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5 best tips for growing your brewery business

 May 3, 2021     UFG Insurance    Business  Read Time: 6 min


Maybe you’ve just been dreaming about it, or maybe you’ve taken the leap and started your own brewery business. Odds are you have the passion and dedication it takes to succeed in the competitive world of craft brewing, but it also takes a lot of business and operational know-how to create a truly sustainable brand.

Here are five of our best tips for growing your fledgling brewery business into a craft success.

1. Learn the brewery business inside and out

Knowing your market and what customers want is crucial for any business, but it’s especially important in the beverage manufacturing industry, where trends and tastes evolve rapidly.

Think about the following: 

  • If you are still thinking about starting a brewery, what will the typical build-out cost? (Around $250,000, Entrepreneur reports.)
  • If you have a location and equipment, what should you brew? (Probably at least an IPA and a pale ale, according to Untappd.)
  • What’s the process for securing suppliers, attracting customers or packing your beverages for distribution?

For those new to the brewing industry, a comprehensive training program in the business of craft brewing might be in order before going further. Those with more experience need to stay up on the latest sales and customer insights, whether through your own marketing research or trade publications. The learning never stops as an entrepreneur! 

2. Refine your concept

Knowing your market on a deeper level will help you find where your brewery business fits in the competitive landscape. What will you be known for? Perhaps your brewery will:

  • Specialize in a certain kind of beer.
  • Sell in stores or only on premises.
  • Offer a family-friendly atmosphere in your taproom.
  • Also serve great food.

Find your niche and go all in, from your logo and packaging to your merchandise. Growing your business means growing your brand and attracting loyal customers.

3. Build your team

A lot of brewers get their start at home, tinkering with recipes and developing their concept in their spare time. But, when it comes to the brewing business, it takes a village to build a successful brand. From ingredient and food suppliers to distributors, your business is only as good as the relationships you build.

Make it your mission to know your partners on a deeper level and explore the possibility of unique partnerships or consolidating services to save money.

4. Make safety a key

Sure, it’s a cliché, but it’s also true: An ounce of prevention really is worth a pound of cure. Practicing good risk management within your operations, can help you avoid big expenses and lost time. This is especially important in the brewing industry, where the competition is tough and the margins tight. If you want to be around for the long haul, you need to make sure you’re avoiding issues that will take your eyes off management and growth.

If you’re looking for advice, UFG's risk consultants can help identify the biggest risks facing your business and offer expertise for reducing them. 

5.Get the right brewery insurance

Reducing the risks you can see is the first step in protecting your investment, but it’s not the only one. For protection against the risks you can’t see, you need robust brewery insurance coverage tailored specifically to your industry.

Some insurers may try to repurpose restaurant or general business policies, but special endorsement products like those from UFG can help ensure your brewery is covered for the full range of industry-specific hazards, including tank collapses, product spoilage and grain issues.

When you’re ready to start your journey in the world of brewing, reach out to a UFG agent — they’ll help make sure you’re covered so you can raise a glass to growth ahead.
 
The information provided is for informational purposes only. Every attempt is made to ensure that the information is accurate; however, it is not intended to replace professional advice. For more information, see Disclaimers & Other Legal Documents.

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