Category: General

several mean and women standing at the bar smiling and holding glasses of beer and mixed drinks

The Benefit of Getting to Know Your Customers

Cyndi

By: David DeLorenzo

Just like the theme for the beloved TV show “Cheers” says, everyone wants to go where everybody knows their name. Customers feel good when they are acknowledged, when their favorite drink order is remembered and simply when they are treated like a regular at their favorite bar, winery or brewery.

  But developing client rapport is about so much more than ensuring your customers will come back again and again… it can actually impact of safety of your business, protecting you and your staff in the long run.

  Overall, your goal as a business owner is to do just that—stay in business. Running a profitable and responsible establishment is all about being present while serving those that are guests in your restaurant.

  And something as little as taking a few extra minutes to get to know your regular customers, at least on a surface level, can help you avoid getting hit by a large lawsuit due to potentially overserving someone. This could have simply been avoided by taking a little time to engage with customers, especially ones who come in regularly.

  Every establishment is different, and depending on the type of business, each will have a unique dynamic, whether it’s a coffee shop a nightclub or a neighborhood tavern. However, most business owners who have been in this industry for some time have developed an understanding of the mechanisms they need from a safety precautions standpoint. They know how to hire the right people and instill the right protocols to keep people safe and keep their establishment out of trouble.  

  If you’re doing something right, the same people will return, and return often. Establishments that get their fair share of regulars can leverage this to their advantage in multiple ways. Owners have the opportunity to really get to know their regulars, to welcome them into their establishment and make them feel at home by remembering their name or their favorite beverage order. This is a great way to make your customers feel valued, which will likely encourage them to return.

  This isn’t just a feel-good tactic, retaining regular customers is great for your bottom line. Even a 5% increase in improved customer loyalty can increase your profits by 75-95%. Your regular customers are walking advertisements—they will not only come back, they will bring their friends and tell others about your place, too. Regular customers also typically spend more. All these factors are major green flags for why you, and your staff, should focus on developing a personal connection with your regulars. You can even incentivize return customers with loyalty programs, specials and discounts.

  But if you operate an establishment that serves alcohol, one of the most crucial reasons you should get to know your customers is so you can determine if they have had too much to drink on any given occasion.

  When you get to know your regular customers, you’ll not only become familiar with their favorite appetizer or drink order, you’ll get to know their jokes, their mannerisms as well as how they act when they are completely sober—and how they act after they have had a little too much to drink.

  Their demeanor may change once they have had an alcoholic beverage or two. And this is important to pay attention to. This is why it is particularly important to train staff on how to detect whether someone has been drinking before they enter your establishment.

  If a regular comes in completely sober to your knowledge, you and your staff can then watch for those cues once they start ordering some drinks. This is not only for the safety and protection of your establishment, but it’s the ethical common practice of taking care of your customers and ensuring they don’t put themselves into a dangerous situation after having some drinks at your bar—such as behind the wheel of their vehicle.

  As bar and restaurant owners, of course you’re in the business to make money, to create a place of community for people to come eat, drink and be social. But you must also take on the responsibility of ensuring, to the best of your ability, that your customers can get to their next destination safely once they walk out the door.

  It’s also important to conduct your establishment according to the law… particularly in the face of the trend wherein lawsuits are getting funded like businesses.

  This trend involves private equity money going to help fund lawsuits for people that get into accidents and want to fight the insurance companies. With more capital, attorneys are able to stretch out their cases, and they are able to take on more cases.

  In cases like this against an establishment such as a bar or brewery, you have a more sympathetic jury and social inflation working against you. From a social standpoint, people look at the establishment, whether it’s a bar or tavern, as the corporate bad guy. Regardless of the facts and characteristics of the case or what actually happened, this can become a bad situation for the establishment and the defense attorneys that are representing them. It becomes more and more difficult to fight it off when the plaintiff’s attorney is being funded by a lot more money through private equity.

  This, in particular, is why it is more important than ever for bars and establishments that serve alcohol to have air-tight protocols, solid and ongoing staff training and other safety practices in place. Training employees on the necessary rules regarding serving alcohol should be coupled with training them on how to determine whether someone may be inebriated, or on their way to that point.

  I cannot stress enough the importance of timestamped video surveillance in and around your establishment. Have it, and hold onto it for at least 30 days.

  Depending on the type of establishment you operate, having security personnel outside your facility, such as in the parking lot, as well as at the door, is also essential. Having proper documentation in place, and having it easily accessible, is also important. Having the right documentation is only half the battle—you have to be able to prove you have it when the time comes.

  Overall, developing personal relationships with your customers is primarily about enjoyment from everyone’s perspectives. Hopefully, in the course of your business, a lawsuit will be a non-issue. But something as simple as awareness of your customers—who they are, what they order and how they act based on that order—can be an undervalued safety tool that you and your employees should all take into consideration.

  Out of his passion for serving the restaurant and hospitality industry, David DeLorenzo created the Bar and Restaurant Insurance niche division of his father’s company The Ambassador Group, which he purchased in 2009. For more than 20 years, he has been dedicated to helping protect and connect the hospitality industry in Arizona.

For more information visit…

barandrestaurantinsurance.com

woman smiling and checking brewery equipment

How Employee and Community Engagement can Lead to Better Sales

Cyndi

By: Earl Sullivan

The traditional model in business is sell at a higher value than your costs.  When things get tough, you cut your costs and that boosts your bottom line.  However, I take a very different approach to growing our bottom line. 

   I believe if you take care of your employee, they will take care of the customer and that will take care of the profit.  Employee engagement has multiple positive effects that extend beyond just the sales cycle.  By engaging with your employees, you get to understand just what makes them tick.  Are they purpose driven?  Are they money motivated? Are they seeking positive affirmation?  Each employee will have a different motivation and how you approach, coach and reward each of these people will be just as different as well.

  Housing insecurity and food insecurity are the two biggest stressors in hospitality workers lives.  If they were working shift work, depend on tips or if they are dependent on your business being busy to have hours, they will always have the risk of being without enough pay to meet the essentials.  Can you adjust your staffing to accommodate more consistent hours or fewer staff so that all the staff get more hours.  There is obviously a risk that if someone is sick and you do not have additional people to bring in, you can get challenged but a dedicated employee has so many more benefits than just someone showing up.  At our winery, all the full-time employees are salaried with full healthcare, retirement plan and additional benefits that allow for them to just have this one job. 

  To meet the threshold for an exempt employee, they must be independent of a manager and lead their own efforts.  Each of our employees has sections of the business that they are responsible for in addition to working in the tasting room several days a week.  This includes items like: retail sales, community engagement, social media and marketing and corporate sales.  These additional responsibilities have their own corporate goals and they are managed by the employee.  The employee reports up to the ownership on a bi-weekly basis to update against the goals while using the time to get mentoring and feedback all the while they are managing their own portion of the business.  This process engages them at a different level in the company thereby tying them to our mission in a more meaningful way.  This security and “binding” work together to create longevity, but more importantly, a sense of purpose for the company’s wellbeing. 

  Now that you have secured the employee, your job is to direct them to secure the customer.  Do they have the authority to fix an issue, give a gift, upgrade a customer, or sneak them into an exclusive event?  If they do not you are limiting your best tools to get customers more engaged with the brand. 

•    How would you feel if you got a comped glass of wine because you had just experienced a bad day? 

•    What would your dedication be to a winery that “found” two extra tickets to an exclusive event? 

•    How would you feel if you were at the winery and mentioned your anniversary dinner and the person taking care of you called ahead and paid for two glasses of champagne to be delivered as you sat down. 

  These are all things our associates have done without having to ask for permission.  The person that got the comped glass of wine has spent over $10,000 at the winery this year alone.  Freeing the hands of your tasting room associates is not without guardrails.  If you do it indiscriminately or inconsistently it will not work.  It must be done with intention and intention requires big picture guidelines.   No, they are not allowed to raid the cellar and take the last bottle of that special vintage but they can get into the cellar with a predetermined list of wines available to enhance the customer experience.

  Our team has a set of hospitality guidelines that are both internal centric (how we treat each other) and customer centric.  As long as the employee is following the guidelines, they are free to do whatever they feel is appropriate for the guest experience.  As we tell them daily, every time that door opens you have the opportunity to make someone’s day.  A bad day can be made better, a regular day can be made special or a good day made beyond memorable.  Each guest interaction can be a magic moment if your team is trained and more importantly empowered to make those decisions.

