Kombucha with a Kick

By: Nan McCreary

Artisanal cheese for sale at artisan market in Ile rousse

Hard Kombucha is one of the latest drinks to make a splash in the “better-for-you” alcoholic beverage market. But what is hard kombucha, you ask? Wait, what is kombucha?

  Kombucha traces its roots to China’s Qin Dynasty (221 BC), where it was known as the “The Tea of Immortality” for its medicinal properties. The drink is made by mixing sweetened black or green tea with a symbiotic culture of bacteria and yeast called SCOBY and allowing it to ferment. The result is a tart and sour, lightly-carbonated drink that’s naturally gluten-free, low in sugar and chocked full of probiotics. With health-conscious millennials driving today’s beverage industry, it’s no wonder that kombucha is experiencing a revival, and is one of the fastest-growing beverages on the market today.

  Kombucha first went mainstream in the U.S. in 1995 when GT Dave, the man behind GT’s Kombucha, established the first and largest kombucha brand in the industry. Promotion for the drink touted the health benefits of both tea and probiotics, and sales immediately exploded in supermarkets throughout the country.

With an ABV of less than 0.5%, kombucha could be sold legally as an alcohol-free beverage. In 2010, however, a Department of Agriculture inspector discovered a kombucha at a Maine Whole Foods that contained alcohol levels well above 0.5%. It was pulled off the shelves nationwide, and producers were left with three options: keep their kombuchas under 0.5% and follow strict labeling laws, sell them in the beer section at their current ABV, or create an intentionally higher ABV beverage. For those who chose the latter — a “hard” kombucha — the crisis presented a golden opportunity. The low-alcohol beverage with a healthy dose of probiotics caught on quickly, and in just a few short years, became the hot new kid on the beverage-industry block. According to Nielsen, sales of hard kombucha spiked 247% in the 52 weeks leading up to April 20, 2019.

  One of the first to create high-alcohol kombucha was Dr. Hops, based in San Francisco. “I was working in Berkley with the fitness and yoga community, and craft beer was exploding and doing amazing things,” said CEO and founder Joshua Rood. “Non-alcoholic kombucha was also growing rapidly. I’ve always been a food and beverage guy. When I saw this happening, I realized you could make a high-alcohol kombucha that would be authentic to both categories, offering the benefits from the health properties of straight kombucha, and the flavor, complexity and pleasure of a really good craft beer.”

  With only one hard kombucha on the market at the time—Unity Vibration in Ypsilanti, Michigan—Rood approached a brewer who was making both beer and kombucha and asked him to make a prototype that offered the best of both beverage worlds. “The prototype was awesome,” he said.  “At the same time, my wife had an adorable rabbit named Dr. Hops, and I thought, ‘what a perfect name for a health-conscious kombucha that’s all hopped up.’ So that’s why we named our product Dr. Hops.”

  While Rood was developing his product in 2016, another hard kombucha hit the market: Boochcraft, California’s first high-alcohol kombucha, and today’s market leader in sales.

  To make hard kombucha, producers start with a mixture of sugar, tea and water. For his base, Rood selects the highest organic quality and fair trade tea he can obtain. Next, he adds SCOBY—a combination of bacteria and yeast that he’s developed in-house—and adds it to the tea mixture. The concoction ferments for a week, allowing the SCOBY to work and make kombucha what it is: a probiotic, sour and flavorful drink. To raise the alcohol level beyond the 0.5% from the initial fermentation, Rood adds a Belgian Ale yeast that creates a slight beer quality and lets that mixture ferment for another week. This step raises the alcohol level to 0.7 to 1%.  Finally, after the second fermentation is complete, Rood adds hops, fruit, herbs or spices and “lets it rest” to let the flavors develop. 

“This is a very mellow waiting period,” Rood told Beverage Master Magazine. “We gently stir the mixture and let the particulate matter sink to the bottom. Then we add a bit of sugar, which gives the kombucha a touch of sweetness, and finally, we package it.”

  Dr. Hops makes four standard products: the IPK, similar to a juicy IPA; the Lop, a tart, refreshing pomegranate chai with prominent grapefruit notes; the Jackalope, with prominent ginger, lime and mint flavors; and the Blinky, with hints of basil and lemongrass. All are dry-hopped with hops sourced from the Pacific Northwest. Sugars vary from 4-6%, and ABV runs from 5-9%. Flavors come from fresh, organic fruits rather than flavoring compounds.

  In terms of legal classification, hard kombucha is typically classified as a beer rather than a wine product. The Dr. Hops production facility is similar to a brewery, with stainless steel tanks and temperature, pressure and oxygen controls. To produce optimum results, brewers have to be very meticulous, Rood explained. “The process goes through many different phases, and each phase has the potential to create benefits as well as off-flavors. It’s really an art. We have to check fermentation constantly, as it’s a living process and not an exact formula, although we’re getting pretty good at it.”

  Ultimately, Rood’s goal is to create a product that is “good for your belly” and “good for your buzz.”  Hard kombuchas have less sugar than anything in the alcohol world, he said, except for pure vodka. “As Americans, sugar is one of the worst things we consume, so we keep ours as low as possible.”

  Rood also uses a kombucha strain that’s rich with alcohol-resistant lactobacillus, a health-enhancing probiotic. Because Dr. Hops’ products are unfiltered and unpasteurized (heating from pasteurization destroys enzymes, organics and flavors), the probiotics stay in the beverage, helping the body process not just food, but also alcohol. Another health benefit: Dr. Hops uses only organic fruits, roots and herbs, which provide additional nutrients.

  “Essentially, we’re trying to eliminate the junk people put in their bodies while drinking alcohol,” Rood said. “When you take all of our ingredients together, you have a beverage that’s remarkably distinct and much healthier.”

  As more and more health-conscious imbibers turn to beer/kombucha blends, Dr. Hops is enjoying great success. Currently, the company produces 1,000 barrels a year, with plans to triple—or even quadruple—production within the next year.  Right now, they package their kombucha in bottles, but Rood intends to switch to cans soon. Dr. Hops is available in liquor stores and independent food stores and markets in Northern California and is on tap in several bars in the Oakland, California area. Rood’s goal is to increase distribution to the western third of the country and Florida. 

  “Sales have been amazing,” he said.  “It’s something people want, but most don’t know it until they discover it, and then they get very excited about it.”

  Within the past couple of years, many up-and-coming hard kombucha brands have emerged within the growing industry, including Flying Embers, KYLA, JuneShine and Lambrucha. Established kombucha producers are also getting in on the action. Wild Tonic, originally a regular kombucha brand, created two hard kombucha products: one with 5.6% ABV and one with 7.6% ABV. Kombrewcha, one of the country’s pioneering hard kombucha brands, received backing from AB InBev’s investment arm, ZX Ventures, to produce a new line of hard kombuchas.

  It’s not only AB InBev getting in on the action, however. Craft breweries have also extended their product portfolio to include hard kombucha. For example, New Holland Brewing, a Holland, Michigan craft beer brand that’s been around for over 20 years, now produces a seasonal offering that combines the flavors of an IPA with Kombucha. Boston Beer, maker of Samuel Adams, recently launched Tura Hard Kombucha. And Deschutes Brewery in Bend, Oregon collaborated with Humm Kombucha to create Humm Zinger, “a beer that blends together Humm’s tangy grapefruit kombucha with Cascade hops and Pilsner malt for big citrus flavor with a profound dry hop character.”

  Clearly, hard kombucha is hitting the mainstream. After all, what’s not to like? It’s all-natural, gluten-free, organic and vegan, low in sugar and calories yet contains enough alcohol to be fun. As part of the low-alcohol trend, which includes hard seltzers, hard ciders and low-alcohol spirits, hard kombucha has a lot of opportunities to grow. If you think you might be one of those who want it but don’t know it yet, hustle off to your favorite vegan restaurant, grocery or liquor store and check it out.

“SMART” Brewing: Innovation & New Technology for Craft Breweries

By: Cheryl Gray

man inspecting a machine

Brewers have needed packaging and tools to dispense their products ever since beer was first brewed a millennium ago. Today, innovation and technology that transform a good idea into a great one are driven by industry titans who know how to keep pace with the demands of a highly competitive field, putting craft breweries in a position to stay a step ahead in an increasingly crowded global marketplace.

Print-on-Demand With Abbott Company

  One of those titans is Wisconsin-based Abbott Company, in business for 95 years, specializing in industrial marking and packaging solutions. Tim Stark, Abbott’s president, points to the rise in craft brewing as the catalyst for creating a demand for innovation and new technology aimed at achieving best practices in product identification operations.

  With craft breweries increasing their production capacity and distribution, Stark says there is a correlating trend towards print-on-demand inkjet technology replacing pre-printed boxes and hand-applied labels.

  “Print-on-demand inkjet technology offers many benefits, including a lower cost-per-mark compared to pressure-sensitive labels, as well as more flexibility for managing corrugate stock volumes and case sizes. Our recommended high-resolution inkjet technology, FoxJet ProSeries print heads, has been recently enhanced to print scan-able barcodes on porous cases at higher speeds consistently.”

  Stark says that in automating the printing of product identification on cases, today’s brewers are also looking at improving efficiency by integrating what he calls “scan and select” capabilities into their operation.  

  “This makes product changeovers, and subsequent print message changes effortless and free of human error. A hand scanner is used to scan a barcode from a work order, which selects the correct message to be printed on the case. This is often paired with a barcode vision system which can verify the readability of barcodes before they are palletized and shipped to retailers, allowing a turnkey case coding solution that will scale as breweries continue to grow.”

