I went to a bottle release last month at a small brewery. I bought 2 bottles for $12. I just read, those same bottles are for sale for under $9 at a retail store. Why would a brewery charge more at their location than what a retail store can sell it for?
I have always heard that the brewery doesnt want to undercut the distro they have in place. Does kind of boogle ones mind tho ..
The brewery shop tries to use the local retail price based on what most local retailers sell the beer for. If one retailer cuts the price to sell the beer without profit or as a "loss leader," they are not going to match that lowest price. Their competition is other breweries and their primary market is selling beer to distributors. Selling beer on the premises is something they do incidentaly to their main buisness. Check out a dozen local retailers of that beer and figure the average price. I'll wager that the brewery price is pretty close to that average price.
That's the explanation I've heard as well, and it makes sense. You don't want to piss off the people that distribute your beer for you. I can't say I've come across any that seriously overprice compared to the shops. I've been to Troegs, Victory, and DFH, and they all seemed to be in line with that I'd expect to pay at a shop.
Because they know people are going to come to the brewery/brewpub anyway which is why a lot of times it sells out there before it does at stores. When I worked at the DFH brewpub, people would assume we had everything there is to offer but many times the particular beer someone was looking for would be out of stock at the brewpub yet there would be plenty for a lower price right down the road at a liquor store. Cigar City does the same thing.
I'd wager that a small brewery or brewpub makes way more money off its on premise sales than on its distribution.
DFH Alehouse is way overpriced IMO (Gaithersburg at least). But then again its a restraunt not a bottle shop and not even ran by DFH. But I was disappointed to find that I can find the same beer selection here in SW FLA that they had available at the Alehouse. I do find that while bottle prices are nearly the same at a brewery, the growler prices usually aren't half bad.
I know for a fact that Jack's Abby sells 4 packs for a buck more at the brewery. Still though, 9.99 for a 4 pack of fresh Hoponius in 16.9oz bottles is ridiculous. Also, Allagash does the same for their 750s
Basically any business charges what the market will bear.The breweries can presumably charge what they do because their experience is that it will sell reasonably easily at that price.
interesting. revolution in Chicago is the opposite. all there brewery releases are about $3-$4 cheaper than what you could get at a mom and pop or giant beer store.
More places should price like FFF. They are one of the few I can think of where you get a better deal at the brewery than in stores. The discount as well when you buy in bulk.
Another small part of it, at least at the breweries that I go to, is sales tax. At the brewery I can buy a 4 pack of their beer for $11.00, and when I check out it is $11.00. I can buy the same 4pk at a store down the street for $9.99-10.49, but I will pay sales tax on top of it, so $10.68-11.22. The difference becomes quite small. I think it is easier for busy brewery tasting rooms to make change in whole dollars so they roll the sales tax into the price? Just a theory
