Category: Distillery

Crafting the Perfect Fill

Cyndi

Filling Equipment Insights for Brewers and Distillers

By Alyssa L. Ochs

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

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

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

Types of Filling Equipment Available

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

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

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

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

Fillmore’s Equipment Offerings

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

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

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

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

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

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

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

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

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

Precision Filling for Accuracy & Compliance

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

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

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

Automating the Beverage Filling Process

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

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

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

Flexibility & Seamless Integration

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

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

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

Scalability for Future Expansion

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

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

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

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

What’s Next for Beverage Filling Equipment?

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

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

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

Did Home Distilling Get Legalized?

Cyndi

It Depends on Who You Ask

distillery equipment on a table outside a home

By Kris Bohm, Distillery Now Consulting

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

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

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

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

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

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

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

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

  TTB rules on Illegal Distilling can be found here.

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

Is it Time to Elevate Your Beverage Brand

Cyndi

Even Legacy Beverage Brands See the Value in a Brand Refresh

banner sign says rethink revise rebrand

By Hanifa Sekandi

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

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

When is it Time  for a Rebrand?

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

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

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

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

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

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

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

The Notable Introduction

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

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

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

Are You Ready to Elevate Your Branding?

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

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

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

Make It Easy to Say Yes

Cyndi

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

bottles of corona extra beer in sand

By Jake Ahles, Morel Creative

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

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

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

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

The Growth Bottleneck No One Talks About

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

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

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

Here’s what often happens:

•  Your sell sheet is too busy.

•  Your pitch deck meanders.

•  Your reps are all telling different stories.

•  Your digital presence confuses more than it converts.

And so…

•  Buyers pass.

•  Distributors deprioritize you.

•  Your reorder velocity flatlines.

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

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

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

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

Distributors and Trade Buyers:

•  Can I sell this easily?

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

•  Will consumers understand it right away?

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

Investors:

•  Is this brand built to scale?

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

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

•  Will this story resonate with future buyers or acquirers?

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

Brand Clarity in Practice: The Assets That Drive Decisions

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

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

Not: “A bold new botanical experience.”

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

2. A Streamlined Trade Deck:

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

•  What is it?

•  Why now?

•  Who’s buying it?

•  Why it moves units.

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

•  Brand origin in 2–3 lines

•  Product SKUs, pricing tiers

•  Flavor profiles or use cases

•  Distribution + reorder details

•  Beautiful bottle shots + fast contact info

4. Distributor/Rep Tools:

•  One-pagers for each product

•  Internal videos explaining the brand story

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

5. Digital Ecosystem:

•   A centralized media library

•   Consistent messaging across web, social, print

•   Video shorts that reinforce key points

The Ecosystem Approach: A Playbook for Growth

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

•  Internal team training

•  Sales meetings and trade shows

•  Distributor enablement

•  Consumer marketing

•  Investor conversations

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

For distillers, this could look like:

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

•   Thoughtful origin stories that connect in regional campaigns

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

The goal? Scale your story

without diluting your soul.

Proof: What Happens WhenYou Nail It.

We’ve seen the results firsthand:

•  Faster shelf placements.

•  Higher distributor engagement.

• Improved sell-through and reorder velocity.

•  Better investor traction.

•  Readiness for acquisition or national expansion.

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

Final Thoughts: Clarity Is an Act of Respect

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

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

Make it easy for them to say yes:

•  Build a one-liner that lands.

•  Create a pitch deck that converts.

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

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

Clarity sells!

Five Bucks & a Bag of Chips

Cyndi

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

crystal ball and tarot cards

By Mark Colburn

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

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

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

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

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

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

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

The Sam Adams Haunted House

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

Happy Halloween!

About the Author

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

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

shinerunner@comcast.net

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

Did Home Distilling Get Legalized?

Cyndi

It Depends on Who You Ask

home distilling equipment outside a house on a table

By Kris Bohm, Distillery Now Consulting

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

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

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

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

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

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

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

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

  TTB rules on Illegal Distilling can be found here.

