Specialty Food Magazine

SPRING 2015

Specialty Food Magazine is the leading publication for retailers, manufacturers and foodservice professionals in the specialty food trade. It provides news, trends and business-building insights that help readers keep their businesses competitive.

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Both Shellhammer and Fahey believe double-digit growth will slow. But a bust is unlikely, Fahey adds. "I don't think people will say, 'I liked these interesting and f la- vorful beers, but I really want to go back to drinking Budweiser exclusively," he says. Effective Sales Strategies For restaurants, drinks are the biggest profit area. And even though craft beer and spirits offer lower margins, perceived quality allows operators to get a higher markup, especially if the craft aspect is prominently merchan- dised. On the retail side, even though mar- gins are thinner for craft than for domestic beer and standards spirits, craft beverages are higher-ticket items, which drop more dollars into the till. Communicating the local and craft aspects of beers and spirits to customers is essential in encouraging sales, retailers and experts say. Here are some of their tips for making the sale. Educate staff and customers. Staff should be able to talk about products on both a basic and advanced level. "People who are into craft are enthused and tend to be relatively knowledgeable. If your customers are talking beer, you want your servers to be speaking the same language," Fahey explains. To get employees fluent in beer-speak, the Cicerone organization offers three levels of training: certified beer server, certified cicerone, and master cice- rone. "You want your staff certified at the basic level, which ensures they are confi- dent and competent discussing beer flavor and styles, so they can recommend and sell more beer." At South Water Kitchen in Chicago, all servers and bartenders are Cicerone certified beer servers, says Dan Rook, head bartender. "That helps us to turn guests on to new beers." Plan for sampling and placement. "The best way to promote craft beer is to introduce drinkers to the best and fresh- est beer possible through samplings on- and off-premise," advises Jim Koch, brewer and founder of the Boston Beer Company, which produces the Samuel Adams brand. "Sampling is key to garnering sales," says Mulvihill. That's especially true with craft spirits. "To get a customer to spend money on a whole bottle, they want to taste it first." Peco's Liquors regularly holds free tasting events, often with the brewer or dis- tiller present to talk about their products. Much of the trial for craft beer and spirits originates in the on-premise side and then migrates to off-premise retail, says Shellhammer. Bars and restaurants offer consumers more low-risk opportunities to try new products, including free samples, f lights, and tasting events. Once they are hooked by a taste or two, consumers then search out their favorites to enjoy at home. "Merchandising is easy with beer because the market for craft is exploding," says Mulvihill. At Peco's Liquors, beer is seg- regated, with craft on one side of the store, domestic premiums on the other. "We have developed a reputation as a craft beer store." For spirits, Mulvihill has taken the opposite tack: he mixes in the craft with the macros, but craft is well-f lagged. "I'm hoping the guy looking for Grey Goose will see the craft vodka and try it. We are converting them." The store offers a selection of craft mixers, such as Fever Tree Tonic and Fee TRENDS IN CRAFT BEER T he Brewers Association lists nearly 150 distinct beer styles, and innovative brewers are coming up with new ones all the time. Here are categories that are trending upward. Hopped up. By far the most popular craft style in America is the India Pale Ale, bitter and aromatic with hops, hops, and more hops. Hops with notes of citrus and tropical fruit are particular favorites, says Brooklyn Brewery president Robin Ottaway. Lower-alcohol session beers. A backlash against the rise of high-alcohol ales, which can range from 7 to 11 percent ABV, is the so-called session beer. These are high-flavor, low-alcohol (less than 5 percent ABV) versions of popular styles. "That has also meant branching into lagers," the Brewers Association's Bart Watson notes, as traditional German lager styles, as well as Czech pilsners, are generally lower in alcohol than most American IPAs and other ales. "I think 2015 may turn out to be the year of the pilsner." Tart and tangy. "Sour beers are trending," says Pat Fahey of Cicerone. He cites Belgian styles such as Flemish red, lambic, and gueuze, and German Berliner weisse and gose. Many producers have been laying down whiskey in barrels for the past fve or six years. "Now it's time to start tapping those barrels," says Jensen, who predicts an infux of craft whiskeys will be hitting the market. 26 ❘ SPECIALTY FOOD MAGAZINE specialtyfood.com

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