Should breweries offer seasonal releases only?

Discussion in 'Beer Talk' started by AlcahueteJ, Dec 13, 2014.

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  1. AlcahueteJ

    AlcahueteJ Grand Pooh-Bah (3,242) Dec 4, 2004 Massachusetts
    Society Pooh-Bah

    Would it benefit craft breweries to offer most/all beers as seasonal releases?

    With the issue of "too many" options on the shelves, and in turn, this causing freshness issues, would breweries be better served offering most beers as seasonals? I started thinking about beers like Celebration Ale, and how this beer would sell if it offered year round as opposed to just the fall/winter. Or Bourbon County and the hysteria surrounding it every time it is released.

    Personally, I'm more likely to purchase a beer if I can only buy it during a select period of the year. Not only does it give me a sense of urgency, I also know the beer is fresh. While I adore a beer like Troegs Sunshine Pils, I'm not sure I'd pick it up year round as often as I do in the spring. I definitely drink my fair share of Oktoberfests in the fall, but if they were on the shelf all year, I would not scramble to purchase them in large quantities.

    Many breweries already do this with many of their best offerings, like Founders with Breakfast Stout. Thoughts?
     
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  2. drtth

    drtth Initiate (0) Nov 25, 2007 Pennsylvania
    In Memoriam

    Not too keen on the idea as there are some beers I like having around to consume year round. Shelf life is not an issue around here since I only buy dated beer and always know how fresh it is before I buy it. Also there are enough alternatives that if my first choice isn't to be found fresh, usually my next choice is available fresh. And usually the difference between first and second choice is a matter of mood rather than quality.

    That said, I do appreciate being able to buy seasonals and have that type of variety to pick from. Indeed, in some years what I'm drinking most is seasonals and it often differs from year to year because there is so much to choose from.

    Edit: To address the brewery part of your question, from talking with brewers, etc. I don't have the sense that it would be a viable business model to try and do only seasonals as they believe they have many customers who have brand loyalty to a particular beer and they'd lose those folks (e.g., Victory's Hop Devil is year round and one of their best sellers.)
     
    #2 drtth, Dec 13, 2014
    Last edited: Dec 13, 2014
  3. hoptualBrew

    hoptualBrew Initiate (0) May 29, 2011 Florida

    It's not a dumb idea by any means, I would just think from an economical standpoint it may not work for the business. Those year round, flagship beers usually bring in most of the revenue and have the highest profit margins. This and brand recognition. For new breweries it doesn't make sense to not have year rounds while they try and establish their brand. Those are just a few obvious concerns I would have, playing devils advocate.
     
  4. markdrinksbeer

    markdrinksbeer Initiate (0) Nov 14, 2013 Massachusetts

    As long as there is a happy medium with seasonals and year round releases, I will be happy.
     
  5. Andrew041180

    Andrew041180 Initiate (0) Mar 15, 2013 Massachusetts

    I just deleted a couple lines because I was going to delineate how I disagreed with you. Nothing that I wrote actually convinced me that you were wrong. So yes, I would like to see most beers become seasonal. Although breweries should maintain year-round production on their high runners, I do wonder what the result of increased seasonality would be on the market as a whole. I can't see flagship beers (SNPA, SABL, 60 Minute, etc) becoming seasonal.
     
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  6. rronin

    rronin Initiate (0) Jul 4, 2005 Washington

    I suspect seasonal and limited releases are a big revenue stream and most breweries would not want to rock the boat.
     
  7. qchic

    qchic Maven (1,303) Jul 6, 2004 Maryland

    I think a lot of us here would be happy to drink beers seasonally, as we know what's what when we go to a bar or the store. For the newer craft beer drinker, that could be more overwhelming. Didn't we all start out on some ubiquitous flagship beers that are still available everyday?

    There are plenty of breweries who have a hard enough time keeping up with demand, even with year round beers. Because of quality, not just marketing.
     
