Brewbound Announces 2020 Award Winners

Justin Kindle [00:00] Welcome to the 2020 Brewbound Awards. My name is Justin Kindle, and I am the editor of Brewbound. And joining me today is Brewbound reporter Jess Infante. Jess, are you ready to give out some awards?

Speaker 2 [00:12] I am so excited to give out awards.

Justin Kindle [00:15] Well, we're going to run this video and let you guys all know who the 2020 Brewbound Award winners are. So let's roll that tape.

Speaker 3 [00:33] The 2020 Cause of the Year Award goes to Weathered Souls Brewing for Black is Beautiful, a collaboration aimed at raising awareness to the injustices faced daily by people of color. After protests against police brutality spread across the US following the killing of George Floyd, a black man who was suffocated by a police officer who pressed his knee into Floyd's neck for nearly 9 minutes. Weathered Soul Brewing co-founder and head brewer Marcus J. Baskerville launched. The Black is Beautiful initiative. Participating breweries were asked to donate 100% of their version of Black is Beautiful Imperial Stout to local organizations that support police brutality reform and legal defenses for those who have been wronged, support local equality and inclusion efforts, and commit to the long-term work of equity. Nearly 1200 breweries from 50 states and 22 countries committed to take part in the Black is Beautiful effort. Boston Beer Company and their truly hard seltzer line is Brewbound's 2020 Beyond Beer Company of the Year. Firmly entrenched as the second largest hard seltzer player in the US, Boston Beer Company's truly hard seltzer family grew into a top 10 best selling brand family, according to market research firm IRI. Truly rode the wave of one of its top innovations in 2020, Truly lemonade seltzer, to become a top 25 selling brand. The 2020 Person of the Year award will be shared by four individuals for their efforts to make permanent the federal excise tax cuts within the Craft Beverage Modernization and Tax Reform Act. Permanence for the tax cuts was a nearly two decades long effort that finally came to fruition in December 2020 as part of a relief package passed by Congress and signed by the president. Brewbound's 2020 Person of the Year is shared by Brewers Association president and CEO Bob Peace. Brewers Association director of federal affairs Katie Marissi. Beer Institute president and CEO Jim McGreevy. And Beer Institutes senior director of federal affairs Joe Heaton. New for 2020, Brewbound is honoring one person for their advocacy for and contributions to the beer industry, for advocating on behalf of small brewers and small businesses during the COVID-19 pandemic. The first beer champion Award goes to co-founder and chief brand officer of Denizen's Brewing Company, Julie Verati. The 2020 Large Brewery of the Year is awarded to New Belgium Brewing Company. A year after the Fort Collins, Colorado headquartered craft brewery was acquired by Kieran-owned Lion Little World Beverages, the company prospered behind the Voodoo Ranger line of IPAs. As consumers shifted their purchasing to off-premise retailers, New Belgium thrived, claiming 5 of the top 30 best selling brands, according to IRI. Voodoo Ranger Imperial IPA became the company's flagship offering in 2020 and the 3rd best selling IPA in off-premise retailers. Portland, Maine's Allagash Brewing Company is Brewbound's 2020 craft brewery of the year. Founded by Rob Todd in 1994, Allagash has established itself as one of the most respected craft breweries in the nation. Allagash lost about 70% of its sales when the pandemic shut down on-premise business in March 2020. The company then poured several years of innovation into three months and launched several new brands, including Little Grove Sparkling Secessionalles. The company also donated $10,000 to the. Black is Beautiful program to Indigo Arts Alliance, a nonprofit organization committed to the artistic development of people of African descent, and Maine Inside Out, a nonprofit organization that collaborates with incarcerated and formerly incarcerated youth to create art for social change. Throughout the pandemic, Allagash kept its focus on its employees, instituting programs to combat isolation and making mental health counseling services more accessible. In an increasingly challenging and competitive craft brewing industry, these 6 players emerged as rising stars to watch in the coming years. Athletic Brewing Company, Stratford, Connecticut. Bow and Arrow Brewing Company, Albuquerque, New Mexico. Green Bench Brewing Company, St. Petersburg, Florida. Jack's Abbey Craft Lagers, Framingham, Massachusetts. Other half brewing company, Brooklyn, New York. Urban Roots Brewing in Smokehouse, Sacramento, California.

Justin Kindle [05:30] All right, those are our award winners and historically, we've given out the awards during our annual business conference, Brewbound Live, held every December, except for this one, which was virtual. And rather than cram it all into one week, uh, we decided to break it up and announced the awards in January, um, just to sort of take a step back. So, Here we are. We're going to meet the 2020 class of rising stars to discuss how their 2020s went and what their plans are for 2021. So let's meet the six rising stars in Brewbound's 2020 class. And now we're joined by the founders of Brooklyn, New York, headquartered Other Half Brewing Company. Here today are Sam Richardson, Matt Monahan, and finally we've got Andrew Berman. We're glad that all of you could be here today and talk about the 2020. You guys had, it was a challenging year, but you, it was a big one for you guys. You opened a new location in Washington DC. You launched the All Together initiative with Stout Collective and Kraft Peak to raise money for laid-off hospitality workers. So when you guys look back at 2020, how do you reflect on the year that other have had?

Speaker 4 [06:54] Well, I, I would, I would say we look back on it, um, and I, I think we see a lot of positives. It's a very, uh, we're very fortunate this year to be able to keep moving forward despite all the, the setbacks that the industry as a whole and the country as a whole is facing. Um, obviously,

Justin Kindle [07:12] there's a lot of things we would have liked to do that we couldn't,

Speaker 4 [07:14] but in, in all, I think that

Justin Kindle [07:16] it

Speaker 4 [07:16] was a,

Justin Kindle [07:17] it was a, a great

Speaker 4 [07:18] year

Justin Kindle [07:18] for us. Yeah, I, I can, I can definitely second that. Um, you know, we, we're super fortunate to have the staff that we did and, you know, uh, and, and a ton of, you know, Andrew's leadership through reorganizing just how we do business. Um, we were able to sort of pivot, uh, in ways that we didn't expect to be able to and, and it, and it worked out, um, for the best and, and we were still able to sort of, you know, get, get our product into the hands of the people that were asking for it, um, you know, time, time and time again throughout the, the entirety of the year, which is great.

Speaker 2 [07:50] So, like Justin said, you guys had a big year and you made a lot of moves. What do you think are the long-lasting implications of uh the business changes you made this year and how can we expect them to carry on into the future? Um, let's start with you, Sam.

Speaker 4 [08:03] Well, we had to, we had to do a lot of, uh, we had to do a lot of thinking about how we do business. Um, most of our business. To date had been or pre-pandemic was directly out the front door of the brewery, and it became more difficult to do that as people were restricted in travel, so we had to rethink that some. Um, as far as the long term, I mean, I think that there was always going to be a certain amount of beer that's going to, uh, leave the brewery, um, in ways we hadn't expected originally, but, um, we are looking forward to getting the community back into our breweries once that, that happens. It's a big, it's a big deal for us to have people in-house, um, interacting with our people. And, you know, that's, that's just the best way to promote beer.

Speaker 2 [08:48] Great. And then how, you know, we talked a little bit about the new DC location. So how do you guys see that affecting uh other half going into the future? What do you think, Andrew?

Justin Kindle [08:57] So DC is, um, you know, uh, as Matt was saying, a place where was built for people to come on site. Um, and it's one of those places that we did an amazing job of Just having everything ready, um, and then the pandemic hit. Uh, so it's, it's, we're really excited for to get past this point to, to really showcase, um, an element that we, we don't have in Brooklyn, which is, um, you know, getting a huge amount of people on site and have, you know, really cool events and have festivals and have, uh, things that are really specialized for that area. Matt, how do you see that location and the other two that you guys run sort of accelerating the business in 2021? You know, I think the overarching goal of the other half has always been to sort of get our beer into the, as, as many people's hands that, that, that want it. Um, you know, we're not, we've never really shoved anything down someone's throat. It's, it's, we're, we're always trying to keep up with the demand. Uh, DC allows us to sort of reach, um, pockets of the region that have been asking for a beer for a long time, uh, and are now able to start, uh, seeing it on a regular basis. Um, you know, our, our goal is, is first always to get a beer in, in someone's hand and then after that is to get them into one of our locations, you know, the, the real other half experience is, is the on-site, you know, it's the, it's the energy and the feeling you get when you're there, you know, amongst other like-minded, you know, people that are just into beer, um, that are just in the community. Um, and just have a good time, you know, and sort of escape, uh, and that, that's, that's what we want, um, and that, that's what we feel, you know, builds, builds that community and builds that loyalty.

