my prior incentives, “Gordon Gekko’s Greed is Good,” “The Money Chamber” and “Broccolinchini” and probably thought I was thick as two short planks.

  He could not deny the results, however. After procuring the necessary budget from Boston Beer and my team, I set out to create the most fun incentive ever launched around a Halloween theme. Thus the Sam Adams Haunted House was “built.” How can this help your business? Please read on…

  In my career I’ve found that whenever “Fun” is used as a strategic denominator, the results are exponential. The Sam Adams Haunted House was created as a sales incentive “clutter buster.” The vast majority of supplier-side sales team incentives lacked even the most remote level of fun or creativity. The trend was to simply follow everyone else. The results were naturally proportional.

  To clearly differentiate the Sam Adams brand from the rest of the big, medium and small brand pack I worked with my graphic designer to create a huge haunted house graphic (see pic inset).  This graphic was brought into the Friday morning sales meeting, by yours truly, every Friday in October. If you’ve never been in a large, end-of-week, early morning sales meeting; you’re not missing much.

  These can last several hours as supplier sales reps and managers stumble their way through unrehearsed, monotonous sales presentations. Now that I’ve shared the setting, picture this: The huge sales meeting room (60+ occupants) is now dark (all lights out and curtains pulled). The huge sales team is now watching and listening, wondering what is next. Suddenly a boom box blasts sounds of howling wolves, creaking doors, chains and screaming goblins throughout the cavernous room. I enter wearing a black cloak with the scariest mask you’ve ever seen holding a flashlight under my chin. I let out a screeching howl, “Welcome to the Sam Adams Haunted House!!!” From that second on, Sam Adams owns this major metro sales team.

  To get to the Haunted House, the On and Off Premise sales teams competed weekly by making placements in their accounts. The salespeople with the most placements got a Friday morning trip to the house where they came up to the front of the room to select a scary graphic that I then flipped open (I had pre-trimmed these into little doors and marked dollar values for each that when combined kept us on budget) to reveal their winning cash prize.

  The prizes ranged from $25-$250 so there was significant interest to earn a pick every Friday in October. This kept the incentive top-of-mind throughout the salesperson’s week. To determine who picked each Friday morning I came into the office very early to run VIP reports showing individual sales rep accomplishments. After reviewing the numbers I was able to announce the weekly winners by 7am.

  Although this level of creativity (I admit it is a bit creepy but think of the audience – predominantly males aged 24-39) may not suit your personality or your brand, I must share with you that the sales volume and placement results shattered our wildest expectations.

  The incentive was so popular that I repeated it for three or four years in a row. This incentive DOMINATED all other suppliers during the month of October. Further, it created momentum and top of mind awareness within one of the largest sales teams in the country.

  This momentum carried the Sam Adams brand into the November and December holidays (supported by my “Santa Broccolinchini” incentive) where many brands concede this period opting to gear up for the New Year.

  This fourth quarter incentive tandem provided Boston Beer with sales plan DOMINANCE for 8+ weeks. Further, it put their brand on a substantial downhill roll teeing up their annual business plan meeting where the incentives and their results were the first thing that everyone spoke about in the executive meeting room.

  They really set the “fun tone” and paved the way for the coming year’s strategies and new items.  The Sam Adams Haunted House is provided to you as an example of the synergistic results achieved when creativity is mixed with a large dose of fun. I use the term, “Fun-kifize” (an old Tower of Power tune) in my podcasts and recommend such to you.

  If you don’t participate in wholesaler incentives try adjusting a version to your internal team or even at the consumer level. Perhaps a game could be played to earn trips to the haunted house to generate more consumer interest and traffic in your tap or tasting room?

  Lastly, to dot the “I’s” I learned that Jim Koch was going to pay us a visit in November. I asked his team if I could interview him for 15 minutes and videotape the session. They agreed so I taped Mr. Koch and gave him the names of the biggest achievers from the Halloween incentive. I then edited the tape and played it during one of those long, boring Friday sales meetings.

  The sales team loved hearing a luminary like Jim Koch give specific sales people “Atta boys” for their their outstanding performance. Just another example of adding legs to a creative idea to wring out even more benefit. Remember that people buy AND SELL for people and BRANDS that they like. Be THAT brand.

Happy Halloween!

About the Author

  Mark Colburn has 35 years of experience in the beverage industry working primarily with craft beer and cider brands. He is the host and creator of the pod cast, “The Shinerunner Show” http://www.thebrewingnetwork.com/shinerunner-ep18-dyno-ing-the-marketing-mix/ and author of the book, “Craft Beer Marketing & Distribution – Brace for SKUmeggedon.”

