Cold is Getting Hot

Earlier this year, I walked into a beer bar where a lot of industry people had gathered. I was approached a little aggressively by a guy who sells Montucky Cold Snacks in the market. “Cold Time huh?” he said, referring to our new lager brand. “Yea, it’s been a fun launch so far”, I answered. “Where’d the name come from?” he fired back. I went on to explain the phrase “proper cold time in tank” that we use referring to the extended fermentation time at cold temperatures that mellow out the flavors of a great, premium lager. Half way through explaining, I realized he was getting at Montucky’s claim to the term “Cold” used in Cold Snacks. My backstory seemed to put his concerns to bed and we went on to have a nice conversation. The term Cold does seem to be proliferating though in this arms race for new lager brands.

The Time ⏰ for Cold 🧊

When developing the Cold Time brand, we chose to prominently feature the Revolution Brewing logo in the same spot as on our other cans. This decision was driven by the belief that a Premium Lager would appeal right out of the gate to the same core audience who enjoys our IPAs, Pale Ales, Sours, and seasonal brews. Since Cold Time complements our existing lineup and aligns with the reputation for quality we've established, we saw no reason to shy away from the brand’s origin.

However, we also recognized that Cold Time, whose model focuses more on volume than margins, would require broader adoption than just our loyal Revolution customers to ever be considered a success. To achieve this greater scale, early investments would be crucial to get Cold Time into new places to find audiences who don’t currently think of themselves as craft beer fans, but are very open to a great, locally made lager. When the opportunity to sponsor Pitchfork presented itself, one of the nation’s premier music festivals right in our backyard, we decided to make the biggest move into music that we’ve ever made.

revbrewchicago

A post shared by @revbrewchicago

Partnering with Pitchfork presented a prime opportunity to introduce Cold Time and Revolution Brewing to over 60,000 music fans over a short, three-day weekend:

• As the exclusive brewery at the festival, the main bars offered Cold Time, Anti-Hero IPA, and our session sour, Freedom Lemonade. With all options priced the same, the distinctive 16oz Cold Time tallboy provided a compelling value proposition compared to the 12oz Anti-Hero IPA, which has a 6.7% ABV.

• Beyond owning the beer category, we took advantage of a large activation space, allowing us to expand our bar offerings and, more importantly, craft an engaging space where guests would want to take a break in between shows. We designed our area with a classic Chicago patio vibe, creating a shaded, comfortable spot for festival-goers to escape, relax, and enjoy a cold beer.

• We also invested in giveaways to double down on the favorable impressions made during the fest to give our brand extra miles beyond it. Despite the additional cost, we opted for Cold Time aviator sunglasses and koozies featuring the complete three-day schedule of shows. The convenience of having the schedule on the koozie, rather than constantly checking an app, earned us a great deal of positive feedback. While many koozies get discarded, those commemorating a memorable event like Pitchfork are more likely to be hung onto and cherished.

Measuring the success of sponsorships can be challenging, as there’s often limited data to prove out the ROI. The margin from on-site beer sales typically cover only a small portion of the overall costs, as the real value comes slowly over time. By getting your product into these dynamic, memorable experiences that attract passionate audiences, new brands like Cold Time are able to extend its reach far past the bounds of “craft beer”. Speaking of which…

Cold Crush

AC Golden is the small batch brewery owned Molson Coors (MC) that operates within the walls of the big Coors brewery in Golden, CO. It’s managed as part of a craft division along four other acquired breweries: Hop Valley (OR), Terrapin (GA), Atwater (MI), and Revolver (TX). Fun fact, the President of these five breweries was a fellow dad on my son’s Peewee baseball team this past Spring & Summer so we had a lot of fun talking shop during games. We never really talked about this new launch called Cold Crush that a co-worker of mine brought to the brewery.

EDIT: About 6 hours after publishing this post, it was announced that Molson Coors sold Hop Valley, Terrapin, Revolver, and Atwater to Tilray Brands. AC Golden will be shut down. How’s that for timing?

The original focus of these craftier brands and acquisitions by MolsonCoors ten years ago was likely with the intent on rounding out portfolios and competing in lower volume, higher margin categories like IPA, Sour, etc. As the momentum swings toward Premium Lagers these days and with Mexican Imports successfully raising their prices to craft levels, it makes sense that MolsonCoors would use their regional brands like AC Golden to probe at a premium tier of lager. So let’s see what they did and I’ll give you my reaction to it: