Both sustainability and beer were critical aspects of our trip. Sustainability is, after all, the professional reason for the trip, what we plan on doing with our careers now that we’ve returned. Beer was a necessary and enjoyable diversion along the way.
In fact, I managed to sample 63 international brews from Efes in Turkey to Murray’s Whale Ale in Australia. Many of them were cold, refreshing and quite nice, but some, like Sakkara Gold in Egypt, were quite bad. I did manage to get pictures of many of them along the way. The documentation of the labels alone is worthy of a presentation. (BTW – if there are any companies out there looking to tap my expertise in this area I am happy to discuss!)
Before we dive into the recent opportunity I had to combine both sustainability and beer here in Philly, below is a slide show of the beers I had while traveling. The “*” captions are rating system from *= “wow, I want my money back” to **** = “amazing, are you exporting to the US yet, and if not do you want to?”
With that background, it should come as no surprise that when I found out that the Wharton Alumni Club of Philadelphia was hosting an event at Yards Brewery I was probably the first one to sign up. In addition to having quite tasty beer, Yards is Pennsylvania’s first 100% wind-powered brewery.
My take away from the event, which included tastings and a brewery tour, is that Yards has implemented a laundry list of sustainability tactics including:
Bowling Alley Bar
- Bar tops are reclaimed bowling alley lanes.
- Floors are made from recycled concrete and coated in SoyCrete sustainable compound.
- All fixtures, furniture and equipment are reclaimed.
- T-shirts and hats are created from organic cotton.
- All glass and cardboard is recycled through the Pedal Co-Op.
- Grains are donated to local farms as feed.
- Yards cases are printed using 65% post-consumer recycled cardboard at a local SFI-certified manufacturer.
And while all of these tactical efforts are to be applauded, when asked about what their commitment to being a “lean, green, brewing machine” has done to help with their marketing or sales there was no clear answer. What was offered up was that Tom Kehoe, the founder, is now able to speak to it in talks and meetings, as well as the staff promoting it on tours like the one I was on. It is a shame in a way. If Yards is implementing a more comprehensive sustainability strategy there are significant opportunities to secure relevant certifications and awards such as ISO 14000 or LEED Certification for their newly constructed brewery, just to name a few.
Also, other than a small section on the website, buried on the “Tours” page, there is no proactive marketing of the efforts being undertaken. More importantly, Yards is not necessarily benefiting from the costs being incurred to implement these tactical efforts. One that I saw while on the tour was that Yards is using Organic Sugar as an ingredient, and while there is a significant price premium on this ingredient, there is no mention of its use in the beer or a larger commitment to the use of organic ingredients.
I am sure that some of Yards’ strategies result in reduced energy costs and that is a great initial motivation. But unless you have a strategy to capitalize of the investment in terms of differentiated marketing, new products or industry certifications or awards, it will remain a list of tactical feel-good efforts. And unfortunately they will likely lose momentum, as there is no larger goal that the company appears to be striving towards.
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Are you saying that there’s something wrong with doing sustainable good without requiring some sort of profit from it? I would guess that if more people operated this way we’d live in a much more sustainable world (and this is coming from someone who admittedly won’t do something sustainable unless there’s something in it for me besides peace of mind.) I also think there’s a good chance that in their target market overbranding as organic/sustainable may actually hurt them?
Lew – I don’t think there is anything wrong with environmentally sustainable actions that do not directly drive sales or profit, I just think that if there is no larger strategy driving those decisions for a business then it is a nice gesture, but will be abandoned when resources eventually become tight.
Also I find it interesting that you feel that some level of marketing of the sustainability efforts being made by Yards, with no changes in the product or pricing, could negatively impact their business. Yards is a premium priced and positioned beer in the market, a pretty far cry from Natural Light. I am never an advocate of leading with the “green” benefits of a product as the primary communication, but if they are making the investment why not win the toss up when a customer is considering a Yards ESP vs a Philly Brewing Company Walt Wit? Do you know of a product that moved to a Green positioning, with no other material product changes, and failed because of it? I would be intrigued to hear about that example.
Hmm. Can’t seem to reply to your comment? I’ll just put it here instead. I don’t know one way or the other how the consumer will react. What if given two equally priced beers someone thinks they’re paying more for the overhead of the sustainability efforts then for beer quality and that they’re getting better beer/dollar with the non-branded? Maybe too much branding will make some think “This is hippie beer!” Of course, there’s a ton of other possibilities, many more realistic then that I’m sure. The nerd in me would like a controlled study, or at least an A/B test. Yards, if you’re reading and do it, please release the results, the people want to know!
I concur sir, A|B testing is a great idea and not only do I want the results, I want to be a tester. Those Ales of the Revolution are pretty darn good.