Toppling Goliath expansion through Brew Hub (FL)

Discussion in 'Midwest' started by Beer4B, Mar 20, 2015.

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  1. BottleCaps80

    BottleCaps80 Initiate (0) Jan 12, 2013 Iowa

    After giving it more thought over the weekend, I'm much more psyched about this now. At first, I was bummed to hear the news thinking it was about money and growing their brewery faster than they really needed to. But now, I am just stoked about the idea of hopefully being able to walk into most any store I want locally and grabbing a 4pk of Sue cans whenever I want (like I can a 4pk of Furious now). Just think if they start using Brew Hub to also brew and can GNug, Light Speed or Zeelander. They could essentially brew and package enough of those beers there, ship them back to the local markets and fill shelves, while leaving the TG facility now to focus on brewing and packaging more of their Hop Patrol beers: Sosus, King Sue, Pompeii, Intergalactic Warrior, etc. etc. and get those beers to market more than once or twice a year. That has me really pumped!
     
  2. Beer4B

    Beer4B Initiate (0) Feb 28, 2014 Florida

    FYI: GNug is next up down here. You can expect pounder cans of Psuedo, Dorothy, and GNug this summer. And if they don't get up their fresh, send me a message when the time comes!
     
  3. BottleCaps80

    BottleCaps80 Initiate (0) Jan 12, 2013 Iowa

    I've heard from a few very reliable sources that TG will NOT have to go through a distributor to sell the Brew Hub brewed/packaged beer back in Iowa. That is very, very good news, as my #1 concern as well was the freshness concerns during shipment and storage. It sounds like they'll be able to self-distribute these as normal and in that regard, should have much more control over the handling of the beer that I initially thought. Good news for all!
     
  4. Iowan

    Iowan Initiate (0) May 26, 2013 Iowa

    No kidding. The complete trifecta of any TG thread.
     
  5. BottleCaps80

    BottleCaps80 Initiate (0) Jan 12, 2013 Iowa

    I can't wait to shotgun the first can of Sue I get my paws on.
     
    IowaPA, HoppyHawk, Iowan and 3 others like this.
  6. Norvelljeff

    Norvelljeff Initiate (0) Jan 7, 2015 Iowa

    I'm planning a trip up to the taproom. Any insider information on a good date (any releases, specials, etc) I'm trying to make the most out of it since i'm coming from Des Moines and would be devastated if I missed something by a couple days just because i cannot decode twitter messages correctly:slight_smile:

    And back to the topic at hand. If I can drink Sue in cans regularly and have it taste similar to the kegged original i would be so on board.
     
  7. jsdavis422

    jsdavis422 Zealot (627) May 15, 2012 Minnesota

    In my industry we are all about measuring "change risk" and I gotta say looking at it from that aspect I am a bit nervous about this. Here's my issue, you just lost your head brewer and you got a new guy trying to learn things, now you are going to try to expand and move production to a different format, different water source and different equipment. That's a recipe for disaster IMO. Maybe it will all turn out ok, but from a change management perspective and protecting your brand this is a terrible idea. my .02.
     
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  8. mrpeterandthepuffers

    mrpeterandthepuffers Pundit (825) Oct 24, 2014 Minnesota

    For special releases not even Mug Club members get a heads up so wait until it's released and if you get there within a day or two you should get your allotment. Even SR71 stuck around for nearly two full days.
     
    Norvelljeff likes this.
  9. MNPikey

    MNPikey Pooh-Bah (1,693) Feb 27, 2011 Minnesota
    Pooh-Bah Trader

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  10. BrettHead

    BrettHead Initiate (0) Sep 18, 2010 Nebraska

    Brew Hub should check their spelling :slight_smile:
     
  11. hezagenius

    hezagenius Initiate (0) Jan 3, 2011 Iowa

    This is all I really care about. If they aren't able to ramp up supply so that I don't have to scour the damn city looking for sue or Nug, then I am going to be pissed. I'd love for it to be available any time but I doubt that will happen right away, if ever.
     