  After earning his master’s degree in marketing, Mark went into the advertising agency business then into brand management. For 15 years he was the marketing director at a large California beer, cider, wine, and spirits wholesaler where he managed a brand team, experiential events, and multiple craft brands. Currently Mark works as a consultant and is available to chat about your brand opportunities at …

shinerunner@comcast.net

https://www.linkedin.com/in/mark-colburn-8332625

Did Home Distilling Get Legalized?

Cyndi

It Depends on Who You Ask

home distilling equipment outside a house on a table

By Kris Bohm, Distillery Now Consulting

Every distiller got their start distilling somewhere even if it was not necessarily legal. Many American distillers did not make their first batch of spirits in compliance with the laws of the United States. If you ask most professional distillers and distillery owners where they got their start, these people are not always open to discussing this topic. The reason for the hushed tones or outright silence when discussing learning distilling is that many distillers made their first batches of distilled spirits illegally. United States laws spell out that it is illegal to distill at home. If you were to hypothetically set up a little 5 gallon still at home and distill a few bottles of moonshine you have committed a criminal activity that warrants a felony in the United States. Because many distillers got their start in this exact way, the topic of the roots for distillers is not a vocal discussion. Hobbyists and professional distillers alike both tend to agree that home distillation should be legal and better regulated, but the battle to change the laws has not been an easy one.

  It is not common knowledge among the public of the antiquated laws regarding home distilling. The TTB, which is the government organization that regulates distilling states the following. Within title 26 of the United States Code, section 5601 sets out the following criminal penalties for producing distilled spirits at home. Offenses under this section are felonies that are punishable for up to 5 years in prison, a fine of up to $10,000, or both, for each offense. Some of these offenses include owning an unregistered still and possessing distilled spirits that have not been paid tax. While it is perfectly legal for an individual to produce their own beer or wine at home without any consequences (nor any taxes due) the production of distilled spirits at home is wholly illegal. It is quite absurd at first glance to understand why some homemade alcohol is legal (beer and wine) and others (distilled spirits) are not. This difference has helped to form the argument and a legal case to change laws related to home distilling.

  There are many books on the topic of home distilling and vendors all over the United States who can and will legally sell distilling equipment and materials for distillation. It is legal to sell distilling equipment of all sizes and the responsibility of the still purchaser to register the equipment with TTB. The Federal Government does not allow home distilling and so small stills fit for a hobby size scale are inherently illegal to own as you cannot register them with the TTB. Home distilling is a perfect platform to perfect the art of science and distilling. In fact, many professional distillers made spirits illegally at home prior to growing their hobby into a commercial distillery. While there are many new craft distilleries emerging, if home distillation was made legal it would likely contribute to more commercial craft distilleries opening their doors. The boom and growth of craft breweries is partially attributed to the legalization of homebrewing which was allowed in 1978.

  In 2024 the ridiculous restrictions regarding home distilling are finally getting their day in court. A home distilling group known as the Hobby Distillers Association (HDA) which represents over 1300 home distillers, is a group based in North Texas. One member of this organization had received a letter from the TTB notifying the individual that the TTB was aware that this individual purchased a small still and the still was not registered with the TTB. The letter further went on to cover the penalties for home distillation which can include jail time and large monetary fines. The individual who received this letter not only felt threatened by the TTB but felt action was needed to protect other hobby distillers. The HDA decided it was time to take action to change the laws that prohibit their hobby and work to protect its members from criminalization. Thus, the Hobby Distillers Association filed a case with the United States Court of North Texas that in essence stated the laws regarding home distilling were unconstitutional for a slew of reasons. The HDA contested that laws prohibiting home distillation did not accomplish the intent of the law to protect tax revenue. As part of this case the goal for the Hobby Distillers was to get the court to rule in their favor so that participating in the hobby of home distilling would no longer put hobby distillers at risk of severe criminal penalties.

  District Judge Mark Pittman who sat on the case found himself ruling in favor of the distillers on a rather interesting angle regarding the law. Pittman found that while the laws regarding distilling are intended to protect federal tax revenue they do not actually accomplish their intent. Because the original intent is not accomplished the laws are an over extension of the power of Congress. While the TTB outright bans the use of distilling equipment at one’s home, there is no space within this ban to regulate taxation. Further, the limited amounts produced in home distillation as demonstrated by the HDA does in no way jeopardize the revenue collected by the government from the taxation of spirits produced by legal commercial distilleries. In the opinion written by Judge Pittman he stated Congress did nothing more than statutorily ferment a crime— without any reference to taxation, exaction, protection of revenue, or sums owed to the government. With humor the judge has in essence ruled in favor of the hobby distillers to carry on with their hobby at home without fear or risk of prosecution.