  8. TMoney2591

    TMoney2591 Grand High Pooh-Bah (6,139) Apr 21, 2009 Illinois
    Pooh-Bah

    With stores' philosophies nowadays (to wit: huge selection over any amount of sense), something tells me there'd still be plenty of old seasonals on the shelf in such a world (at least in larger markets), thus not changing much of anything.
     
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  9. qchic

    qchic Maven (1,303) Jul 6, 2004 Maryland

    Can you imagine all the questions at the store? "Where's this beer?" "When's this coming out?" "I got x beer last month..."

    While not feasible, I do think it's an interesting idea to think about.
     
  10. Immortale25

    Immortale25 Grand Pooh-Bah (3,775) May 13, 2011 North Carolina
    Pooh-Bah Trader

    Here in NC, Mystery Brewing is already doing this exact thing. They offer a set of four different beers quarterly and don't brew anything year-round. I see two big things wrong with this: First, if someone really likes one of the beers but, after a few months of drinking it steadily, they then can't get any more until next year, it causes them to lose their faith in the brand. I'm not talking about us beer freaks who understand the nature of seasonal releases but rather the average drinker. You tell them they can't have their new favorite beer until next year and they get irritated. Yeah the next quarter might offer some cool beers too "BUT WHAT ABOUT MY FAVORITE?!" Flagships exist for a reason: to provide constantly available solid offerings to the brewery's clientele so they can grow their fanbase. Having only limited offerings just excludes the casual drinkers. Second problem: There are already enough "(insert seasonal beer) was so much better last year" threads. Making all releases seasonal will make the amount quadruple. It's not wise to make it so that every single beer you produce is only tasted one season a year because then people will scrutinize each one without realizing their palates are changing and not the beers, thus excluding more casual drinkers.
     
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  11. SCW

    SCW Initiate (0) Jul 25, 2004 New York

    very interesting idea, and certainly in-line with what the consumer wants these days (seasonals are the #1 SKU behind IPAs)

    that being said, its almost impossible for a brewery to run a stable business model this way. Breweries need to have some core items that bring in a consistent amount of cash flow in order to cover their fixed costs. The seasonals add an extra dynamic to the business model, but in no way can it supplant or replace having some year round beers.
     
  12. AlcahueteJ

    AlcahueteJ Grand Pooh-Bah (3,242) Dec 4, 2004 Massachusetts
    Society Pooh-Bah

    Thanks for your input since you're in the industry. I phrased my OP carefully to say most/all because I realize it may not be realistic for a brewery to have ALL seasonal beers. I was thinking more along the lines of breweries having more seasonal offerings in conjunction with their flagships (and therefore, less flagships). For example, would a brewery be better served selling their hefeweizen only during summer months as opposed to year round (Apollo in your case, and maybe Kellerweis for Sierra Nevada which they've had trouble selling it in recent history). Sam Adams Summer Ale is one of their hottest seasonals, I imagine they're better off keeping in the summer months rather than making it a year round six pack.

    To further use Sam Adams as an example, I wonder if their Noble Pils has sold less since it moved to year round a few years ago. I know initially as a spring release it did so well they moved it to a year round offering.
     
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  13. JackHorzempa

    JackHorzempa Grand Pooh-Bah (3,375) Dec 15, 2005 Pennsylvania
    Society Pooh-Bah

    IMO, Shane (@Sixpoint) has the proper view here: "Breweries need to have some core items that bring in a consistent amount of cash flow in order to cover their fixed costs."

    It sounds like Mystery Brewing is running an interesting experiment; I suppose we will have to follow them to see what shakes out. It would not surprise me to see Mystery Brewing make a change to their business model sometime downstream and start introducing a few year round beers to their product portfolio.

    Cheers!
     
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  14. SCW

    SCW Initiate (0) Jul 25, 2004 New York

    Pipeworks out of Chicago is another example. They have built a business model out of never brewing the same beer twice. Everything is always new...

