Announcement

Collapse
No announcement yet.

Distributor Negotiations Louisiana

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

  • Distributor Negotiations Louisiana

    Hi Folks,

    We're in the planning stage of a 15 barrel brewery with the potential to produce approximately 9,000 bbls per year. Any tips on what we should try and negotiate from our distributor? I've heard rumblings that smaller breweries have signed with smaller distributors which created issues with weekend deliveries and tap handle space. We're specifically interested in negotiations around keg management, tap handle space, store space and of course mark up. Is there anything you can suggest that we should not assume???

    Cheers,

    Karen

  • #2
    Originally posted by Cajunkaren View Post
    Hi Folks,

    We're in the planning stage of a 15 barrel brewery with the potential to produce approximately 9,000 bbls per year. Any tips on what we should try and negotiate from our distributor? I've heard rumblings that smaller breweries have signed with smaller distributors which created issues with weekend deliveries and tap handle space. We're specifically interested in negotiations around keg management, tap handle space, store space and of course mark up. Is there anything you can suggest that we should not assume???

    Cheers,

    Karen
    Hi Karen,
    Welcome to ProBrewer!

    It has been my experience that any negotiating space you may have will be very limited. They will probably have a standard set of parameters that they will "negotiate" to.
    The advantage seems to lie with the distributor. If they don't take you on, one less small brewery they have to try to push and manage. If they do take you on, beware that they are not just trying to contractually "tie you up"; control where your products are and where they are not. Remember that your beers will be competing with the distributors other products too!
    Tap space is incredibly cut-throat! Speak specifically with the distributor regarding how they will get and KEEP tap handle accounts for you. Find out what they need from you to keep accounts. Hint: more than just beer in kegs!

    But before you ink any contract, check with your state's rules and laws to see how easy or crazy-difficult it is to break a contract with a distributor.
    Don't assume they are totally on your side and want your beers to succeed.
    Hope this helps.
    Prost!
    Dave
    Glacier Brewing Company
    406-883-2595
    info@glacierbrewing.com

    "who said what now?"

    Comment

    Working...
    X