  Craft breweries are also looking for innovation when it comes to products that solve their primary packaging identification needs, says Stark.

  “We also see a growing desire for high contrast date coding on bottles and cans that are dark in color,” he said. “With a focus on freshness, an increasing number of craft breweries are requesting to use yellow and light blue inks to make the date code and other important product information pop out to consumers. The introduction of the Linx 8900 Plus soft pigment inkjet printer allows brewers to print high contrast codes on their bottles and cans while avoiding the difficulty commonly found with traditional pigmented ink printers. “

Shrink Sleeves With PDC International

  PDC International is another company at the forefront of an industry upon which many craft breweries depend—shrink sleeve labeling. From the moment the business opened in 1968, anticipating customer needs is what the Connecticut-based company has brought to its brewery clients. PDC Founder Anatole Konstantin immigrated to the United States from post-WWII Eastern Europe, building his company out of the den of his home. 

  Through vertical integration and in-house controls, including its own machine shop, PDC is known for quickly solving customers’ production challenges. Neal Konstantin is president of the company his father, Anatole, founded fifty years ago. He says the widespread use of shrink sleeves, a technology allowing a brewery to place its brand name on blank cans rather than having to inventory large quantities of pre-printed cans, saves warehouse space, simplifies logistics and saves money.

  “The recent widespread adoption of shrink labeling by breweries has resulted in machine refinements for labeling [either] full or empty aluminum cans of all sizes,” says Konstantin. “Special product handling ensures that aluminum cans are not dented or marred when processed through the labeler. PDC’s proprietary cutting blades now last millions of cycles between sharpenings, saving downtime and labor and reducing overall costs. We offer the widest range of shrink sleeve label applicators in the industry, ranging from entry-level systems up to 400-500 pm.”

Release the Pressure With

R&S Supply Company

  Don’t be thrown by the Napa Valley location of R&S Supply Company. It also caters to craft breweries, along with wine and other industries in all 50 states and 10 countries around the globe. Founded in 1984, R&S Supply Company is a distributor of products from brands such as Tassalini Valves, Strahman Washdown Products, Definox Valves, Texcel Brewers & Spirits hose assemblies and Dixon Sanitary Pumps & Fittings.

  Company President Paul N. Roberts touts the newest product line that R&S Supply has recently added to its roster. “The newest product line that we have added is Bradley Industrial Products and Keltech Tankless Electric Water Heaters. The Keltech Tankless Water Heaters provide instant hot water anywhere in a production facility when mounted on our cart.”

  Roberts points to the Italian-manufactured line of Tassalini Sanitary Valves as one of his company’s top innovative products. Industry insiders know that the name Tassalini has been around since 1922 when it first produced products for the aeronautics industry. R& S Supply Company is Tassalini’s largest U.S. distributor, Roberts says, stocking all original manufacture replacement seals and repair kits, along with an entire line of Tassalini Valves for every need.

“We stock the complete line including butterfly valves, actuators, check valves, ball valves, tank vents, sight glasses, plug valves and all the accessories and repair parts.”

Pour One Out With Xpressfill Systems

  A relative newcomer to the industry of packaging and tools, XpressFill Systems LLC is led by owner Randy Kingsbury, a mechanical engineer with more than 30 years of experience. Based in San Luis Obispo, California, XpressFill Systems is a global player in the development of affordable, efficient filling equipment for the brewing industry, with customers in the United States as well as Europe, Australia, South America and Asia.  

  “Our equipment is small—tabletop—making it easy to position in smaller brewery operations. It is simple to operate and maintain, requiring only one or two operators to efficiently maintain the quantity and quality of the beverage,” Kingsbury says.

  XpressFill introduced its first filler for brewers in 2014, a tabletop counter pressure filler for bottles with a pair of fill spouts. This product, Kingsbury says, was designed to launch its fill sequence with a carbon dioxide purge, then seal and fill the bottle to a level sensor that automatically stops the fill so the bottle can be removed and capped. XpressFill edged its technology forward, developing its four-spout counter pressure bottle filler, capable of filling 12-ounce bottles at a rate of 400 per hour.  In 2018 the company introduced counter-pressure fillers for cans.  

  “The XF4500C has two fill spouts and is capable of filling 300 12-ounce cans per hour. To further satisfy the demand for filling cans, the XF2200 open fill unit was developed. This provided a faster, less expensive alternative, capable of filling 360 12-ounce cans per hour with two spouts, while still providing quality fills,” says Kingsbury.

  More innovation and technology is in store with the development of XpressFill’s new two-spout filler, the XF280W. “Current quality control of fill volumes is accomplished by craft brewers weighing their filled cans, which is an additional step following the filling,” Kingsbury says. “We set out to explore the possibility of providing a user-friendly and cost-effective filler that would measure the weight of dispensed beer to save the additional weight verification step.”

Expand With iStill

  For craft breweries exploring the world of distilling, Netherlands-based iStill offers an automated, robotized distillery unit that promises a simple setup with only a water hose and electrical plug needed to begin.

  “Due to our scientific approach to distilling, we have been able to create an easy to operate, versatile machine that takes the magic out of distilling great spirits, and makes whiskey, vodka, gin and rum production an easy add-on to the already existing brewery,” says Edwin van Eijk, CEO of iStill.

  “The iStills come in sizes ranging from 26 to 1300 gallons. Each and every machine can make every distilled product. If the craft brewer does not want to re-invest in expanding mashing or fermenting capacity, the iStills can mash and ferment as well. Everything takes place in the same unit.”

  iStills offers a broad range of services, Eijk says, to assist its more than 700 clients worldwide, including iStill University, which educates and trains approximately 200 distillers annually in North America, Europe, Asia and Australia. 

  Innovation and technology are ever-evolving as leaders in the packaging and tools industry find new ways not only to push themselves but also, push craft breweries into thinking smarter about ways to make their products move quickly in the marketplace.

Important Tank Supplies & Accessories for Your Brewery or Distillery

By: Alyssa L. Ochs

tanks wrapped over

High-quality and reliable tanks are one of the most essential parts of any brewery or distillery. However, there are many components involved in keeping tanks in good condition and well-monitored throughout the beverage-making process. Experienced brewers and distillers use various tank supplies to keep their tanks working well for many years into the future and to produce excellent craft beverages.

Here is an overview of some of the most important tank supplies and accessories to stock up on and use regularly in a brewery or distillery.

Basic Tank Needs

  Wraps are one of the most important tank-related products that breweries and distilleries should invest in because they provide fluid temperature control for tanks. Wraps also reduce condensation and allow fluids to circulate with a cooling jacket on for thermal control. Glycol wraps help control the fermentation process and are also referred to as glycol jackets. These products are put on the bottoms and sides of tanks to maintain beverage temperatures, regardless of the beverages’ fill levels. This is especially important on packaging days of the year. Overall, breweries and distilleries typically look for wraps made with lightweight and flexible fabric that’s easy to apply and manipulate as needed.

  Insulation is useful for craft beverage tanks because both hot and cold temperatures are required from these tanks. Common insulation materials are fiberglass and stone wool. Insulation helps to counteract high humidity in a brewery or distillery and also prevent burn and freezing so that ice does not form on the pipes. Since insulation helps resist corrosion, keep mold away and save energy, it is also a way for breweries and distilleries to become more efficient and sustainable. For example, Synavax™ multipurpose coatings use a liquid wrap insulation to coat the equipment and cover exposed valves to prevent energy loss. Just keep in mind that staff members must to be trained thoroughly on insulation safety, especially when working around hot pipes.

  Meters are another crucial piece of equipment used alongside tanks in the brewing and distilling processes. Liquid pressure and vacuum gauges come in both analog and digital formats, with digital versions typically being more expensive. Common sizes are ¼ inch to 1.5 inches, and stainless steel is the most common meter material used in the food and beverage industry. Meters often use two pressure transmitters to measure the beverage level – one for the head pressure and the other for the total pressure. It is that differential that’s really important number to steadily monitor. Magnetic flow meters often range from ½ inch to six inches and provide readings to minimize losses in the beverage-making process. Meanwhile, temperature sensors monitor a beverage’s temperature so that you can quickly adjust temperatures that become too high or low. Regardless of the chosen product, it’s always important to have hygienic process fittings for meter sensors.

  Tank Stands, a less technical but equally important product that goes hand-in-hand with tanks. Stands are usually made from stainless steel and can accommodate 100, 200, 300, 500, or more liters for the right fit with your tanks. Stainless steel pipe stands for brite tanks are available to fit 1.5-inch and two-inch sizes. Some stands accommodate just one large tank, while others fit several tanks and are ideal for small batches. Some smaller tanks have wheels to make them transportable in case mobility is convenient for your operations.

Top Tank Supply Products

  Dean Thompson, the brand manager for Flextank USA, told Beverage Master Magazine that his company’s most popular tank products among breweries and distilleries are its line of SS sanitary fittings, fermentation locks and oak adjuncts. This company manufactures and assembles all of its vessels in Vancouver, Washington and distributes them worldwide.

  Among the most-used products throughout the beverage industry is Flextank’s AK1T – Combo 6-Bolt Flange Accessory Kit in the 1.5-inch size that includes VF1, BV3 and SV1T. This kit includes a complete drain valve installation and a Tassilini sample valve, and it fits all Eco and Dexter Maturation and heavyweight tanks, plus the Apollo Fermentor. Other popular products are Flextank’s butterfly valves and FL1 Fermentation Lock.1 for use on Eco Tanks and Dexter Lids purchased prior May 31, 2014. Meanwhile, the company’s FC060-50-70-80 FlexChill is an exterior wrap chilling system used with glycol chillers and designed for cylindrical tanks in two standard sizes.