  We have taken care of the employees and they are in turn taking care of the customers.  With all of this, our profits should follow.  Should is a strong word if you are not monitoring and mentoring the team.  Just because they have security and buy-in and the training and empowerment to do the work does not mean it will be intuitive or that it will naturally flow.  Mentoring and monitoring the team is a critical step in making sure all the efforts that you have put into creating a memorable moment actually come to fruition. 

  It is simple physics,  an object in motion will stay in motion and an object in rest will stay in rest without a gentle nudge – gentle being the key word.  If you are overbearing in the process, you will discourage the independent, reasonable, and prudent thought that is necessary to make good decisions.  Giving good direction is necessary for even the most independent and self-sufficient employee.  No one will ever think through the issues more than the owner/manager will.  They see the big picture (since that is their job) and have the ability to direct the team based on where the company is going versus where it is.   Employees with good training, a guideline, and a nudge in the direction the company is headed will be the greatest asset to making sure your customers are taken care of in a meaningful and intentional manner.

  Now you need to ask:  Have I taken care of the biggest concerns of my employees so that they are able to come to work engaged.  Have I given proper guidelines so the engaged employee can be proactive?  Have I done this in a consistent manner so that the employees feel empowered and understand it is important?  I believe that if you answer is “yes” to these questions your employees and customers will be much more satisfied leading to a stronger business with higher profits.

About the Auhtor

  Starting in 2008, Earl Sullivan made his first red blend.  Since that, he and his wife have grown their winery into an award-winning winery that has been featured in Forbes, The Wall Street Journal, and Sunset Magazine to name a few.  They produce 10,000 cases of award-winning wine in Garden City, Idaho and run a hospitality consulting firm focused on high touch hospitality across a wide range of business sectors. Contact Earl at earl@telayawine.com.

Packaging & Processing Operations: Staying Afloat in the “Data Lake” 

Cyndi
photo showing computer data streams of all colors

In an era dominated by digital transformation, the packaging and processing industries increasingly rely on big data to streamline operations and enhance efficiency. Central to this revolution is the concept of the “data lake”—a vast, dynamic repository that stores and secures colossal amounts of raw data. PMMI’s white paper, Transforming Packaging and Processing Operations, offers a deep dive into the challenges and opportunities associated with data lakes, revealing how industry leaders leverage this resource to gain a competitive edge.

Understanding the Data Lake

  A data lake serves as a central point where businesses can store unstructured data across various sources until needed. One of the unique features of a data lake–and this distinguishes them from data warehouses–is that they are not schema-in. This means they can take in raw data in its native format without changing any of the data attributes from the source. They only apply schema to the data on the actionable side of the data lake once it has been processed for analytics, making it schema-out. Data warehouses, on the other hand, are schema-in, meaning the data must be structured before coming in.

  Data lakes are helping manufacturers solve concrete problems. With the schema-out structure of data lakes, manufacturers organize what information they need when they need it. This flexibility makes it an invaluable tool for machine learning, analytics, and real-time reporting, helping companies to react swiftly to market changes and internal demands. On the other hand, manufacturers must define their data needs with a schema-in structure before using it. And in most cases, they only end up using a fraction of the data.

  The packaging and processing industry is increasingly seeing the potential value of data as an asset. It is being used to measure and enhance business performance and operations, with applications including:

•             Measuring performance and downtime

•             Developing and tracking KPIs

•             Driving operational improvements

•             Performance opportunities

•             Analyzing equipment

•             Processing performance vs. expectations

•             Tracking quality and production metrics

•             Analyzing business operations

•             Driving, planning, safety, BOMs, specs, and operations improvements.

  For example, a quality problem—whether it is beverage contamination or a delivery that doesn’t meet specifications—can mean a dreaded slog through uncontextualized (or even paper) data to find out what happened. Moving to a data lake turns this process into a much simpler query that can be done in minutes. Proactively creating traceability reports means that manufacturers can quickly identify the underlying issue and pinpoint just the affected units, keeping products on the shelves and ultimately protecting consumers and the bottom line.

  Finally, predictive maintenance is often considered the pinnacle of data-driven manufacturing. According to another report by PMMI, Trends in Remote Monitoring, the ability to use predictive maintenance was seen as either somewhat or very important by 83% of end-users. Reduced machine downtime is a major factor in end-users specifically investing in predictive and preventative maintenance, with 92% of end-users citing machine downtime as a very or somewhat important factor. Data is the foundation and requires a combination of people, process, and technology expertise. Without enough data and the right data architecture, it will remain elusive.

  Data lakes are the foundation to process and analyze immense amounts of sensor data in real time and then visualize it to enable pattern recognition. This opens the door to testing and training machine learning models on historical sensor data to identify the precursors to machine failure. As manufacturers and their technology partners fine-tune these models, they become increasingly adept at predicting machine failure far enough in advance to perform necessary maintenance to prevent failure.

  However, the Transforming Packaging and Processing Operations white paper shows that while data lakes are widely acknowledged for their potential, many companies in the packaging and processing sectors are not fully tapping into this potential. End-users and OEMs alike admit that there is significant room for improvement in how they utilize data to enhance operational efficiencies and drive business growth.

Challenges in Data Management

  One of the primary challenges in managing a data lake is ensuring the quality and consistency of the collected data. PMMI’s findings indicate that data management practices vary widely, from manual data entry to sophisticated AI-driven analytics platforms. This inconsistency can lead to data reliability and usefulness issues, potentially turning a data lake into a “data swamp.”

  Security is another critical concern. As companies move more of their operations to the cloud, they must protect data against breaches and theft. According to the PMMI white paper, data governance and security challenges emphasize the need for robust strategies to manage and protect the vast amounts of data collected and stored in data lakes. This includes concerns about interoperability and sharing data across different platforms and stakeholders while ensuring data security and privacy.

  One end-user participant in PMMI’s research pointed to the importance of storing data in the cloud so that it can be shared across organizations and noted, “the more data you have, the more value you’ll create at the data lake” and “the more people who have access to the data, the more that value can actually be realized.”

  However, data security and confidentiality concerns can prevent data from being shared and fully leveraged. These are often the most common threats within IT teams in factories and can lead to tension between IT and OT teams. The white paper suggests that action is needed to bring IT and OT leaders together and to involve IT specialists more in discussions about data analytics. Although the technology to leverage data offers “tremendous economic benefits,” very real risks can be “profoundly expensive to the organizations if any of these security vulnerabilities get exploited.”

Leveraging AI and Advanced Analytics

  Artificial Intelligence (AI) and machine learning are playing increasingly critical roles in navigating the complex data landscapes of the packaging and processing sectors. The rise of artificial intelligence and advanced analytics has transformed the potential of data lakes. These technologies allow companies to predict trends, automate decision-making processes, and optimize operations in ways previously unimaginable. For instance, as previously noted, AI-driven predictive maintenance can anticipate equipment failures before they occur, minimizing downtime and maintenance costs.

  The integration of AI extends beyond maintenance. It’s also transforming operational processes by enabling the analysis of vast data sets to identify inefficiencies and optimize production lines. AI’s potential to offer predictive insights can lead to significant improvements in both productivity and operational reliability.

  The Transforming Packaging and Processing Operations white paper underscores the varying degrees of AI integration across the industry, with some companies at the forefront of innovation and others just beginning to explore the possibilities. The common thread, however, is a clear recognition of the need to invest in these technologies to stay competitive.

Collaborative Efforts and Industry Standardization

  PMMI’s white paper stresses the importance of collaboration and standardization to maximize the benefits of data lakes. By sharing data and analytics tools, companies can gain insights that would be unattainable in isolation. Standardizing data formats and analytics processes can also facilitate a more seamless integration of new technologies across the industry.

  The PMMI white paper highlighted several collaborative initiatives, such as the Vision 2030 series and the OpX Leadership Network, which are focused on developing industry guidelines and best practices. These efforts are essential in fostering a more integrated and efficient data management and utilization approach.

Future Directions and PACK EXPO Southeast

  Looking forward, the report suggests that embracing data-driven strategies will be crucial for the packaging and processing industries. PACK EXPO Southeast (March 10-12, 2025; Georgia World Congress Center, Atlanta) offers numerous resources, such as Innovation Stage presentations and networking opportunities, to aid in this transition. These gatherings allow industry leaders to share best practices, explore new technologies, and form partnerships that can help them navigate the complexities of data management.

