Sprecher Brewery poised for new growth
New beer garden, expanded distribution, lighter ale all on tap at brewery
By David Niles, of SBT
Sprecher Brewing Co. has developed a corporate events program that is bringing business groups and other parties into the Glendale-based microbrewer’s new indoor beer garden.
Karen Schoenung, a long-time Milwaukee marketing professional, has been hired as Sprecher’s inside events and corporate gifts manager to handle the new business.
"It looks like this will be a real solid business," said Randal Sprecher, who founded the brewery in 1985.
The development of the beer garden, which complements a rathskeller in the brewery, is part of an effort to promote greater awareness of the local brewery and, thus, to foster more sales, Sprecher says.
Approximately 16,000 people toured the brewery last year – people who Sprecher sees as potential salesmen. "We’re trying to turn them into a sales force for us," he said during a recent tour of the upgraded 70,000-square-foot facility at 701 W. Glendale Ave., just south of Hampton Avenue. "It’s a great way to get them to understand the quality and diversity of our product line."
In the meantime, Sprecher Brewery has lined up a beer distributor in California, where it already has strong soda sales. "We always start with soda when we go into a state; now we have a real powerful distributor in California for our beers," Sprecher said.
Sprecher Brewery’s sodas are now sold in 17 states and its beers in eight.
While sales of Sprecher Brewery’s gourmet sodas have been going "gangbusters," as Sprecher puts it, beer sales for the micro-brewery, like those of other brewers, have been flat.
Last year, Sprecher Brewery sold 40,000 barrels of soda, up from 34,000 barrels in 2000. But beer sales have slipped a bit from the 14,000 barrels sold in 2000.
"We’re getting a program ready" to bolster beer sales, Sprecher said.
Part of that plan is the introduction of a lighter beer – but definitely not "light" in the sense of a Miller Lite – called Antler Ale. Sprecher calls his new product a "middle-pallet" brew that is "softer for those whose pallets don’t like as much expressiveness."
The brewery is making a push to have the beer sold extensively on tap in northern Wisconsin this fall during deer-hunting season. And Sprecher Brewery will custom-label the product.
Getting more people into the brewery is another part of the growth plan.
"It’s a unique destination," says Schoenung, a UW-Milwaukee graduate who, with 18 years of marketing experience in Milwaukee, came to the brewery after handling marketing for Uihlein Soccer Park for several years.
She’s using her contacts in the local business community to book events in the beer garden.
The indoor area is decorated in beer-garden style and displays a variety of Wisconsin brewing industry memorabilia. Much more of that memorabilia is on display in the rathskeller – some of it given to the brewery on permanent loan from Sprecher Brewery friends. (The brewery continues to accept such items, Schoenung said.)
The beer garden can seat about 125 people in a variety of set-ups, including set-ups with white-linened tables. Groups of about 250 can be accommodated for events that don’t involve a sit-down dinner, Sprecher said. Outside tents can also be set up for events.
Saz’s Catering is the preferred caterer, but the brewery will work with other caterers to provide food service for events. The brewery has a Class B license to sell its beers and sodas in the beer garden.
Groups that book events at the beer garden are also offered tours of the brewery.
In its first three months of use, the beer garden has booked, among others, a "Pink Slip Party" for unemployed technology sector professionals seeking job connections, hosted by the Shepherd Express newspaper, a Rockwell Automation event, a "Theology on Tap" gathering for young Catholics in the Milwaukee Archdiocese, and a wedding, which will take place in January.
The Pink Slip Party, one of many that have been held in the last two years in the Milwaukee area, gave the brewery another chance to sell its products to a new audience, Schoenung said. Noting the brewery has loyal patrons – some who buy their beer directly from the brewer by the bottle or barrel – she described the current demographics of the Sprecher beer drinker as the 35 and up group.
"The Pink Slip Party was the youngest demographic we’ve ever had in here," Schoenung said. "That’s a great group to reach. We’ve often asked ourselves, ‘How we can better get the 21- to 30-year-old crowd to taste our beers?’"
Among the ideas under consideration are parties for releases of seasonal beers. Those parties could involve live music and displays by local artists.
The brewery is also continuing its commitment to the festival scene, and this year is shuttling patrons from taverns to festivals.
Sprecher said the brewery is also looking to augment its retail area with arts and crafts items made in Wisconsin. "We’re going to be looking at unique things that can be sold on consignment," he said.
The retail area already sells all of the types of Sprecher Brewery’s beers and sodas, a variety of glassware and clothing with brewery emblems and Buddy Squirrel nut packages.
And sitting right in the middle of the retail area is a Harley-Davidson motorcycle, on display in a cross-promotion with the Suburban Motors Harley-Davidson dealership of Thiensville. (This year’s Sprecherfest, Aug. 29-30, will be the same weekend as the big Harley-Davidson 100th anniversary party in Milwaukee.)
Schoenung and Sprecher noted several other developments at the brewery:
— Soda gift packages can now be shipped to any of the continental states from the Glendale brewery.
— Corporate gift packages, with Sprecher products, have become popular.
— Its international award-winning Abbey Triple Belgian-style ale, with a 9% by volume alcohol content, may be bottled in eight-ounce bottles in addition to Sprecher Brewery’s standard 16-ounce bottles.
— While the brewery has a "very efficient" labor force, additional automation will be in place by the end of the year.
— A new brochure to promote the brewery is in the works.
— Sprecher expects to get attention from the national convention of the Master Brewers Association of the Americas, which will be held in Milwaukee, set for Oct. 4-8 and based at the Hyatt Regency Hotel downtown. Sprecher Brewery, Lakefront Brewery and Miller Brewery are scheduled as optional tours for convention attendees.
June 27, 2003 Small Business Times, Milwaukee
