Open a brewery by another brewery

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Meckhart

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Is it ok to open a brewery a few buildings down from another one?
 

Rockn_M

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Are you asking legally?

If the two breweries have good beer and a good atmosphere that people want to be at and there are enough people in the area to buy the product, they should both be successful.

If your asking if it will be successful that depends on the market and the product being sold. There's a place in Texas that I visit at least once a year that has dozens of wineries. There's a portion of the highway that has winery after winery. They all have great products and a great environment. So they are successful.
 

betarhoalphadelta

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Is it ok to open a brewery a few buildings down from another one?
There are actually advantages to doing so...

https://en.wikipedia.org/wiki/Network_effect

When some folks I know were talking about opening a joint, they were looking at Anaheim or Irvine. One advantage of Anaheim would actually have been being close to other breweries, since it makes it easy for people to do multiple breweries in a single day, and could potentially increase traffic relative to being the "only guy in town".
 

Dirt_McGirt

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In terms of capitalism, totally fine - cutthroat competition and may the best man win, and all that.

Otherwise, even in terms of the ethics along the lines of "we're all brothers," there's an argument to be made that it's fine. If one or both of you have a business model that's focused mostly on distribution rather than on-site sales, then there's no conflict.

However, even if you're both banking on tasting rooms and on-site sales/marketing being a significant driver, there's an argument to be made that the two of you being next to each other provides an incentive for more people to make the trip and patronize BOTH of your establishments. It's known as clustering. It's the reason why adjacent ski resorts often welcome competition from their neighbors, since it promotes the entire area as a destination, overall.
 

EJay

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I live in a town with over 100 wineries (about 1 per 100 people!) and wine grapes aren't grown (to any great extent) within 100 miles. But it draws the tourists, and we have office parks where there are a dozen wineries in the same building. If I ever open a brewery it will be right here in the midst of all of it.
 

MarshmallowBlue

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There are actually advantages to doing so...

https://en.wikipedia.org/wiki/Network_effect

When some folks I know were talking about opening a joint, they were looking at Anaheim or Irvine. One advantage of Anaheim would actually have been being close to other breweries, since it makes it easy for people to do multiple breweries in a single day, and could potentially increase traffic relative to being the "only guy in town".
This.

There are no brewery tour shuttles without multiple breweries.
There are no wine trails without multiple wineries etc etc.

As long as you don't do the same niche (say mostly belgian, or mostly sours etc.) if they have one, the only other requirement would be to produce equally good beer.
 
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HELL YEAH! You both will benefit!

I think at first there might be the " ohh crap" idea but I think the breweries in Bend OR, would agree with me. The more the BETTER!

Cheers
Jay
 

ShaneBelcher1

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I live in Asheville and it is pretty common to see one brewery while sitting at another. I've walked to 5 in an evening before, I prefer them to be closer than further away
 

CA_Mouse

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We have two breweries that are in the same building in a business park. Opposite ends of the building and both are doing very well. One is a Brew Pub and the other is a Tap Room. Biggest difference is no food for one and lots of overhead for the other!
 

Zuljin

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Restaurants and fast food joints do it all the time.

So do gas stations, hotels, motels, auto body shops, mechanics, junknyards and car dealers. Their business models differ some than breweries, but they still do it, and it still works.
 

JReasoner

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There's a place in Texas that I visit at least once a year that has dozens of wineries. There's a portion of the highway that has winery after winery. They all have great products and a great environment. So they are successful.

If you're talking about the place I'm thinking of there's also a brewery along that stretch of highway, and people visit the area from all around. It's one of the few places in Texas that you can walk down the sidewalk holding a pint of good German beer.

Man, this makes me want to visit Fredericksburg again.
 

Calichusetts

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There are actually advantages to doing so...

https://en.wikipedia.org/wiki/Network_effect

When some folks I know were talking about opening a joint, they were looking at Anaheim or Irvine. One advantage of Anaheim would actually have been being close to other breweries, since it makes it easy for people to do multiple breweries in a single day, and could potentially increase traffic relative to being the "only guy in town".
Spot on. Especially if there are very few in your area. You begin to build the idea of the brew-tour. Portland, Maine is a great example of this. Allagash for your yeastie boys, then literally footsteps from Bissell for your hop heaven. A few blocks from a distillery and another brewery. A dozen more in the area as well.