  The three-day event comes on the heels of a successful PACK EXPO International, the largest packaging and processing trade show this year. PMMI forecasts a convergence of 7,000 attendees to Atlanta from consumer-packaged goods and life sciences companies based in the Southeast to witness innovation in action, learn about the latest industry trends and topics, and network for brand and professional growth. PACK EXPO Southeast will feature 400 exhibitors displaying the latest solutions and technologies for 40+ vertical markets over 100,000 net square feet of exhibit space, making it a perfectly sized show where attendees can explore many solutions yet have a personalized experience and meaningful interactions to address their specific needs.

  As the packaging and processing industries continue to evolve, the role of data lakes will become increasingly central. By addressing the challenges of data management, harnessing the power of AI, and fostering industry-wide collaboration, companies can unlock the full potential of their data to drive innovation and efficiency. The insights from PMMI’s report and the resources provided at PACK EXPO Southeast are invaluable tools in this ongoing journey, helping businesses stay afloat in the vast data lake and thrive in these turbulent digital waters.

  Dive into the innovation epicenter and discover answers to your packaging and processing challenges at PACK EXPO Southeast. Taking place in one of the U.S.’s most vibrant manufacturing hubs comes the new PACK EXPO Southeast (March 10-12, 2025; Georgia World Congress Center, Atlanta). Discover the future of packaging and processing at the most comprehensive show in the region offering crossover solutions for any of today’s biggest manufacturing needs to 40+ vertical markets. Brands will find the Atlanta location, a manufacturing hub of the region, convenient and easy to access for teams to attend, assess the latest technologies, learn from leading industry experts, and make valuable connections to meet current or upcoming projects. For more information and to register, visit packexposoutheast.com.

Employee Training:  It Starts with the Interview

Cyndi
photo showing employee receiving training behind the bar

By: Earl E. Sullivan

In the hospitality industry employees come and go.  If you are lucky, you will have them for several years.  Employees staying in the hospitality sector can often bounce from place to place making training more difficult as well as more important.  With new employees their training is your opportunity to break any bad habits from previous employers and set the standard at the very start of your new relationship.  How your employees treat your customers, their team mates and the business will be a direct reflection on the business and corelate directly to profits.  With that, employee training starts at the interview. 

  First, are you on time?  It sets the expectations that they should be on time.  If you do not set the standard, how will they know the true measure of your expectations.  Are you prepared?  If you are not, why would they try to be prepared in the future?  Are you professionally dressed?  I fully understand that sometimes you have a new hire come in to interview after you just finished with some hard work and you are a little on the purple side.  Take them in the back and show them where you were working and why your attire is relevant to the job you are doing and important for the role that they are seeking. 

  Next, all the same questions apply to the candidate.  Are they on time?  There are reasons why people can be late.  New location that is unfamiliar, traffic or general lack of attention to detail.  For us, late is a red flag.  It indicates that the person did not think through the details of the job interview beforehand and that you are just another job and not a sought-out destination to work.  Are they prepared?  Again, is this just a job or are they passionate about wine or your brand or the industry?  Have they looked at the website?  Do they know what type of beverage you produce?  Do they know some of the common events you do or traits of your business, like being pet friendly?  Did they visit your space prior to the interview to see how your business operates.

   With social media and websites, it is not unreasonable to expect that a candidate would come in knowing something about your business.  It is hard to find the right person but putting the wrong person into the culture with both your existing staff and your customers is worse than being shorthanded.  Someone should want to know where they are interviewing, come prepared and be able to see if it is as much a fit for them as for you.  Unprepared equals not invited back at our facility.  Finally, are they dressed appropriate for your brand.

   Every brand has a style – some are casual, some are edgy, some are old-school.  Trying to fit someone into your brand that does not naturally fit will be a long-term problem for both your team and your customers.  They do not have to have on the trendiest clothes in the business or the most expensive shoes.  However, if you are an edgy brand and they show up in khakis and a button down, you might want to ask some additional questions.

  When you are first looking at candidates, you will get a sense of how well versed they are in customer service and in the trade. But you will also be setting the standards that your company will have if you conduct the interview with the same attention to detail that you provide your customers during service.  In addition, how you treat the prospective employees as well as your main staff will determine how they treat the customers.  They learn by seeing and experiencing the way the current team works.   If you or your team do not smile, do not greet guests, or do not take an interest – why should they? 

  In our business, once we pass the interview stage we put the prospective employee into a trial shift.  This allows them to see the pace of the workplace, engage with the team and see what type of clientele we have.  Many a candidate have not made it past the trial shift because of lack of empathy, unwillingness, or inability to pitch in, (even if they are new) or just a general attitude that does not mesh with the team.  You never want to throw a curveball at your team with personalities unless they are looking for something to add to their current group dynamic.  It is an easy, safe, and cost-effective way to see if this person is going to be a good fit for your team.

  The next step in how you conduct your training is what you type of benefits you provide to the new staff member.  Remember, it takes time and money to train someone.  You want them to stay with you for as long as they can, and to do that they need the prospect for a living wage. 

   Food insecurity and housing insecurity are the two biggest issues facing employees in the hospitality sector.  When they walk into your tasting room or bar and see that it is not busy, they instantly wonder if they will be able to pay rent or buy food.  If they do this enough, they will either need to leave to find more secure wages or get a second or third job.  When an employee has multiple jobs, by nature, they will be split on their loyalties and focus.  Lack of passion for what you are doing or not attending to the details of service lead to compounding problems with the guests. 

  Not everyone can afford full time or salaried employees but what can you do as an owner or manager to make sure that when things are slow the employee has an opportunity to earn or when things are busy, they can bank a little extra money to tide them over during the lean times?   In our facility, our employees have full benefits which come with additional responsibilities.  Not every facility is the same but the cost of training employees and the cost of losing customers from poorly trained employees is real across the board.

Moral of the Story

  The right employee can make or break you.   It is your responsibility to set the tone from the beginning.   Invest time in bringing people on so that you add the right dynamic and personality to your team and your brand.  You can train wine; you cannot train attitude.  And it all starts with you at the interview.  So, take it seriously and use the time wisely.

Contact the author at earl@telayawine.com

Piney River Brewing Company:  Craft Beer That’s About Place

Cyndi
photo showing barn and outdoor patio of Piney River Brewing Company, Missouri Ozarks

By: Gerald Dlubala, Staff Writer

Sometimes, sitting around a bonfire enjoying a craft brew can be the best thinktank in the world. Such was the case for Joleen and Brian Durham, founders and owners of Piney River Brewing Company, an award-winning, family-owned brewery in the Missouri Ozarks. While enjoying a bottle of Ommegang’s Three Philosophers, an idea sparked that gave birth to Piney River Brewing Company, humbly nestled in the Missouri Ozarks. The Durhams began beef cattle farming in 1998. Thoughts turned introspective when they wanted to invest in themselves, their land and their property to bring additional value to their rural community.

From Craft Beer Lovers to Award-Winning Craft Beer Brewers

  “We were homebrewers, and we loved and homebrewed craft beer,” said Joleen. “As far back as the early 2000s, whenever we would travel, we always looked for local beer options to sample and maybe have with a meal. Craft beer wasn’t as big then. There weren’t nearly the number of taprooms associated with craft brewing, but given the opportunity, we visited those as well, and I think doing that kind of sparked us to do it. We always believed that craft beer is about place, and at the time, we knew we lived in a unique place. The Ozarks are a place people recognize as a vacation destination full of nature, so we thought we should make a craft beer that carries the Ozarks as a theme and reflects those qualities.”

  Piney River Brewing Company offers beers with names like Missouri Mule, Old Tom Porter, Black Walnut, Float Trip Ale, Bronzeback Pale Ale, Low Water Bridge and more. Their beers are brewed using limestone-filtered well water from a natural spring on their property. In 2010, a deeper well was dug on their property to tap into their natural water supply more efficiently.

  “We make no changes to our natural water profile at all,” said Joleen. “We have a very large aquifer in the area. We have to test our water regularly, and the tests on the water profiles from our wells and the natural springs on our property yield the same results, so that’s pretty cool. We’re pulling water out of our limestone-filtered spring, which plays a key role in our brewing.”

