Craft Brewery Financial Training Podcast

The Validation Model: How One Brewery Keeps Reinventing Itself


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Brian Deignan shares how his brewery, Validation Ale, achieved 29% growth last year through systematic innovation and strategic expansion while he, as an owner, maintained a Monday-Friday, 9-5 work schedule. 

Brian explains his unique concept where beers compete for menu placement based solely on sales data, and his methodical annual process for identifying growth opportunities.

• Validation Ale's competitive model forces continuous innovation with 143 unique recipes created in three years
• Each beer category features a "validated" beer and a challenger that can replace it if sales are higher
• Brian's systematic "growth driver" process evaluates potential initiatives based on revenue potential, capital requirements, and feasibility
• Distilling spirits emerged as this year's growth initiative, generating 28% beverage revenue increase from day one
• Building consistent profitability across all days of the week took patience—nearly 2.5 years before lunches and slow days became profitable
• Staff culture focuses on training managers to "think like owners" through regular coaching and biweekly all-staff meetings
• Social media marketing works best when showcasing behind-the-scenes content with staff rather than polished promotional material
• High engagement metrics don't always translate to actual customer visits—line dancing content went viral but only two people attended

Key Takeaway: For brewery owners struggling with financial challenges, implement a systematic growth driver exercise to identify new revenue opportunities rather than remaining stagnant in a shrinking market.

Resources

  • Learn more about Validation Ale
  • Sign up for the FREE brewery financial training newsletter




Ready to transform financial results in your beer business? Learn more about the Beer Business Finance Association, a network of owners and managers working together to build more profitable companies.

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Craft Brewery Financial Training PodcastBy Craft Brewery Financial Training Podcast

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