Speaker 2 [10:36] So what I'm hearing from all of you guys is that, you know, you've had to pivot your model a little bit and we can't, you know, because of the pandemic, can't have large gatherings of people, and that's really what beer is about is getting together and sharing, you know, this strength through. You know, either small groups hanging out at the bar or large events, and that really hasn't been able to happen. Now what this kind of means for your staff is that they probably came on thinking they had a job that went one way and looked, you know, looked like this, and they were, you know, bartenders and event hosts and all sorts of things like that, and that became not possible anymore, and you guys had a really impressive pivot with home delivery. And that just brought all sorts of new challenges. So how do you keep employees engaged through periods of growth and the struggles that we've seen this year? What has that been like?

Justin Kindle [11:19] Um, it's been interesting. It's been, it's been really fun to see some employees really step up, uh, you know, bartenders who were now doing deliveries or, you know, um, warehouse guys who are helping more in packaging or vice versa. Our, our bar back is now on the canning line, um, you know, we've still been able to hire people and still been able to expand. Um, but it's, it's been, that's the hardest part is keeping people sort of eyes on the prize that this is, uh, this is, this company is greater than each individual, um, and sometimes you gotta, you gotta clean the bathrooms and sometimes you gotta, you know, not be a bartender. Um, and it's, and it's been great to see some of the evolution of our staff and, um, you know, it just led to more leadership from people that Um, were lower level and have been able to be promoted and increased responsibility. So it's great to see, um, but it was also a hard change and they've really adapted well.

Speaker 2 [12:15] That's great. I mean, it sounds like you had a lot of people willing to step up. So I'm sure your culture is evolving quite a bit. So how are you maintaining other HAPs mission statement? Let's start with you, Matt.

Justin Kindle [12:24] First and foremost, quality. Um, you know, this is a company built around community, uh, top-notch products, and, you know, the fostering of that community. Um, I think. You know, we will always first and foremost produce top-notch products and I think what, what goes along with that is, you know, you can't continue to do that without being engaged with the community, without understanding what people want, uh, and, and being dedicated to giving them the best version of that product that you can possibly make. Um, you know, we're gonna make whatever changes we need to make to keep going, you know, this, this company is, we, we fight, you know, we're not gonna let things happen to us. We wanna make things happen. Uh, and that's been, that's sort of been the priority, and, and I think everything is, that's really the stepping off point for anything else. Sam and Andrew, how did you guys, as far as culture and mission statement goes, how did you see that evolve this year or last year, I should say at this point? As our cultures evolved and how our missions evolved, I think one of the biggest points is, is being an example of it, um, innovating, innovation from Sam, you know, leadership from Matt, um, being, being part of the culture, um, and that's sort of like our, our jobs have changed a lot where, you know, we were delivering beer 5 years ago and now we're sort of like the, you know, we're the guys who have to promote the culture and push forward. We have an all-staff meeting right after this, um, and it's really just to promote. The vision and what we're at what we're doing as the other half, and I think our job as the three of us is to really Be examples of, of what we want at the brewery and let people follow and it seems to have worked so far, um whether it's making great beer or whether it's, you know, making sure the schedule is equitable or we're, you know, expanding to DC or, you know, any other projects we're doing, um, we're trying to be examples of it every day. I think that's the hardest part we have of our jobs.

Speaker 4 [14:18] Yeah, I did, I didn't think about that for a second. I actually When I think about it, I don't think our mission statement has really changed. The mechanics of a lot of what we do has had to change this year out of necessity, but I think our mission statement is, you know, just to boil it down quick as, you know, community, community, community, like we try to keep the beer close to home as much as possible. It's not always. How it goes, but for the majority of the beer we sell is direct to people in our community. And, you know, as we said before, people come into our taprooms to, to engage and be part of the community that is our, that is our brewery and staff, and also their friends that come into the taproom and their new friends that are coming into the taproom. So. Um, I, I don't think that's changed, which is good.

Justin Kindle [15:06] Matt, so when you look ahead to 2021, uh, which we're now in, where are the opportunities, what are the opportunities that you see for the other half? Um, I, I mean, I think, I, I truly believe that there is a ton of pent-up, uh, demand. Um, people really miss what, you know, regional and, and local craft breweries bring to the table, um, which is that, you know, that sense of community and then actually gathering. Um, you know, there's definitely light at the end of the tunnel. Um, Uh, you know, as, as leaders of the company, all, you know, all we've, all we're trying to do is set ourselves up, uh, to be ready to, to accept that demand, uh, when it, when it's unleashed. And, you know, that's why we've got, you know, our, our Domino, uh, sugar factory location, uh, up and running and we'll be ready to be open on the, on the, on the waterfront of the East River and in Williamsburg, we've got, you know, DC ready to take the, the 600+ people at a time, which we can do. We've got You know, we've got online experiences coming, uh, you know, for our, our pastry town and, and Green City festivals. Um, we'll be adding to that, you know, I think just, just being prepared and, and, and ready for people when they want to come back out, that's, that's all we can really do. Um, you know, and then with increased production, we're able to sort of get, get our beers to, to more, into more people's hands, uh, and, and in turn get them down to the locations to see what the other half truly is, is about.

Speaker 2 [16:33] How are you guys defining success moving forward? Has last year had any impact on that? What do you think,

Speaker 4 [16:38] Sam? I would say success moving forward is us continuing to make uh high quality products and to push innovation,

Justin Kindle [16:46] um.

Speaker 4 [16:48] And

Justin Kindle [16:48] also,

Speaker 4 [16:50] you know, for, for me, success will be seeing our community back in place, people

Justin Kindle [16:54] at our, at our breweries, hanging out, having a, having a good time,

Speaker 4 [16:57] because That's, you know, beer is supposed to be fun. That's what it's about. It's about getting together with your friends, hanging out, having a

Justin Kindle [17:03] good

Speaker 4 [17:03] time, and we all missed that.

Justin Kindle [17:05] So that's, that will

Speaker 4 [17:06] be a

Justin Kindle [17:06] success for me next year. Before we let you go, uh, what's one piece of advice that each of you learned in 2020 that you'd offer other entrepreneurs out there that they can sort of take and build upon?

Speaker 4 [17:21] Stay loose, be ready to pivot at any moment, you know, even, even pre-pandemic, you still had to think that way, but this, that, that really highlighted it.

Justin Kindle [17:29] Definitely have a team. You know, I think one of the strengths of the other half is the fact that there's 3 of us, uh, and, and, and there's 117 of us, um, you know, you depend on your team, the, the, They'll pull through Stick to your vision, you know, be strong about what you believe in and what you want to do. Um, I think that's one of the, the strengths of the three of us is that, um, we're very, very stubborn, um, and it's just the entrepreneurship takes a huge amount of stubbornness, knowing that you can do something better than someone else and keeping that vision, you know, and going forward with it. Thanks guys. We really appreciate you joining us today and congrats for being one of our rising stars this year.