  “Our oak staves are French and American oak and available in different toast levels and sizes for different tank sizes,” Thompson said. “These are made with directions to add up the staves needed for use. An example is if you need 80 gallons, you can add the staves from the 50-gallon tank and then add the 30-gallon tank, and now you have what you need for the 80-gallon tank.”

  Miyuki Clauer of ATAGO U.S.A., Inc. told Beverage Master Magazine that ATAGO’s most common product line used for craft beverage tank monitoring is its In-Line Refractometer PRM Series. Based in Bellevue, Washington, ATAGO U.S.A. is a leading manufacturer of refractometers, polarimeters, salt meters, acidity meters, pH meters and saccharimeters.

  “The PRM series offers a digital display section with a seven-segmented LED that displays the temperature and measurements,” Clauer said. “Using output methods, such as RS-232 or 4-20mA, the data can be transmitted to a PLC system for system automation. It offers lab-grade accuracy across the full range of refractive index, Brix or user-defined concentration scale. The PRM series is equipped with an alarm output function that transmits a signal when it detects values exceeding preset high- and low-limit values.”

  Clauer also explained how these inline units use COP (clean-out-of-place) and CIP (clean-in-place) methods for easy cleaning. This is always a valuable feature for busy breweries and distilleries.

  “The detection section occupies a small footprint, taking up very little space and offering an installation option to be directly mounted to the tanks or piping systems,” Clauer said. “The unit can be easily removed without requiring previously acquired skills to be easily removed and installed for COP. The prism section is completely flat and can be easily cleaned once removed. For CIP, users can install an optional accessory and let the ultrasonic cleaner prevent utterly unavoidable sample build-up around the refractometer’s prism surface. Another option is the prism wiper, which attaches directly facing the detection section of an inline refractometer installed in the piping system to manually wipe buildup off the prism surface.”

Other Tank Accessories to Consider

  In addition to wraps, insulation, meters and stands, there are many other tank products that can come in handy during the brewing and distilling process. For example, your beverage operations may benefit from carbonation stones, CIP spray balls and hydrators. Racking arms, valves, sight glasses, basic thermometers and through wall fittings are among the many other tank supplies that experienced beverage producers use.

Choosing the Best Tank Products 

  Although there are many brands, types and styles of tank supplies and accessories to choose from, not all of them are necessarily right for your beverage company. This is why it’s a good idea to get to know industry leaders who make these types of products so you learn about what will best suit your needs.

  With regard to insulating beverage tanks, Thompson of Flextank USA said that the best strategy is “either a temperature-controlled room using our FlexChill system or using standard insulation materials common in hot water tanks.”

Thompson’s advice to breweries and distilleries is a reminder that starting with Flextank for fermentation of grains and sugars can significantly lower start-up or expansion costs.

  “These tanks come in variable permeation rates so they can serve a double-duty and can age spirits, beer and cider without the cost of barrels,” Thompson said. “If an oak profile is desired, inexpensive oak staves are available in a variety of toasts and species that can complement the end product.”

  When shopping for tank supplies for your brewery or distillery, Clauer of ATAGO U.S.A. says that the most important things to look for in a tank meter are the specification of the measurement range, temperature compensation capabilities and after-care services.

  “ATAGO offers in-house service in the U.S., and we offer loaner units while we have customers’ instruments,” Clauer said. “With NIST certification, it offers information security standards and guidelines to ensure that the instrument is working accordingly.”

  Clauer also told Beverage Master Magazine that when searching for pieces of craft beverage equipment, such as tank meters, it is important to have a comprehensive overview of what’s needed and what options are available.

  “Purchasing an instrument is one part, but also knowing the spare parts and how accessible it is to these parts are important, as well as any technical service turnarounds,” Clauer said. “Having a manufacturer that can offer customer service that walks with you every step of the journey of craft beverage manufacturing is important. ATAGO is dedicated to meet our customers’ need with a motto of ‘You ask, we create.’ We offer a portable CO2 meter, refractometer, pH meter, and conductivity meter, as well as the inline refractometer.”

Finishing and Aging Options Evolve with Booming Secondary Barrel Market

By: Gerald Dlubala

barrels outside a facility

Those barrels hanging out in the distilleries, whether new, used or refurbished, are just getting started. Oak barrels have a full and varied life, complete with occasional travel between distilleries, breweries, wineries and back again, sometimes internationally.

  Just within the Kentucky commonwealth, there is an inventory of over eight million barrels of Bourbon and other spirits in various stages of the aging process. It’s the highest inventory in 40 years and represents almost a two-barrel per person ratio. That’s a lot of barrels coming onto the market, which coincides with a booming secondary barrel market.

Impacting Flavors By Following The Seasons

  One company helping those previously used barrels live their best life is Moe’s Barrels, with locations in Galt, Lodi and Fairfield, California. COO Dean “Deano” Wilson is a winemaker and self-proclaimed foodie, so he found it natural to follow his passion by selling previously used wine and whiskey barrels for secondary, flavor impacting purposes.

  “We source our barrels from both the big and small producers,” said Wilson. “The boutique producers are our preferred source for quality used barrels simply because they tend to take care of them a little better. We buy our barrels in lots, with 99% of them coming in already cleaned and sanitized. But we’ll look at, inspect and grade them, giving them a wine or beer grade. If they don’t qualify for that, we can use them as furniture or décor grade. A trend that has grown recently is to sell the parts of used barrels to the artistic community, selling the individual staves, barrelheads or barrel rings for creative endeavors.”

  Wilson told Beverage Master Magazine that his formula for success is to try and follow the season for selling a certain type of barrels. 

  “We get a lot of first and second use barrels at harvest time, which is very good for cross-utilization. White wine barrels are excellent for reuse with wine, Belgian style beers, Cognacs and more. The barrels we get immediately following the crush are great matches for repeated wine and bourbon use.”

  Wilson gets his used barrels delivered with blue painter’s tape over the bunghole. The tape covers the hole for sanitary reasons but still allows the barrel to breathe. If they sit around too long with the bung in, there’s a chance for mold growth. If the barrels are left with the openings uncovered, they could dry out and start to split. Moe’s does the rest, performing sanitation, rehydration, steam cleaning and hot water rinsing.

  “Communication is key for customers looking to purchase used barrels,” said Wilson. “The buyer needs to be comfortable in the relationship with the supplier. First and foremost, look for quality, but be comfortable enough to ask for what you need. Know what flavor profiles you’re looking to build. Use your nose and trust your smell when inspecting the barrels that you are buying. Some staining and minimal hairline cracks are fine, but larger, deeper cracks around the bunghole can be a sign of a problem, and it’s always best to stay away from any hardened purple stains. Check for holes or damage that could be related to borer beetles. We invite all buyers into our warehouse, where you can completely inspect the barrels you’re looking to purchase. Inspect them from head to head, inside and outside, noting the year on the cooperage. Know the barrel’s origin, exactly what it was used for and how many times it’s been used. A quality supplier will know and willingly share this information about the barrels they’re selling. Cleanliness and smell are your two biggest assets when looking at used barrels, so always follow your nose.”

  Moe’s Barrels keeps all of its inventory inside a warehouse and available for buyer inspection.

  “We want to recycle these barrels and give them another life in the business, whether it’s for additional distilling and brewing, for use as furniture and décor or ultimately selling the parts to the artistic community. It’s a way towards sustainability.”

Kentucky Bourbon Barrel: The Name Says It All

  What better place to source local Bourbon and whiskey barrels than in Kentucky, the birthplace of Bourbon and home to the renowned Kentucky Bourbon Trail. Noah Steingracher is the man to talk to for North American and international craft sales at Kentucky Bourbon Barrel, a full service used barrel cooperage, offering used Bourbon and exotic spirit barrels.

  Being right in the heart of the Bourbon Trail in Louisville, Kentucky, Kentucky Bourbon Barrel primarily sells Bourbon barrels sourced locally from all of the familiar names. When Steingracher joined the company, he brought his international sourcing experience with him, so exotic and international barrels are now in play as well. He has sourced used barrels from spirits distributors, breweries, meaderies and wineries for use in finishing and aging a potential customer’s product.

  “We do it all,” said Steingracher. “We sell the used barrels from barrel to stave, depending on every customer’s unique needs. We have contracts with reputable and well-known distilleries to empty and ship their used barrels directly to us. We inspect them using our stringent guidelines for acceptable and unacceptable issues, including the size of any distinguishable cracks. If needed, our experienced team of coopers repair the barrels and make them fit to fill. We fill the used barrel market for customers that may not have the time, expertise or source to fill it on their own, and our experience and reputation are such that we have customers worldwide. I’ve shipped to islands that I’ve had to find on Google Maps. I’ve delivered barrels to the base of the Himalayas. There’s nowhere we won’t deliver.”

  Steingracher told Beverage Master Magazine that the used barrel market is affected by the same seasonal changes that affect all brewers and distillers, as well as how the barrel will be used.

  “A used barrel can function as either a vessel or an ingredient,” said Steingracher. “As a vessel, used barrels are just the holder for the product. For example, if a brewer wants to offer chocolate, porter or coffee stout, a used bourbon barrel fits the need and will provide the expected stone fruit and vanilla notes. But if you want to put out the best coffee stout, you should use a rye barrel so that the unique flavor from the barrel imparts a distinguishable, peppery infused difference. The right barrel will be a noticeable and valued ingredient in your formula.”

