Top Craft Brewery Challenges and Opportunities for 2025

The new year brings new opportunities and challenges for running your brewery. While some hurdles will feel familiar to the brewery industry, others will require fresh approaches. By addressing these head-on, craft breweries can become more profitable and efficient. Let’s explore the opportunities to adapt and make 2025 a standout year in your brewery business.

The economy in 2025 is expected to stabilize with moderate inflation. Although the Federal Reserve has cut interest rates several times, the Fed is only forecasting cutting rates twice this year. If you're considering purchasing equipment to improve efficiency in your kitchen, taproom, or brewing process, early 2025 might be an ideal time to act. Investing now allows you to reap savings throughout the year.

Loosening Cannabis Regulations and Non-Alcoholic Competition

The younger generation's changing alcohol consumption habits present opportunities to diversify your offerings. More individuals now consume cannabis products daily than alcoholic beverages. While not everyone participates in THC-based products, CBD has gained popularity as a healthy and relaxing alternative.

• CBD Beverages: If local regulations allow, offering CBD-infused drinks can attract a broader audience, especially those who might not typically visit a brewery. This inclusivity can increase foot traffic and enhance group experiences.
• Non-Alcoholic (NA) Options: With more consumers cutting back or abstaining from alcohol entirely, NA options are essential. Offering NA cocktails with the same level of creativity and presentation as their alcoholic counterparts can engage these customers. For clarity, use names similar to their alcoholic versions (e.g., "NA Strawberry Daiquiri" instead of "Strawberry Daydreams") to ensure messaging is consistent.
• Healthy Menu Items: Adding health-conscious food options like roasted vegetables reflects societal trends toward wellness. These small menu changes can appeal to a broader customer base. Also a lighter healthier option is needed as we see the use of GLP-1 products increase. This has affected sales at grocery stores as well as caloric intake from adult beverages.

Tackling the hemp derived additives is a great way to help with the “trying something different crowd” and diversifying your offerings. Not only will it be cheaper to make and get in your tank, it will also probably go quicker out of the kegs which will be more revenue.  You can make a good seltzer  that costs less than a batch of Golden Ale and there is a perceived premium to make the COGS even better. Just make sure you get water soluble CBD!

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To generate excitement in the community, consider integrating CBD seltzer into your non-alcoholic beverage offerings. You could suggest a nutritious dish, such as a Greek salad, alongside a raspberry-flavored CBD seltzer or mocktail. The trend is moving away from traditional favorites like stouts and fried cheese curds, which will still have their fans, but more people are leaning towards healthier options. This shift toward wellness is likely to boost sales significantly this year.

Dine-In vs. To-Go

Dine-in experiences, once a cornerstone of the industry, are evolving. Coffee shops and quick-service restaurants are increasingly prioritizing drive-thru and to-go models to align with changing consumer habits. If your dining area frequently has empty seats, consider these strategies:

• Create Experiences: Add games, conversation areas, or cozy couches to encourage longer visits. You can also include other attractions to draw in customers. For example, sell vinyl records and have a turntable to play them. This can help create a community experience and strengthen your brand. 
• Optimize To-Go: Implement an easy-to-use online ordering and payment system, potentially integrated with a mobile app, similar to coffee shop models. Convenience and speed are critical for attracting busy customers.
• Dynamic Offers: Offer incentives for to-go customers, such as discounts on family packs or pre-ordered meals, while maintaining the unique charm of your taproom for dine-in guests.

Managing Inflation and Costs

The ongoing challenges related to inflation require breweries to focus on efficiency and adaptability. Here are key strategies:

• Kitchen Optimization: Streamline kitchen workflows by shifting to a Kitchen Display System (KDS). You can use a KDS in addition to, or as a replacement for paper tickets. This not only improves order accuracy but also allows you to more easily understand key performance metrics for your brewery.
• Advanced Pricing Rules: A modern POS system that enables quick price updates across menus and systems can save time and ensure profitability, especially when ingredient costs rise suddenly.
• Direct Marketing: Building a robust customer contact list for email or SMS marketing allows you to bypass the crowded social media landscape. Tailor campaigns for trivia nights, special releases, or events to directly reach your target audience. And make sure that your SMS/email marketing platform integrates with your POS so you can analyze customer preferences and trends and use those to make your marketing more effective.
• Focus on Taproom Revenue: By focusing on taproom sales instead of competing for shelf space in crowded retail environments, you can cultivate a more profitable, controlled, and personalized experience for your customers. A visitor enjoying your brown ale in the taproom is more likely to purchase a six-pack than a customer browsing a distant grocery store shelf.

Create Recurring Revenue Streams

Breweries with changing cash flow from seasonal or occasional customers may benefit from recurring revenue models. These models can offer the stability and predictability they need.

• Mug Clubs: A brewery staple, this program offers loyal customers perks like exclusive discounts or personalized mugs.
• Merchandise Clubs: For breweries with a strong brand identity, offer early access or exclusive discounts on branded merchandise. Create a space in your taproom where guests can easily browse your merchandise, incentivizing impulse purchases.
• Enhanced Trivia Nights: Make trivia nights more engaging by offering team-specific merch, such as shirts with team names. These events are social highlights for many customers, so personal touches enhance the experience and loyalty.
• Community Perks: For recurring revenue members, offer discounts on event space rentals or taproom buyouts. These incentives foster a sense of community and belonging.
• Seasonal Engagements: Host Instagram-worthy holiday events, like pumpkin carving contests or costume parties, alongside brewery tours to create memorable experiences that encourage repeat visits.
• Re-capture Credit Card Charges - Finding new ways to keep revenue coming in is very important. It is also getting harder to capture revenue. Some states are discussing allowing businesses to add a surcharge for credit card payments. This could help increase revenue. Be sure to read the laws and understand how to implement this.

A Proactive Approach to Profitability and Growth

Achieving success in 2025 hinges on strategic planning and teamwork. Involving your team from the start and establishing specific objectives guarantees that everyone is focused on reaching the profit goals you establish. 

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Embracing a forward-thinking attitude in a tough economic landscape is crucial for flourishing. By getting ready now and promoting a shared vision, your brewery can confidently and purposefully tackle the upcoming year.

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