Speaker 2 [18:12] A huge welcome to our next rising star, Shia Shepherd, the founder, president, and CEO of Bow and Arrow Brewing in Albuquerque, New Mexico. Sheila, thanks for being here with us today. How are you? Hey, thanks for having me. I'm doing well. We're really excited to have you guys in our Rising Stars class this year. Um, you've had a really, a big year with a bunch of highlights, you know, you installed the canning line to be able to pivot your business model. You created Desert Water, which is a really innovative line of hard, sparkling water to offer drinkers something different. With different flavors. And then I saw over the fall you released Curio, which is the first beer out of aged in the fooder that you guys picked up from American Celera in Oklahoma, and you've got a really robust barrel sour souring program. So what other highlights from the year do you want to share with us? Oh man, those were. Those were some of the major highlights uh for the year. Um, let's see, the canning line we commissioned at the end of June and had um cans on retail shelves. By 4th of July weekend, which was our goal, so that was pretty amazing and you know the last half of the year was just staying on top of like production, scheduling and just keeping up with new label development, you know, this is a whole new portfolio for us, um, and it's been really interesting just kind of watching um and. You know, being such a big part of our brand and seeing it become more fully formed over the last 6 months or so, um, so that was huge and then Desert Water, we, we launched with it on draft and we're working on finalizing the label for that. We've got our 5th year anniversary coming up. Next month in February, um, which I think in this economic environment in the time of COVID, it feels like a huge feat, um, so we want to do what we can to celebrate that, but we'll launch our desert water in cans next month, um, and again we want to feature local indigenous ingredients, so we've got prickly pear, juniper berries, um, we're also adding a little lemon peel to that as well.

Justin Kindle [20:24] So with the canning line operational, a hard seltzer essentially in tow, what are sort of the long lasting implications of some of those moves that you've made this year that are going to affect the business this year and, you know, well on past your 5th year anniversary?

Speaker 2 [20:43] You know, I think, um, like I said, as, as we're, you know, creating more labels and developing our portfolio around our wild and sours, our hard sparkling water, our hazy IPAs and pastry sours, um, you know, we're going to continue to build on that strong brand and portfolio, um, and also we're. Seeing a lot of interest coming from outside of New Mexico into new markets, so we're focused on being, you know, very strategic about where, where we choose to pursue and push our brand. Um, actually just earlier this week we sent our first cans out of state, um, so that was a huge. A milestone and win for us. We really try to focus on the wins, big or small, these days, but we've got beer heading to Oregon soon. So I think just continuing to, you know, really foster and develop that and, you know, stay close to kind of what we see as our brand and what we're about, um, you know, because it's, it becomes very challenging to make sure that we are. And staying on brand and within um how we see ourselves as a company and as a brand. So that's, those are interesting and fun challenges to be faced with right now. It's much better than where we were at the beginning of COVID, you know, when pre-COVID, the the majority of our revenue was from on-premise sales, um, and we're watching beer, you know, expire in tanks and. Doing what we could to fill crawlers and growlers, and then suddenly crawlers were, you know, in short supply. So it was just such a crazy time. So I feel very fortunate to be faced with the challenges that, you know, we're seeing right now. So through all of that, and it's been quite a year and quite a, quite a rollercoaster, how do you keep employees engaged during periods of growth as well as the hard times that you just mentioned? Sure, you know, we try to keep a really positive and supportive workplace. Um, I like, I like to operate with a sense of gratitude, and I really try to make it a point to tell my team that they're doing a great job and, you know, I really mean it. They, they are, so I want to be mindful of that and continue to really. You know, encourage our team and let them know that they're doing a great job. Um, we also strive to be solutions focused, um, and not try to dwell too much on the problems themselves, but really learn from them and move on, um, you know, like 2020, you know, showed us last year is. You know, we, we're capable of making decisions and being very decisive, but there always comes, you know, unintended consequences or things you have to learn from, and we just don't have, you know, time or energy to dwell on them too much, so we do that and like I mentioned earlier, we really try to celebrate our wins big and small, which keeps things positive and reinforces balance. Um, so yeah, like last year the cans all day or last week, earlier this week with the cans, um. The cans going to Oregon, you know, throughout the whole day. I know every one of us on the team were like poking our heads out the door to see outside whether the delivery truck had arrived yet. So I think maintaining that positive atmosphere is really key in this time.

Justin Kindle [24:01] You mentioned that new market expansion to Oregon. Is this something you're looking to do more of in 2021?

Speaker 2 [24:09] Yes, um, but again we're being very strategic about where we're placing, you know, our product and brand, so we're working on what that strategy looks like and obviously um distribution and, you know, the, the regulatory environment within each new market is very different, so we're being, you know, really thoughtful about how we pursue that.

Justin Kindle [24:32] Where might you look to go next?

Speaker 2 [24:35] Well, that's still, you know, in discussions and in research right now. Oregon made a lot of sense for us. We felt like our brand resonated really well, you know. We also look at our analytics and see, you know, where the activity is coming from as well through our website. Other channels that we pay attention to. So there was that. And then we have, you know, friends and colleagues that live up in Oregon as well that we felt could kind of help push our brand. So yeah, mostly it'll be kind of on the western coast right now. Our brand is very much about the great American Southwest, so we'll stay focused on that for now. So when you think about 2020 and all the lessons that you've learned from, you know, everything you've been through, what do you think is one piece of advice that you would offer other entrepreneurs? One, I would say, I mean, I think being flexible and willing to adapt is an obvious one, so I won't focus too much on that. But I would say, um, don't be afraid to reach out for help, but be sure you do your own research and put the effort in first. This way when you reach out to people, you have specific questions, and then others can more easily figure out how they can help you. That's a good one.

Justin Kindle [25:50] Where do you see the opportunities for bow and arrow? What are sort of your focus areas this year and where do you see the white space?

Speaker 2 [25:57] Yeah, so again, the canning line has been huge for us, um, and there's a learning curve for that as well. So, you know, keeping focused on that and the ongoing development of our brand portfolio will remain a top priority this year, along with ramping up those, you know, distributions to key markets. Strategies, um, and also it's important that we keep evolving and focused on our plan for safe reopening of our indoor spaces. Um, we had put our first off-site taproom on ice in favor of the new canning line um last year and so this year we'll get moving on that as well. So, and then just managing this growth and staying on top of production schedules and all of that is. Top priority as well. What does the timeline look like for your second taproom? You know, it's just a matter of doing the build out. It's a vanilla shell right now, so I mean we still have to like roughen for plumbing and electric and build walls and restrooms and stuff, but you know it's not a huge space. It's 1200 square feet. I have to get the plans kind of some changes approved, um, but I think once we get rolling on it, um, probably I would say like. Within the 2nd quarter would be the goal. It just kind of depends on how COVID is evolving, but I want to really start chipping away and making some progress on that.

Justin Kindle [27:24] So as COVID has really changed the way a lot of folks look at the business, um, in the future. How are you defining success for Bow and Arrow?

Speaker 2 [27:36] Well, not only surviving this COVID world, but I think becoming a sought after brand, uh, where we're brewing as much as we can and brewing the beers and styles that get us excited. You know, Curio was a good example of that. I mean, it was a rough year and, um, you know, wild and sour programs and our food or aged beers, they just take longer. They take more, um, kind of love and care, uh, so we stayed focused. On those things and it brought a lot of joy to what we were doing and it was so refreshing and exciting to actually see how well this beer and the series have been received. Shelly, your voice in beer is is very strong and very looked up to and very unique, and I think you've really been seen as a thought leader this year in terms of how people who are traditionally underrepresented in the beer industry can, can like some somebody that can be looked up to. So, do you do any mentorship with, with fellow brewers, or do you have any advice for anyone who maybe doesn't always see themselves reflected in beer but wants to be a part of the community? Yeah, so, I mean, this past year, uh, not as much. I feel like a lot of people are in survival mode, but I've definitely made an effort this year, um. To engage in having some of these really difficult conversations, you know, sharing some of these experiences that I don't always want to look back on and rehash and think about, but I think sharing these experiences is really powerful. Like, I've gotten really great feedback on just saying, you know, like, hey, I've experienced something similar and you're not alone. So I think there's a lot of power in doing that. Um, so. Definitely made an effort to um take on those opportunities, even though it's hard. It's emotionally taxing to rehash, you know, some of these experiences. Um, so there's that and then just, you know, I have native folks. I feel like on more so than like in the brewing world, but just in general being a native entrepreneur, um. I like bringing some attention to me, so I'll get, you know, kind of random social media messages or emails that, you know, I make it a point to respond to, um, and just encourage them because, you know, a lot of business and entrepreneurship is action and whether or not you're you're successful or you fail, you learn something, but I think the most important part is just to move forward, you know, put yourself out there.

Justin Kindle [30:09] This has been awesome. Thank you for taking the time out to share with us today, and we're so excited to have you as one of our 2020 rising stars.

Speaker 2 [30:18] Oh, thank you so much. It's such an honor.