 “Our Black Walnut Beer is our most popular and has become synonymous with our brewery,” she said. “It’s an American-style, dark wheat beer made with the meat of locally sourced black walnuts. It was one of our earliest beers because we looked for an ingredient that the Ozarks is known for, and black walnut is that flavor of the Ozarks. It can remind you of your grandma’s cookies, a black walnut ice cream or just eating them while growing up. The Ozarks grow the most walnuts in the country; we’re proud of that. We don’t use the hull, only the black walnut nut meat in our brewing. The way we utilize them in our brewing process removes the natural tannins in the nuts and, instead, creates a subtle fruitiness. You get this very nice aroma of black walnut when you pour a glass, and then you get a black walnut finish, but it’s not sharp or abrasive in any way. Brian chose to use a wheat beer to highlight the flavor, and the dark wheat is a play on the black walnut name. It has a smooth, light drinkability with a lot of body and flavor that has turned out to be a gateway beer for those who thought or said they don’t like or wouldn’t drink dark beers.”

  Joleen said their original plan was to make great craft beer for distribution that reminds people of good times spent in nature. As the majority of their beer is still canned for distribution purposes, the evolution of Piney River Brewing Company has resulted in a very vibrant, on-site brewery and taproom.

  The 1940s-era barn was meticulously cleaned and decluttered to become the “BARn,” which opened in 2011 and was home to the first official brewery for Piney River Brewing Company. It featured a 10-gallon Sabco Brew Magic Brewhouse to brew the Durhams’ original homebrew recipes for public consumption. When demand quickly outpaced production, and Piney River got its first distributor, the Durhams purchased a used seven-barrel brewhouse and other equipment, including a two-head canning unit for 16-ounce cans.

Piney River Brewing Company became the first microbrewery in Missouri to can their beer on-site at the brewery. The accolades and demand continued, and by 2014, thoughts of expansion were again on the table. Ground was broken for a larger barn in December 2014, and with a $1.3 million investment in a new 15-barrel brewhouse and eight-head canning line, Piney River Brewing’s roots were firmly set.

  The original “BARn” is a booming taproom that welcomes guests every weekend. The brewery regularly draws customers from up to a 90-mile radius. They also welcome those passing through the Ozark region, including people from all over the world who come to their farm to enjoy their property and craft beer. They continue to grow as a destination craft brewery by offering new beer releases and popular live music to also draw craft beer lovers like themselves to their brewery.

All in the Family: Accolades, Awards and Andy’s Root Beer

  Brian and Joleen’s son Andy was in elementary school when the Durhams started putting in the long hours and effort to get Piney River Brewing up and running, whether brewing, canning or running the taproom on weekends. Joleen said that Andy was always nearby, reading a book or visiting with customers at their picnic tables. He wanted to be involved somehow, so his parents let him pick out the root beer syrup of his choice to keg, and they named it Andy’s Root Beer.

  “It wasn’t long before he wanted to scale up,” said Joleen. “He noticed we were canning everything except his root beer. He was probably all of 12 years old at this time. We sent him to a kids’ business camp, and wouldn’t you know it, he won the junior division’s business pitch contest, pitching his root beer canning idea. Andy’s Root Beer has now taken on a life of its own. It has won a couple of awards through the U.S. Open Beer Championship, and it is also sold in the taproom. Some folks like to have a shot of Andy’s Root Beer with their pint of Old Tom Porter. We started canning his root beer after he won the awards, and now you can find it around the area in cans and on draught. Andy gets the proceeds after expenses, which helped him buy everything from band equipment to a car, and now provides him with money to spend while he’s in college.”

  Speaking of awards, there are no shortages when it comes to Piney River Brewing Company and recognition. Just recently, Piney River Brewing Company’s Old Tom Porter took home the bronze medal during this year’s Great American Beer Festival competition, with 1869 entrants representing all 50 states plus Washington, D.C. and Puerto Rico. There are too many prior awards to mention individually, including gold, silver and bronze medals for nearly all of their brews over the years. Additionally, Piney River Brewing Company was named Best Microbrewery, People’s or Editor’s Choice four times over the last 10 years in the U.S. Open Beer Championships and has received accolades from the World Beer Cup, Great American Beer Festival, The Best of Craft Beer Awards and from Rural Missouri Magazine.

Enjoy Your Brewery Experience, and Stay a Bit If You’d Like

  “Well, we are full-time beef cattle farmers, so you’ll pass through a couple of cattle guards along the two-mile gravel road on the way here,” said Joleen. “But then, you’ll see this brewery in the middle of nowhere. The taproom is open on the weekends, with live music. Handmade pizzas and pretzels are available, and outside food can also be brought in to enjoy while visiting.”

  Piney River Brewing Company sits on the Durhams’ original 80-acre farm. When a nearby property became available, they took the opportunity to buy that and enhance the Piney River experience.

  “Back in 2020, our area was hit with a devastating hailstorm right about the same time as COVID hit,” said Joleen. “Prior to that, in 2019, a farm on our same road came up for sale, and the family contacted us to see if we were interested. It contained an old, severely neglected house that got absolutely shredded from the baseball-sized hailstones, taking out windows and everything.”

  “We ended up utilizing our staff, who weren’t doing anything due to COVID, to gut the house and turn it into an extension of the Piney River experience,” she said. “Now, it’s a little weekend getaway that we call our Bed and Brewery. It’s on the same road as the brewery, also in the middle of nowhere. The Bed and Brewery is a really cool extension of our brewery for those who like to come in on Friday and stay through Sunday. Along with a brewery tour, they get a place to stay with a huge front porch, fire pit and a fully stocked beer fridge to make it the ultimate escape. It’s all those things about enjoying nature, watching the stars and just getting away from it all without seeing any cars, light pollution or other people for the most part. It is a very unique and enjoyable property for those who want to extend their stay and visit surrounding areas for tourism.”

Challenging Times Call for Renewed Focus of Core Goals

  “As others can tell you, it’s challenging times for many craft breweries,” said Joleen. “For us, that means that we must continue to focus on brewing the best craft beer here in the Ozarks and remain consistent with our distribution throughout Missouri and Arkansas. We want to be known for what we do and do well right here because the freshest beer is the beer brewed closest to home.”

  “We continue to work with our distributors to ensure that what we put out there is the absolute best representation of what we do and of our location,” she said. “We want to continue providing an enjoyable and fun experience for guests of all ages, whether regulars or first-time visitors. Believe it or not, there are still people out there who have never had or been exposed to craft beer, so we want to be that gateway into the craft beer experience for those people. It seems weird to say in this day and age, but it’s really true that there are still areas of the country where craft beer isn’t the norm. We want to make craft beer a great experience for those people while providing a place that is welcome for everyone, including pets.”

  Joleen continued, “We also want to provide an example of a thriving small business located on a farm in the Ozarks. Many believe those conditions to be considerable odds, but we’re proud to be a successful family farm business. The brewery is important to us, but it’s also something we do alongside raising beef cattle and being good stewards for our land.”

  Piney River Brewing is located in Bucyrus, Missouri, in the Missouri Ozarks. Call or check out their website for more information, to plan a visit, or to book a stay at their Bed and Brewery.

Piney River Brewing Company

15194 Walnut Grove

Bucyrus, MO 65444

417-967-4001

After the Storm: The Beverage Businesses Guide to Financial Recovery and Disaster Loans

Cyndi
photo showing aftermath of disaster and debris

By: Neeraj (Raj) Tulshan – Founder of Loan Mantra

In late September, 2024, Hurricane Helene ripped through the Southeast U.S. with what President Biden called “history-making” effects. With a rising death toll and billions of dollars in damages, the impact on families and communities is devastating. With a federal major disaster declaration for counties in Florida, the Carolinas, Tennessee and parts of Georgia some financial relief was provided. Unfortunately, small businesses face significant challenges after a natural or unexpected disaster like Hurricane Helene. While the impact may vary based on location, industry and disaster level, there are a few key steps that beverage businesses can do to lessen the economic impacts of natural disaster and acquire disaster loans.

Tips for Beverage Businesses to Recover from Disaster:

Physical Damage to Property and Assets

Impact: Buildings, inventory, and equipment can be damaged or destroyed by high winds, floods, and debris associated with natural disaster. Likewise, businesses can often face delays or denials in their insurance claims, which delays cost repair or stretches the timeline for repairs.

Recovery Tip: Assess the damage quickly and file insurance claims for your small business immediately. Sometimes it can be difficult to remain levelheaded after disaster, but remember to take many photographs, keep records of the damage, and work with reputable contractors to get estimates for repairs or replacements.

