I love cracking open a beer from the local convenience store, but it doesn’t compare to a draft IPA or lager from my favorite Dallas breweries. Between the breweries and cideries, the DFW area has a well-established beer scene. The Brewers Association noticed the residents’ appreciation for craft beer in a 2019 report, where Texas was ranked 8th in the country for annual craft beer production. Though this momentum in the industry is impressive, it can be quickly stagnated if COVID-19 cases continue to rise in the DFW area. A July 2020 poll by the Texas Craft Brewers Guild highlights these growing concerns, where 2 out of every 3 breweries aren’t confident they can operate through January 2021. This poll was immediately after the Texas Governor Greg Abbott rolled back restrictions for on premise locations, placing breweries in a tough spot to serve draft beers. Can breweries still achieve high beer sales from their customer base during a time where the tap room is locked down? I reached out to Corey Dickinson, the director of marketing operations at Community Beer Company, to discuss what is happening in the beer community.
Hello Corey, what has been the main sales drivers moving forward with on premise alcohol sales still under certain restrictions?
We’ve found ourselves in the fortunate position of having some very loyal and dedicated craft beer drinkers here in Texas. Though on-premise has experienced a bit of a dip, we’ve seen a rise in off-premise packaged beer sales, in particular, our larger format configurations have seen a strong bump (12 and 24 packs)
What are some promotions you have in place to entice customers to drive out if there might be closer beer options?
We do have a state of the art pilot system, which has allowed us to do some small batch releases. These specialty offerings have been a great asset as they keep things “fresh” with Beer To-Go options from the brewery while increasing engagement with our fans. Most importantly, our ability to keep up with demand and maintain a positive, consistent relationship with our retail partners has been paramount during this time.
Has the brewery had any major reorganizing where employees needed to learn new roles during COVID-19?
As a small business we never have a “not my job” mentality. We have an amazing group of passionate people at Community Beer Co. that are always willing to step in wherever and whenever needed. The ability to adapt has been a huge contributor to our successes over the past 7+ years, and the last few months have been no different. Our Packaging, brewing, sales, marketing, and Taproom teams have all taken on new and different roles so that we can continue producing the best possible beer we can to share with our fans, and it’s been an awesome team effort to be a part of!
A report by Beverage Dynamics, a national magazine highlighting off-premise alcohol retailers, states that consumer behavior was noticeably becoming less exploratory during COVID and people were simply opting for a few brands they trusted. Do you see this as a continuing issue post-COVID as restrictions are lifted again?
While we have certainly seen folks gravitate towards their “old faithful” brands and styles, the spirit of exploration within the craft consumer will never die out. At one time, those “trusted” brands you speak of were considered seasonal or experimental and we’ve seen quite a few of our brands continue to grow in popularity, indicating that in time they may develop into a core, year round brand.
Is there any key lessons that the craft brewery business or taproom model will gain from COVID?
Revenue streams that may feel dependable or unending are certainly susceptible to change, but challenges, obstacles, and disruptions always present opportunity. Adaptability and creativity are key to developing unique solutions and finding successes in difficult times.