Justin Kindle [30:22] So let's welcome our next rising star, Christopher Johnson, head brewer and co-owner of Green Bench Brewing in St. Petersburg, Florida. Thanks for joining us, Chris.

Speaker 4 [30:33] Hey, thanks for having me, guys. I'm, I'm glad to be here with you.

Justin Kindle [30:35] We're so happy to have you as part of our 2020 Rising Stars class, and 2020, uh, not a great year, uh, due to the pandemic, but Green Bench persevered. You guys did a lot of cool things from your I guess all of the philanthropic efforts that you did, such as taps and scraps or the holiday holiday toy drive with beer culture and you know, when you reflect on 2020, uh, what stands out as some of the highlights for Green Bench?

Speaker 4 [31:09] Well, unfortunately, obviously, some of the highlights are, are, were sad, um, and difficult and hard. So, um, I think what, what, the first thing I think about is, is the day that we had to lay off most of our staff and how difficult that was. Um, a lot of them had been with us pretty much since we opened. Um, so that was, that was very hard to kind of say goodbye to them, at least for a short period of time. Um, but at the time, it felt indefinite, you know, we, we had no idea how long, um, it would have been till we could have brought anyone back. So, Honestly, that, that's probably the, the, the biggest highlight in my mind was that day and how difficult that was. Um, and then it's followed up by the day in which we were able to call a lot of them back and say, you know, we're opening back up and we're excited about that. Um, unfortunately, then the next thought would be the second time we got shut down. Um, and then subsequently, us then reopening, which has obviously been Um, it's been a roller coaster of a year, but I think in the end, it made us all, um, really confident. I think in the future, it made us feel as if we could kind of weather any storm that came along. Um, it gave us a lot of, uh, it just gave us a lot of confidence in each other. And then I'd say the next thing would really be how well our staff has actually managed the pandemic uh without really having to put any, too many guidelines in place, and we have guidelines in the for customers, but not really guidelines on the staff. We've been communicating so well and our staff has taken it upon themselves to make sure to get tested very often to make Make sure that we're constantly communicating with each other. I mean, the, the simple fact is, if more than 2 people at once are positive with COVID, um, we have to shut the tasting room down. And that's not really something we can afford. And so without having to tell anybody, everyone, including myself, we get tested every week. We constantly talk to each other. If someone is positive, we isolate immediately. And then as a business, we've been able to find a way to continue to compensate people, um, when they haven't been able to work. So, um, Honestly, I think going into 2021, it, it, we feel extremely positive and confident in our ability to manage um ourselves through very difficult times, um, as difficult as we ever could have imagined. Um, and then on top of that, it, it allowed us a lot of time. And the time that we, that, uh, that we had, we used it to try and give back to our community. We used it to try to, as you mentioned, the toy drive, um, and back to school drive, pure culture for the kids. And then I've been able to, uh, spend a lot more time in a lot of nonprofits here locally that, um, have really just been, have meant the world to me.

Speaker 2 [33:33] That's awesome. I mean, in the words of esteemed, noted scholar Kelly Clarkson, what doesn't kill you makes you stronger, so you guys definitely have one of those years. I know the last time we saw you during brew talks over the summer, you guys were dealing with a lot of really confusing stuff at the state government level. So how has any of that changed your operations?

Speaker 4 [33:55] Yeah, those were so, so frustrating. I mean, obviously I definitely remember talking to you guys and being just so unbelievably frustrated that that even the people telling us what we could and couldn't do didn't know why or how or didn't know what the, you know, details were of what we were allowed to do and what we weren't allowed to do. Honestly, and, and luckily, uh, soon after we had our conversation, the governor actually came here and had a sit-down conversation with us, and he basically said, look, I'm gonna, uh, uh, we need to open you guys back up, uh, but it's up to everyone to be responsible, so that we make sure that we can stay open. And um You know, your business and other businesses are gonna, they're just gonna die if we don't open them back up. But we need you guys on board and we need to make sure that we're being as safe as possible. Um, and so, he, and he kept his word to us. You know, within 3 weeks, we're back open again. Um, and he said, you know, we're not gonna close you back down. We do have some local ordinances that actually, we support anyway. We would have done even if they weren't available, like mask-wearing, uh, making sure people had to be, you know, separated, and, um, and capacity, uh, constraints. That frankly, we actually have even denser capacity constraints on ourselves that we personally adhere to, uh, but because ultimately, looking back on the last time we spoke, speaking of that specifically, I was so frustrated and sad that we had to be closed, that it any way that anything I can do to make sure that we stayed open is worth it, you know. So, um, even if it meant we had to have less people in here and it meant our hours were decreased, open is open. Um, and so I think, uh, You know, I'm a lot more optimistic now that we can, that we can kind of still stay open through something like a pandemic.

Justin Kindle [35:35] I'm glad that you're feeling a lot more optimistic because I was frustrated for you when we talked during Brew talks. So, I, I guess as you push forward into 2021, what are some of the things that you're looking to sort of carry over? What are some of the long-lasting impacts of what you went through in 2020?

Speaker 4 [35:56] You know, ironically, some of the just the systems in place that we actually find some efficiencies in this, I think, in operations, even especially in the tasting room, for example, if you were to walk into our tasting room pre-pandemic, you're going to have seats at the bar. They're generally packed. You're going to have tables as well, they're packed, and some evenings it got so busy that it was very difficult, frankly, to even get to the bar and order beer, and it was a cluster that we weren't even super excited about ourselves at the time. And I think actually the, the efficiency that we found through the pandemic of making sure people walked in, got into a sort of a stanchion offline, ordered their beer, picked it up at a window outside, um, we found some efficiencies in that, that I think truly we're actually gonna be able to carry it, we're gonna be able to carry over. Once things eventually do open back up, uh, we, we've had actually had a lot of conversations about how we think we're actually probably gonna keep that element somehow, um, and, and maybe even decrease the bar setting a little bit because we found that we've been able to be a lot more efficient on getting products to consumers. Um, and then also being able to have a conversation with them instead of a bartender trying to speak through four people to get to the person behind them. Um, so I, it's stuff like that, some small operation things that I think will really be care of and actually be a better experience for everyone in the long run.

Speaker 2 [37:13] How have you been keeping your employees engaged during the last year?

Speaker 4 [37:18] Well, luckily, we've, we've had a lot of, like I said, we have a lot of time on our hands. So we've actually been making a ton of new beers. Um, we've also, um, uh, on the production side, we've been, uh, been able to experiment on new processes. We installed a decoction vessel about a year and a half ago. Um, but we haven't really had You got to think a year and a half ago we're full throttle max capacity, you know, filling orders all the time, and then the pandemic hits and it slows things down. We've been able to make styles of beer that we've been excited about that we just haven't really had the space and time to produce, and we've been able to sort of hone in a lot of our lager production and decoction process, which then our taste room staff has been super excited about because typically speaking, we all have very similar drinking habits here at Green Bench. We all kind of like the same styles. We like to drink all day long. We're in Florida. So, uh, we like low alcohol, really crisp beers, um, and I think a lot of, uh, the beers that we've been making have, have benefited from that. In addition to lagers, Web City Cellar, where we make a lot of mixed culture beers, we've had time just to let a lot of these beers sit at 65 degrees year-round in our cellar. And so these new blends of mixed culture beers coming out, I think have had a, have, have benefited from that extra, you know, 4 to 6 months of not being touched, um, and actually our blends are tasting extremely immature.

Justin Kindle [38:28] That's awesome. So, what, what are some of the things you went through so much in 2020. So what, what's like a piece of advice maybe that you'd give to another entrepreneur out there as you as we head into 2021, I guess we're in 2021, something that they could sort of take and apply to their business.

Speaker 4 [38:50] Uh, I would say, uh, trusting, trust in the hard decisions sometimes, um, as difficult as it is, and, and sometimes you feel like everything in you is saying you don't wanna make some very tough decisions. Um, If it's somewhat clear, you know, obviously, even on paper that this is the right decision for the longevity of your business and frankly for your employees, even if it means having to let them go for, for a certain period of time, um, If it's the best for the business and as difficult as that is, trust in those hard decisions. Trust that, um, in the long run, it's, it's, it's hopefully going to not only make your business stronger, but uh I think yourself as a leader too. Um, I think we come out on the other side, having built Even more trust in our staff and our employees, knowing that them coming on the other side, knowing that actually, you guys, as difficult as that was and as hurtful as it may have been for everybody, um, it was the right decision for everyone in the long run. And I think a lot, there's a lot of trust that was built in that process.