  12. indurTheB

    indurTheB Initiate (0) Oct 29, 2013 Florida

    I really don't think the few extra days will make any difference -- I've never actually taken that Pepsi challenge with Jai Alai, but I doubt I could tell the difference of a few days (now the stuff that sits at the Trop for months and you get a can with an April date on it after the All-Star break... well, now you're getting somewhere).

    The speculation on the water differences I would totally buy into.

    But beyond that, I'm just excited to be able to have access to these great beers. This hobby of ours is by its very nature fairly promiscuous. I'd be curious to see if the same thread cropped up with the reverse of beers/locations (CCB brewed in Iowa).
     
  13. mjryan

    mjryan Pooh-Bah (1,571) Dec 22, 2007 Minnesota
    Pooh-Bah

    Don't buy into the BS water difference argument, it's the stuff of old beer commercials. Treating water isn't very difficult, all it takes is a bit of science, and I'm sure Brew Hub and TG employ people who know how to do science.
     
    BrettHead likes this.
  14. jsdavis422

    jsdavis422 Zealot (627) May 15, 2012 Minnesota

    If it was only water difference ok, if it was only new brewer ok, if it was only new equipment ok... all three together, makes it seem unlikely they won't at least have some issues to work out, and also makes finding the issues tougher (multiple variables). Who knows though, could be they nail it just fine. We will see.
     
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  15. BrettHead

    BrettHead Initiate (0) Sep 18, 2010 Nebraska

    Yep, building a water profile is easy peasy
     
  16. barrybeerdog

    barrybeerdog Pundit (941) Aug 17, 2012 South Dakota

    That's very interesting, thanks for the reply!!
     
  17. Frumious_Bandersnatch

    Frumious_Bandersnatch Initiate (0) Jan 20, 2015 Minnesota

    True. It doesn't seem to make economic sense to ship barley from the Dakotas down to Florida, to brew beer to ship back north to Iowa. But I guess the margins on beer, especially sought after craft beer, are such that shipping costs are a negligible portion of the retail price. Add to that whatever margin BrewHub is getting & TG is probably happy to cede that portion of their margin in order to expand quickly "while the iron is hot" and settle for less profit than Surly gets on a 4 pack of Furious or Abrasive sold in Iowa (even apportioning Surly's sunk cost of servicing their $30 million debt load). Every day that goes by without being able to meet current demand is money left on the table, so getting more product out sooner is a net positive for TG - as long as they don't sacrifice future demand by supplying an inferior product. But with the low cost of borrowing right now, it also seems like a good time to expand - unless the "beer bubble" bursts sometime soon.

    The $6/pint for Pseudo at the BrewHub taproom seems reasonable (if I'm reading the grainy graphic in the linked Florida Beer blurb correctly). Is that in line with price at the Decorah taproom? Any idea what the 4 pack bottles from BrewHub will cost?
     
    Jaycase likes this.
  18. Iowan

    Iowan Initiate (0) May 26, 2013 Iowa

    $4.25 for a pint, I believe. I always use my card, and am mug club, so I don't pay that close of attention, honestly.

    Seems to be "in line" when you figure in the reality that pretty much everything in Florida will be more expensive than it's Decorah counter part.
     
  19. Frumious_Bandersnatch

    Frumious_Bandersnatch Initiate (0) Jan 20, 2015 Minnesota

    I think Steel Toe does the same thing. St. Louis Park's water is equally horrible for brewing.
     
  20. MNAle

    MNAle Initiate (0) Sep 6, 2011 Minnesota

    I think you may be underestimating the costs Surly took on with their expansion. In addition to the interest on the loan, they have increased taxes on their new property (unless they got some kind of favorable tax treatment... ), increased operating expenses associated with the new, larger brewery (utilities and the like), and increased labor costs for staffing the new operations.

    Comparing CGS leaves out much of the picture of the true cost comparison between what Surly did v what TG did.
     
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