Ask the Collective
The questions independent drinks founders ask most — answered. Distilled from years of community knowledge so the good stuff never disappears in the feed again.
How do brewery cellar line installations and venue equipment ownership typically work in pubs and bars? Can venues purchase equipment, and what are the rental/service arrangements?
Brewery cellar equipment ownership and terms vary by deal and brewery size, but here's what the community has seen in practice: **Typical ownership and control:** - Breweries usually retain ownership of installed cellar equipment (chillers, lines) and handle insurance and servicing via a specialist like **Innserve**. - Unless there's a formal agreement in place, venues are generally free to change which products they serve, though enforcement is inconsistent—most venues simply switch taps without pushback. - The rules are treated as "a bit of a grey area" and enforcement depends heavily on the brewery's attention and rep involvement. **Line rental and purchasing:** - Venues can rent existing lines from whoever installed them, which leaves the brewery with minimal liability and is often the easiest route. - Breweries may "sell" a line to a venue for around **£150 per line** if the venue wants to add a brand the brewery doesn't control (e.g., Guinness). - There is mention of a threshold period after which venues may have a right to purchase equipment outright from the brewery, though the exact timeframe is unclear and this should be verified with the specific brewery. **Deal structures (larger brewers):** - Large brewers like Carlsberg and Heineken have historically used cellar equipment as a tool to tie venues into exclusivity: they may insist all lines be purchased through the brewery, including brands they don't produce, often tied to volume targets or retroactive rebates. - Cask volumes are sometimes used as a negotiation tool for free lines, since larger brewers are less concerned about cask sales. - Smaller brands are increasingly cross-charged for line access. **Key caveats:** - If you purchase equipment outright, you must have someone available to service and maintain it—this can be a burden, especially on busy Saturday nights when breakdowns occur. - Before negotiating any new arrangement, find out what deal (if any) the venue is already on, as this shapes what's negotiable. - Community members noted this information was 6+ years old; practices may have evolved.
What approach works best for on-trade venue activations—should brands collaborate or compete?
Members strongly favour **collaborative activations over competitive ones**, describing them as more creative and effective for building relationships with venues and audiences. **Key recommendations:** - **Partner with complementary brands** rather than competing directly. Members highlighted a successful co-branded activation as "one of the best activations I have seen in years," emphasising the value of "collaborating not competing." - **Expect venue margins of 20–25% on spirits** when working with chain venues like **Inn Express**; factor this into your activation economics. - **Build relationships with venue group decision-makers early**. Members note that venue groups like **Open House London** (which operates The Lighterman, The Broadcaster, The Italian Greyhound, and Boxcar) are worth targeting directly; introducing yourself via site visits and building rapport with marketing leadership can open doors for summer activations and menu placements. - **Be prepared to generate takings that offset activation costs**—members joked about running tabs and placing bets during activations to cover stand costs. **Caveat:** Collaborative events can get "out of hand" as the day progresses, so plan your activation timing and engagement strategy carefully.