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Discussion in 'Beer News & Releases' started by TomCat11, Sep 10, 2019 at 5:27 PM.
The article doesn't say why. So, why?
Wondered the same thing. Guess is it's not being profitable so of course they will close their doors off to the public while still running the brewery operations to help their bottom line and keep a vein on the East coast. Business is business I suppose. Hopefully those who are losing their jobs in the taproom & restaurant will be offered a role on the brewery side if they are qualified.
I wonder what would cause it to not be profitable? It is almost always busy or very busy there. As someone in healthcare, I know it is a popular place for large gatherings in that industry. Just seems weird.
Article recently updated
We (WSLS) reached out to Constellation Brands, which owns Ballast Point, and received this response:
"As seen throughout the beer industry, growth in craft beer is being driven largely by local brands. With that, we are appropriately reallocating Ballast Point investments to drive growth in core local markets.
We thank the local Daleville community, its surrounding neighbors and our taproom employees for their support and dedication over past couple of years. We will continue to make a positive impact to the local economy through the operation of the Daleville brewing facility, which represents a robust hub for Constellation’s future innovation in support of our specialty portfolio."
As the end of the day they can say it's not about the profitability but it's all about making $$ and the best business decisions for their pockets. And it's the end of summer in an area that will see a significant drop people traveling through there once the weather starts to shift. Other than truckers stopping in Daleville on their way down 81 BP probably knows from going through their first Fall/Winter in the building last year that business was probably dead for 6 - 8 months until temperatures warmed up again. if nothing happens to the space between now and next Spring/Summer I wouldn't at all be surprised if they decided to open back up for a few months to get that cash grab from visitors knowing they can make off a tidy profit when weather becomes better.
Interestingly they just opened a location in Chicago ... I wonder if Chicago is a "core local market" or is the Chicago location will also fizzle out shortly.
Those cuts made in CA a few months (year?) ago finally caught up to VA... bummer.
They posted to their FB site, lots of comments rolling in there as well.
I had no idea they had production in VA. Now I'm even more amazed that I can never find fresh Sculpin here in DC.
I am not familiar with Daleville area. Is it a popular summer vacation/destination sort of place? Is this why there are more customers at the tasting room then?
Are there not enough resident craft beer consumers to keep this tasting room profitable throughout the year?
Although their corporate home office is still just north of the Finger Lakes region in NYS - they started as a bulk winery in that area - their beer division (both imported and domestic) seems to run out of their Chicago offices.
Constellation Brands, Inc.
131 S Dearborn St Suite 1200
Chicago, Illinois, 60603
Pretty sure being in Chicago dates back to the "Barton Beer" (one of the two US importers of Corona) era, and then the Crown Imports period when it was a joint venture between Constellation, which bought Barton, and Grupo Modelo.
Interesting, I did not know about the bigger connections with Constellation.
The new Ballast Point location here is quite cool though - its a very nice space: https://www.ballastpoint.com/location/chicago/
That location does indeed look nice!
Have you been there? Is it a favorite for you? Is it popular with other craft beer consumers?
And one more: do they brew unique (Chicago only) beers there?
There's some residential areas in Daleville but I wouldn't necessarily think of it as a hot bed of craft beer drinkers or even an area where people are moving to. There's really not much out that way. Everything is going to be in Roanoke. Depending on the route you take it's 20-30 minutes outside Roanoke literally right off Rt 81. During the spring / summer you probably get Roanokers and those traveling up & down the Shenandoah Valley / SW Va to stop by but in the fall/winter there's no real reason to stop there other than those looking for a quick pit stop at the few gas stations / truck stops, fast food chains and hotels right off that exit.You're definitely not going out of your way to visit Daleville for any reason other than that.
Flying Mouse was the only other local brewery in Daleville but they closed at the end of last year after struggling along for 5 years. I visited them once and their beers were not very good.
I thought this entry on beer marketer's insights from july was noteworthy. -34% in dollar sales in a 12 week period for Ballast Point, reported in late june so I guess the 12 week period had just ended by then? Seems like a particularly bad time of year for a drop in beer sales to occur if that's the case.
I've only been in there once - I don't get to breweries very often especially ones in the city, but I'd love to get back there. Wouldn't say its a favorite of mine, but like I said, I'd happily go back. Given my limited experience I can't speak to its general popularity.
They do brew "experimental" beers at the taproom that are unique to Chicago. They also rotate through some exclusive food offerings for the Chicago taproom.
I've oddly been to both the Daleville and Chicago BP locations. Oddly as I didn't really seek either of them out, they just happened to be close to other places I was going. The Daleville location is much bigger than Chicago if I remember correctly, though the Chicago location felt pretty big for a place in Chicago. Both had pretty solid options for beer that weren't distributed and pretty decent food.
Didnt know they even had such a place......
I am not familiar with the Daleville area, but location and seasonal shifts in tourism to this area are usually core criteria to be considered when building something of this proportion.
Sounds basically like a poor business decision, nothing more nothing less.
As a Chicagoan I can say I've never been to the Chicago location. It's such a saturated market. If it were in a more convenient location for me I would probably have tried it however...
They're not shutting down the brewery, just the restaurant. The brewery is why they came to VA and why they put the brewery where they did (right off of 81). While they wasted money on building out the restaurant, that's probably a blip on what it cost to build out the brewery itself. So, wasted money to be sure, but not exactly a game changer for them.
If you're around the corner at Girl & Goat, Cruz Blanca, or Haymarket, (or anywhere else in the Fulton Market area), its worth stopping by to check out. Otherwise, yeah, not so much. It is pretty convenient though considering there's tons of stuff to drink and eat in Fulton Market and its right on the L. When I visit though I usually stay in the Loop, so that definitely makes it easier to get to.
It's convenient in Fulton Market, but with the amount of renowned and acclaimed restaurants and bars in that neighborhood why would you go to a macro brewery? It's like going to Paris and having McDonalds.
Not going to disagree there. Like I said, its in the area and if you happen to be in the area, it might be worth stopping in for a beer or a flight just to see the place and try the non-distro stuff. I've been once though, don't plan on going back. I'd much rather drink/eat at Haymarket and Cruz Blanca.
A taproom is where you can charge triple. It's odd this was the first to go. I see the whole brewery sold or gone in 1-2 years at this pace.
How can it be "not about the profitability" and "all about making $$"? Profitability and making $$ are the same thing.
I went on my way down to Asheville last October and it was not busy, all be it that was a Thursday afternoon.
A gorgeous space with an amazing view from the glass patio though. Have to wonder if a 3rd party would not want to run a restaurant out of the space.
You can charge triple... for 1% of the volume (or less). Whether the East Coast (and the rest of the country) can support a BP brewery is a completely separate question of whether western Virginia can support a BP taproom.
Also, given traffic conditions in that area, (especially during peak periods) I'm not convinced many folks would take the half-hour or so to go to Daleville from the area around Roanoake for food and a beer. However, from the standpoint of shipping beer....