Speaker 2 [39:51] So looking ahead to the coming year, where do you see the opportunities for Greenbench and what areas are you planning to focus on?

Speaker 4 [39:59] Well, we actually find ourselves in a, in a uniquely, uh, uh, advantageous, I think, position. Namely, because we, we kind of have capacity now. Um, I was kinda worried going into 2020, uh, as, as, as quickly as we were ramping up. And frankly, I wasn't gonna be able to keep up with a lot of, uh, the production that I, I saw looming near the end of 2020. And actually, the shutdown kind of slowed us down, which was painful for sure, financially and, uh, Personally, to a lot of people. But what's nice is now looking into 2021, we actually don't have the same production constraints, I think, going into this year. Um, and I think we've been able to spend a lot of that time that we've had off trimming a lot of the fat, if you will, of the business to make sure that a lot of the efficiencies, um, are really gonna shine, um, in this year coming forward. That frankly, I, I, you know, I was afraid with, with how quickly we were producing beers. The cash flow was just intense, um, at the beginning of 2020, which is exciting for us cause we've never really been ramped up that, that strongly. But I think this is actually a healthier position than that one was, where we have a little bit of capacity, we have, um, the ability to make a lot more decisions. I think On the fly due to that cash flow, um, and understanding that because we had to trim some of that fat and make ourselves a little bit more lean, um, as a business, that, um, I think we're, we're in a better position to, to manage some of those efficiencies and implement a lot more efficiencies this year. So our hope, our hope is that actually we're gonna see uh some really positive financial uh changes this year.

Justin Kindle [41:29] It sounds like you've really been able to sort of take a step back, evaluate the business, and really see where the opportunities truly are or what, what's best for the business, even if it was a difficult year.

Speaker 4 [41:44] Absolutely. I mean, again, because we had so much time on our hands, there's almost nothing else to do but try to, you know, do your best to see like, OK, well, if and when we come back from this, and if and when we can bring people back, what sort of environment do we want for them? And frankly, what sort of environment, um, would be best for the business as a whole, uh, you know, let, let's truly assess what our numbers. Looked like. I spent a lot of time, to be honest with you, building spreadsheets. I build so many spreadsheets. I got so good at Excel. So we were able to, uh, plug a bunch of numbers in, um, really have really deep discussions about what that would look like on the other end. Um, and yeah, man, honestly, I'm, I'm actually excited. And that maybe that's because this time the last time we spoke, we're actually open, so I'm pretty stoked.

Justin Kindle [42:29] Everything seems to have changed after 2020. How, how do you view success in the future? What, how are you defining it?

Speaker 4 [42:39] Yeah, that's a really, really good question. I mean, You know, I think the, I think the definition of success is, has definitely evolved for us all. Um, I, uh, I almost feel like we succeeded by getting through that year alone, right? So, by itself, I'm like, oh man, we've reached success. We've survived. What, what was something that none of us could have imagined, uh, was gonna happen. I think from here on out, it's gonna be trying to, trying to stay efficient and sustainable. Um, in addition to that, it's understanding that Some of the things we were able to accomplish in 2020 because we had that extra time on our hands, things like the, um, the philanthropic, uh, uh, initiatives that we've been able to do, that stuff meant so much to us personally and as a business as a whole, that I think success moving forward is going to be Making sure that stays in the balance of what we do. That it's not necessarily about the ramp up, it's not necessarily about the, you know, the push to grow, grow, grow, not necessarily saying that that was always our goal. But I think before it happened to us and we were in that position of growing so quickly, uh, it was something that we always wanted. And then having gone through that and then the slowdown and then seeing that like, what I'm actually getting back personally and, and as a business, uh, what we're getting back for doing those and for giving back to our community has been um just as, if not more rewarding than anything we ever thought we were gonna succeed at or, or accomplish rather.

Justin Kindle [44:11] That's fantastic. We are so happy to have you on our 2020 class of rising stars. Thanks for taking the time out to talk with us today, Chris.

Speaker 4 [44:19] Absolutely, man. Thank you anytime. I appreciate you guys so much.

Justin Kindle [44:22] Our pleasure.

Speaker 2 [44:24] Thanks, Chris. Hopefully we can come see you soon. Yeah,

Speaker 4 [44:26] that'd be cool. That'd be awesome.

Speaker 2 [44:29] A huge welcome to our next rising stars. We have Bill Schufeldt and John Walker, the co-founders of Athletic Brewing, uh, home based in Stratford, Connecticut, but with a, uh, San Diego office and brewery as well. Hi guys, how are you? Well,

Speaker 5 [44:43] thanks for having us. Hey, great. Jess, Justin, thank you so much for having us.

Speaker 2 [44:49] You guys have had a massive year in 2020, and I believe our data shows that the Athletic has a 60% share of the non-alcoholic craft beer market. You should be so proud of that. And I don't know, when you guys look back at 2020, what, what stands out to you as some of the biggest highlights for the year?

Speaker 5 [45:08] I can definitely speak to growing the team and completing our San Diego build with a brand new team. There were, there was a boatload of challenges given the circumstances, but we just, we have an incredible crew who rallied together and Got the whole facility up and running even a week early, so just really thankful for that. It was a huge achievement, and they've been continuing to grow it and excel and perfect everything since that day, so it's been great.

Speaker 2 [45:40] A week early that never happens. Bill, what are some of the high points for you? Yeah,

Speaker 5 [45:44] uh, definitely the team. We've been so lucky with the teammates we've been able to attract this year and get on board. Um, yeah, we entered the year with kind of one whole set of plans and kind of executed on a similar but very different set of plans on the year. Um, in many ways, COVID like wiped off 90% of our marketing ideas and things like that, but It really helped us also in some ways. Um, we're able to grow our distribution network probably faster than we would have otherwise and identified 55 great partners across like 30 states to grow our network and um yeah, I'm just proud of our team, how we've been kind of stacking bricks all year and not letting the pandemic like shut down all our options and be like being creative with how we approach solutions for the year.

Justin Kindle [46:33] So, you guys, your sales kind of skyrocketed in 2020. I, I believe you posted $15 million in sales after posting $2.5 million in sales in 2019. Just mentioned the market share that you guys have been able to capture. You've had major distribution expansion. So, And, and then the San Diego brewery. So, all of that along with the investment that you guys have received, you've been able to accelerate. What are sort of the, you know, what, what's the five-year plan at this point because you guys are on sort of the rocket ship.

Speaker 5 [47:10] Yeah, it's uh, it's definitely doesn't feel like a rocket ship every day where something is definitely blowing up every day. I'm just not sure it's rocket fuel. Um, but, uh, we, um, yeah, it was, it was definitely a good year in terms of 2019 had been very capacity constrained, so we were really excited to get the Athletic West Brewery in San Diego up and running in June and really be able to serve our wholesalers' needs and meet our online customers' demand. Excuse me, as well, um. So we're really excited to just be able to get a lot more beer out into the world. In terms of a 5-year plan, I mean, we really don't have any hard and set goals, number forecasts, um, we don't need to grow like 20% to pay down debt or any like specific metric like that. Our goals are definitely around Community, our team, quality of life, the impact we're having on the world. We're super proud to donate over $500,000 to different charitable organizations last year with $300,000 of that being in our Two for the trails program where we donate 2% of all revenue to trail and park cleanups. Um, So as revenue grows in the year forward, we can make a huge dent in the world by donating more to trail and park cleanups. And so in that, like not only are our products having a positive impact on our customers' lives, but then we're having a bigger impact on the environment and being a great example for other companies as well.

Speaker 2 [48:41] You both seem so team-focused and, and really uh employee-oriented, which is really great. So how do you keep the team engaged when things are a little crazy? John, what have you found in terms of managing the group?

