High-end beer, it seems, is recession-proof.
At least beer from Dogfish Head brewery - that is. From the boom to the bust market, over the past five years, Dogfish Head has grown an average of 40 percent each year, said owner Sam Calagione.
The Milton brewery’s sales are up 42 percent and sales at the Rehoboth pub are on par with last year’s figures.
“In this difficult economy, I think we should be happy with that,” Calagione said.
He said local support, a qualified and enthusiastic staff and attention to quality make Dogfish Head beer successful and popular. Word-of-mouth advertising – that costs nothing – helps the brand, too, he said.
Beer is fairly insulated in a recession because no matter what’s happening in the market, people always want to celebrate, commemorate or forget, he said.
From June through September, between 500 and 700 visitors per week tour the brewery, said Calagione.
He said more than half of these visitors are from out of state. He also said half out-of-state visitors came specifically to Delaware to see the brewery and its inner workings.
“That shows we’re a tourist destination without even advertising. We also support the local businesses that support us,” Calagione said.
Practice makes perfect
The Rehoboth restaurant, Dogfish Head Brewings and Eats, which offers free wi-fi for customers, is also where Dogfish launches new flavors and monthly dinners match special brews with cuisine.
“We’re always experimenting at the Rehoboth pub for new batches,” Calagione said.
While many ales sail through to be produced at the Milton brewery, not all brews are successes, he said.
Arms Akimbo was made with balsam boughs and needles from Dogfish Head, Maine, where Calagione grew up. The beer picked up the earthy flavor of the pine needles, he said.
“That’s an example of beer that might never be made again,” he said, with a laugh.
For St. Patrick’s Day, Calagione wanted to invent a green beer that was not made with artificial coloring and Verdi-Verdi was born.
Made with blue-green algae, the beer tasted like “really appetizing pond scum.” That recipe was scrapped too, he said.
Beer snobs are born
Craft beers, which used to be considered a luxury, are becoming more popular, said Calagione. Wine drinkers are turning into beer connoisseurs, he said.
“If anything, what we’re finding is, they’re trading down from wine,” he said.
He said some consumers, instead of paying $30 or more for a bottle of wine, are paying a third of that for a six-pack of beer. “They’re also pairing beers with food and serving them in courses,” similar to what wine connoisseurs do, Calgione said.
At the brewery, Calagione said some beers are brewed solely for that purpose – to complement specific dishes.
“We’ve identified a niche in craft brewing,” he said. Dogfish’s high-end ales are compatible with certain food and flavor-forward as winelike beer, Calagione said.
Raison D’Etre, a deep mahogany brew, which was voted “American Beer of the Year,” in January 2000 by Malt Advocate magazine, pairs well with steak, duck and mussels.
Indian Brown ale, brewed with caramelized brown sugar and aromatic barley, is best served with stews and smoked meats.
Midas Touch tones down spicy food with its sweetness.
Chicory Stout is best matched with chocolate and desserts because the roasted coffee balances sugary bites, Calgione said.
Coors, Miller Light and Budweiser, together, represent 85 percent of beer sales nationwide. Those beers are just under 5 percent alcohol.
Dogfish Head brews average about 9 percent alcohol and are made with more and exotic ingredients, as opposed to usual recipes, which include barley, hops and wheat.
Dogfish Head beers, however, use such ingredients as pure maple syrup, honey, saffron, chicory and even St. John’s wort.
Local businesses also contribute to the brewing process.
In Lewes, for example, the Lewes Bake Shoppe custom-roasts the organic Mexican coffee beans that are used in the seasonal beer Chicory Stout.
In Milton, once a month, the brewery offers food themes for beer enthusiasts. In November, about 30 guests ate rabbit, caribou and venison as part of the brewery’s game night. In December, Dogfish Head is planning a Chinese-themed night.
Suds going strong
The brewery has been featured in many national periodicals and newspapers, most recently, the annual New Yorker food issue. Enthusiasts can twitter Dogfish online to keep up with fans and the goings-on at the brewery. Continuous inventing and dedicated customers – many who communicate online – make Dogfish Head beer attractive to loyal buyers.
In 2009, Calgione plans to add 25 more employees to 100 who already work in the brewery by Cannery Village in Milton and the dozens working in the Rehoboth pub. “Where we’re at as a company? We’re the biggest craft brewery in the Mid-Atlantic region,” Calgione said.
Make reservations at: www.dogfish.com
Dogfish: a brief history
Dogfish was started in 1995 in Rehoboth Beach. “We were the smallest brewery in the country out of 800 brewers. Today, we’re the 35th biggest out of 1,400,” said owner Sam Calagione.
Dogfish Head in Milton puts out 75,000 barrels of beer per year, which means 5,000 cases per day five days week.