Jack's Abbey Cascadian Schwarzbier

Getting shelf space is a big concern, from what I recall reading, as is appealing to beer-geek-ADD.

I think an opportunity lies to exploit the seasonal mixed-6 or mixed-12 opportunity. It allows brewers to get 3-4 beers on the shelf under one sku, appeals to beer-geek ADD, and does so at a reasonable price. I'm sure it creates almost as many problems as it solves (e.g., how to make enough of each beer simultaneously to package together), but it seems to make sense in my head.

I'm happy to play along with the story that brewers need bomber prices to survive. But that illusion is blown when the per-oz cost of bombers approaches the on-premises per-oz cost (Allagash 750s, I'm looking at you). When that happens, I feel taken advantage of (or I feel like I'm cheating the bar, depending on the POV). It feels like buying a tank of gas for $3/gal and then seeing it for $2.50/gal a few block down the road. This situation demonstrates to me that bomber formats and prices exist primarily because people will pay them (and bars won't), not because of some challenging business model. Small, "local" brewers should be creative in trying to find ways to sell their beer at appealing prices--brewery-direct sales, case or subscription discounts, and brewery-only beers are a few ways they could offer discounts to consumers without directly competing with their retailers while maintaining margins. Too often we see the opposite happen: brewery-direct prices and selection that pale in comparison to local retailers, which seems like a big middle finger to consumers.

That lengthy tangent out of the way...I'm glad to see JA steer clear of bombers and deliver us 4pks and the occasional competitively priced specialty single (at $3.50). And I'm happy to see JA pop up in more and more bars in the area--the $5 pints of Smoke & Dagger have become a frequent go-to in a land of $7-13oz pours.

 

I'm with you 100%. Keep dreaming.....but I'm with you. More 12 packs in general should be offered.

 

Where do you find Peeper for $5? The cheapest I see it is $6.

 

Local packy with a bit of craft that doesn't bank on craft sales so they keep prices low. It's also $5 in Portland, which was a more fair apples to apples comparison with a Jack's Abby 500ml in their local market. But yes, I agree it's $6 at most places now around Boston.

 

what's the "local packy?"

 

Packy is short for package store around here. http://en.wiktionary.org/wiki/package_store

 

not sure if that was in reply to my question, but to be clearer, i was curious what packy was selling peeper for $5? i always find it strange when ba'ers won't share where they shop.

 

I'm not trying to hide anything, it's just not a store worth traveling to, and anyone in striking distance already goes there. There are probably lots of suburban local packies that sell Peeper for closer to $5, but for the most part it just seems like BA'ers only shop at the craft specific stores. Atlas in Quincy is the place though. By all means, do feel free to go there and give them your business. Trust me though, they're pretty much limited to locals and larger craft releases. Great place to pickup a 4-pack of DFH or a Wachusett Bomber, but not a place to score 'loons or -bal rarities.

 

thanks!

 

I obviously interpreted that comment different than you intended... Im a little slow due to being in a beef brisket/pulled pork food coma.

 

Notch had zero pricing concerns with $11 six packs, because we never had $11 six packs. To suggest otherwise is a lie. Our price to retailers has remained the same since March '11, and our pricing is $8.99 in most stores, and $9.99 in smaller retailers. The "$11" price you speak of was a $10.49 price at one retailer in Allston that felt they could charge a premium because our beer was new. We do not set the price at retail, only the price to our wholesaler.

We started with 22oz bottles for limited release beers, of which right now, we have none available. 22oz bottles are a lousy value to the consumer, but we try to hold our 22's to around $4 to $4.50 at retail, depending on the beer (and again, it is up to the retailer). We have never pulled back from our six pack offerings, and our next beer release is our Saison in six packs for the same pricing as our other two six pack beers.

Why no 12 packs from every new brewery? Margins. As long as the consumer continues to buy 22oz bombers at $7 each, why would breweries do otherwise?