This ruling is a positive change for home distillers and hobbyists, but it is not certain just yet. There are still bigger changes that need to be made to truly legalize home and hobby distilling. The opinion as put out by the judge does not change the laws. It merely protects the individuals from a law that is unjust. Currently the federal government and TTB still can seek changes to the judge’s ruling. It is important to note that some states have specific laws regarding home distilling. If you are considering practicing home distilling or distilling without a permit, I would recommend you research laws regarding the hobby and learn safe distilling practices as well.

  Written by Kris Bohm of Distillery Now Consulting. When Bohm is not busy distilling he can be found cracking lame dad jokes and riding bikes.

  The Decision regarding this case is Hobby Distillers Association et al. v. Alcohol and Tobacco Tax and Trade Bureau et al., Case No. 4:23-cv-01221, in the U.S. District Court for the Northern District of Texas

  TTB rules on Illegal Distilling can be found here.

https://www.ttb.gov/distilled-spirits/penalties-for-illegal-distilling

Delta Dirt Distillery

Cyndi

Deep Rooted, Family-Based, and Globally Recognized

Harvey and Donna Williams holding their vodka bottles

By Gerald Dlubala

It’s probably one of the most frustrating and head-scratching yet rewarding and fulfilling things I’ve been involved with,” said Thomas Williams, head distiller at Delta Dirt Distillery, about the journey of getting Delta Dirt Distillery from its days of a “what if” idea to its present-day status as an award-winning, internationally acclaimed distillery in downtown Helena Arkansas.

  Thomas’s parents, Harvey and Donna Williams, are the co-founders of Delta Dirt Distillery. They were high school sweethearts who eventually married and moved their family away due to Harvey’s corporate career as an agricultural engineer. Harvey had always wanted to come back home to the Delta region and start a business that somehow incorporated the family farm. How that would be possible and what that business would look like was still a question mark.

  Harvey and his brother had many conversations around the farm, discussing the growing of vegetables and the latest trends based on information gained from a recent vegetable grower’s conference. The theme of the conference that year was sweet potatoes and the possibilities surrounding their various uses. Some of the conversations turned to using sweet potatoes in the distillation of vodka. Harvey thought that it was a cool and unique idea, something different that not many others considered.

  “That sparked an idea, and he went down the rabbit hole of research upon research and distillery visit after distillery visit,” said Thomas. “Eventually, after a couple of years, my mom let him know that it was time to make a choice, meaning start the distillery or just let it go. So, Delta Dirt was incorporated in 2017, and we were now an official business. We started the journey of purchasing and renovating an old downtown building. Then, it was time to buy the equipment and start formulating our first product, Sweet Blend Vodka.

Four Generations of Farming

  While the Williams family have no direct experience in producing distilled spirits themselves, it does run in their bloodlines. Harvey’s grandfather, “Papa” Joe Williams, was the patriarch who sharecropped the family’s original 86 acres back in the 1800s. His son, U.D. Williams, farmed the same acreage but also made moonshine in a still tucked into the woods on the family farm. With the money he made from cotton and making moonshine, U.D. Williams was able to do something remarkable. In 1949, he purchased the family farm out of sharecropping.

  “The story goes that once he purchased the farm, he quit making moonshine and buried the equipment,” said Thomas. “I’ve heard all of the stories, but we never recovered any of his original moonshine recipes or instructions. I wish we would’ve. It would’ve made my job a little easier if I had a recipe to at least get started. The recipes I use are formulated and made from scratch based on research and a lot of trial-and-error.”

  Although no moonshine recipes were found, a lone remaining jug from U.D. Williams’ moonshining days is proudly displayed at the distillery.

Unique Spirits Lead to Immediate Awards and International Recognition

  Delta Dirt Distillery is a family-run business that grows its produce and grains in the same community and on the same clay-dirt family farm that has been in the Williams family for four generations. Harvey fills the role of CEO, while Donna is the Chief Brand Officer. Thomas is the head distiller, and Donavan handles the duties of Operations Manager. After nearly three years of trial and error, the Williams family released their Sweet Blend Vodka in 2020, distilled from a blend of sweet potatoes and corn grown on their family farm. Awards quickly followed in U.S. and international competitions, including winning double gold in 2022 and platinum honors in 2024 at the San Francisco World Spirits Competition. Sweet Blend Vodka is now considered one of the best distilled vodkas in the world.

  “Most people think that sweet potatoes will bring sweetness to the vodka,” said Thomas. “It does to some extent, but not as much as you would expect. It’s more of an earthiness with just a little hint of sweetness that mixes in all the best ways to produce a very smooth and unique tasting vodka. It’s hard to describe to someone who has never tasted it, but the combination of flavors comes through so beautifully in a spirit that makes it well balanced in something that you’ve never had before.”