  Steingracher noted that brewers and distillers sometimes become too easily attached to the brand stamped on the barrel rather than going with barrels that fit their actual needs, if for no other reason than to associate their brand with that of a particular distillery. 

  “A mindset of only looking towards a brand name rather than filling your flavor profile defeats the purpose of striving for reliability and availability of your product offerings. Craft distillers and brewers can always run into a situation of not being able to find that particular distiller’s used barrel for the next batch. Frankly, they usually don’t even have the marketing rights to use that particular distiller’s name in their marketing. Jim Beam can release up to ten thousand barrels a week, with Buffalo Trace releasing around six thousand a month, and then others like Pappy are obviously extremely limited.”

  “Relationships matter when discussing that reliability and availability,” said Steingracher. “You need to know the type, origin, and age of the barrel you’re getting. With all the variants and combination spirits being distilled these days, what specific type of Bourbon was the barrel last used for? Was a char put on it? What level? Was it toasted? Repaired? How many years has it been used? Barrels can last a hundred years or more if used and maintained properly. The oldest is probably in Scotland, but I’ve personally seen some from aged before World War II. We do buy some back from the distillers that we know care for them the right way, and having access to our cooperage allows us to be able to make the repairs necessary to keep them in circulation. You can certainly come through and check on barrels yourself, but with our regular buyers, they know that the barrels we send them are fit to fill.”

  The flavor and use options for used barrels are indefinite. With many craft distillers and brewers now openly sharing their barrels between multiple brewing cycles, with proper use and care, barrels can last indefinitely. It’s what you can do with them after extensive uses and fillings that become limited.

  The Barrel Mill’s Infusion Spiral Technology Offers More Flavor Options While Decreasing Aging Time

  Options for those barrels, whether new or extensively used, have gotten much greater due to Infusion Spiral technology from The Barrel Mill, a central Minnesota-based cooperage that specializes in premium new oak barrels.

  Len Napalitano is an infusion spiral expert with The Barrel Mill and told Beverage Master Magazine that their infusion spirals are perfect for creating unique flavor profiles and helping distillers get their product to market faster.

  “Sometimes, you won’t find the right barrels for the flavor profile that you want to build for your customers,” said Napalitano. “With each fill, a wooden barrel loses part of its flavor offering and balance, and after three fills, barrels can be neutral regarding any noticeable flavor profile. These barrels are still obviously good for use, and now they can benefit from infusion spirals to regain that lost flavor profile.

You can achieve new oak flavor without the new oak barrel, which can be in short supply at times. Even when used with a new oak barrel, infusion spirals help get your product to market quicker. Our spirals are cut from premium oak, maximizing end-grain exposure for full extraction in weeks instead of months, saving the distiller money in labor, cost and time. The spirals are formed from barrel stave wood, cut through, then put into a convection oven to get their desired toast or char by way of our proprietary formula.”

  Jeremy Wochnick, Sales Professional for The Barrel Mill, said “The spirals range from a light toast to a #3 char depending what the distillers want, and are available in not only the standard, premium oak, but also in French oak and more exotic species like sugar maple, cypress, cedar and more for experimental and unique small-batch flavor profiles. Barrel quality results are obtained using any type of barrel, carboy or stainless tank. The spirals have proven to be successful in spirits, beers and wines as well as hard ciders and nonalcoholic drinks like ginger ale and regular ciders. Infusion spirals can be used to add a flavor profile to anything. We also have packs with blend options featuring different toast levels. The spirals can be used once, and are inserted into your barrel through the bunghole by way of netting or some sort of daisy chain for making retrieval easy.”

  And those infusion spirals, after being retrieved from their time in the barrel? Well, it turns out that they’re a pretty good addition to your outdoor barbecue.

Will Cannabis Beverages Cannibalize Beer Sales?

By: Briana Tomkinson

Detail of cold glass of beer with cannabis leaf, marijuana infused beverage concept

Cannabis was legalized in Canada a year ago; however the production and sale of edibles, in-fused beverages and tinctures, remained illegal—until now.

  The first legal cannabis-infused drinks and edibles are expected to hit shelves as early as De-cember. Many have been designed to produce a high mimicking the effects of alcohol in terms of onset, intensity and duration.

  While the federal government officially legalized edible cannabis products on Oct. 17, produc-ers still need to obtain Health Canada approval, a process that industry insiders expect to take a minimum of 60 days.

  Some products will include only CBD, a non-intoxicating compound found in cannabis, while others will have THC, the psychoactive compound in marijuana that produces a “high.”

  According to a report from Deloitte, the cannabis-infused beverage market will be worth an estimated $529 million per year in Canada, most of which will be on top of existing cannabis spending. Deloitte predicts sales of these beverages will come at the expense of beer, wine and other alcohol as “cannabis-curious” customers experiment with marijuana instead of booze.

  The Deloitte report notes that alcohol and tobacco companies are looking for opportunities to enter the legal cannabis industry to avoid losing market share. Pharmaceutical companies are also entering the market, as consumers turn to CBD oil and cannabis to self-medicate.

Mild High Aimed at New Cannabis Consumers

  Deloitte predicts cannabis-infused beverages will appeal to older, often female, Canadians who are concerned about the adverse effects of alcohol and are interested in trying cannabis yet are turned off by the idea of smoking it.

  Most producers of THC-infused drinks are aiming for a formulation that triggers a high within about 15-20 minutes and lasts no more than a few hours. This effect is in contrast to most cannabis edibles and oils, which are slower to take effect and produce a high that can last as long as six hours.

  Unlike beer or wine, there’s little risk of a hangover from cannabis beverages. Some varieties can also boast they are low-calorie drinks, which could appeal to more diet-conscious con-sumers. Prices are expected to be similar to that of craft beer; however, the beverages can on-ly be sold at legal cannabis outlets, not grocery stores or alcohol retailers.

  In October, Ontario-based Canopy Growth Corp announced the launch of 13 cannabis-infused drinks, some boasting as few as five calories per serving. The drinks range from pure distilled cannabis, intended to be mixed with sodas or other beverages, to pre-mixed blends of canna-bis with tonic, ginger ale, cola, soda and fruit-infused sparkling water.

  Unlike some legal producers in the U.S., Canopy Growth’s lineup focuses on low-dosage bev-erages with an effect similar to that of a single beer or mixed drink. According to the Ottawa Citizen, while Health Canada allows a THC concentration of 10 mg per package, 10 of Canopy Growth’s 13 products will have 2.5 mg or less, producing a mild high aimed at appealing to inexperienced cannabis users looking for an alternative to alcohol.

  Truss Beverage Company has also announced it will be ready to release cannabis-infused beverages in December, including CBD-infused spring water and THC-infused drinks. Compet-itor Fluent Beverage Company said it would be prepared to release CBD-infused beverages but is still working on formulations with THC. 

Beer Brands Push Into Cannabis Beverages

  Ever since Canada legalized the sale and consumption of cannabis, big beer companies have been teaming up with cannabis companies to develop cannabis-infused beverages.

  Canopy Growth, for example, has benefited from billions of dollars of investment from U.S.-based Constellation Brands, maker of Corona. Truss Beverage is the product of a joint venture between Molson Coors and cannabis producer Hexo, and Fluent Beverage is backed by An-heuser-Busch, who has partnered with British Columbia-based pot producer Tilray.

  In June, Bloomberg reported that Molson estimates cannabis beverages will make up 20-30% of Canada’s legal cannabis market. However, a report by Deloitte estimated drinks make up just 1% of sales by value and volume in U.S. states where pot is legal.

Marketing, Labeling Restrictions on Cannabis Beverages

  If cannabis beverage producers want to steal market share from beer and wine, they need to overcome the strict limitations on marketing, packaging, labeling and distribution imposed by Health Canada.

Technology and the Benefits of a Digital Marketing Strategy

Shot of a young woman using a digital tablet in a bar

By: Robert Frost, Principal, Boelter Blue

Competition is fierce! With the number of craft breweries and brewpubs continually on the rise year-over-year, it should come as no surprise that current bar owners and operators must focus on more than just word of mouth, radio ads or the occasional 30 seconds of air time on the local network to create buzz about their business. Developing a marketing plan to maintain visibility and relevance is key to both the initial and ongoing success of your business.

But not just any marketing strategy will do.

A robust and diverse digital marketing plan, one that also leverages mobile technology, will play a significant role with effectively attracting and retaining customers. Utilizing loyalty apps and a variety of marketing automation initiatives will ultimately allow you to spend less time and money on your overall marketing efforts, while simplifying and maintaining your path for continued growth and success.

All of this speaks to the advancement of technology within this space. As such, it should come as no surprise that the role of technology continues to be on the rise, both in terms of what is in the hands of you and your loyal customers – on their phones and through a more personalized interface with your business – as well as the technology your business may currently be utilizing.

The increased involvement of technology is very much a generational change and one that craft brewery and bar owners are recognizing as a means to become better and more productive at what they do. The old saying, “work smarter, not harder” rings true across the board.

Align yourself with mobile technology and mobile marketing

By 2020, 77% of the US population will be using mobile technology daily. It’s the go-to technology for personalized communications. Adding to this impressive statistic is the notion that thirty-five percent of smartphone users are already claiming to use their phones more than 50 times a day—this is where craft brewery and bar owners and operators can make the biggest impact. Personal means connecting with customer routines, moods and of course, discerning taste buds. Data makes it possible—mobile makes it deliverable.

