Big releases create promotion commotion

Big wintertime beer releases are generating promotional waves across the state as several new-to-West-Virginia beers hit the bars and bottle shops. It’s a good thing for retailers that can get them.

Several heavy hitters, such as Bell’s Hopslam, Oskar Blues Deviant Dales, and Foothills Sexual Chocolate entered the state for the first time this winter, though arriving in very limited quantities. Finally, WV beer fans get to celebrate what folks in surrounding states have experienced for a number of years: the fun of finding and drinking sensational, limited-release beers from major regional breweries.

Bell’s sent in roughly 300 cases of Hopslam six-packs and around 30 kegs split between half-barrels and sixth-barrels. Hopslam’s arrival created a stir at retail as the product moved quickly off bottle shop shelves. The few bottle shops and grocery stores that received multiple cases often saw the $17 to $18 six-packs sell out within a day or two. Craft oriented bars across the state used the opportunity to run special promotions. Craft beer fans responded by buying lots of beer. Typical promotion pricing was $6.00 for a 12-oz can or more for a pint of draught.

Special beers on allocation

While retailers love special beers like this, it creates challenges for distributors, who must allocate the beer among accounts. Not every retailer is going to be happy.

I asked distributor rep Todd Moore, on-premise sales manager for Mountain State Beverage, how they selected the account that would be offered the sole keg of Deviant Dales they initially received from Oskar Blues. He pulled out a sheet with some numbers and pointed out the Charleston account that had been selling the most Oskar Blues products over the past several months. That was the one that got the special keg.

While West Virginian’s may feel we didn’t get that much of an allocation of Hopslam, Bell’s Brewery Field Sales Representative Anna Carnahan guesses it’s always going to be like that. She said WV actually got a good amount for its roll-out compared to some other new markets. A few years back when Bell’s opened up Upstate New York, she remembers Upstate only got 100 cases for the whole region.

Mountain State Beverage will face another allocation challenge in the next week or so as a very small additional supply of Deviant Dales arrives at their warehouse. This will be a little more than the two kegs that originally arrived a week and a half ago and will also include some cans. Beer fans who want to try it better keep a sharp eye out.

Sexual Chocolate the next to hit town

As the Hopslam frenzy winds down, Sexual Chocolate Imperial Stout, from Foothills Brewing in Winston-Salem, NC, will be the next winter beer mania to rock the state. It begins hitting the market this weekend.

Sexual Chocolate will be tightly allocated for its first appearance here. Expect it to be quite hard to find. Take advantage of the bar promotions because that may be the only place you will see it.

Timothy’s at the Quarrier Diner in Charleston and Summit Beer Station in Huntington have both announced introductory events. These are two stalwarts who always put in the extra effort to promote their beer.  And it pays off with them receiving the first allocations of special beers.

Still it’s a wholesaler’s dilemma. When a beer like Sexual Chocolate hits, I’m sure Joey Campbell, craft beer brand manager at Capitol Beverage Distributors in Charleston, finds making the allocation schedule one of the toughest things a distributor faces. Capitol Beverage distributes beer to more than half the counties in West Virginia.

On the positive side, short supply equals promotional opportunities.

Promotions, promotions, promotions

The same difficulties with beer allocations can also be said of beer promotional items, which are known as advertising specialties, swag, or chotskies. These are the bottle openers, t-shirts, stickers,  and glassware, etc. that carry the logo of a beer brand and are given to consumers by brewery and wholesaler reps, usually at a retailer promotion. Beer fans love them, and they tend to most often appear at promos for new or limited-release beers.

Never underestimate the power of a bottle opener or a sticker or a small discount on the price of a pint to put a smile on a customer’s face. Bar promotions work.

In the real world, there’s never going to be enough swag or limited release beers to go around and satisfy all retailers. Some bar managers complain about not getting any special beers or swag when the bar down the block gets a bunch. Retailers need to understand that those who work hardest to promote a particular brand are those who usually get put in the front of the line to receive promotional support from the breweries.

A brewery or wholesaler rep is much more likely to buy some drinks and hand out bottle openers and other advertising materials in a place if that retailer is also pitching in doing everything it can to promote the brands. It’s a two-way street.

It’s all about customer loyalty

For a bar manager, holding tap takeovers, new beer introduction events, and other special brand promos are some of the best ways to increase business. No, it’s not always the easiest thing to do. Sure, it takes extra work, but this is the way you build customer loyalty. Because at the end of the day, it’s all about your customers. If you don’t have them, you don’t have a business.

We are fortunate to have, in all major markets of the state, bars and other retailers who understand the value of promotions. In the craft beer era, promoting special limited-releases is a most important tool for business success.