Revenue Loss from Forced Closures

Impact: Forced closures during and after a disaster can result in a significant loss of revenue, especially for beverage businesses that rely on daily sales cycles like bars/pubs, brewers, distributors and service-based companies. Transportation and logistics networks may be disrupted, making it difficult for businesses to receive supplies. And in dire cases of emergency, customers may leave the area temporarily or permanently, reducing demand for services.

Recovery Tip: Apply for SBA disaster loans or local assistance programs to cover lost income and operational costs while your business is closed. Consider moving some operations online or offering limited services to keep cash flow going and to maintain your sense of the customer base during unexpected times.

Supply Chain Disruptions

Impact: Weather disaster can disrupt the transportation of goods and supplies, causing delays or shortages.

Recovery Tip: Diversify suppliers if you feel you are relying on a single source for one good or product. Establish backup agreements with alternative vendors and explore local suppliers who may have the ability to provide more in the circumstances.

Power and Utility Outages

Impact: Power outages can disrupt business operations, including online orders, point-of-sale systems, and production.

Recovery Tip: Invest in backup power solutions, such as generators, to keep critical operations running during outages. Also, cloud-based services can allow for remote access to accounts, files and programs as needed.

Workforce Disruption

Impact: Employees may be physically unable to report to work due to displacement from their homes or several transportation challenges. Most small businesses see an uptick of employee absenteeism during times of disaster.

Recovery Tip: Create an emergency communication plan to stay in touch with employees. As is possible, offer flexibility, including remote work options, or temporary paid leave to keep your workforce intact and loyal.

Decreased Consumer Spending

Impact: Your customer base may be financially impacted by the disaster, leading to reduced demand for your products or services.

Recovery Tip: Adapt your marketing strategy to target new or existing customers online. Consider offering discounts or flexible payment options for loyal customers during the recovery phase.

Increased Operating Costs for Recovery

Impact: Repairing damage, replacing equipment and restocking inventory can significantly increase operational costs after a hurricane.

Recovery Tip: Seek financial assistance, such as SBA disaster loans, FEMA grants, or state and local programs. These can help cover recovery expenses without straining your cash reserves.

Reputational Damage

Impact: If your business is unable to fulfill orders or provide services, customers may turn to competitors, damaging your brand.

Recovery Tip: Communicate with your customers about the status of your business. Be transparent about delays or issues and provide regular updates to maintain trust and customer loyalty. Remember, it’s best to be genuine when communicating about challenges. Recognize that many of your customers may be dealing with similar negative effects.

Emotional and Financial Strain

Impact: The emotional toll of dealing with the aftermath of a disaster, combined with financial uncertainty, can be overwhelming for business owners.

Recovery Tip: Beverage business owners may have invested personal savings into their business, and the destruction or disruption caused by natural disaster could be devastating for their personal finances. In any instance, beverage owners should seek support from local business networks, recovery organizations and mental health resources.

Difficulty in Accessing Aid and Resources

Impact: While disaster loans and grants are available, the application process can take time, and many businesses may face immediate cash flow problems while awaiting assistance. Likewise, it can be daunting to navigate the complex paperwork required for disaster loans, insurance claims or government aid.

Recovery Tip: Reach out to a trusted financial advisor to help you sort through complex paperwork or claims. Financial experts, such as Loan Mantra, can help you determine the best economic recovery strategies and help you find assistance. Similarly, many nonprofits or other professionals are available to help small businesses get disaster loans and aid.

What Kind of Federal Assistance or Disaster Loans are Available?

  After a natural disaster like Hurricane Helene, small businesses can access various disaster loans through the U.S. Small Business Administration (SBA). The SBA offers disaster assistance in the form of low-interest loans designed to help businesses repair or replace real estate, inventory, equipment, and other assets damaged or destroyed. Businesses of all sizes, private nonprofits, and homeowners or renters (depending on the loan type) may apply.

  Applications are typically available through the SBA website or local disaster recovery centers. Businesses will need to provide financial statements, tax returns, and other documents to prove damage and financial loss.

Here are the primary types of disaster loans available:

SBA Disaster Loans for Physical Damage

Business Physical Disaster Loan: Available to businesses of all sizes to repair or replace real estate, equipment, inventory, and other business assets damaged during a disaster.

Loan Terms: Up to $2 million with terms as long as 30 years, depending on your ability to repay. Interest rates for businesses without credit elsewhere are low (around 4%) and slightly higher for businesses with credit elsewhere.

SBA Economic Injury Disaster Loans (EIDL)

Economic Injury Disaster Loan (EIDL): This loan provides small businesses with working capital to meet necessary financial obligations that they could have met if the disaster had not occurred. It’s designed to help businesses recover from the economic impact of a disaster, such as revenue loss.

Loan Terms: Up to $2 million at interest rates around 4% or lower for businesses without credit elsewhere, with a term of up to 30 years. These loans are only for essential needs, such as payroll, rent, or operating expenses.

SBA Military Reservist Loan Program

Military Reservist Economic Injury Disaster Loan (MREIDL): For small businesses whose employees are essential to the operations of the business but are called to active duty. It helps the business meet operating costs until the employee returns.

State and Local Loan Programs:

State and Local Relief Programs: Some state and local governments offer disaster relief programs, which may include low-interest loans, grants, or temporary tax relief.

Private Loans and Grants:

Non-SBA Lenders: Some banks and credit unions may offer special disaster recovery loans for businesses, often at low or no interest. Additionally, businesses can look for grants from nonprofit organizations or industry-specific programs.

Federal Assistance through FEMA:

FEMA Grants and Assistance: While FEMA generally helps homeowners and individuals more than businesses, it can aid some small businesses, particularly agricultural enterprises or non-profits, as well as provide information on SBA disaster loans.

Next Steps:

  The worst time to get documents in order needed for financial assistance is after a disaster happens. By then, important paperwork, vital records and electronic files may be destroyed or in-accessible. Uploading these files to a safe place can ease the process and put you first in line for assistance. Companies like Loan Mantra offer free accounts to house financial documents that are needed to apply for grants and loans in a secure digital format.

  Hurricanes like Helene, or any other natural disaster, can hit beverage businesses hard, but with the right recovery strategies, you can minimize the damage. By securing financial assistance, communicating with employees and customers and preparing for future disasters, your beverage business can better weather the storm.

  Raj Tulshan is the founder and managing member of Loan Mantra, a one-stop FinTech business portal that democratizes the loan process by providing corporate sized services and access to entrepreneurs, small and medium sized businesses. Connect with Raj and Team Loan Mantra at 1.855. 700.BLUE (2583) or info@loanmantra.com.

Bio-Tech Flavor Market is Expected to a Colossal US$ 69.03 Billion Fueled with 7.2% CAGR By 2034 | Fact.MR Research

Cyndi

Rockville Pike, Nov. 12, 2024 (GLOBE NEWSWIRE) —

According to a newly published research report by Fact.MR, a market research and competitive intelligence provider, the global bio-tech flavor market is analyzed to reach a size of US$ 34.44 billion in 2024 and is further forecasted to expand at a noteworthy CAGR of 7.2% over the next ten years. The continuous developments in biotechnology, particularly in the fields of fermentation, microbial engineering, enzymes, and other technologies, are revolutionizing the manufacturing of natural flavors.

  These techniques are essential because they enable the efficient and regulated synthesis of taste molecules from enzymes and microorganisms, producing bio-tech flavors of superior quality. Moreover, these approaches require less money than resource-intensive conventional extraction methods. Because of these ongoing advancements, leading food and beverage producers are embracing bio-tech tastes on a large scale. Bio-tech flavor makers are also increasing their manufacturing capacity and focusing on supplying them at budget-friendly pricing by scaling up these biotechnological processes.

Request a Sample of this Report for Additional Market Insights

Bio-Tech Flavors Growth in Market Valuation Over Years

  North America’s strong demand for natural and clean-label products is contributing to the market growth in the region. Because the region is home to biotechnology enterprises, the market is growing at a noteworthy rate. Owing to the rising demand for flavored foods and beverages, the East Asian market is estimated to provide several lucrative opportunities in the coming years.

Key Takeaways from Bio-Tech Flavor Market Study: 

  The worldwide market for bio-tech flavors is forecasted to reach a size of US$ 69.03 billion by 2034-end. The North American region is estimated to lead with a 23.9% portion of the global market in 2024.

  The market in East Asia is approximated to reach a valuation of US$ 15.95 billion by the end of 2034. The application of bio-tech flavors in beverages is evaluated to increase at 7.2% CAGR through 2034.

