The Real Costs Of DIY Craft Beer E-Commerce: Real Estate (Part 2 of 2)

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Real estate is expensive.

The adage, “location, location, location” was coined for a reason.

When a brewer decides craft beer is their calling and they complete the initial benchmarks (see Part 1), they embark on a real estate journey to find a location to suit their needs. This is the entry point for real capital, financing, and commitment to the vision. What was once a dream is now becoming a scaled, growing operation.

Rates vary from market to market, but rarely does anyone describe attractive real estate as “cheap” or “inexpensive”. How much time have you spent on LoopNet? 

This is why breweries need to maximize revenue per square foot and make sure they keep costs in check. Many craft breweries are choosing not to waste valuable square footage with the storage of their branded merchandise.

Consider this math:


  •  Current sq. ft. dedicated to merchandise: 2,000 – 4,000 
  •  Cost per sq. ft: $10-15
  •  Total annual cost: $20,000 – $60,000

Staffing and real estate expenses add up to significant line items on financial statements. $20-60K can go a long way to the cash flow of a growing craft brew operation.  Applying an e-commerce program to deliver better merch, to more customers, with faster and less expensive logistics is the best way to capture cost savings, a better bottom line, and successfully support the growth of a craft beer brand.

Let’s chat. We can model your staffing and real estate expenses and see if there’s ways to make your system more efficient. > 434-260-5889

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