From Almost Broke to Booming: The Story of Voodoo Brewery's Craft Beer Empire

Mar 28

Written By Tom Lamont

From Almost Broke to Booming: The Story of Voodoo Brewery's Craft Beer Empire

Voodoo Brewery Interview - Another Round

Voodoo Brewery: A Craft Beer Success Story

Introduction

The craft beer scene in the United States is brimming with success stories, but few tales capture the spirit of entrepreneurial hustle quite like Voodoo Brewery. This Pennsylvania-based company, known for its innovative brews and community-focused taprooms, has grown from a single location on the brink of bankruptcy to a multi-state empire with over 20 establishments. But the journey wasn't always easy.

This article dives deep into the fascinating story of Voodoo Brewery, drawing insights from a recent interview with Matteo Rachocki, the company's CEO. We'll explore their early struggles, the strategic decisions that fueled their expansion, and the unique approach to franchising that has made them a leader in the craft beer industry.

Key Takeaways:

The importance of community: Voodoo Brewery didn't just open taprooms, they embedded themselves within their communities, becoming an integral part of the social fabric.
Financial Prudence: They focused on steady, manageable growth, reinvesting profits strategically instead of pursuing rapid, unsustainable expansion.
Flexibility: Voodoo's willingness to adapt their taproom concept to fit each community highlights their focus on localized success.

Listen to the full interview:

Bootstrapping and Brewer Dreams: A Family Affair

The story of Voodoo Brewery begins not with a grand investment or a meticulously crafted business plan, but with a shared passion for craft beer and a dash of sibling camaraderie. Matteo and his brother Curtis, fueled by their experiences in New York and a desire to bring something new to their hometown of Meadville, Pennsylvania, found themselves drawn to the struggling Voodoo Brewery in 2011.

"The business was in the process of going bankrupt," Matteo recounts in the interview. "And my brother called me on the phone. I remember it vividly. It was like, hey, you know, I've been kind of working on his brewery and, you know, it's got some potential early on, but it's in financial trouble. Now, you think I might be a really cool way for us to have that brewery dream a little bit sooner."

With limited resources and a "let's make it work" attitude, the Ricci brothers pooled their funds. Matteo, leveraging his experience in New York, focused on the business side, while Curtis, a biochemist with a passion for brewing, took charge of the production. Their first order of business? Establishing a direct retail program by opening a taproom.

"The very last $76 we had went into the cash register," Matteo reveals. "When we open up in Meadville in, it's one in 12. So it's the truth."

This shoestring budget operation became a defining moment for Voodoo Brewery. The success of their taproom, a European-style gastropub with a focus on community engagement, proved that their vision for a brewery experience resonated with local beer enthusiasts.

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From One Taproom to a Statewide Chain: Calculated Expansion

The initial success of their Meadville taproom fueled the brothers' ambition. However, unlike some breweries that might prioritize rapid expansion, Matteo and Curtis took a calculated approach.

"We didn't bring in a large amount of capital when we took this thing over," Matteo explains. "So, you know, had to go really far out and meet with every one of our, you know, loans and angel investors and make sure that we were back on a good track there to meet with our landlord who owned the building at the time, make sure that we had, you know, rent that we could manage."

This focus on financial responsibility allowed them to reinvest their profits strategically. They prioritized paying their employees a fair wage, a crucial step in building a strong and loyal team. Once their financial footing was secure, they started thinking about expansion.

"We just made sure, okay, cash flow coming in, we can meet our debt obligations, we can pay our rent or utilities. Obviously, we can pay an employee to come in," Matteo says. "I remember our first employee, Adam, the good buddy of ours, and like it was just a really interesting time. We just I think the three of us said, okay, now if we can bring some in to help us run some packaging stuff that would free up some time."

Their next move was a strategic one – opening a second taproom in Pittsburgh, a larger city with a burgeoning craft beer scene. This decision, coupled with their focus on replicating the successful model of their first location, laid the groundwork for their future growth.

"It was very, very calculated," Matteo emphasizes. "Again, you know, like the closest, biggest city to us. And needless, Pittsburgh is only an hour and a half away. And it's it's a much bigger opportunity for for making revenue in a bigger city like that. So we did."

Building a Playbook for Success: The Art of Franchising

As Voodoo Brewery expanded, they embraced a unique approach to franchising. Instead of a one-size-fits-all model, they focused on creating a "playbook" for success. This playbook outlined best practices for everything from taproom layout to menu development. However, a crucial element of their strategy wasn't captured on paper – a deep understanding of the local community.

"We don't franchise everything and pick this thing up and try to transplant it someplace else. You know, we adapt. Our pub to be completely on par with the rest of the community. Where it resides will change. Things like design will change things like food, menu items will change, will change all kinds of aspects to make sure that it is embraced by the community and it fits with the community."

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Conclusion: The Voodoo Brewery Legacy

The story of Voodoo Brewery is one of passion, perseverance, and a relentless focus on quality and community. Their success serves as an inspiration to craft beer enthusiasts and entrepreneurs alike. While their journey is unique, the principles that underpinned their growth - financial responsibility, community engagement, and dedication to quality - can fuel success in any craft brewing venture, from a passionate homebrewer to those who aspire to open their own taprooms.

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