    Is this sustainable? Well, you have to give these innovators credit for taking a risk. But I can tell you that if I had dozens of employees and staff members who created a livelihood out of working at a brewery (that goes to the people washing kegs to the sales reps to the operations to the admin staff to the managers and executives - everyone) who was dependent upon stable cash flows to pay salaries, benefits, and fund their retirements - there is no way that I would want to base that upon the whims of the public's acceptance of the latest, greatest beer release.

    At some point in time you realize that customers are not buying your beer because they like it, they are buying it simply because its the shiny new toy. In other words, they are buying the novelty, not the liquid itself.
     
  15. JackHorzempa

    JackHorzempa Grand Pooh-Bah (3,375) Dec 15, 2005 Pennsylvania
    Society Pooh-Bah

    “At some point in time you realize that customers are not buying your beer because they like it, they are buying it simply because it’s the shiny new toy. In other words, they are buying the novelty, not the liquid itself.”

    Shane, does the above apply to Sixpoint? It seems to me that folks purchase your core beers like Crisp, Bengali, Sweet Action, and Resin because they do indeed enjoy the ‘liquid’ of those beers.

    Cheers!
     
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  16. SCW

    SCW Initiate (0) Jul 25, 2004 New York

    Hi Jack,

    I think I might not have been clear enough. What I meant to say is IF you run a business model that is predicated upon selling a new beer every time, then your customers are not purchasing your beers because they like the liquid (because they have never tasted it). Instead, they are purchasing the novelty (meaning they want to purchase it because they never tried it before).

    This is exactly the opposite of a repeat customer who always buys the same beers over and over again because the love the liquid, love the brand, and don't mind drinking the same beer from the same brewery.

    It gives the brewery a more stable outlook on its business prospects, instead of always trying to sell the shiny new toy.

    As far as how this relates to Sixpoint, the majority of our sales are our core beers like Crisp, Sweet Action, Resin, Bengali. The Cycliquids are a growing part of our business but they are not the main driver of our brewery. That being said, we have a great time brewing them and we appreciate our fans' interest in them. We look forward to releasing a KILLER Cycliquids calendar in 2015!

    cheers
     
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  17. MostlyNorwegian

    MostlyNorwegian Pooh-Bah (2,236) Feb 5, 2013 Illinois
    Pooh-Bah

    That just doesn't sound very economically feasible for exactly what Sixpoint lays out as the very real and also expensive costs of keeping a brewery operational, nor does it sound like something that in terms of staffing needs and their actual wants for employability and to have a life; sustainable.
    It sounds more like a hobby project and one that would require some seriously deep pockets and just skip the willingness to lose a lot of money and go straight to wanting to lose a LOT of money before it becomes profitable.
     
  18. ExtraStout

    ExtraStout Savant (1,075) Feb 1, 2005 Massachusetts

    For right now, flagship brews are needed especially by the restaurants trying to attract those with craft beer taste buds. Often their taps are monopolized by crap that the big breweries make them carry and if the business wants to try some craft brews they are sold product that the big breweries say is “craft” and market as craft, but it doesn’t even compare. Customers need to know that they can count on some solid selections EVERY TIME they go there to eat and sometimes be pleasantly surprised by a seasonal or two. Of course, this argument gets much weaker if every restaurant had a website and updated their offerings every morning but it just won’t happen.
     
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  19. cjgiant

    cjgiant Grand High Pooh-Bah (6,584) Jul 13, 2013 District of Columbia
    Society Pooh-Bah

    While I understand and agree with everything you said, I think there is a bit more to the shiny new toy analogy, and to attempt to extend it, a brewery does have to produce *quality* shiny toys, because I think most (here at least) won't continue buying a brewery's one offs if they are no good, no matter how new or shiny. Which I believe plays into the sustainability part of the argument. I think a smaller brewery could pull it off, but that's about it.
     
  20. mnredsoxfan69

    mnredsoxfan69 Initiate (0) Dec 27, 2013 Minnesota

    I'd much prefer to be able to get CW BRBBS and BBBWA year round.
     
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