Most consumers expect information to be available at their fingertips. The vast majority of consumers are searching for information about a particular business on their smartphone, with 84% of them contacting that business as a result. An app with your menus, reservation, ordering, payment and delivery capabilities maintain accessibility and convenience. And convenience is a big part of the overall experience that customers are looking for. If too much is being asked of your customers they may abandon your business before ever stepping through the front door.

Attracting new customers, building loyalty and running a variety of continuous promotions requires a heavy investment of time and energy. An automated marketing strategy allows you to focus on what you do best—providing great craft brews and exceptional service. Capture your guests at every touch point with pre-scheduled communications, photo push messaging, social media posts and more. Utilizing a robust app for your business allows you to capture more first-time guests, make your regular guests feel like insiders and remind customers who haven’t visited with you in a while why they should consider returning.

Utilizing technology does not necessarily equate to an entirely new business plan. However, it does mean that you now have an option to execute your current plan better, while also being able to expand and grow them quicker. An example of this is identifying those efforts that you may currently be doing with email, paper punch cards or in-house only promotions and taking that to a mobile and digital platform as a means to obtain more control and visibility for everyone involved – customers and owners alike.

An app has the ability to act as your personal, day-to-day assistant. If you don’t have the time or money to hire and manage another employee, it might be time to look at technology as the employee that never gets tired. With it you can send your loyal customers birthday wishes, offers and alerts, giving them the personalized experience they prefer and deserve. With an automated marketing strategy, you can create a series of push notifications triggered by their activity. Notifications can be sent right away, pre-scheduled or programmed to be delivered in certain scenarios. Either way, it communicates why your business is the perfect option for that moment.

Being social with your media

Customers love to see what is offered before deciding where to go. Show them, don’t just tell them. Instagram and Pinterest are fantastic options for enticing people with tasty-looking and thirst-quenching photos. It’s also beneficial to develop short, unique videos – such as a quick recipe or a behind-the-scenes look at your brewery. And don’t forget to use trending hashtags to increase post visibility. For example, include #happyhour, #newbrew, or #foodielife, along with the name of your craft brewery or bar. All of this will help keep your establishment top of mind with both your regulars and first time customers.

Your customers are always looking online to get ideas when thinking about visiting a new business. To ease this process, make sure that all of your social profiles are up to date and easy to read, as well as portray your business with the correct ambiance. It’s not uncommon for new customers to be hesitant about visiting the unknown. Your social presence needs to provide a compelling reason for them to engage with you. However, never sell your business through a clouded social media lens. Customers expecting one experience based on how your business is represented on social media, only to walk in to something entirely different, will likely result in negatively affecting your business as a whole.

Your social media promotional efforts should also be backed up with an engaging customer-facing website in order to complete the experience. This will further provide your customers with an even better idea as to what they can expect when choosing your business over the competition. Think of a great website as a first handshake, before they commit to visiting your business for the first time. Your website must be mobile friendly so that it can easily be viewed from your phone without distorting the message or making the experience inferior in any way. 

Technology that’s here to stay

This growing trend in technology is a strong reflection as to how business owners are looking to maintain their operations with their distributor – online, expedited, quick-to-answer and respond and capable of addressing all of your needs through a variety of technological channels and initiatives. It would be unfair and, quite frankly, unacceptable, for a distributor to suggest that you engage with your customers through the advancements of technology if they themselves are not capable of providing the same level of service to meet your day-to-day business needs. Technology will continue to impact and affect buyer behavior. This can be seen both from the customers that frequent your establishment, as well as the way that you engage (or want to engage) with them.

Consumer preferences are changing faster than ever, dictating how your business must respond. The distributor that you have chosen to partner with should be in the business of delivering value. When they deliver on value, it demonstrates an understanding of what is truly important. A distributor capable of delivering value and unforgettable experiences is infectious, and it will help you, in turn, deliver unforgettable experiences to your own customers.

A thoughtful and in-the-know distributor should always have the pulse of what consumers want as a means to help you innovate and continually reinvent yourself in order to remain relevant in a highly competitive landscape. When they can adapt and respond with speed and agility, they help you to keep pace, stay relevant and often outpace your competition. Ultimately, their business should be dedicated to helping you succeed with yours, utilizing non-traditional methods to better serve your needs through more interesting and engaging uses of product management, technology and education. While it’s true that people do business with people they like, they also look to do business with the people that are committed and able to execute. Finding a distributor that can serve you better and become a comprehensive, go-to resource for all of your business needs is the end game.

Technology is advancing faster than ever before and it’s here to stay. As a business owner, your digital media strategy should be flexible to more easily respond to what does and doesn’t work. Discover how your customers found out about you to gauge where they’re spending time online in order to maximize those platforms. Cross-link all of your online profiles and link your website to your mobile app and social media pages. In doing so, you’ll be able to strategically cover more ground while building a base of followers on their preferred platform. The end result will likely translate to an increase in new traffic, while also building upon an established foundation of regulars.

Contact Robert at (262) 523-6210 or email him at rfrost@boelter.com.

Robert Frost headshot

A Clear Alternative: The How and Why of Hard Seltzer

By: Erik Myers

3 canned beverage with glass

It’s hard to deny that this past summer was the summer of hard seltzer. In fact, it was a summer that saw hard seltzer grow to more than $1 billion dollars in sales. In just the week of July 4 this past summer, White Claw and Truly seltzers combined sold over 100,000 barrels of product. That’s enough to put them in the Top 50 Craft Breweries for production over the whole year. It’s no surprise that craft breweries large and small are looking to tap into the apparent gold mine that is hard seltzer, but how they approach it doesn’t quite seem to stand up against the segment’s largest competitors, and that’s worth thinking about. At a recent industry panel in Charlotte, NC, several craft brewers who make seltzers spoke about their perspectives on this new slice of the industry.

But… Why?

  This might seem fairly obvious with the sales numbers that hard seltzers are putting up, but a closer look at the craft beer industry tells a slightly different story. Recently in an interview, the senior vice president of marketing for Mark Anthony Brands (the makers of White Claw) noted that though White Claw has incredible penetration in grocery stores and liquor stores nationwide, only about 20 percent of bars and restaurants are currently selling hard seltzers. For the average small craft brewer, the opposite is true – while the limited shelf space of grocery is locked behind the arcane process of distributor-led Planograms, inaccessible to most small breweries, they are nearly ubiquitous on draft systems in bars and restaurants eager to serve local beer. So, why chase a segment which shows so little relevance in their primary market?

  “After the surge of LaCroix in the non-alcoholic market, we took a hard look, and it’s what our market research showed our customers wanted,” said Colleen Quinn, of Craft Beer Alliance (CBA). Their market research showed something else interesting – that while most hard seltzers are marketed specifically toward young women, their targeted demographic tended to skew almost 50-50 male-female. It led to CBA’s decision to package their multiple seltzer brands in regular 12 ounce cans, rather than slim cans like their competitors.

  “I’m looking for one more reason to keep the customer in their seat,” says Mike Rollinson of Joymongers Brewery, a brewery that enjoys two taproom locations in Central North Carolina, but no off-premise distribution. “I don’t see it as craft. I’m not making a seltzer for beer drinkers. I’m making a seltzer for the one person in a group of 5 people who will pressure the group into leaving if there’s not something for them to drink.” Rollinson just started making seltzers this year as he saw the trend grow, noting that one of his business partners is on a Keto diet and now drinks his seltzer almost exclusively – as a healthy alternative to beer.

Clear or Colored – the Question of Craft

  While the two major market players, White Claw and Truly, are both crystal clear beverages, two of the producers on the panel noted that color helped them differentiate. Both Brian Quinn of Town Brewing Company and Lindsay Sprick of NoDa Brewing Company pointed to their process as an advantage over the big seltzer makers.

  “I can guarantee that nobody at White Claw was sitting down last week processing a ton of raw ginger,” Quinn noted with a smile. “We’re small enough that we can use natural ingredients as a base for these seltzers.” Those natural ingredients come with their own colors and – he thinks – customers want to see the presence of those ingredients in the product when they’re ordered. “When you get something that’s wild cherry flavored and it’s clear, you ask yourself: where’s the cherry in this?”

  Sprick, of NoDa, shared a similar feeling: “We stand out because we’re using the same ingredients that we use make our beer.” She felt that it was more true to the brand and brewing ethos of NoDa Brewing Company than a clear, sparkling beverage. NoDa’s Brizo Seltzer, unlike other seltzers represented on the panel, is barley-based, which lends even more color to the finished product than the others.

  Rollinson had a different take at Joymongers. “When I see a color, like red or blue or purple in a glass, that reads ‘sweet’ to me, and that’s not what this is.” He mentioned that because his primary customer is not one that’s seeking this for a fruit flavor, but rather as an alternative beverage or a more healthy choice, that the neutral color was a better choice. “The only people who have complained about it being clear were bartenders because they throw it out by mistake because they think it’s water.”

Regulatory Loopholes

  Interestingly, hard seltzers fall into a slight grey area of regulation from both the Trade and Tax Bureau (TTB) and the Food and Drug Administration (FDA). Hard seltzers are the product of fermenting sugar into alcohol and fall under the manufacturing umbrella of a brewery, but labeling considerations vary based on what sugar base is used as the basis of fermentation. A brewer who uses a barley base – even a very light brewer’s malt – still falls under the definition of a beer, requiring a pre-market Certificate of Label Approval (or COLA) and is restricted by certain advertising laws. A brewery who uses sugar as the base for their seltzer is not required to obtain TTB approval as it is not a malt beverage. However, they do fall under FDA labeling guidelines which require a nutrition panel and a list of ingredients.