Speaker 5 [48:52] Um, yeah, no, it's a good question, and especially, you know, not only are we separated largely because of the circumstances, but also geographically speaking now building this team. Um, one way that we do it is, you know, we have, we're very transparent. We have monthly team meetings in addition to You know, the 300 Zooms that we all do in any given week with each other, but, you know, everybody comes together and catches up, um, to share all the news, the happenings of the month, what's coming up in the next quarter, and things of that nature. Um, we've got super active like Slack type channels, um, just lots of lines of communication. And then my brewing and, you know, team development perspective, we've got this, this brewing program where we've got an East Coast counterpart and a West Coast counterpart, and they work together and collaborate on recipes and brew it at one of the facilities and we alternate facilities. Ship beer back and forth, and then we do group tastings on Zoom. So it's been, been fun and educational and great for a team and Stuff like that.

Speaker 2 [49:57] You've had quite a year as we've just keep saying. So what's one thing that each of you have learned in 2020 that you would offer as a piece of advice to fellow entrepreneurs?

Speaker 5 [50:07] Definitely a lot. I know John and I have been no ego from day one, and like we are very cognizant that just because we had the first ideas in this business, the next 99 ideas are coming from our team. And so we have an extremely horizontal and collaborative team and A lot of cross-channel communication as John suggested and our territory managers were super adaptive during the whole downtime. There were extended periods, I think 3 different times where we pulled our full territory manager team off the road for more than 3 weeks. And in that, I would say we didn't really miss a beat from sending out postcards to accounts, sending out samples, like all sorts of different initiatives. Um, I, I think it's really just like staying close to your team and encouraging that transparency John was talking about, um, and like I'm not afraid to fail culture. Yeah, that, and I, you know, echo that, but then also go along with just, you know, trust your teammates. Um, you know, we're all here together on the same mission and like Bill said, you know, we've had some great ideas, but there are lots more out there. So just being willing and open-minded to accept different ideas so

Justin Kindle [51:15] that you can succeed and adapt in challenging circumstances. Bill, you mentioned not having an ego or staying humble. Uh, how do you stay humble when you have a slate of celebrity investors such as JJ Watt or Justin Tuck?

Speaker 5 [51:33] Um, I'm, I mean those guys are like exactly as advertised. Uh, JJ was really into us because of our charitable element. So was Blake Mikowski and Lance Armstrong with his associations with Livestrong. I mean, these guys all led with impact first and that was kind of like our health impact and then our like charitable impact are things they were tied to. Um. I mean it's easy not to have an ego and you're making most of the mistakes at the company for sure. Um, also, um, but yeah, it's, it's also really just being customer-focused. I mean we're always like razor-focused on what our customers are saying and like they kind of drive everything we do and we're always listening and be it quality, iterating better experiences, responding to reviews and things like that so um. Yeah, we're just kind of so busy, there's definitely no room for ego.

Speaker 2 [52:29] Where do you guys see craft non-alcoholic beer going in the next couple of years? Is there a ceiling? Are we, you know, just, are we just like getting started? What do you think, John?

Speaker 5 [52:39] Um, I think we're just getting started and you're seeing that with the, all the other brands that are coming to market, you know, now or soon. Um, You know, I think we've had a great time, like early on, but, you know, everybody's catching up and realizing that this is also just a great opportunity. It's just another great beer. It's added, and, you know, everybody can do this, and we're looking forward to everybody else helping to build the category because we definitely can't do it alone. So, you know, people are catching on and it's great for you and the, you know, the public is following suit. So it's pretty exciting to see the growth.

Speaker 2 [53:16] Did the interest in non-O that grew over the pandemic surprise you guys at all, or was that something that you thought was coming?

Speaker 5 [53:23] I, I actually think it's probably what it would have done regardless. Um, it had been on this trend of acceleration, so the category grew 6% in 2018, 23% in 2019, and even before March, it was tracking up 40% year to date. Um. And that really doesn't include a lot of channels in that data and craft non-alcoholics growing significantly faster. That's up 300+% um because that doesn't include the big legacy brands that are kind of stagnating. Um. And so, um, like John and I both approached this category from a customer standpoint. Like our customer need led us to this category. We realized that there are 5 other nights of the week where great beer can be consumed and not throw you off your game. There are other hours of the day. Um, and then there's a whole 50% of the non-beer drinking world that could potentially be added into the beer world. So we see a huge amount of complimentary occasions that we can add to the beer world over a decade plus of time. Um, and so, I, I don't love throwing delusional numbers out there, but definitely approaching the category as a customer. I wouldn't see why that this couldn't grow to like 10 to 20% of the beer category, but it's not that it's cannibalizing share. I think it's just adding those days to the week into it and stealing from all the gaps in ready to drink, soft drinks, non-alcoholic drinks, sugary sodas, things like that, and bringing it to beer.

Speaker 2 [54:56] When we look ahead to 2021, where are you seeing the opportunities?

Speaker 5 [55:01] I think John and I are probably both aligned on leading with quality. Um, one of our biggest concerns is that, um, so as we were saying, like we approached this as it was a customer need being ourselves. And then John and I spent a year home brewing on Gatorade jugs trying to figure out how to do better non-alcoholic beer, like totally different than it's ever been done before. Use great organic ingredients, Pacific Northwest hops, and make a truly special craft beer that just happened to be non-alcoholic. We are worried about the trend that there's a lot of like trend chasing going on and It, in some ways, it feels like marketing and sales ideas that at the 11th hour make it to the brewing team and it's tough to do something like this in a short time frame. Um, so I guess what we're saying is we're worried about quality in the category where if quality is not great, people are going to go back to not drinking non-alcoholic beer and it's not that every non-alcoholic beer that's launched has Grow in the category. I mean, there are non-alcoholic beers launching that kind of go away still, and it's, it's just like Bart Watson and everyone at the BA always says like quality has to lead craft beer for craft beer to continue to gain share, and that's kind of exactly how we align as well.

Speaker 2 [56:21] Yeah, and you guys are in a tough spot because all like all eyes are on you for, for craft not Elk, so you have to be exemplary, which, not to, not to scare you, but that's a, it's a high pedestal to be on.

Speaker 5 [56:34] We've definitely invested ahead of that with quality, um, like in terms of big food safety equipment, we have an incredible food safety and regulatory lead, great lab teams, great brewing teams, and so we're really investing out in front of this category and are definitely super helper, ready to help people on like food safety and regulatory challenges cause that's over half the battle, I would say.

Justin Kindle [56:58] So, before we let you guys get out of here, uh, 2020 was such an odd year, but you guys managed a lot of growth. When you look at 2021 and beyond, what, how is your definition of success changed?

Speaker 5 [57:14] So we had our traditional Two for the trails program in 2020. We as a team collectively with how like the world changed this year and we changed our impact program to meet that. And so we have a lot more happening in broader channels in our charitable impact program from uh supporting people of color with opportunity in the community from the ground up. Um, we have some great collaborations coming on that front. Um, the National Restaurant Association Employee Relief Fund, we made a huge effort in the beginning of the pandemic with that. And then, so like definitely bigger impact is kind of what we seek to have, um, and really just making great beer for our customers. I mean, it's, it's something where there was like no like excited customers in this category five years ago. And like now we're doing these incredible limited release programs and all this fun experimentation. So it's, it's just a totally new world out there and we're excited to have a great team and a great breweries.

Justin Kindle [58:14] Guys, congratulations on being in our 2020 class of rising stars. We're so psyched to have you and thanks for uh sharing today.

Speaker 5 [58:23] Thank you, it's an honor. Thank you so much for having us on. Really appreciate it.

Justin Kindle [58:28] Thank you guys. Our pleasure, guys.

Speaker 2 [58:30] Good to see you as well too. Our next rising star is Peter Hoey from Urban Roots. Peter is the owner and brewer. Urban Roots is based in Sacramento, California. Thanks for being with us, Peter. How are you?

