The team-up between Drake’s and Bear Republic could follow this trend. In 2015, they converted an old Dodge dealership in Oakland into a 10,000-square foot beer garden, and in 2018, they opened Drake’s Barn in Sacramento, a two-acre event space with a gigantic, International Design Award-winning pavilion erected in the center. I mean, we're just not making money.”ĭrake’s descent has been less dramatic, and the company has found a strength in creating on-premise experiences. “That's where we needed to make some changes. “I just don't know how survivable it is under its current format,” Norgrove told the Santa Rosa Democrat Sentinel in December 2022. This December, facing seasonal challenges and continued competition with a food-focused location, Bear Republic shuttered their Rohnert Park taproom for the winter and furloughed 40 workers. In 2019, they closed their original Healdsburg location, and their co-founder and CEO, Norgrove’s father, stepped down. Its Denogginizer Double IPA (+12.1%) and Hopocalypse Double IPA (+35.1%) both showed significant volume gains in chain sales last year.īear Republic also struck some gold last year with new releases, including a IPA variety pack and Tropical IPA that showed promise in stores.Ĭomments this week from brewery leadership focused on the opportunity they see moving forward instead of past hardships, although for Bear Republic, change has come fast in recent years. There are some bright spots, however:ĭrake's has found success with bigger and bolder beers. Things haven’t been easy for Drake’s, either, whose chain retail sales are -25.5% in the same timeframe. From 2017-2022, Bear Republic’s chain retail sales volume tracked by market research company IRI declined nearly -60%, roughly the same amount its flagship Racer 5 has lost. It hasn’t been able to fully recover since.īy selling its brand to Drake’s, the move is positioned as a way to reinvigorate interest in a legacy brand that has been losing share of mind among consumers.
While still producing significant volumes, the brewery was hampered by climate change in 2015, forcing a reduction of volume and drastic pullback of distribution during a historic drought in California. For most of the 2010s, Bear Republic was among the top-50 craft breweries in the country, as defined by the BA. Through merger, acquisition, or some form of new partnership, these deals represent what’s increasingly seen as needed support during a more challenging time to sell craft beer, which includes higher ingredient and operational costs.ĭrake’s, founded as Lind Brewing in 1989, and Bear Republic, founded in 1995, are stalwarts of the Golden State and-at one time for Bear Republic-the national beer scene. This time around, the hope is another partnership will infuse new excitement into both breweries.Īccording to data from the Brewers Association (BA), Bear Republic hit an all-time high of volume in 2016, selling 81,800 barrels of beer, but that total declined to just under 37,000 barrels in 2021, the most recent year of data.ĭrake's production went as high as 44,086 in 2019 but was down to 29,700 in 2021, per the BA.ĭrake’s did not respond to a request for comment by the time of publication.Īs the business climate for craft beer gets tougher, the two California breweries are echoing a recurring refrain of strength in numbers that has been heard from breweries across the Midwest, Southeast, Mid-Atlantic, and beyond. Bear Republic’s Norgrove and Drake’s Martin have been longtime friends and even business partners, opening Berkeley’s Triple Rock Brewing together in 1986. Subscribe to PremiumĪccording to the report, Bear Republic president and CEO Richard Norgrove and brewmaster Peter Kruger will remain on staff following the sale. Big plays, smart moves, and otherwise curious indicators of beer's possible future. From Barons to Barrels with Captain Pabst.
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