Just be careful, going into an over saturated market can be challenging. As someone pointed out, your beer better be as good or better than the competition. Or at least offer beers that those around you don't.
 

Rockn_M

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If you're talking about the place I'm thinking of there's also a brewery along that stretch of highway, and people visit the area from all around. It's one of the few places in Texas that you can walk down the sidewalk holding a pint of good German beer.

Man, this makes me want to visit Fredericksburg again.
That's the place!

Next time you go there is a great restaurant called Der Lindenbaum. After a day of drinking wine at ALL the wineries it was great to get some good German food and good beer. :tank:
 

GotPushrods

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I would go sit down with the owner, tell him what I was thinking, give him some research on the matter, and tell him it's his decision.

Whatever he decides, you've probably got a friendly partner brewery next door or across town. Better than pissing him off and trying to push you out when you first start up.
 

BigMack

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A small brewery is opening up literally right across the street from another small brewery in town. They are turning that area in town into a destination with a little park and food trucks. The minor league ballpark is right down the street. I love the idea and cant wait to spend some time over there.
 

m00ps

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the answer would depend if its within walkable distance from my condo
 

losMythos

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Foundation Brewing, Austin Street Brewing And Bissell Brothers are literally in the same building...Its actually been a good thing for all Breweries.
 

kevy_kev

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Happening as we speak in a dry town around the corner. They both say they are cool with it as people will go out on a beer trail day. Which should help the area and all the local breweries. I think deep inside there has to be some competition. A good businessman has to believe their product is better than everyone else's.
 

pat10323

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Happening as we speak in a dry town around the corner. They both say they are cool with it as people will go out on a beer trail day. Which should help the area and all the local breweries. I think deep inside there has to be some competition. A good businessman has to believe their product is better than everyone else's.
Dry town!!...f**k that
 

biertourist

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Many good points made here.

I think the key is to know what your brand is and what separates it from your competition. Tell that story and reinforce it with every customer interaction. On the same front know your market and where the "space" / niche is relative to your peers/competition.

The area you probably can't avoid competing in is IPAs; they're critically important and you'll want to make sure yours is better than the next guys, if you can't, carve out your niche.

The Portland scene has some pretty extreme niche markets; sour-only breweries, gruit only breweries; I'd be shocked if there wasn't someone focusing on extremely sessionable beers there, too although I can't think of who off of the top of my head.


Adam
 

broadbill

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Foundation Brewing, Austin Street Brewing And Bissell Brothers are literally in the same building...Its actually been a good thing for all Breweries.
Although Bissell is now moving out of that space:confused: I get that they need more space, but the draw to that park (for them as well as the others there) seems to be huge.
 

losMythos

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Although Bissell is now moving out of that space:confused: I get that they need more space, but the draw to that park (for them as well as the others there) seems to be huge.
Yup! Thought the SAME thing..Hope the Move to the point doesn't hurt the vibe there...Whos knows maybe foundation and or Austin street will be joining them in a few years.
 

broadbill

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Yup! Thought the SAME thing..Hope the Move to the point doesn't hurt the vibe there...Whos knows maybe foundation and or Austin street will be joining them in a few years.
I dunno, considering Allagash the established "anchor" in that park, BBB may be the one losing out a bit (although BBB has some rabid fans, myself included).

I thought they would have tried to keep some sort of presence in the park. Maybe move brewing off-site and have a kick-ass tasting room in the old space?
 

losMythos

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I dunno, considering Allagash the established "anchor" in that park, BBB may be the one losing out a bit (although BBB has some rabid fans, myself included).

I thought they would have tried to keep some sort of presence in the park. Maybe move brewing off-site and have a kick-ass tasting room in the old space?
True. I guess the Credit for Industrial way goes to Allagash (I'm ashamed that I never went to Allagash all the times I've been there) Although I would like get my hands on some of their coolship series beers. I was extremely impressed with Austin Street last time I was up there. they have really improved their beers. That Patina Pale is one hell of a Beer IMO. Gonna be a different Place without BBB but who's gonna take their Place?? Remains to be seen.
 
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