•   Sweet Blend Vodka is Delta Dirt Distillery’s flagship spirit, featuring floral and fruity notes that present a complex aroma with a pleasing finish.

•   Tall Cotton Gin is crafted by hand with upfront notes of juniper and hints of floral, orange and coriander. It presents a light, airy mouthfeel upon tasting.

•   Sweet Roots Arkansas Brown is Delta Dirt Distillery’s version of bourbon whiskey. Although they can’t label it as a bourbon because the use of sweet potatoes in the mash disqualifies it from that category, Thomas says that it is produced following all the same practices and guidelines as bourbon whiskey. Sweet Roots Arkansas Brown is distilled from a blend of corn, sweet potatoes, rye, and barley. After aging, consumers will notice hints of caramel and subtle spice, along with the exceptional smoothness that Delta Dirt Distillery’s products have become known for. On the back of the label, Thomas honors the present family legacy with a picture of his parents, Harvey and Donna.

•   Deep Roots Arkansas Brown is a small batch release honoring the family’s past. It is dedicated to “Papa” Joe Williams, the patriarch of the Williams family. Consumers will notice his portrait, authentic signature, and description as “first generation landowner” on the back of every bottle label, ensuring his legacy lives on. Deep Roots Arkansas Brown is distilled, bottled, and released in limited quantities and generally sells out within hours. It ages longer and has a higher proof than the Sweet Roots Arkansas Brown and embodies the Williams family’s profound connection to the land they’ve cultivated for four generations and counting.

Educating Consumers and Supporting Local Community

  “I want our spirits to be an eye-opening experience and opportunity for our consumers,” said Williams, “From a new and distinctively good tasting product to the transparency of where the ingredients came from to make what’s in their glass, down to the actual field where the sweet potatoes were harvested. People always want to know where their food comes from, but that same desire to know isn’t yet present in spirits. We offer that to the consumer, showing them exactly where that alcohol comes from. Additionally, I want them to know how good the spirits in their glass can and should be. You should drink something because it’s really good and you really like it. Then you can fully enjoy it. I want people to drink and enjoy our spirits, thinking to themselves that what they’re having is truly exceptional. They’ll know exactly where it came from, how it’s uniquely different, and that, at the same time, they are supporting a lot of people here in Helena, Arkansas. This area needs some love, so part of our mission is to give back to the community that we’re rooted in, both physically and metaphorically. There aren’t many distilleries around here, so we know we’ll be some people’s first interaction and experience with this sort of spirit, so we try to educate. I love being the educational piece. I love educating visitors about our products and our region. I love answering questions because when someone has questions, that shows interest.”

  At the same time, Thomas says that they are in a somewhat depressed area, so it’s essential to support our local neighbors and give back to the community.

  “We are rooted here both metaphorically and physically,” said Thomas. “We have an opportunity to touch on a lot of different things with what we are doing.”

Named Attraction of The Year and Drawing Tourists from Across the World

  “We were only two years old when we were named Arkansas Tourism’s attraction of the year in 2023,” said Thomas. “That’s a testament to what we’ve created. We continue to build recognition as something unique to our area, but we also attract tourists from around the world. Usually, tourism in Arkansas means the Northwest region, which is the hub of entertainment and nightlife, but tourists are now heading here, to the opposite side of the state, just to visit us.”

  “The distillery features couches and a large three-sided bar, locally made by a craftsman behind our distillery,” said Thomas. “Visitors can see our entire production floor and process through a glass wall that highlights our showpiece, the copper pot still. We’ve doubled production every year since opening. We’ve expanded storage, improved our equipment, and actually have more new machinery on the way. The rich, clay-dirt farm is still in full operation. There are some squash and vegetables still planted, but sweet potatoes occupy most of the acreage space, all going toward the distillery.”

Working With Family Is Rewarding

“Being able to be successful while working with family is always special,” said Williams. “The headaches, at the end of the day, are worth it if you’re doing this with a purpose. If you’re trying to get into it solely to make money, you’re likely to be unsatisfied. Try to remain open to any unique possibilities that come your way, which may not be part of your original life plan, and turn those into something special. In my case, it’s touching that we can come together and do all this tough and time-consuming work together as a family. Every day is an adventure, and I’m really enjoying it.”

  For more information or to visit and tour Delta Dirt Distillery…

Delta Dirt Distillery

430 Cherry Street

Helena, Arkansas 72342

870-662-5709

customerservice@deltadirtdistillery.com