  While it might seem attractive to a brewery to skip TTB approval and jump straight to FDA labeling because the FDA does not have pre-market approval requirements, it’s important to know that FDA labeling is required to be in compliance before sales and that manufacturers can be held liable to both financial and regulator consequences. Consult your lawyer for best practices.

  None of the panelists chose to share which path they had taken from a regulatory standpoint.

What’s in the Mix

  Clearly, there are as many ways to approach making hard seltzers as there are reasons to make it. Fermenting white sugar seemed to be the preferential approach to creating a fermentation base for hard seltzers. Of the panelists, NoDa was the only one using barley.

  Most of the panelists spoke of these seltzers as good gluten-free alternatives to beer and marketed their seltzers as either gluten-free or gluten-reduced. NoDa used ClarityFerm from White Labs to reduce gluten content in their barley-based seltzer but others simply brewed on their normal equipment directly after “CIP day” in order to guarantee no gluten would be present in the final product. Quinn of Town Brewing shared that lab results showed no traces of gluten in his products.

  From there, the small producers all had a similar strategy of using whole ingredients to flavor as they would for any flavored beer, whether that’s the addition of aseptic fruit puree or hand processing ginger for additions during fermentation. They seemed to feel that the use of “real ingredients” was a way to stand out versus large scale competitors from a flavor standpoint as well as an ethical one. They appeared to share the belief that it “felt more like craft.”

  Yeast was a large differentiator between the producers. While Rollinson at Joymongers used ale yeast to ferment his seltzer, making a note that harvested yeast seemed to perform much better than a fresh pitch, Quinn of Town used Distiller’s Yeast, seeking a strong, healthy fermentation that would get as dry as possible. Both mentioned the need for high amounts of yeast nutrients. “As it turns out,” Rollinson joked, “yeast doesn’t really like to digest straight glucose.”

Where It’s All Going

  All of the panelists agreed: hard seltzer is a trend that is doing nothing but growing, and they all agreed that their futures had more and varied seltzers in it. Each of them was excited to experiment in the market and push the bounds of craft’s involvement in the segment.

  The question remains for you – will we continue to see on-premise growth in a meaningful way that the craft market can take advantage of, or will hard seltzer grow only in larger and larger stacks in grocery stores? We’ll have to wait for the next White Claw Summer to find out.

Lessons for the Start-Up Brewery

By: Tracey L. Kelley

Modern beer plant brewery
Modern beer plant brewery , with brewing kettles, vessels, tubs and pipes made of stainless steel, monteiths beer factory, south island in New Zealand.

Three beverages are the most consumed in the world: water, tea…and beer.  Regional breweries, brewpubs, microbreweries, and contract brewing companies all experienced growth in 2018. In the United States, 219 breweries closed, but 1,049 opened last year. In Canada, there was a slight decline in domestic beer production last year—3.4%—and only a scant increase in sales—0.3%. Nevertheless, 178 breweries opened.

  Producers and consumers alike want the diverse selection, high quality and community connection craft brewing provides. This makes entering the industry an enticing option. So to answer some brewery start-up questions, we’ve compiled a few experts to share their acumen. They include:

•   Jeffrey Gunn, president and CEO of IDD Process & Packaging, based in Moorpark, California. IDD is a family-owned corporation that provides the consultation, design and manufacture of complete brewery and beverage plant systems.

•   Lindsay Johnson, operations manager, and Shawn Johnson, head brewer, Birds Fly South Ale Project (BFS) and tasting room in Greenville, South Carolina. Named one of 2019’s Top 10 Breweries by the U.S. Open Beer Championship, BFS specializes in Farmhouse and Saisons, along with sours, funky IPAs, barrel-aged brews, and range of wild and traditional styles. BFS is also on the 2019 Thrillist “Most Underrated Brewery in Every State” list.

•   Ben Parker, CEO, Scan American Corporation, located in Kansas City, Missouri; and Aubrey Dyer, business development manager, Flavourtech, represented by Scan American in North America. Flavourtech is a global technology manufacturer that specializes in aroma recovery, extraction and evaporation solutions for the food, beverage and pharmaceutical industries.

•   Christian Riemerschmid von der Heide, president and CEO of the Siebel Institute of Technology (SIT) in Chicago, along with John Hannafan, vice president and director of education. SIT is a for-profit vocational school for brewing education and brewing services. Founded in 1868, it’s oldest brewing school in the United States and home of the World Brewing Academy program, offering campus and web-based courses jointly developed with Doemens Academy of Munich.

  The three primary start-up takeaways they want you to remember:

1.   Take time to learn. Whether it’s refining your processes or understanding how to scale up, knowledge is power.

2.   Choose equipment wisely. Everyone makes different choices—research and compare to make the right decision for your business.

3.   Be patient, young Jedi. Slow, budgeted growth and the right partnerships make more sense for long-term sustainability and adaption to trends.

  These experts provided much more valued insight than print space allows, so we’ll highlight some of the top aspects.

Take Time to Learn

  The Johnsons were a Coast Guard family for more than 20 years, all the while gradually expanding their brewing and business knowledge. “We invested sweat equity first,” Johnson said. “We started home brewing while in Alaska. As we lived in different locations with the Coast Guard, Shawn was able to volunteer at several breweries, learning different aspects of business.”

  In 2016, Shawn officially retired from service, with a year or so of professional brewing experience as a contract brewer for Thomas Creek Brewery, also in Greenville. “This provided us an opportunity to test the idea and see how we wanted to proceed with a brewery buildout,” Johnson told Beverage Master Magazine. “This period of time made it simpler for us to find funding through investment, as we were an established brand and gained some national level recognition early on.” BFS has since received top medals in the Best of Craft Beer Awards, the Great American Beer Festival and the North American Beer Awards.

  Contract or nomadic brewing often reduces start-up risks. Some craft producers try the industry on for size, like the Johnsons. Others do it to gain gradual packaging and distribution knowledge and capital—a wise idea, since a full-scale packaging operation averages more than $300,000.

  Some brewers develop contract partnerships because their current facilities are out of capacity, but budget or geographical constraints prevent expansion. In rare circumstances, a contract partnership with a local brewery happens when someone only has interest in running a taproom.

  “We anticipated being small and niche and allowing the education and evolution of our products to happen slowly and organically,” Johnson said. “However, we quickly grew past all our projections and expectation models, and continually have to be extremely agile as our product line expands and as trends in the industry change. Our production model hasn’t found a ceiling yet.”

  Hannafan/von der Heide believe that every good brew begins with one key ingredient.

  “’First, you add knowledge’ is one of our favorite tag lines. A producer should begin their journey with education, and not after they run into issues,” Hannafan/von der Heide said. “Hopefully they come to us sooner than later to avoid many of the common pitfalls experienced by others. The same process applies brewing theory and understanding the ‘why’ of brewing. It’s not enough to open this valve or turn that pump on—there’s far more to brewing than the equipment side.”

  SIT creates viable paths for new producers through extensive courses on everything from the art and science of brewing to the nuts and bolts of business operations.

  “We share our knowledge by having assisted in numerous start-ups and real experience, not just theory. We offer a consulting arm which assists with recipe formulation all the way through to test batches and evaluating the product,” Hannafan/von der Heide said. “We assist with brewery start-ups and build-outs, supplier evaluation, business case review and staff training. We like to think that the art and science of brewing beer makes lifelong learners out of all in the brewing sector.”

  Hannafan/von der Heide said there are relatively short courses that can dramatically enhance your probability for success. These include the two-week “Siebel Concise” course, “Start Your Own Brewery” and “Executive Overview.”

  SIT also provides another valuable service: yeast banking. “Selecting the right yeast strain can be a key differentiator for better flavor profile, product innovation and brewery capacity utilization. Yeast banking, strain profiling, yeast propagation, fermentation optimization—you can never know enough about yeast,” Hannafan/von der Heide said.  

Choose Your Equipment Wisely

  Evolution in trends, products and other aspects of the brewing industry greatly influence how to source equipment. Spend time to evaluate options based on your ultimate goals and budget—not necessarily what everyone else does. 

  “For too many years, craft brewers grew up with the idea that the two-tank combi-brewhouse doing three–to–four brews in 24 hours was the only way to brew beer,” Gunn said. “As the industry grew, the systems expanded to four or five vessels, but were still stuck in the four–to–seven brews in 24 hours process, with low efficiencies in malt extract, water, energy, labor, effluent and so on.”

  IDD specializes in high-efficiency brewing systems, or HEBS. “HEBS mash filter brewhouses were an unknown entity to most and misunderstood by many that were aware of them. It continues to be an educational project, because it’s difficult for many to believe the efficiencies we publish and the misnomers perpetrated by conventional lauter tun brewhouse manufacturers,” Gunn said. “With HEBS capable of 95–to–98% extracts, up to 40% overall more efficiency and up to three times faster than a combi-brewhouse, there’s such a high ROI for a start-up or expanding craft brewer. Obviously, size has to be adjusted down from a conventional system because of the reduced turnaround time per brew. But 12–to–15 brews in 24 hours are the norm for HEBS.”

  If you’re planning a low-alcohol or non-alcoholic line, your equipment choice is even more specific. For example, Flavortech uses spinning cone column (SCC) technology to enhance flavor, efficiencies and budget. 

“The day-to-day operating expenses of the SCC are low, as it’s very energy efficient. The first two years of maintenance are also included, so these don’t need to be budgeted for until year three,” Dyer/Parker said. “The other main cost is dealing with the alcohol removed from the beer. Disposal can be expensive—however, it can be a valuable income stream if re-concentrated, or could potentially be used to fortify other products in the portfolio. It’s important to work through this part of the equation in advance to maximize the ROI of the system.”

  Scan American/Flavortech allows producers to test all its equipment. “We can teach the customer how the system works and showcase the different outcomes. A beer trial can be run with as little as 60 gallons of product,” Dyer/Parker said. “After each trial, we’ll complete a product tasting to see how it responds to the process. Typically, these trials are proof of concept.”

  Gunn noted an interesting trend that influences equipment choices. “Smaller, more efficient breweries and cans. HEBS, for example, have gone from 20–to–40 Hl brew capacity systems to 5 and 7.5 Hl brew capacity systems. This reflects on the matured craft brew market reverting back to brewpub/restaurant and taproom style operations: local market supply through their own establishment,” he said.

  BFS took a completely different approach to equipment. “Budgeting a brewery start-up is difficult. We’re so capital heavy,” Johnson said. “Don’t rush into purchases. A lot of times you see a deal, but it’ll come back. Some producers are better off sourcing used equipment when applicable.”

  Hannafan/von der Heide offered this important reminder. “If you don’t know about equipment or sizing or space planning, hire a seasoned, independent consultant. Don’t let your emotional side pick the equipment suppliers. There’s a lot of unsafe, poorly-designed equipment that will haunt your day-to-day operations and product consistency.”

Be Patient, Young Jedi

  Our experts offered numerous tips for new producers—here are just a few.

  “We always advise the producer to focus on employing a good industry experienced general contractor, experienced industry-related architect, an experienced industry equipment supplier and themselves doing their due diligence,” Gunn of IDD Process & Packaging told Beverage Master Magazine. “The four parties working together can achieve the best system, the right location and within budget.”  

  “Our initial vision was quite different, or I’d say 60-70% different,” said Johnson of Birds Fly South Ale Project. “We call ourselves an ale project because we’re constantly exploring new styles, techniques and flavors. Our process is unique in that we’re continually blending, and our beer has a chance to evolve through different fermentation processes.”

  “We knew from the beginning we wouldn’t have a ‘set’ product line,” Johnson continued. “This can cause some educational issues when first entering into a distribution partnership. Our brands slowly became a steady product line, but patience was key in our relationships with distributors and retailers. So be patience in all aspects, from hiring and budgeting finances to decision making. We like to say, ‘The beer takes two weeks or more to make—let’s give ourselves an extra hour before we make a decision.’”

  “My advice to someone coming to us with a new product idea would be for them to sit down with us and work through the processing details to make it a reality. The next step is to book some time in our pilot plant and produce some product,” Dyer/Parker with Scan American/Flavourtech said. “We have a great team of engineers with a real depth of knowledge and can assist with the practical realities of turning ideas in successful products.”

  Dyer/Parker also pointed out two exciting trends. “One is the move towards much higher-quality beers. I was in Brazil last month, and the local beer we were served was so good that we cancelled our wine order and continued to drink beer with our meal!” Dyer/Parker said. “Parallel to this trend is the development of the zero-alcohol segment. This fits really well with the SCC, as we enable zero-alcohol products to meet exact quality requirements.”

  The educators from the Sieble Institute of Technology offered two final thoughts. “Create a realistic business plan. Then, have others with industry knowledge challenge and build your plan,” Hannafan/von der Heide said. “The craft and brewing industry is an amazing place to be creative and excel in entrepreneurial activities. It is, however, a place for the long run, despite the hype—there are no quick sustainable wins. Product and process knowledge reigns.”

WOMEN AND CRAFT BEER: Brewing Networks & Profits One Beer at a Time

By: Cheryl Gray

woman dispensing beer

When Meghann Quinn’s great-grandparents planted their first acres of hops in 1932, little did they know that their great-grand-daughter would be responsible for the business side of what is now Bale Breaker Brewing Company, a family-owned enterprise ranked last year as the fifth-largest independent craft brewery in Washington state.

  At Bale Breaker Brewing Company, women play an integral role in nearly all aspects of the business, from the farm to the tasting room.  It is a tradition that Quinn traces back to her great-grandmother, Leota Mae Loftus, the namesake of the brewery’s Leota Mae IPA.

  “It never occurred to Leota that there was a job she couldn’t do,” Quinn said. “If an irrigation ditch needed to be dug, crops needed to be picked, or workers needed to be fed, she was the lone woman on the crew beside—or in front of—the men, getting the job done.  In fact, throughout the 1940s, she was the only woman hop drier in the Yakima Valley.” In those days, Quinn says, hops drying was done by hand.

  Fast forward to the 21st century. Bale Breaker Brewing Company operates out of a 27,000 square foot facility housing a 30-barrel brewhouse. The brewery’s tasting room is right in the center of Hop Field #41, part of roughly 2,200 acres of the family farm in the heart of Washington’s Yakima Valley, where Quinn and her three brothers grew up.

  “My dad always says that when you grow up among them, hops become part of your DNA,” said Quinn. “I guess my brothers and I are pretty good examples of that.”

  Quinn earned a degree in Business Finance from the University of Washington. She now handles all things business at the brewery, including finance, accounting, reporting, marketing, public relations and the like. However, she proudly points to the team of women whose expertise gives Bale Breaker Brewing its competitive edge. 

  “Jackie Beard is our Quality & Sensory Manager. She has a degree in microbiology from Northwestern, has developed a robust in-house sensory program from scratch, and makes sure all of the beer we send out is up to our high-quality standards,” said Quinn. “Erin Schlect and Shayna Koch are two young moms who run our accounting department.  Our marketing department consists of Danika Norman (Marketing Manager), Sara Gottlieb (Social Media Manager) and Marguerite Washut (Marketing and Events Coordinator).  These three women are essential to driving our brand forward and effectively communicating to and connecting with our consumer base.”

  Quinn also said three of the company’s four-person outside sales team are women. Sara Verdieck covers western Washington, Kat Finn handles Oregon, and Justine Malland tackles eastern Washington and northern Idaho. “These women are the face of Bale Breaker with our distributors and accounts throughout our distribution footprint.”

Pink Boots Society

  Quinn and members of her team at Bale Breaker Brewing are among the more than 2,000 women worldwide who network through The Pink Boots Society. This nonprofit organization,  founded by brewing pioneer Teri Fahrendorf, supports women engaged in the brewing profession and, in particular, the craft brewing industry. The group, which began in 2007 with fewer than 20 members, helps women brewers connect with mentors and advance their brewing knowledge through education. Educational opportunities receive support through scholarship money the group raises to help women advance in the industry.  There are Pink Boots Society chapters across the United States and global chapters in Canada, Europe, Asia, South America, New Zealand and Australia.  

Bron Yr Aur Brewing Company

  Be it a global enterprise or a blossoming start-up in the U.S., women have come into their own in the craft brewing industry. Bron Yr Aur Brewing Company is among the latter, a fast-rising brewery and restaurant owned and operated by the Hatton family, who’ve called Yakima Valley home for seven generations. Annette Hatten, whose husband, Mike, had been a homebrewer for more than a decade, decided to turn an old fruit stand into a brewery with a restaurant. Bron Yr Aur Brewing Company opened for business in 2013 and the Hatten children, Zach, Amanda and Trevor, gave up their day jobs to pitch in and contribute to the brewery’s success. They’ve focused on capturing space in the competitive craft beer market by combining its brewery offerings with innovative restaurant fare, ranging from its popular pizza varieties to its beer brownies. 

  Annette Hatton is involved in day-to-day operations, brewing recommendations, as well as recipe development for the kitchen and distillery. Daughter Amanda, co-owner and Operations Manager, was recently awarded the Yakima Valley Tourism Ambassador of the Year Award. She sees to it that Yakima Valley produce gets featured on the restaurant menu. She also manages the brewery’s community outreach, creating innovative partnerships with local organizations and small businesses.  Amanda says that the opportunity to work side by side with her mother is a gift.

   “Not only do I get to spend time with her every day, but we get to collaborate on many great ideas and have a ton of creative energy flowing, which I love.”

Cowiche Creek Brewing Company

  Maria Nordberg worked side by side with husband Derrick to build the Cowiche Creek Brewing Company, which opened for business in 2017. What started as a homebrewing project evolved into a full-fledged business plan to launch a brewery that’s products would showcase the citrusy, piney, and tropical hops varieties of Yakima Valley. Nordberg has a background in food safety management from her position at Yakima’s Green Acre Farms, a fourth-generation family operation with a vineyard, orchard and hopyard, as well as row crops. Cowiche Creek Brewing gets much of their hops from Green Acres, although the Nordbergs also grow and use their own varieties of hops. 

  To keep a firm hold on construction costs, The Nordbergs built the brewery’s 20 barrel brewhouse and taproom by combining their own sweat equity with their skilled tradesmen friends who knew how to do tile work, plumbing and other construction trades. 

  Marketing strategies for Cowiche Creek include electronic gift cards available online, as well as business partnerships with restaurants, bars, hotels and casinos in the Yakima Valley area that feature the brewery’s products. Maria says that at the end of the day, it’s the customers ‘ appreciation for the brewery’s offerings that count. 