Justin Kindle [58:43] I'm excellent, thanks for having me. This is exciting. Oh,

Speaker 2 [58:46] so glad that you could make it, and we're really excited to have you in our 2020 class of rising stars. You guys had quite a year. You're really food focused and had a lot of really interesting pivots in terms of food service, which we found impressive, but you did quite a few collaborations in the year, so. In August you guys teamed up with Allagash in Portland, Maine to brew a beer for Freshfest. In December you partnered with our friends down in the LA area, Crowns and Hops, and you've launched GTC shipping within California. So that's quite a bit. But when you look back on 2020, what were some of your own highlights for the year?

Justin Kindle [59:22] It was really how the community rallied and came to support local breweries, not just ours, but all the breweries in Sacramento. There was always a drumbeat of, Hey guys, don't forget about these guys. Go buy, buy beer to go, support, buy some merch, buy a gift card, whatever you can do to. You know, keep everybody going through the through the pandemic because so many of these businesses rely on direct to consumer sales. They rely on pint sales in their tasting rooms that to make this pivot to to go only even if you're doing the same volume is a major hit to your business. When you're pivoting and you're making changes sort of on the fly and you're looking at, you're trying to make it through and clearly you have, now that you're on the other side, or at least hopefully we're sort of on the other side of this, what do you see as some of those long lasting implications for the business moving forward? For ours, we were really nimble and we did not make long-term decisions or long-term commitments, uh, uh, based on the short-term issues, right? I mean, it's a year, but in the life of the business it's short term. So we're still fairly nimble and can, can go back to being a brew pub. Uh, I mean, prior to this, we would package beer once a month, maybe once every other month for a special can release, for a collaboration, for, you know, something of note that we wanted to kind of get out into the world, but I mean, Really we're a brew hub. We're a restaurant. Most, you know, 90% of our beer was sold across the bar before this, and we've completely flipped, you know, 90% is now a distro, and we're selling about 10%, you know, in pints across the bar. So when we're able to open safely again, we can go back to being a brew pub. So it'll change in that regard, but it's, it's going to be, uh, you know, that transition is going to be hopefully what starts happening this year and we can kind of see how that plays out.

Speaker 2 [1:01:13] So you guys have had quite a year and lots of ups and downs, but a lot of uncertainty, and how do you keep the employees engaged throughout all of that?

Justin Kindle [1:01:22] Well, in the brewery, we're actually up in production over last year, so we added staff and just keeping busy is keeping them engaged. Prior to this, prior to canning and bottling all this beer. We would just fill serving tanks, so there's a whole another component of a day required to package beer, but really, uh, you know, so we're busy for one, but the other is I just asked the team, I said, what do you want to brew? Like this is like we have to figure out like what styles, and we've always brewed a really wide array of styles. We're like, you know, this is, you know, what. Is of beer intrigue you. What do you want to brew? And it relaunched our Cezanne program. We'd always produced a bunch of them, but like the 1st 3 beers when we were shut down that we brewed were, uh, you know, mixed culture Cezanne, uh, mostly Brett Forward beers that take 23 months to produce because we're like, we don't know when we're going to be open to the public again. So, uh, peppering in a wide variety of styles, and like I said, fortunately we've just been really busy on the brewing side. We are now 9, 10 months into this pandemic, so when you look back at 2020 and you are able to sort of reflect, what's maybe one piece of advice that you could give another entrepreneur out there that they could apply to their business. Uh, well, obviously be nimble. You need to react and, and not just, not just in your creativity for how you're going to market, but changing your direction to fill a need. And what I mean by that is when this first happened, we knew that families needed inexpensive, fast, good meals. So on the kitchen side we started doing family meals right away. That was a need that we felt in the community. On the brewing side, the need that we're feeling there was for distribution. We hadn't sold to grocery stores before, so we started going into grocery stores because they were, they were asking for our beer, and we now had the capacity to do that. I mean, and then the other thing is, one of the first things that my business partner and I talked about was readjusting what our goals were, because it's really frustrating if you're growing at 30, 40, 50% a year, and you're profitable and you're reinvesting and, and you're having this, that, that type of success to then say, Oh crap, like we actually were down 35% in quarter two of last year, um, you know, is that failure and then redefining what, what your success is, and we had the most, uh, beneficial conversation to say, all right, success is now meeting payroll, paying rent, and being open tomorrow. And the main thing was we put all the focus on our staff and stopped really stressing about high labor costs or, you know, obviously, you know, don't push into the red, but like our target labor costs changed to make sure that we were still paying our employees that they were taken care of and then job two was, all right, can we be profitable operating this way.

Speaker 2 [1:04:18] So you guys made this big pivot to distribution, which was new for you. Do you have any plans to expand that into 2021?

Justin Kindle [1:04:25] Right now we're just kind of holding where we, where, where we're at. Uh, we did take on, we, we'd already been in discussions with upstanding distribution in Oregon. We were going to launch them, or actually I think we did launch them in January already, right before this happened. Um, since the pandemic, we signed with Culture and, uh, Culture Beverage in Colorado. Um, we're kind of holding where we're at as we wait and see how things unfold. So like I said, we have a very large restaurant. We sell a lot of our volume here, uh, on site by the pint. Um, so we want to be sure to support our distribution partners going forward. Forward, we don't want, I've seen a lot of breweries go out and sign distribution contracts to keep the lights on to get sales going, um, and we don't wanna have to roll anything back with any of the partners that we select throughout, um, as we slowly increase our distribution. Um, we've always been with Line Ventures in California and, uh, they've been a fantastic partner through this, um. We approach each of those relationships as a partnership and we don't want to be opportunistic and we don't want to have short-term relationships. So right now we're in kind of a holding pattern with those three plus our local distro, um. The short answer is we'll see. I need to see what it's going to look like when things open up, how they open up, at what stage, you know, what capacity we can have in the restaurant, um, because like I said, the restaurant is a big draw for our volume, and we're. Previously we're piling all of our profits into expanding, buying more tanks, canning lines, etc. and this, this year I think everyone is like, well, let's just hold and see what happens. So I'm not going to have, you know, 456 new tanks this year. Very likely won't have that to be able to start adding more distribution partners.

Speaker 2 [1:06:13] It's really smart. I feel like you guys have really, you know, weighed all of your options and made really, really intelligent business decisions in the past years.

Justin Kindle [1:06:21] That's good. We, we question that sometimes. We're trying to do our best, so I, you know, reinforce that more. We like.

Speaker 2 [1:06:28] Well, we are psyched to have you in our class of 2020 rising stars. Congratulations and thank you so much for taking the time to chat with us.

Justin Kindle [1:06:35] I really appreciate you giving us a little focus on this. So it's really, uh, we're, we're honored to be here. So thank you

Speaker 2 [1:06:40] so much. I cannot wait to come out for dinner and a beer whenever we're allowed to travel again.

Justin Kindle [1:06:46] Your place is awesome. Yeah, I can vouch. It's awesome. So yeah, I remember you came through during the summit, I believe, right? Yeah, definitely. backspace is very, very cool. So the backspace was, this is another pivot. It was, it was a barrel room, but it was also event space for 100, 120. People to have gatherings and dinners and things, and now I'm, it's full, that's the room I'm in now. It's full of barrels. So one thing we spent the last year doing was just piling beer into barrels. So this is going to be the year of barrel age beer for us. Fun. Well, thanks for doing this, Peter.

Speaker 2 [1:07:23] We really, thanks, Peter.

Justin Kindle [1:07:25] We're so happy to have you in the class and so happy to have you here. It's exciting again. Appreciate it very much.

Speaker 2 [1:07:31] Thank you. See you soon. Cheers.

Justin Kindle [1:07:33] Bye. Cheers. And let's welcome one more rising star from Jack's Abbey Craft Loggers in Framingham, Massachusetts, Sam Hendler, one of the co-founders of the brewery. Sam, thanks for being here today. Yeah, thanks so much for having me. Man, you have been on one hell of a ride in 2020. You, uh, have Let's start with like the thought leadership that you had to do as the president of the Massachusetts Brewers Guild, leading the guild, helping finally achieve franchise law reform in the state of Massachusetts. You've made pandemic pivots, uh, plans were scuttled, but you sort of made the best of things and you guys stepped up, offered free meals for local students when schools first closed, and then You guys got a huge partnership with the Boston Celtics. Um, man, uh, what a year. So, I think I broke it down a little bit, but when you look back at 2020, how do you reflect on the year? Um, I mean, it, it was a crazy year. It's one I certainly have no desire to go back and relive, um, that said, I'm I, I think almost uniquely proud of the way we managed to navigate the year. Um, I learned a lot about myself and my family and, and the brewery and the community we have around us, um. And you know, it, it was a uniquely challenging year, got, well, I guess I should say I hope it was a uniquely challenging year, um, but, you know, here we are, it's 2021, we're still standing, uh, we got a lot done, and, uh, you know, hopefully we will come back from this stronger than ever.

