New Glarus

New Glarus

Taking a Local Brand Regional?

New Glarus is a Midwest brewery, in New Glarus, Wisconsin, that sells its products in the state of Wisconsin Exclusively. It has tried to distribute their products outside the state once. This case includes a brief background of the company and its products. Attention will be dedicated to the production, distribution, operations and maintaining the branding of New Glarus. This case is set shortly after the founder of New Glarus Deb Carey was named Wisconsin Small Business Person of Year, and the opening of their newest brewery, Hilltop in 2008. Dan Carey (brewer master of New Glarus and husband to Deb) has been contemplating expanding their footprint to cover the neighboring states. As this was written, for the first time, a micro-brewery came from outside the state to set up a brewery, Joseph James Brewery will be setting up their second brewery just outside of Milwaukee, about one hour away from New Glarus.

Early December 2011, Dan Carey, was contacted by Tim Murphy, a close friend. Tim just returned from a trip that could alter many aspects where New Glarus is sold and produced. Dan has been thinking of expanding the New Glarus brand to a few neighboring states. Dan knew that he needed to ensure that the attempt did not fail. Back in 2003, New Glarus had to pay a fee of $20,000 to get the rights back from a distributor in Illinois, which allocated their product in the greater Chicago area. New Glarus tried to supply both the state of Wisconsin and Chicago, but they were not capable of sustaining the production. For which, New Glarus paid the fee and ended the venture.

Dan felt the company was in a much better position and would be able to maintain their foothold in Wisconsin but also have the opportunity to supply Illinois, Minnesota and possibly Iowa and Indiana. But that would have to come down to many variables as; acquiring needed equipment, locations, employees and a relationship with...