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

Delta Dirt Distillery

Cyndi

Deep Rooted, Family-Based, and Globally Recognized

Harvey and Donna Williams holding their vodka bottles

By Gerald Dlubala

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

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

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

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

Four Generations of Farming

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

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

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

Unique Spirits Lead to Immediate Awards and International Recognition

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

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

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

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

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

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

Educating Consumers and Supporting Local Community

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

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

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

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

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

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

Working With Family Is Rewarding

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

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

Delta Dirt Distillery

430 Cherry Street

Helena, Arkansas 72342

870-662-5709

customerservice@deltadirtdistillery.com

Craft Beverage Brands Demand Flexible Equipment

Cyndi
cans in a canning machine

By: Rebecca Marquez, Director of Custom Research at PMMI

Handling a wide variety of sizes, shapes, and materials at faster speeds requires flexible, automated equipment that provides quick changeovers.

  More than 16,000 craft beverage brands are now competing for attention, space, and sales at U.S. retail outlets, according to 2024 Craft Beer and Spirits: Success Through Packaging, a report from PMMI, The Association for Packaging and Processing Technologies. In addition to the large number of brands available, craft beverage producers have been feeling the pinch of rising input costs — from raw ingredients to packaging materials — and higher distribution costs.

  To support brand and business growth, many craft producers are actively investing in new machinery. Some also have an aggressive growth plan.

  One beer and spirits contract packager cited in the report is trying to determine if its current packaging equipment is strong enough to support an expected doubling in volume in the next year and, with a growing customer base, the possibility of five-fold growth in the next three to five years.

  From a machine standpoint, craft beverage brands are almost unanimous in their opinion that their equipment needs to be adaptable, according to the 2024 report. While complete adaptability, such as filling bottles on a canning line, is functionally impossible, OEMs should carefully consider how versatile they can make their machine offerings. For instance, a canning line capable of filling 16- and 12-oz. cans provides some versatility. Still, one capable of switching to 19.2-oz. sizes and running tall, sleek cans would be more desirable for craft producers.

Machinery Flexibility Reigns Supreme

  Craft producers need the ability to handle a wide variety of sizes, shapes, and materials at faster speeds, and they need more automated equipment features for changeovers, loading, and feeding.

  Multipack formats—including multipacks that contain a variety of products—have remained a popular stock-keeping unit (SKU) option over the past decade. While consumers consistently report liking these formats, they frequently create operational headaches for craft producers because they necessitate alterations in their overall operations.

  Special packaging formats also can create significant production challenges. In addition to label and format variations, specialty product releases are typically limited runs. To help craft producers reduce downtime when switching from standard to specialty product runs, OEMs and suppliers are working to expand features, such as automated label changeovers and automated feeding.

  The logistics of handling mix packs is challenging for small breweries because it is typically performed with manual labor. Consequently, many craft beer producers seek affordable, automated solutions to help them compete with larger breweries.

  For example, some smaller craft brewers need user-friendly push-button equipment and end-to-end solutions to minimize fluid waste. They also require predictive and preventive maintenance software, modular machinery, easier-to-program programmable logic controllers, and simplified, intuitive human-machine interfaces.

  Craft producers also want advanced technology features, such as AI machine learning and improved machine sustainability functionality that uses less energy and reduces material waste.

  Machines as a service, or MaaS, may have a future role to play in the craft beer and spirits industry when it comes to accommodating tight budgets and limited floor space, but very few operations are currently deploying this strategy, according to the 2024 PMMI report.

Beverage Processors Look to the Future

  Technical integration will positively impact beverage packaging and processing operations in the coming years, according to 2025 Beverage Industry Packaging Trends, another report from PMMI. However, inflation, supply chain disruptions, regulatory compliance, and talent acquisition/retention challenges are expected to continue negatively impacting this industry.

  The 2025 report states that company expansions, consumer product demands, and technology advances are the top three reasons beverage companies purchase new machinery. In addition, nearly 90% of the 2025 report’s surveyed companies plan to purchase some type of beverage packaging machinery in the next three years.

  For instance, 58% of the respondents anticipate their investment in beverage packaging machinery will increase by 10% over the next three years. This includes 26% who expect an increase of more than 20%. Some plan to invest in entire production lines to keep up with demand and/or accommodate new product SKUs they’re developing. Others are focused on improving equipment efficiency to reduce bottlenecks and minimize downtime.

  But beverage companies sometimes need more guidance from their suppliers to make the right decisions and keep machinery running. In-person and remote support are important since beverage processors want true partnerships with OEMs that are reliable and consistent for as long as the machine is functioning. In addition, these processors want more support, education, and perspective into what the future holds for new equipment.

  Processors are justified in turning to OEMs for this type of assistance. To meet evolving packaging demands, end users need to optimize machinery use by leveraging digital insights and diagnostics for faster, more efficient production and the reduction of downtime, which directly impacts revenue, making technology-driven troubleshooting a top priority.

  The degree of a machine’s user-friendliness is also a critical factor. In fact, one 2025 survey respondent believes machinery suppliers should automatically assume that somebody without much experience will be running the equipment every day. “The equipment needs to be smarter and more intuitive to the operator and contain built-in tutorials,” he states.

  When it comes to avoiding recalls, sanitation is a major priority in beverage processing. Therefore, processors need machines and parts that are more easily cleaned. Standardized machinery and sanitation templates that work for one facility and can be transferred to others also make sanitation easier, especially for processors with multiple sites.

  Over the next two to three years, expanding consumer demand will drive the need for more diverse beverage products and packaging sizes, leading to an overall increase in all packaged beverage formats. As a result, beverage manufacturers and their co-packers must improve and replace infrastructure now to ensure they remain flexible, efficient, and competitive in an evolving market.

  To learn more about technologies that boost beverage production, attend PACK EXPO Las Vegas, Sept. 29 to Oct. 1, 2025 at the Las Vegas Convention Center. With 2,300 exhibitors and thousands of cutting-edge solutions, attendees can engage in conversations about emerging trends, challenges, and innovations that are shaping the future of the industry.

  At the event, beverage processors can experience hands-on demonstrations of the latest packaging and processing solutions on topics like automation, sustainability, workforce development, and manufacturing efficiency. In addition, more than 100 educational sessions will take place on seven stages/content centers on the show floor, including Sustainability Central, Industry Speaks Stage, Innovation Stages, Processing Innovation Stage, and the Reusable Packaging Learning Center.

  Visit packexpolasvegas.com to learn more and register now to connect with industry leaders, discover state-of-the-art innovations, and gain a competitive edge.

Are Your Beverages Ready for a Recession?

Cyndi
calculator says recession on top of a $100 dollar bill with ben franklin looking worried

By: Raj Tulshan, founder of Loanmantra.com

Is the U.S. Headed for a Recession? And if so, is your beverage business recession proof? In the United States, only the panel of experts at the National Bureau of Economic Research (NBER) is able to classify economic conditions as an actual “recession.” At its most basic level, a recession is marked by two, consecutive quarters of economic contraction or negative real Global Domestic Product, (GDP). Understandably, more is at play in making this kind of analysis and most economists believe there are four major recession indicators.

  Understanding that NBER must classify a recession, economists and financial analysts are closely monitoring several key indicators that suggest economic slowdown in 2025:

Declining Consumer Spending: The University of Michigan’s Survey of Consumers’ Index of Consumer Sentiment showed a 10.5% decline in consumer confidence in April. U.S. households are beginning to cut back on discretionary purchases creating ripple effects across industries from retail to hospitality.

Tighter Credit Markets: The Federal Reserve’s efforts to control inflation have led to higher interest rates, making it more expensive for businesses to borrow. Many lenders have also become more cautious, tightening their lending boxes and limiting access to capital. Small Business Administration (SBA) changes have caused industry shifts for government-guaranteed lending and associated products.

Business Slowdowns: Hiring has slowed, and some companies are scaling back operations as demand softens. Government layoffs have impacted the private sector. These trends may continue to lead to more job losses.

Trade and Tariffs: With major tariffs, most business owners are wary of what that means for their bottom line. They suspect that tariffs will increase production costs, challenge the supply chain and disrupt small business operations.

10 Tips to Recession Proof Your Business

  If a recession takes hold, beverage businesses—especially those reliant on consumer spending—will likely face many challenges. Loan Mantra offers approaches to offset these challenges:

CHALLENGE- Staying Sober: Being in a constant state of uncertainty and entertaining a daily stream of negative news can have a devastating mental impact on the general population.

APPROACH- Drowning in questions and doubt will not help the business become more recession proof. As a business owner, employees, customers and the public will be watching your example for signs of a crisis. Focus on what the business does best. Instead of becoming overwhelmed, break down tasks into day-to-day actionable steps. Offer an open-door policy and be transparent with loyal employees. Offer a group approach and/or collaboration with all aspects of the business to come up with solutions on how to meet goals.

CHALLENGE- Less Served: With customers spending less, businesses may struggle to maintain sales levels.

APPROACH- Review tangential product flow and reduce expenses that may not be necessary. For instance, if you’re a restaurant, for food deliveries instead of including plastic utensils with to-go orders, include items upon request, exclude napkins or excessive packaging with Beverage delivery. Over a year these small adjustments can add up to substantial savings. Common expenses can also be distributed over several locations. For instance, cross train bar and waitstaff and schedule among different sections and work sites.

CHALLENGE- Hyped up Hops: Inflation-driven price increases on goods, materials and wages could squeeze already thin profit margins. Tariffs also threaten to make costs higher on imported goods.

APPROACH- Reduce time spent on tasks that don’t directly impact sales and produce revenue. Efficient inventory management ensures you’re not tying up capital when you need it most for tasks like cleanup, makeready and taking inventory. For example, many retailers take an inordinate amount of time on inventory. Could this utility time spent for employees to count and restock be more efficient? Consider tightening inventory management by prolonging buying until it’s necessary using the just in time method.

  Scale down product choices to the most popular brews or brands that offer higher margins. Companies like Bonobos are already ahead of this curve. This retailer offers concierge service that makes up for lack of on-site inventory. With an increased focus on customer service, customers can try on pieces at the store location which are then ordered and delivered to customers homes. Can this model be replicated by offering sample tastings with pre-pay for larger orders that can be delivered on demand?

CHALLENGE- Beer Money Fund: With banks tightening their lending standards, securing loans or lines of credit may become more challenging.

APPROACH- Having appropriate cash/capital reserves on hand is a vital step to recession proof a business. Loan Mantra recommends that businesses should have at least one month of operating expenses or ten percent of revenue on hand during a normal economy. In times of recession, businesses should hold 3-6 months of operating expenses. The time to shore up emergency reserves, apply for a line of credit or loans is before you need it.

  Don’t wait to get commitments from a lending institution. Prequalifying for loans before you need them can give you peace of mind knowing funds are readily accessible if necessary and help recession proof the business. Also remember that chaos creates the opportunity to buy assets when prices fall that will later appreciate.

CHALLENGE- Half on Tap: Trying to meet revenue projections made last year may be impossible impacting the ability to meet payroll, make payments or even stay in business.

APPROACH- Review original financial forecasts and re-assess plans based on the new economic reality. Scale back and ramp up essentials, finding new benchmarks and project out accordingly. Watch market trends like consumer sentiment. Invent new ways to make money and diversify revenue. Chaos brings opportunity. Discover what opportunities and optimize based on those findings.

CHALLENGE- Loan or Groan: The financial crisis in 2008 exposed the vulnerability of both consumer and commercial markets to predatory lenders. Institutions with questionable lending practices offered exploitive interest rates on loans where borrowers were caught in a cycle of paying interest on compounded interest that resulted in bankruptcies.

APPROACH- Be wary of inflated interest rates on loans. Right now, it is easier than ever to access a diverse group of lenders to get funding that offers the best rates and alternatives for businesses. For example, any business can seek expertise to find the lowest rate and financing through technology offered at companies like loanmantra.com, an online portal that provides streamlined access to all funding sources and expertise to determine the best loan products and providers.

CHALLENGE- Traffic Circle: Consumers facing job loss or decreased purchasing power may spend less and have limited disposable income.

APPROACH- Focus on retaining customers. This could be prioritizing exceptional customer service, capitalizing on loyalty programs and through marketing personalization to maintain and strengthen your customer base. Look at ways to make it easier for customer to spend money with your business like offering incremental payments instead of requiring the total up front. Acquire customers for life is more important that an individual transaction.

CHALLENGE- Bottle Battles: Increasing tariffs may limit access and availability of product components, bulk materials and supplies.

APPROACH- Evaluate cost increases, remain flexible and anticipate delays. Suppliers based in Asia may be the most hurt. Try to absorb some of the increased cost of good. Identify the least amount needed to push to the end consumer. Identify potential vulnerabilities and secure reliable suppliers to mitigate cost fluctuations. Find additional supply sources that are US-based if possible. Open lines of communication with current suppliers to negotiate better terms or prices and cost-cutting measures. Building strong relationships with suppliers can result in favorable deals that help reduce costs during lean times.

CHALLENGE- Distilled Down Sills: Previously approved expenditures including additional resources and equipment may be frozen.

APPROACH- Analyze operating systems to eliminate waste. Has the business drifted toward more expensive habits? Optimize operations by looking for ways to streamline tasks and improve efficiency. Aim to automate repetitive tasks through technology to save time and reduce long-term costs. Evaluate additional lines of business for profitability and sustainability. Look for additional ways to diversify and add revenue.

CHALLENGE- Measure or Pour: A lack of inventory can inhibit production.

APPROACH- Consider mass purchasing of supplies that may not be available in the future or before prices increase. Evaluate existing product lines and services to determine if substitutions can be made. Look at potential options as alternatives that may not be ideal long-term but will still satisfy customers. For example, if you are unable key ingredients, what can you make? For instance, if Champagne is not accessible can you offer high quality Sparkling wine as a choice?

Looking Ahead

  While the future remains uncertain, beverage businesses can become more recession proof against economic downturns by planning. Keeping an eye on market trends, managing finances strategically, planning for disruptions and maintaining strong customer relationships will be key to weathering potential challenges. For more information contact Raj at loanmantra.com.

Designing Beers for a Cocktail World

Cyndi
4 glasses filled with cocktails of 4 different colors in each glass

By: Erik Lars Myers

The beverage market has been evolving. No longer are we in a world of beer drinkers, wine drinkers, and cocktail drinkers. Today’s savvy beverage consumer drinks all three. This provides a unique opportunity for breweries; beer has such a wide palette of potential flavors that it is possible to create a beer to mimic a cocktail to attract a wider audience of potential drinkers.

  However, doing so takes more consideration than throwing a few specialty ingredients in the kettle. It is an exercise in thinking outside of the box. As an example of how this might be approached, consider a beer designed around the classic bourbon cocktail: The Old Fashioned.

Breaking Down Flavors

  What makes an Old Fashioned taste like an Old Fashioned? Hint: It’s not just the bourbon. Like any other drink, what makes a cocktail taste good is the full complex array of ingredients. In this case, bourbon, orange, cherry, simple syrup, and bitters. To break that down even further, the prominent flavors in bourbon – derived from alcohol, esters that survive distillation, and wood contact – are a blend of complex fruitiness and vanillins that include descriptors like vanilla, cinnamon, coconut, burnt sugar, and cocoa, among others.

  It is impossible to perfectly replicate all of this in a carbonated, fermented (not distilled) beverage, but the idea isn’t to perfectly replicate it so much as it is to bring the drinker as close as possible given the medium.

  When designing a beer like this one of the easiest traps to fall into is to start with a style, but it’s a disingenuous starting point. Any beer that is true to a particular style will, by definition, not taste like an Old Fashioned. Instead, disregard the notion of “style” and build the beer around the cocktail’s flavor profile. If, at the end of the day, there is a need to apply a “style” to it for marketing purposes, simply reverse engineer from the ingredient selection. The Trade and Tax Bureau only requires that it be designated “Ale” or “Lager.”

Malt Selection and Mash

  Many of the flavors and colors present in bourbon are present in malt.  It’s easy to choose a base malt – a simple 2-Row Pale – that is merely a source of fermentables, but it’s worth using something with more robust and complex malt character. Consider a floor malted Maris Otter, Mild Malt, Vienna, or Munich malt, or even a combination thereof, to select for a toasty, complex sugar base. One of the important ingredient additions to an Old Fashioned – simple syrup – is one that you can begin to manage through malt selection and mash management.

  Bourbon picks up its color through wood contact, but here caramelized and roasted grain are the source. Additions of higher SRM caramel malts can add residual sugar and just the right amount of color. Be wary of roasted malt additions. While small amounts of roasted malt might impart excellent color and some of the cocoa or smoky complexity of barrel-aging, too much of a burnt/roast characteristic would be wholly out of place. In addition, many roasted malts tend toward a red or ruby hue rather than the warm orange/brown of bourbon.

  Slightly higher mash temperatures, 154F – 156F, might be tempting for malt complexity but remember that while alpha amylase promotes dextrin formation, the long complex sugar chains that add great body to a beer don’t necessarily taste sweet.

Hop Selection

  While hops don’t feel like a good fit for a beer like this, hops are an important addition to every beer. In this case, not only can they create a balanced base beer, they can also be used to add flavor complexity to the final “cocktail.” Consider that an Old Fashioned is made with a dash or two of bitters, and so a low residual bitterness is not misplaced. An initial boil kettle IBU addition of 10 – 20 IBUs seems like a good starting point, but leaving hops out of the boil otherwise might be a good idea.

  Next comes hop character. There are many classic hops with orange and other citrus flavors: Centenniel, Cascade, Citra, Amarillo. However, some of the new hop strains that are marketed for Hazy IPAs might be well incorporated here. A small (0.25 – 0.5 lbs/bbl) whirlpool addition of Julius, Hydra, or Caliente hops can add complex characteristics of tangerine or clementine that would pair beautifully with citrus fruit additions.

