Atwater Brewery invests $1 million to 'help us make the best beer possible' | Crain's Detroit Business

2022-10-15 10:44:58 By : Mr. Yunya Fashion

Atwater Brewery this year marked 25 years in business and the company is working to ensure the next 25 are even stronger for Detroit's largest brewery.

Atwater is wrapping up $1 million in capital improvements that have been underway for more than a year, according to President Katy McBrady. The updates include adding state-of-the-art kegging and packaging lines, she said.

"The improvements will allow us to produce more beer at a faster rate, package more," McBrady told Crain's. "We'll be able to send more of a variety of beer into the market, too. Our intent is for us, over the next 25 years, to make the best beer possible."

The improvements could also bring new jobs.Atwater currently has a staff of about 65 employees. The company has done some hiring to fill vacant positions, McBrady said.

"Hopefully we'll sell more beer, bring more people in," said McBrady, who took over as president of Atwater in April.

Selling more beer is the ultimate goal, McBrady said. Atwater, which has taprooms in Detroit, Grosse Pointe and Grand Rapids, has plans to add more IPA options, following the 2020 release of the Pog-o-licious IPA. The company is also working on an easy drinking lager.

Atwater is best known for its traditional German-style lagers, along with boutique brews Dirty Blonde and Vanilla Java Porter, which are the company's best sellers.

The capital improvements come a bit more than a year after Atwater launched a $100,000 brand update that included changes in packaging and a new logo.

"Our hope is to provide a beer for every occasion so (consumers) don't have to look anywhere else," McBrady said. "That's where bringing in someone with technical brewing ability, and having the right equipment to brew multiple products can make a big difference."

That technical expertise comes from Cordell DeMattei, who joined Atwater after serving as director of fermentation science at Central Michigan University since 2015. DeMattei will oversee brewing for Atwater.

"We're excited about the hire for a number of reasons. (DeMattei) will focus on quality, safety, and all the things that go into running a manufacturing facility," McBrady said. "(DeMattei) has also taught some of the best brewers in the state. Hopefully we can bring them into the pipeline."

Coming down the pipeline, too, is more work with Detroit-based organizations. McBrady said to expect some exciting activation with the Detroit Tigers next year. Atwater partnered with the MLB team this season for a craft beer night, and has undisclosed plans in the works for that partnership. Tigers officials did not respond to emails seeking comment. Atwater is also working to build a relationship with local nonprofit groups. Each month in 2023, the brewery plans to work with a different group and donate $1 from each pint of a featured beer sold at the Detroit taproom to that organization.

"We want to bring Detroit into our taproom, and we want the folks who come into our taproom to take some knowledge of Detroit with them when they leave," McBrady said. "We're trying to find the right groups right now. March is International Women's Month, so we're trying to tie in the local community with that."

The community work is possible in part because Atwater continues to run as an independent company, although it is two years into being acquired by Tenth and Blake Beer Co., the U.S. craft division of Molson Coors Beverage Co., for an undisclosed price. McBrady, 34, has worked only under the Molson umbrella, but believes the larger brand trusts Atwater brass enough to police itself.

"I think the relationship with (Molson) is more them supporting us if we need it, but we're still operating as a standalone business," said McBrady, a 2022 Crain's 40 under 40 honoree. "We need that flexibility to be nimble."

McBrady declined to share sales and revenue information, but said Atwater's sales have been consistent in 2022. Molson Coors Senior Director of Corporate Affairs Jennifer Martinez-Roth also declined to disclose financial details.

Tenth and Blake President Jeff Agase on Tuesday said having properties such as Atwater Brewery in its portfolio is a part of Molson Coors' revitalization plan. The plan, implemented in October 2019, was designed to allow Molson Coors to invest across its portfolio at a level to drive long-term, sustainable growth and operating efficiencies, according to its website. "We know craft beer brands like Atwater bring higher margins, higher revenue to distributors and retailers, and we know consumers love it," Agase said. "The craft business is fundamentally a local one and that's why we're excited to have breweries like Atwater in our family.

"Atwater is one of the longest-standing breweries in the Detroit area, and we have a great opportunity to establish ourselves as 'the' brewery of Detroit."

As Atwater looks forward to its next 25 years, the focus is on owning the Detroit market, McBrady said, including a major event in a couple of years.

"The city is having a big renaissance right now, and we want to be there every step of the way," McBrady said. "When the rest of the country sets its sights on the (NFL) Draft in 2023, we want to be the beer people drink, so when they go back home they continue to talk about (Atwater). We're hyper-focused on the home market. Our big ambition is that every consumer who rolls through the city has an Atwater beer in their hand at some point."

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