The thread of a brewery privately contacting a customer got me thinking about this. I was going to post a poll but decided against it. The thought of putting down a 150.00 deposit on a keg to me is nuts. I know kegs cost a lot - the corny kegs I use for my homebrew are well over 100 bucks new. I am curious how others feel about this. In my case, I put down a 35.00 deposit on 1/6 kegs at my local Total Wine and More in the Orlando area. Since I continually rotate a 1/6 it's no big deal to me. Additionally, I have every intention of returning the keg even if I don't get another right at that moment. My current selection is CCB Jai Alai. The keg is actually from an outfit called Kegcrafters (I guess kind of like Microstar). So what is a reasonable deposit?
For me, $0. My local breweries all run the card but don't charge anything unless you go more than three months. Even then, all you have to do is let them know it'll be a bit longer.
i don't really buy commercial kegs, but it makes sense to me that the deposit should be enough to cover the cost of the keg in case it isn't returned. - so whatever an empty keg costs should be about right. afterall, isn't that the point of the deposit?
A deposit is intended to cover the cost of replacing an item, in the event it is not returned. $150 is the replacement cost of the keg, but the actual cost is much higher when you consider lost revenue due to missed sales. You can't fill a keg you no longer have in your possession. That being said, the industry standard is much lower than $150.
I'd say for me, a 1/6 I would be willing to do $30-$50. Full size keg probably $50-$75. I don't get kegs either but I understand the need for a deposit. Smaller brewers will probably charge more and again, I get that. It's not as if I won't get it back.
$35 would be the max I would pay. I like the idea of running a card and upfront letting the consumer know what will be charged to the card ($150 or whatever) if not returned by a reasonable date. I don't believe a deposit needs to equal the cost of the actual keg, just needs to be enough for people to want to return them. When you put a deposit on a car or anything else you buy it is never the whole cost, just a fraction of the cost. (not sure if this is a good example but just a thought)
Real quick look around the internet gave me prices from $100 to $150 for new, empty kegs, even when bought by the pallet. This article was also helpful: http://usatoday30.usatoday.com/money/economy/2008-08-24-keg-theft_N.htm And stated this: "Just a few years ago about 3% to 4% of brewer Sierra Nevada's kegs disappeared because of theft or other loss. Last year, the losses doubled, founder Ken Grossman says. The Chico, Calif.-based brewer owns approximately 180,000 kegs, and each costs $150 to replace." So I'm guessing that the bigger distributors are charging $30-40 to cover their built-in cost from the brewers, but the micros need to protect against having to buy new kegs? It looks like it's not as simple as just covering the "recycle" value of the metal. Obviously, the bigger your float, the more protected you are from variability and if you're a larger distributor, you've got a decent back and forth with the brewery and can negotiate an invoice price lower than the cost.
In this town the deposits from retail stores are about equally split between $30 and $40 for deposit. One brewery used to charge $150, but I don't know if they still do because they have a deal where you bring your own keg on Wednesday and come back for it Friday afternoon filled, a deal I took advantage of since I bought two nice used stainless corny kegs a few years ago. Since I have been buying kegs for years, two of the breweries in town know I always bring back their keg to them within two weeks so they stopped charging me the deposit at all, not a normal courtesy they do for everyone but I appreciate the gesture.
This is a super good point too. Charging full price deposits MIGHT PROTECT you better, but consumer perception can be a tough sell. It's SHOULD WE vs SHOULD WE.
Well, in theory, if a used keg is worth, say $100, and you only have to put a $30 deposit on it, then one can "buy" it for 30 and sell it for 100 and make a good profit on it. Not that there's a liquid black market for doing so, but still.
True. I guess running a card upfront but not charging it until a reasonable date for the full price of the keg would be the best option here. And if you forget to get it back there in time and they do charge you, if you bring it back you can get refunded (maybe with a small fee?) This would protect the brewery and at the same time not be putting people out any $.
No, it's not. It's intended to give the customer an incentive to return it. That would be theft. We have laws against that. Not to mention that that would, in reality, make you an a$$hole I count a few of the local retailers and brewers among my friends. I can't remember the last time I paid a keg deposit.