 

Not to mention additional packaging costs for the brewery, both in terms of the boxes themselves and labor to put them together.

 

Ok, the "$11" price was Blanchard's and it wasn't just their Allston location, but whatever. I though it was $10.99 in West Rox when it first came out, which just so happened to be the first time I saw it, so that price stuck in my head. Perhaps it was $10.49, but that was a year ago, and also few six packs get priced at .49 instead of .99 so pardon me for being 50 cents off. And yes, there was plenty of hullabaloo about 4% Pale Ales being sold for $10 6-packs on both BA and offline. So please don't act like nobody has ever criticized the price of Notch beers.

That said, my point was certainly not to bash Notch (in fact, I'm a fan), but rather to wonder why everybody goes the bomber route nowadays and avoids the 12-pack. Of course I understand that margins are higher on a bomber, but that's only part of the equation - volume is the other part. It seems like so many of these new breweries are thriving at the moment on the growing craft bubble of "gotta try the new thing" - how many are really doing fantastic repeat purchase business on their bombers? And ultimately what's better for you - a person purchasing 1 $5 bomber every 3 months where you make $2 on it, or a person purchasing a 12-pack every month where you make $3 on it? Your margin may suck but net-net you're ahead on the 12-pack. This isn't an industry where you'd really be cannibalizing your own bomber sales with a 12-pack, as you're constantly competing against the 500 brands sitting on the shelf next to you.

There's nothing wrong with lower margins if you move more volume, which is where I think a real opportunity lies. We're downright flooded with bombers at the moment, particularly from local breweries. A nice new local craft 12-pack at a $15 price point is certainly going to catch people's eyes.

 

All of this.

 

Again, our most common price is 8.99, so you were off by $2, save for one retail chain. And that one retail chain set in motion the criticism on BA. And instead of pointing the finger at a the retailer, Notch gets called out. And one year later, the perception continues. You could imagine this a bit irritating.

I realize you are a fan, and appreciate it. I listen to all input, but can't satisfy all requests, yet. A big part of 12 pack success is the ability to command a spot on the shelf. Retailers will only highlight 12 packs that have brand awareness to pull that volume through. And making $3 on a $15 twelve pack? Not at my volume, and not for any new brewer's volume. When I brewed at Tremont, it was not until we got to 5,000 bbls that 12 packs made any economic sense. This is why 12 packs come later, both economies of scale and brand awareness are required. However, Notch is getting close, so hang in there. And my margins "suck" on 6 packs, but I sell far more than my 22s, so you clearly get it. But suck margins are better than losing money margins.

22s may be a poor value, but many breweries would not be here otherwise, and local scene would be worse without them. There is a low cost of entry, as all you need is a label and someone to make it for you, or allow you to brew it there. And there are a lot of consumers buying 22s who never touch a six pack, never mind a 12 pack. I had a consumer pleading with me at a tasting this weekend not to put Saison in 6-packs. When I explained how it was a far better value, he didn't care, he only buys 22s. Again, 22s exist, and continue to proliferate, because there is a demand.

 

Trader Joes in Coolidge Corner almost always has Peeper and its always $5. I've purchased countless bottles of it there.

 

TJ's on Memorial Dr in Cambridge has the same deal. It's also a good place to by SN 6pks ($8, I think).

 

Aha, haven't been to either TJs in a while now.

 

That literally makes my head hurt. Don't get me wrong, I do purchase plenty of bombers, but I'll buy the 6-pack instead every time. Or, more often, the 12-pack.

 

Ugh, seriously. Every time one of those bomber threads comes up and people extol their virtues because they don't want to risk "stuck" with a bunch of beer they don't like, I just don't get it. Suppose you can buy a 6pk for 1.75x the price of a bomber ($10.50 6pk, $6 22oz). Does anyone really dislike the beer enough that they wouldn't jump at the opportunity to buy a 4pk of the beer for $4 (or a $2 bomber)?!? Do people go around actively seeking out beers they don't like? I dunno, I just don't get it...