  Demand for bio-tech flavors in South Korea is projected to rise at 8% CAGR from 2024 to 2034. By flavor type, the microbial produced flavor segment is analyzed to generate revenue worth US$ 19.05 billion by 2034.

  “Prominent bio-tech flavor companies are investing in R&D activities to generate new and advanced microbial flavors that enhance product offerings and meet evolving customer expectations for distinctive flavors and health benefits,” says a Fact.MR analyst.

  Some of the leading providers of bio-tech flavor market are Givaudan S.A; International Flavors & Fragrances Inc.; Firmenich SA; Symrise AG; Takasago International Corporation; Sensient Technologies Corporation; Kerry Group; Frutarom Industries Ltd.; BASF SE; Bell Flavors and Fragrances Inc.; Fab Flavour; Janiel Biotech; Garden Flavours Co. Pvt. Ltd.

Bio-Tech Flavor Industry News & Trends:

  The biotech company Cultimate Foods, based in Berlin’s Biocube and Hannover (Institut für Technische Chemie, Leibniz Universität Hannover), successfully concluded its €2.3 million seed investment in April 2024. The business intends to expand its operations, business alliances, and manufacturing procedures.

  In 2024, BASF Aroma Ingredients launches a new natural product under the Isobionics brand into the taste market. Isobionics Natural beta-Caryophyllene 80, a new product in the Isobionics brand, exemplifies the company’s commitment to developing natural tastes that are impacted by consumer desire.

How Much Demand Is There in the US for Bio-Tech Flavors?

  With reputable biotechnology companies and academic institutions establishing the benchmark for the development of biotech tastes, the US is renowned for its technical innovation. These advancements are improving fermentation and microbial engineering techniques, enabling the production of high-quality, efficient natural flavors.

Get a Custom Analysis for Targeted Research Solutions

  By increasing the scalability and cost-effectiveness of bio-tech flavor manufacturing, advancements are encouraging food and beverage industries to use bio-tech tastes as an alternative to synthetic or traditional natural flavors. By ensuring consistent flavor quality and reducing manufacturing costs, this technological breakthrough is also contributing to a rise in industry adoption in the United States.

 Several Beverage Companies Widely Utilizing Bio-ech Flavors Over Synthetic Ones:

  A high number of beverage producers are switching from artificial flavors to biotech alternatives derived from plants. The growing demand for natural solutions by consumers is the cause of this shift. Beyond their actual flavor characteristics, bio-tech tastes meet consumer desire for clean-label products free of artificial ingredients.

Bio-Tech Flavors Market Trends and Insights

  Biotechnology is enabling the production of unique and complex taste compounds that enhance beverages’ sensory characteristics and appeal to a wider range of customers. The need for bio-tech flavors is also driven by the growing popularity of functional beverages, which frequently include bio-active ingredients for health advantages.

More Valuable Insights on Offer:

  Fact.MR, in its new offering, presents an unbiased analysis of the bio-tech flavor market, presenting historical demand data (2019 to 2023) and forecast statistics for 2024 to 2034.

  The study divulges essential insights into the market based on form (powder, liquid, paste), flavor type (vanilla & vanillin, fruity, microbial produced, essential oils), and application (food, beverages, nutraceuticals), across seven major regions of the world (North America, Western Europe, Eastern Europe, East Asia, Latin America, South Asia & Pacific, and MEA).

Discover Additional Market Insight from Fact.MR Research:

  Flavor enhancers market is estimated to be valued at US$ 3.66 billion in 2023. The global demand is set to reach a market value of US$ 6.08 billion by 2033.

Food ingredient market size is estimated to reach $35.15 Bn in 2024 and is projected to grow at a CAGR of 4.9% to end up at US$ 56.79 billion by 2034

Natural flavor carrier market is projected to grow at a steady CAGR rate during 2018-2028. Clean Label products augur the growth of natural flavor carriers.

Gamma-decalactone market is expected to grow steadily during the forecast period. The market is projected to exhibit faster expansion in North America.

Natural and organic flavor market is projected to be valued at US$ 9.99 Bn in 2024 and is projected to rise at 5.7% CAGR to ascend to $17.39 Bn by 2034

About Us:

  Fact.MR is a distinguished market research company renowned for its comprehensive market reports and invaluable business insights. As a prominent player in business intelligence, we deliver deep analysis, uncovering market trends, growth paths, and competitive landscapes. Renowned for its commitment to accuracy and reliability, we empower businesses with crucial data and strategic recommendations, facilitating informed decision-making and enhancing market positioning. With its unwavering dedication to providing reliable market intelligence, FACT.MR continues to assist companies in navigating dynamic market challenges with confidence and achieving long-term success. With a global presence and a team of experienced analysts, FACT.MR ensures its clients receive actionable insights to capitalize on emerging opportunities and stay ahead in the competitive landscape.

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Putting Your Tasting Room to Work

Cyndi
Bar and tap handles at Basecamp Brewing Company, a popular craft brewery in Portland Oregon.
PORTLAND, OR – OCTOBER 24, 2015: Bar and tap handles at Basecamp Brewing Company, a popular craft brewery in Portland Oregon.

By: Mark Colburn

Don’t underestimate the importance of the bar/beer tender as the initial brand ambassador which is a critical piece to your marketing and sales plan, it is highly recommended that these front-line employees be consistently trained and evaluated. I suggest providing sales training for this team including probing (for customer wants/needs), food pairing and a sales incentive based on volume.

  To provide Off Premise Point of Purchase consumer recall, I also suggest a retail package display be situated in a high traffic area within the tasting room for immediate visual recognition (and take-home sales!).

Exploiting the Tasting Room

  Several of my clients complain that their tasting/tap room sales and traffic are down or flat. As a result, they often try promoting with trivia or bingo nights in an attempt to generate patronage. These may help somewhat. An alternative to this, that I like, are car shows at the tap or tasting room, brewery, distillery, or winery. There are thousands of “Gear Heads” who have muscle cars and love to bring them to car events. By conducting a local car show featuring muscle cars and adding a band or music, you now have an event or platform to promote that will attract potential customers to your venue. Do not discount the Gear Heads and car club members either. They know dozens, if not, hundreds of people like them who love quality beverages. I always take care of participants with six packs and/or sufficient samples to thank them and ambassadorize them. You might consider allowing them to have their monthly club meeting at your venue on a slow day during the week. Their cars in your parking lot will attract incremental “traffic.” Let us look at some ideas I have successfully executed that significantly built sales in multiple channels.

  While conducting a territory business review with a regional Walgreens director, I asked him if he thought the store and district managers would like to go on a “field trip” to a few craft beer tasting rooms and breweries to learn about the industry. He jumped at the idea, so I contacted three craft brewers – Pyramid (then in Berkeley, CA), 21st Amendment and Anchor Brewing. I knew their senior management teams and asked if they would pool their resources to rent a bus to take this group to their breweries and brew pubs. They were 100% in. So, I invited a full district’s store managers and three regional district managers. They all arrived on time in San Francisco where we took off to the 21st Amendment brew pub. While at 21A they met the owners and sampled a variety of their beers. We then set off to Pyramid where they got a full tour of the brewery and then sat down in the conference room for a presentation I made on the craft beer and cider industry. I fielded many questions from the group before breaking for lunch at the brewery.

  There they got to meet the middle and senior sales management team from Pyramid. After lunch we headed back to the City to Anchor Brewing where they received a warm welcome, a historic tour, and a sampling of Anchor’s finest. The tour ended with a group photo high atop the brewery from Fritz Maytag’s private penthouse. This was truly a treat for the group as this is never open to the public. From the large penthouse cocktails were served from Anchor’s newest spirits division. Afterwards we returned to one of the main stores for off-loading.

  The above concept served a variety of uses from educating and “ambassadorizing” critical individuals within the Off Premise channel to building key relationships with “players” who really make a difference. The tap room was the centerpiece for this effort. The results were excellent. All three brands received additional SKU placements throughout the large Northern California division while Anchor Brewing was able to negotiate a major pallet, 12-pack program resulting in thousands of cases in incremental revenue. Now, let us look at something less expensive.