   “All the hard work is worth it when you see a smile on someone’s face and knowing you helped put it there. “

Like a Lady Boss

  Women who don’t directly brew craft beer have still found a way to incorporate it—or its ingredients – into their businesses. A prime example is HopTown Wood-Fired Pizza, which features pizzas sprinkled with hops from Yakima Valley.  Co-owners Lori Roy and Carrie Wright serve wood-fired fare, showcasing fresh-from-the-farm ingredients paired with local craft beers, wines and ciders. “We celebrate the hop heritage of our community with our award-winning pizzas and our local brews,” said Wright.

  There are also the women who keep the taproom flowing, responsible for everything from managing staff to operations. Such are the responsibilities of Rachel Verhey-Goicoechea, Taproom Manager and Cellar Assistant at Varietal Beer Company, located in the Yakima Valley community of Sunnyside, the second-largest city in Yakima County.  Varietal, which opened last year,  joins an already crowded field of craft beer establishments in the Lower Yakima Valley area but is holding its own as a popular gathering place. It’s headed by Verhey-Goicoechea, who not only runs the taproom but also assists in the cellar CIP, transfers, dry hopping, kegging and other related duties. 

  In addition to the Pink Boots Society, women are teaming up for special events that champion women in the craft brewing industry. Last year, Atlanta, Georgia was host to Dregs and Dames, a festival aimed at empowering women in craft brewing by presenting beers brewed by women and discussing community, business, brewing and legal issues affecting women’s success in the craft brewing world. There is also a push for more diversity as minority women enter into the craft brewing scene.

  For all of recorded history, women have played a role in craft brewing. The earliest civilizations considered brewing beer a “woman’s job.”  Today, according to an Auburn University study, women comprise 29% of beer industry workers. Women who have been in the business the longest say that mentoring is the key to sustaining and expanding the number of women who own, operate and work in the field of craft beer brewing.

The Best Canning Systems & Machines for Modern Breweries

By: Alyssa L. Ochs

Bottling Canning Machine at Brewery
Eugene, OR, USA – July 17, 2014: Can and bottle filling machine on an assembly line at Oakshire Brewing.

Canning has become an increasingly popular way to package craft beer, and more breweries than ever before are either exclusively moving to cans or incorporating cans alongside their traditional bottle offerings. Many brewers prefer canning over bottling because of the increased protection from light and oxygen, cost, portability, recyclability and freshness. However, a brewery needs the right type of canning system in its space to make this form of production profitable and efficient.

  With the input of top industry experts at SKA Fabricating, XpressFill Systems and OneVision Corporation, here’s what breweries should know before investing in a new canning system for the first time or upgrading a current machine.

Canning Products Available to Breweries

  Smaller and newer craft breweries may start off with manual canning systems that have a two-head filler and that can fill about 10 cans per minute because of these systems’ affordability. An upgrade from this is a micro-automated canning system with a three-head filler and capacity for 25 cans per minute with multiple can size options. Meanwhile, automated canning systems may have up to 10 head fillers and be able to fill more than 70 cans per minute. To operate a canning line, a brewery may also need to purchase blank or printed cans, can ends and lids, PakTech can carriers, shrink sleeves and corrugated case trays.

  One canning machine company based in San Luis Obispo, California, XpressFill, manufacturers affordable table-top machines that are used by craft breweries to fill both cans and bottles. Rod Silver, the marketing coordinator at XpressFill, told Beverage Master Magazine that his company has experienced a significant increase in can fillers from its brewery customers this year.

  “Our counter pressure fillers fill the cans in a pressurized environment to maximize the CO2 in solution,” Silver said. “Our open fill units have become increasingly more popular due to the lower cost and faster fill rate. Controlling filling conditions are critical in achieving optimum fills using either system. Both units purge the can with CO2 prior to the fill cycle.”

  Another relevant company that breweries will want to learn about is Ska Fabricating, which is based in Durango, Colorado and has over 700 customers worldwide. Matt Vincent, a partner in Durango’s largest and most award-winning craft beer brewery, told Beverage Master about Ska’s primary and most popular product called the Can-i-Bus Can Depalletizer. It is paired with either a water twist rinser or ionized air rinse and is an industry-leading depalletizer and rinser combo that covers the speed range of 30 CPM up to 400+ CPM. 

  “It allows for the opportunity to grow as your production grows, due to the wide range of speeds that it can handle,” Vincent said. “It also is a necessary part of a canning line because it eliminates the need for hand-loading cans onto a filling line, allowing operators to focus on quality by eliminating menial tasks.”

  Vincent also said that Ska Fabricating offers an extensive line of conveyance solutions, date coders, handle applicators, can and bottle drying equipment and machinery integration to assist in the post-fill needs of the brewery.

  Meanwhile, Neil Morris of OneVision Corporation in Westerville, Ohio told Beverage Master Magazine how OneVision “manufactures and markets inspection systems that empower beverage canners and food canners produce quality double seams.” This company’s expertise includes double seam evaluations, inspection systems and training and support at system installation, as well as electronic and phone support after installation to prevent seam leaks and keep products fresh.

  Ben Anacker, who manages sales and services for OneVision in the western U.S. and Canada and who is an expert in can manufacturing, said that OneVision arguably provides the most cost-effective craft brew system and support to empower brewers to have confidence in their canned products.

  “Evaluating double seam overlap and tightness is imperative to comprehensive analysis of seam integrity,” Anacker said. “The OneVision SeamMate® Inspection System, in combination with the Mini Drive Seam Stripper System, is unparalleled in performing the destructive seam dissection to allow close examination of these attributes.”

Important Features of Canning Machines

  Overall, canning systems feature a complex set of machines that share some similarities but are also very different in many ways. These differences lie in their speed, efficiency, size and other capabilities, such as low DO pickup, 15-20 ppb, dual cam driven seamers, nitro with a widget or no widget and monitors. Considerations to keep in mind are oxygen and light penetration, seamers, reliability, the ability to upgrade later and integration with your current system.

  Silver of XpressFill said that the most important features to consider are “cost, fill consistency, oxygen uptake, user-friendly, reliability, ease of cleaning and sanitizing and support by the manufacturer (both pre-sale and after).”

  Vincent of Ska Fabricating said that first and foremost, the most important factors for making a canning machine decision are identifying the proper speed line that works well with your budget, batch size, labor pool and desired level of automation. He said that the second priority is to make sure you understand the differences in the fillers and what level of quality you can expect from them. 

  “In the end, you get what you pay for,” Vincent said. “Rotary fillers tend to provide a higher level of fill quality than inline fillers, but they are typically four to five times the cost. 

  “All businesses evaluate the cost-competitive options when procuring capital assets to support their business,” said Anacker of OneVision Corporation. “For the craft brewery industry, there are many options for these canning investments. Sustainability versus initial investment cost is widely overlooked and should be evaluated more closely.”

Questions to Ask Before Buying a New Canning System

  There are many questions to ask before buying a new canning machine, either for the first time as a new brewery or to upgrade existing equipment. Here are some initial questions to start with:

•    Is the machine the right size for your needs?

•    Will you use printed cans or labels?

•    Are pneumatic seamers your best option?

•    How easy is it to clean the machine?

•    What other accessories are needed to operate the machine?

•    What are the financing options?

  Silver of XpressFill said that while many craft breweries are shifting to cans instead of bottles because of customer demand, switching production from bottles to cans is a significant undertaking that should not be taken lightly.

  “Canning lines and mobile canning could be prohibitively expensive depending on the initial scope of your production,” Silver said. “Table top units, like the XpressFill fillers, can be a cost-effective initial effort to meet the initial demand. Questions should be asked regarding the production capacity of the equipment, ability to upgrade, sell-back policies and warranty information to ensure a prudent investment.”

  Vincent of Ska Fabricating said that the most important questions to ask are about the machine’s cost, level of support offered, how many people it takes to operate the line efficiently and what level of dissolved oxygen the filler can maintain while filling.

  Anacker of OneVision Corporation recommends looking into the track record of the supplier company as well as the actual system being considered. He said to ask about if the system can be upgraded to match future growth and to check references of actual users with at least three years of experience using the system. How a “micro-canning” system compares to larger commercial canning systems and whether the system has the same fundamental function and repeatability to have confidence in long-term production capability and integrity are other considerations that Anacker recommends.

Expert Advice About Canning Machines & Lines

  With all of this information in mind, you may decide that now is the right time to start looking at new canning machine options, or it may be best to hold off for a while until you have fully assessed your needs. However, it seems that canned craft beer is here to stay and will only continue to increase in popularity in the future.

  Vincent of Ska Fabricating recommends that breweries do their homework in researching canning line equipment and identify reputable vendors that will provide the levels of customer service and project management that your brewery needs.

  “Budget for the suppliers to do the installations and training for their machinery,” Vincent said. “Many mistakes are made and inefficiencies are created without proper installation and training on the machinery. We have seen many customers that try to do the installations on their own and it ends up creating more problems in the long run, resulting in down time and/or machinery that doesn’t operate as well as intended.” 

  In terms of advice for craft breweries, Anacker of OneVision Corporation said,” Contract or employ resources with canning experience to help make procurement choices, develop production layout, oversee the production to get this business phase started well and develop other resources for sustainability.”

  Silver of XpressFill recommends finding other breweries that have worked with the particular machine and manufacturer that you are considering and asking them about the machine’s reliability and overall satisfaction with the canning equipment.

  “Also, search online for reviews of the equipment,” Silver said. “Real world experience is the best insight into what can be expected with purchasing and operating a new canning system.”