Speaker 2 [1:09:30] You guys had to make a lot of tough calls. I remember we touched base, uh, going into the summer where you guys had to decide to, to, you know, shelve, uh, planned new seasonal release so that your, you know, your fall seasonal could have clear runway and just a lot of things like that where you had to make really tough calls. So what do you think are going to be some of the long-lasting implications of those really wise pivots throughout the year?

Justin Kindle [1:09:52] Yeah, I mean that was, that was a relatively easy call. The tough calls that happened in 2020 were, were all about staffing, and, you know, we had to, um, furlough employees, we had to let go of employees, we had to reduce people's salaries, um, those were the tough calls in 2020. Um, everything else really pales in comparison, um. Uh, the long term effects. You know, it's really so hard to say, I think, you know, we We stripped everything down here to what was absolutely necessary. Um, it was incumbent upon, there was no other option, right? Survival was at stake and we stripped it down to what is 100% necessary, and I think we learned a lot about ourselves and the business we have in that process, um, so hopefully we'll be leaner but stronger and tighter as a group. Um, on the other side of this thing. We're not there yet, but hopefully soon. What did you sort of learn in leaning down the business? What, what did you sort of take away as these are the essential things that we need to do versus the things that are sort of nice to do? The biggest thing was, and this won't surprise anybody, but we have a large facility here, and Producing volumes of beer is our best path to financial success. Um, in the summertime, it, it was an exceedingly difficult period, but, uh, luckily our, our off-premise can business really pulled through, and we were able to do enough volume in some of those key months to really build the bridge to 2021, um, and. You know, it's just one of those realities about the beer business is, uh, you either need to do a lot of volume or you need to do a ton of direct to consumer at super high margins, um. And I think we were kind of in a middle ground on both, where we were doing a lot of both, but we weren't the biggest of either, um, but seeing the way we could perform getting beer out of this facility in the summer months, um, was really encouraging, and I think. Paves a road for us forward.

Speaker 2 [1:12:27] You talked about having to make a lot of tough calls with regards to the staff, and I'm sure they've they've really felt the stress of the year as well. So, how do you as a leader keep the team engaged and motivated when things are so unpredictable?

Justin Kindle [1:12:40] I mean, for sure, the, the toughest challenge in 2020, um. And I, I think it, it remains a significant challenge, cause I think we're probably not unique in the Preing industry in that when we were hitting rough patches or when there was some sort of dysfunction with the staff. Like, the playbook was always, we need to get together, let's, let's do an event together, let's have a meal together, let's drink some beer together, and kind of hash out the issues, and that just was off the table, right? It wasn't an option to put the whole staff in a room together and talk through whatever was going on. So it really, really challenged us, and I, I don't think we did a great job of it, the first half. I mean, I think. A lot of it was how stressed we were and how stressed the staff was. I'm not sure how possible it would have been to really succeed at it. Uh, the, the first half of COVID, I think we've gotten better at it, you know, things like Zoom and, um, making sure people are updated. A lot of that happened naturally. We would all have lunch together in the beer hall, and like there was just this natural conversation, and like, hey, we need to build in structured communication where the whole team. Uh, knows what's going on, and it can't just be Zoom cause some people don't engage on Zoom, it can't just be email, cause some people don't engage on email, it can't just be any one thing, like we really need to do a lot more in the way of internal communications and. You know, it, uh, for better or worse, probably for worse, just talking about internal communications in depth is not a conversation that had really happened much at Jack's Abbey.

Speaker 2 [1:14:27] So it sounds like you've learned a lot. Uh, what advice would you give to fellow entrepreneurs?

Justin Kindle [1:14:33] As far as like leading a group, be really proactive and conscious of your internal communication strategy. I think we're really spoiled and we had all of this just built in stuff again, eating lunch together and in an office together and just, you know, it was all happening, we were all here, and I think we didn't build nearly enough structure to our internal communications. Um, just from simple stuff like, you know, the weekly newsletter and, you know, happy birthdays and employee milestones, and, um, they're all of these things that just happen naturally if you can be in the office together every single day that we needed to bring to a structured organized uh level, and um we're not there yet, it's not done, but I, I think we're light years ahead of where we were in the past. So, I mentioned the partnership that you all have with the Celtics at the top here and that, it's a collaboration beer, Pride and Parquet, a hoppy lager. What do you think that's gonna do for the brand moving forward and then what other opportunities are you sort of focusing on out in the marketplace in 2021? Yeah, this is an awesome partnership, and, and it is bigger than just one beer. Pride and Parquet is awesome, but we are the official craft brewery of the Boston Celtics, um, and it, it encompasses the entire Jack's Abbey portfolio, um, so yeah, the collaboration beer is kind of the, the center point of that, the focal point, Pride and Parquet, but the big picture is, um, Building this relationship with one of the, like great legacy institutions of Boston, uh, it, it felt like a once in a lifetime opportunity, and, um, you know, as we look out longer term, we wanna build the Jack Abbey brand into one that, uh, is a, a great Boston institution, um, and we're not there yet, and we've got You know, hopefully, hopefully we'll get there in, in 5 years or 10 years or 20, um, that, that's something that is earned with time, not, uh, not with a splash overnight, um, but I, I think that kind of Uh, stature and that kind of brand is something that was just an unbelievable opportunity to partner with. As far as the, the rest of the marketplace, I mean, uh, our focus, especially for the front half of the year off-premise, that's where we know there will be business, um, where, uh, the, this whole Celtics program is driving a lot of programming. Um, at retail, at grocery, um, so we're, we're really, really excited for 2021 and, and what it can bring to the brewery. What are the early returns that you're getting on the, uh, Pride and Parquet from your wholesalers and retailers? Yeah, the buying has been exceptional. Um, we're, we're just at the tip of the iceberg as far as the volume going out the door, um, we're really just, we can't even load distributors in at this point, it's hitting their docks and immediately turning around into the marketplace, and we'll, we'll catch up with that. That's a pretty typical cycle at the beginning of something like this, um, I think what has been just Clear off the bat is the amount of traction we're getting um on display programming and really just bigger NAP type programming in chain retailers, grocery stores is something light years ahead of any, any kind of traction we've had in the past.

Speaker 2 [1:18:32] Well, and I'm sure as soon as we can have attendance at games again, you'll have so many more arrows in your quiver to activate around, so I'm sure you guys are really looking forward to going to be able to go to the garden.

Justin Kindle [1:18:42] Yeah, I mean that that's a whole another part of the deal that obviously is um not in place at the moment, cause there are no fans in the stands, but um we're very excited to get there at some point, and uh, yeah, I can't wait. Hopefully for the playoffs this summer, we'll see.

Speaker 2 [1:19:02] That would be nice. So, has the way that you define success changed, because I remember you came on Brewbound Frontlines in June and we were having a conversation about this and, and we were talking about growth and, and you were very, you felt very strongly that growth is not the only measure of success. So when you look back at last year and what's coming up this year, how are you measuring what success looks like?

Justin Kindle [1:19:24] I mean, I have, I have two pretty simple, uh, markers that I've put out for myself for Jack's Abbey's success in 2021. Um, 1 is financial and it's being able to provide a stable financial income to our family that, that includes everybody who works here, our, our larger family, um, and two is to make sure that every employee feels valued every day they're in the building. And um, They're a lot. Every employee is a unique human and has a different. Different ways that they want to be shown appreciation, uh, and we need to make sure we're meeting everybody there and, um, if we can do those two things, it's gonna be a really good year. Those are pretty admirable aspirations. So, Sam, we are psyched to have Jack Abbey as one of our rising stars. Thanks for taking time out today and joining us and talking about the journey last year and the journey ahead. Thank you very much for having me.