Sales Ambassadors

  As you most likely know, your distributor teams meet once a week for a sales meeting. I have run over eight hundred of these meetings in my career and can tell you that many can be downright “dry.” My suggestion to our suppliers was to use their tap room or brewery for a future sales meeting venue. This way, your team will have your coveted On and Off Premise salespeople as a captive audience, ripe for “brand ambassadorization.” Once you procure a date for a future meeting, PREPARE for this opportunity. Preparation and REHEARSAL are imperative for this rare chance to positively influence your audience. On preparation, I would have your best presenter give a detailed summary (10-12 minutes maximum) on your company’s marketing story. I caution against making this “dry” and am always in favor of what I call, “Fun-kifization.” This is a “Markism” that simply means to make the effort fun and creative. After your presentation I would introduce the sales incentive appearing in the next month’s plan (this needs to be pre-negotiated with the distributor sales management) and be certain they understand it and the expectations. I also recommend a first week “jump start” bonus that will get your incentive out of first gear and ahead of the multiple suppliers all vying for this sales team’s attention. The meeting should end with the announcement that each salesperson in attendance will receive a free six or four pack or bottle for them to sample at home at their leisure.

Speaking of Incentives

  After your wholesaler sales team has sampled your nectars and experienced your “brand DNA” you are in a perfect position to further ambassadorize them a few months down the road with a unique incentive. I have written many supplier sales incentives that follow up on the tap room/brewer/winery/cidery/distillery experience. To further exploit the tap/tasting room I recommend creating a month-long sales incentive around distribution and/or volume increases for the winning sales division and their manager to be treated to a VIP session in your tap/tasting room. This VIP experience includes an intimate Q&A meet and greet with either the owner, brewer, distiller, vintner (or all of you!) and the winning division (typically divided into 4-5 salespeople and one division manager). The “pay out” includes a free dinner for each winner and assorted samplings of your nectars poured by one of your most senior sales team or owners. Recognize the unique opportunity this presents for your brand and future sales. A side benefit of this incentive is the “talk value” it has with the entire sales team as the winners will “brag” about their experience (at work) which keeps your brand top of mind post incentive while teasing the losers who will want to win and experience the next one. You will also benefit from word of mouth as the winning salespeople talk up your brand in their accounts. These people are influencers and are often asked where to go for a good drink. You can track this effort by training your bar staff to ask how a customer heard about your brand when they visit. The bar staff can record this and share in your weekly staff meetings.

Key Take Away

  Always remember that people buy AND SELL for people and BRANDS that they like.

beer label logo

Upscale Looks Sell Beverages

Cyndi

Everyone enjoys treating themselves to a premium product

Although inflation appears to be waning, prices at the checkout are still making most shoppers grimace. As a result, many consumers continue to seek bargains. However, they don’t want to feel deprived, so they also look for ways to indulge themselves and decide to purchase quality over quantity.

That’s one reason premiumization is an enduring trend, particularly for craft beverages. A premium image is supported by either or both the package and the label. Craft brewers and producers of craft spirits rely on numerous strategies to evoke a premium image, according to the Craft Beer and Spirits: Success Through Packaging report, published by PMMI, The Association for Packaging and Processing Technologies. Options include:

  • Label aesthetics (high-gloss, vibrant colors, metallization, holographics, peel-back labels)
  • Can shape (tall, squat, shaped)
  • Smart, interactive technology [radio frequency identification (RFID), near-field communication (NFC), Quick Response (QR) Code, augmented reality (AR)]
  • Novel shapes (flexible packaging where rigid is common or vice versa)
  • Premium bundling (e.g., gift boxes with accessories like glassware)
  • Dual-chamber bottles (especially for ready-to-drink cocktails)
  • Personalization.

Labels deliver a premium presence via visual, tactile, and/or smart features, which communicate a feeling of luxury and exclusivity. Visual tools include high-gloss finishes; metallic flourishes with ink and foil; glitter, spot, and holographic effects; laser cutting; die-cutting; and clean lines with sharp colors, which deliver shelf impact. Many of these visual features now can be delivered economically via shrink sleeves or digital printing/embellishment and open the door to inventorying bright stock rather than large quantities of pre-printed cans and labels. Digital foil embellishment continues to evolve, efficiently reproducing smaller lines and finer text, supporting variable printing, and improving economics.

Tactile features create a unique, pleasing, or unexpected sensory experience for consumers. The appeal can be so strong that the consumer can’t resist picking up the product and touching it, making it much more likely to go into the shopping cart. Tactile options include a texture to enhance a graphic element, touches of leather or other unique materials, etching, and embossing.

Smart features deliver functionality to facilitate a premium experience, build brand identity, and differentiate the product from its competition. According to the report, interactive features such as RFID, NFC, QR Codes, and augmented reality (AR), link the consumer directly to relevant, engaging content designed to enhance a luxury experience. AR-enabled packaging can deliver immersive experiences, such as virtual product demonstrations or interactive games. This interactivity builds brand loyalty.

QR codes can be scanned by the latest smartphones without downloading a third-party app. A scan of the code sends the user to a website, typically a custom landing page, which displays specific product information like the origin of the recipe or ingredients or special promotional offers. The scan also can provide an easy way to offer feedback about the product. For the processor, wholesaler, or retailer, a QR code can help enhance transparency and consumer engagement, support geolocation and tracking, discourage counterfeiting, and provide analytics to monitor and project sales.

Looking beyond the label, the package itself can project a premium image. This may be accomplished by choosing a novel format, e.g., a paper bottle or a flexible package for a product that is typically sold in a rigid container. Other tactics include differentiation via functional features like easy-open/reclose or innovative dispensing capabilities, launching specialty releases celebrating a season or commemorating an anniversary or other occasion, and presenting limited-edition products, collector’s packs, or gift packs, which may include complementary items such as related products, accessories like glassware, and/or certificates of authenticity.

These specialty releases often rely on upscale secondary packaging such as premium cartons with clear windows, handles, or elaborate embellishments utilizing technologies like metallizing or embossing. In some cases, secondary packaging may transition to non-standard options like wooden boxes, fabric pouches, or metal tubes/tins. Personalization also may play a role. This can include names, greetings, or codes etched in a glass bottle, embossed effects on glass, plastic, or metal containers, and variable printing on labels, pouches, cans, or cartons.

However, despite the audience appeal, an upscale packaging format can be challenging to execute efficiently especially if volumes are lower and special handling is required. In that situation, it may make sense to hire a third-party packager to handle tasks that are incompatible with in-house equipment. Premium embellishments also can carry a premium price tag, which may preclude their use. However, newer technologies can add embellishments more economically. For example, presses equipped with cold foil modules can minimize the cost of adding a metallized effect.

Another hurdle to premiumization is sustainability. An upscale image can’t come at the expense of sustainability. When indulging in a premium beverage purchase, consumers still look for eco-friendly attributes like recyclability, recycled content, renewable sources, lower reliance on plastic, reusability/refillability, compostability, and progress toward environmental, social, and governance goals such as a reduced carbon footprint. Whatever the choice, the packaging should provide clear instructions for disposal when it is empty. Third-party certification of environmental claims also should be considered to reassure consumers and prevent accusations of greenwashing.

Fortunately, premium embellishments do not necessarily harm sustainability. To enhance recyclability, it’s possible to specify shrink sleeve labels that are recyclable with the container or are easily separated in the recycling process. Metallized film and paperboard are compatible with recycled content. Many metallized substrates also are completely recyclable with non-metallized counterparts and have third-party certification to verify the claim.

Beverage makers will find the latest innovations in premium labeling and packaging at PACK EXPO International (Nov. 3–6, 2024; McCormick Place, Chicago). Making its PACK EXPO International debut, Sustainability Central (located in West Hall, Booth W-21020) will take an expansive look into packaging sustainability and what it means to brands, including expert speakers, and a look at actionable, sustainable solutions in manufacturing, materials, recovery, logistics, analytics, and design. Attendees will hear from industry experts on a range of packaging sustainability topics and learn how to make their brands more sustainable.

Another new show feature, Emerging Brands Central (Booth W-20049), offers the information needed to project an upscale image via an educational stage offering 30-minute presentations on product development, packaging innovation, and scaling strategies.

Other educational sessions will be offered on the Innovation Stage (Booth N-4560, N-4580, and N-4585), the Processing Innovation Stage (Booth LU-7147), the Industry Speaks (Booth N-4565), and the Reusable Packaging Learning Center (Lakeside Upper Level in the Reusable Packaging Pavilion). With more than 150 educational sessions on the show floor, PACK EXPO International is a hub for education and thought leadership where industry experts share timely knowledge on the latest topics and trends in packaging and processing.