Water Chemistry

  A low Sulfate to Chloride ratio (0.8 – 1.0) seems like a good starting point in designing water chemistry for a cocktail-inspired beer, accentuating and promoting malt characteristics. But bear in mind those dashes of bitters that go into a good Old Fashioned. In this case, a slightly higher Sulfate addition could be more appropriate: enough chloride to keep malt prominent, but not so much as to dampen the bittering effects of small hop additions.

Yeast Selection

  There are three ways you can approach yeast on a beer like this. One is to choose as neutral a yeast as possible – an American Ale yeast, for instance – and let the rest of the recipe do the lifting.

  Another is to choose a specific yeast with fermentation characteristics that match the flavor profile that you’re trying to create. English ale yeasts with strong ester formation, and perhaps high alcohol tolerance, can be of great use especially as many of them also keep a fair amount of residual sugar around – an important consideration in the “simple syrup” portion of this recipe.

  Finally, a third, less predictable (and reproduceable) route, would be to blend yeasts for fermentation. Using a combination of a cleaner English or American ale yeast with a small portion of Belgian Abbey or even Hefeweissen yeast could potentially add a complex ester palate with subtle, fermentation-based cherry (Abbey ale) or banana (Hefeweissen) notes, as long as the strains are all STA-1 negative.

  Perhaps more reliably, a brewer could split the wort, ferment each portion with different strains and then blend back together for a final product. Of course, this comes with the added complexity of requiring more fermentation space and more lab work to guarantee a stable and reproduceable final product, so it should be entered into with care and deliberation.

Spices, Fruits, Other Additions

  Perhaps the easiest step in designing a beer around a cocktail is approaching the ingredients that are added into the cocktail itself. An Old Fashioned orange and maraschino cherry garnish is perhaps the most obvious and easy part to replicate by adding bitter orange during the boil, or Luxardo or maraschino cherry juice into your fermentation. The difficult part is doing so with balance in mind – this isn’t, after all, an orange beer or a cherry beer, but a beer built around another, balanced beverage. Restraint is called for.

  What might be easier to overlook are additions that can add to the spirit characteristics of your finished beer. Again, bourbon characteristics are complex. Spice additions at the end of your boil, or during fermentation, are opportunities to add in flavors to increase that complexity: vanilla, coconut, cinnamon, black or white pepper, cloves, allspice, or any wide variety of other flavors, in very small quantities, can lend an enormous amount of complexity to the finished body and profile of your cocktail-designed-beer.

Barrel Aging or Spirit Flavors

  Of course, the easiest path to creating a spirit-flavored beer is by aging the beer itself in a barrel that once housed that spirit. However, when doing so, consider that time and oxidation will dull the subtle nuances of the original beer. If barrel-aging is in the future for the recipe, consider relying less on hop or fruit additions, or make judicious flavor additions after it’s been taken out of aging. Be wary of over-aging where wood characteristics might overshadow the original beer.

Finished Beer Considerations

  Carbonation level will make an enormous difference in how this beer is perceived. While a beer designed around a French 75 might be light and spritzy with high carbonation levels, this beer might benefit from carbonation on the lower end of the scale, in the 2.1 – 2.3 volume range.

  A brewery with the right capabilities might even consider cask engine or serving via nitro for a smoother experience..

Serving the Final Product

  In the tasting room or brewpub, don’t miss the opportunity to treat this beer as the special product that it is. Sloshing it straight down into a shaker pint glass is fine, and certainly will move money over the bar, but part of the experience of a good cocktail is presentation and the opportunity also exists here. Maybe this beer is served in a goblet with a twist of orange on the rim. Maybe a high-ABV, barrel-aged version of this beer is served in a rocks glass with a Luxardo cherry garnish.

  No matter what, presenting the customer with a unique experience will help them appreciate the craft and care that went into designing the recipe and help them make the connection to the original beverage.

  A beer designed around a cocktail will never be that cocktail, but it does give both the producer and drinker the opportunity to appreciate and explore the wide array of possibilities available to a well-practiced and thoughtful brewer in the nuanced palette of craft beer.

About the Author

  Erik Lars Myers is an award-winning professional brewer and lover of beer. He has written two travel guides about beer and written and edited multiple books about homebrewing.