The most expansive and all-encompassing packaging and processing industry event in 2024, PACK EXPO International, will feature 2,500 exhibitors offering solutions to many of today’s biggest manufacturing needs from an intersection of industries to 40-plus vertical markets. More than 45,000 attendees from consumer packaged goods and life sciences companies worldwide will converge, searching for innovation, connection, and insight. For more details and to register, go to packexpointernational.com.

How Breweries and Distilleries Can Effectively Manage Wastewater 

Cyndi
equipment mashing

By: Alyssa L. Ochs

Efficiently managing wastewater helps breweries and distilleries reduce operational costs and promote environmental sustainability. The management process may involve reducing water usage by fixing leaks, using high-efficiency equipment and optimizing cleaning processes. It may also involve monitoring the quality of wastewater to identify issues early on and understanding what’s in the wastewater to adjust treatment methods accordingly.

  Breweries and distilleries can handle wastewater using various treatment options. To get a better sense of the options available, we connected with companies working in this industry and producers who have found wastewater treatment systems that work well for them.

Where Wastewater Comes From

  Craft beverage producers use a lot of water in their processes, and much of that water becomes wastewater. Wastewater production comes from various cleaning tasks, including washing bottles, kegs, utensils and building surfaces.

Wastewater comes from wort production because making wort requires water as an ingredient to standardize the alcohol content. Washing and sterilizing vessels, refrigeration and container applications also produce wastewater in a beverage production facility.

Wastewater Treatment Options

  One treatment option for wastewater is ultrafiltration, which uses a membrane filtration process to remove microorganisms and particles from water. Some facilities use filtration to pretreat water before reverse osmosis.

  Reverse osmosis is a purification process that removes tiny molecules in water and is typically more effective than other methods. However, it can potentially cause bacteria contamination, and the production rate can be slow.

  Ultrafiltration is a treatment option to remove bacteria, viruses and other microorganisms from water. However, it is not powerful enough to remove dissolved solids, metals or chemicals.

  It is also possible to use a bioreactor in the wastewater treatment process that supports a biologically active environment where bacteria and protozoa can grow. This type of chamber can be aerobic to remove organic matter and oxidize ammonia to nitrate or anaerobic, which just removes organic matter. An anoxic bioreactor removes nitrogen from nitrates to nitrogen gas.

What’s Working, What’s Available

  Tyler Glaze is the COO of Shorts Brewing in Elk Rapids, Michigan and told Beverage Master Magazine that his brewery uses an aerobic membrane bioreactor (MBR) to treat wastewater. Shorts Brewing is a mom-and-pop operation, yet one of the largest craft breweries in the state. It prioritizes natural resource protection, outdoor recreation, equity and other community development initiatives.

  Glaze said that his brewery does not use wastewater in the brewing process because there isn’t a cost-benefit to doing so at the moment.

Yet he said that historically, Shorts’ most significant wastewater challenge was the volume of biochemical oxygen demand (BOD), phosphorus and total suspended solids (TSS). This is because Shorts’ aerobic MBR system and side-streaming efforts in the brewhouse and the cellar control BOD, phosphorous and TSS exceptionally well.

  “Our BOD to drain is reduced from around 700 to 1,000 pounds of BOD per day to less than one pound of BOD per day to the municipality,” he said. “We have similar reductions in the volume of TSS and phosphorous as well.”

  However, he said the brewery’s biggest challenge currently is the volume of solids separated from the wastewater treatment plant.  “Our aerobic treatment system creates solids as a byproduct of treatment,” Glaze said. “Reducing the volume of the solids through separation and drying would be our next step to reduce the costs of hauling the solids.”

We also connected with Copper Bottom Craft Distillery in Holly Hill, Florida, to discuss wastewater. Copper Bottom is a small-batch distillery that produces handcrafted, award-winning spirits from raw sugar cane without artificial colors, flavors or sugars added. It offers tours, a tasting room and a membership-based Rum Club.

  Jenni Craig, Copper Bottom’s CMO, told Beverage Master, “We don’t use anything to treat wastewater. We treat our product and production water through a reverse osmosis unit. We use this RO water to proof our spirits.” Craig also shared, “We use 25 percent of our stillage from the previous run into the next cook.” To date, Copper Bottom has not encountered any significant challenges with its wastewater.

  One company working in this space is Cambrian Innovation, based in Watertown, Massachusetts. Cambrian’s mission is to make distributed water reuse simple, sustainable and cost-effective. It helps businesses across various sectors (including beer, spirits and wine) transform their wastewater into a valuable resource while generating clean energy and clean water with industry-leading solutions. This leader in sustainable resource management specializes in transforming environmental liabilities into assets while helping businesses save money through efficient processes and environmentally responsible practices.

  Matt Silver, CEO of Cambrian, told Beverage Master that his very first customers were in the craft beer industry. He is currently working on projects with numerous craft beverage customers today. Cambrian’s Water-Energy Purchase Agreement (WEPA) allows beverage manufacturers to recycle high-strength wastewater as a service.

“Cambrian’s core focus is helping customers recover clean water, clean energy and even carbon dioxide from their waste streams,” Silver said. “Our goal is to eliminate the challenge of managing these waste streams and the cost associated with that, as well as the cost of using those commodities and utilities. It’s really a win-win.”

Silver explained, “We have a range of proprietary technologies and solutions that we install onsite that take polluted water and generate drinking-quality water and biogas that can be used for heat and electricity. What that does is cut the customers’ waste generation, reduces their carbon footprint and decreases their overall water use.”

Silver said craft beverage producers interested in improving their wastewater management should reach out to Cambrian to have a phone conversation or visit their website. From that point, Cambrian will ask for details about the customer’s facility, evaluate the opportunity, provide an estimate and present a term sheet to sign before developing a final design. Cambrian’s services are best geared toward medium- to large-size breweries that produce more than 30,000 barrels per year.

Another company you should familiarize yourself with when you’re developing a wastewater solution is American Hose & Supply. This company is a leading hydraulic and industrial hose supplier that ships to all U.S. states and internationally.

  Based in Tulsa, Oklahoma, American Hose & Supply serves many different industries, including breweries. Its product line includes various sizes and types of hydraulic hoses and rugged hoses for industrial applications. It can custom-build hoses at any length for your needs and according to your desired pressure rating and end-fitting specifications. You can also contact American Hose & Supply for pressure washers, gauges, tubing, valves, clamps, barbs, fittings and couplers to handle wastewater.

Choosing Your Wastewater Solution

  Silver from Cambrian Innovation emphasized the need for beverage makers to continuously consider their wastewater management goals throughout the process of researching options.

“Are they looking for compliance, or are they looking to reduce the volume of water they use?” Silver asked. “That will dictate the quality of the water they need. Also, think about whether they want to own and operate their own system or pay for performance on a per-gallon basis while they focus on their business.”

  Glaze from Shorts Brewing urges craft beverage producers to remember that you cannot control what you don’t measure. If you don’t work hard to get an accurate understanding of your waste stream, you won’t be able to design an appropriate system to handle it. He recommends doing your research or hiring a team to help you determine the best approach to handling your waste stream.

“There is no one-size-fits-all solution to brewery waste management because every municipality has different constraints,” Glaze said. “You might be surprised what you are able to send to a municipal waste system and what you are not.”

  He also explained that there is a quick and easy way to determine if your local municipal wastewater treatment system is functioning well or needs improvement.

  “Typically, if a system is working well, you won’t ever hear from your wastewater treatment facility, especially as you are starting up a brewery,” Glaze said. “If the municipal wastewater treatment system isn’t able to effectively handle waste, they will start surveying industrial users like breweries and food producers.”

  He recommends using the EPA’s Water Pollutant Loading Tool to locate your local system and look up the detailed facility report for that local treatment system.

  “If you notice a trend that shows they are seeing increased loading or violations in the quarters where you are producing the most beer, then you should definitely start the process of planning improvements to your waste stream,” said Glaze. “It’s best to be proactive and avoid this approach, but most people won’t act until they are required to. Use this information to explain to stakeholders at your business that the issue might require more urgency.”

  Finally, Glaze advises producers to work with their municipalities to develop solutions.  “The people who work at the waste plants are incredibly knowledgeable and typically have experience with all kinds of different wastewater systems,” said Glaze. “They have big brains and most of the time would love to chat about their job with you over a beer. You can learn a ton from them, and they can help guide you toward solutions to reduce the most impactful constituents in your waste stream.”