2beerguys beer blog

Silver Moon Brewery – Expanding

Phases of the Silver Moon
Microbrewery has grown from a one-beer operation to one with 7 varieties and a pub
By Kimberly Bowker / The Bulletin

It was a snowy night in February 2000 and Tyler Reichert and a friend were driving from Bandon to Bend, hauling an overpacked trailer of brewing system components for Reichert’s new brewery.

As they turned a corner to head toward Chemult, a bright moon appeared and lit the road for the final stretch of Reichert’s arduous 10-hour journey.

“There was a huge, beautiful moon rising up and over the road, and I was like, ‘Wow, we made it,’” he said.

That was the inspiration for the Silver Moon Brewing name and the crescent moon label.

“Bend always has beautiful moons,” said Reichert, owner and founder of the brewery. “Every three weeks there is my crescent, and I look up in the sky and it’s my billboard.”

Reichert established Silver Moon Brewing in 2000 on Division Street in Bend. In 2005, the business moved to its current location on Greenwood Avenue.

Reichert received his bachelor’s degree in forestry at the University of Vermont. He served as a forester in Merck Forest, Vt., and lived in a location inaccessible by vehicle. Reichert and those he lived with got tired of hauling beer bottles in and out, so he began brewing beer.

Eight years ago, Silver Moon was brewing one beer. Today, it offers seven kinds of beer on tap at the brewery. A homemade soda, made with cane sugar, is also offered.

Five staple beers that are always available are the Hounds Tooth Amber, Snake Bite Porter, Bridge Creek Pilsner, Badlands Bitter and the Hob Knob IPA. Two seasonal beers are rotated in and out each quarter to complement the five. The seasonal offerings currently on tap are the High Plains Heffe, also available in bottles, and O’Seanigan’s Irish Red.

Even though Reichert considers himself a purist when it comes to beer, “I drink it all,” he said. “I think they are all very good.”

The brewery produced 1,000 barrels in 2007 and is expected to produce 1,600 barrels this year. The largest sellers are the amber, pilsner and IPA.

One reason for the growth is the brewery’s expansion of bottling its Hefeweizen and amber in 22-ounce bottles. Both beers were previously sold on tap and currently are the only two being bottled.

Bottling began two months ago and bottles are now for sale in approximately 20 locations throughout Deschutes and Crook counties, and one location in Malheur County. A third beer, the porter, is expected to be available in bottles around mid-June.

In part, bottles have been successful because retail outlets pride themselves on offering an extensive range and choice of products, Reichert said. Also, consumers like to eat out, but if it’s too expensive, one alternative is picking up food and beer at a local market, he said.

Growlers, a glass container that holds 64 ounces of draft beer, were previously sold in grocery stores. They are now only available through the brewery.

Silver Moon beer on tap is offered in 55 to 60 locations throughout Central Oregon.

“We are an independent company and distribute our own products. We deal directly with the restaurants,” Reichert said.

With costs of beer ingredients rising, Reichert has had to make some adjustments to the brewery’s operation.

“Before I raise my prices, I say, ‘Wait, how can I make this more efficient?’” he said.

Reichert cut costs by using compact and low-watt florescent bulbs, motion-censored lighting, programmable thermostats and forgoing air conditioning in his upstairs office.

He also recently remodeled the front wall of the brewery to include double-pane and energy-efficient windows to better control temperature and reduce natural gas costs.

Future plans include possible expansion, but probably not until 2010, Reichert said.

“You don’t start a business and grow it as a hobby,” Reichert said. “You do it as a total life commitment. And this is a really fun business.”

Q: How was the company received within the local brewing community when it was first established? And has that changed?

A: The two existing companies (Deschutes Brewery and Bend Brewing Company) didn’t seem to mind. In fact some of the other brewers would visit for a pint to see how things were going. They still do, actually. They were and are glad to have company. Variety is the spice of life and that certainly applies for craft beer. It’s good for Bend’s appeal and for Bend’s proud craft beer community.

Q: Where do you sell Silver Moon beer and what is the target market?

A: Our beer is sold from our taproom on Greenwood Avenue and through many local bars, restaurants and grocery outlets. You can pick up kegs right here at the brewery and have pints at most local restaurants and bars in Bend, Sisters, Redmond, Sunriver, Terrebonne, Fields Station (south of Burns) and Prineville. Our target market is everyone who’s 21 and older who loves variety and great-tasting beer. We don’t discriminate.

Q: How have you altered operations to account for the rising costs of materials, such as hops and fuel?

A: When our suppliers’ price-increase announcements first came to my desk, I had my bartender bring me a pint of our Bridge Creek Pilsner. I leaned back in my chair, read one of the announcements, drank from the frosty glass, licked the foam from my top lip and thought, “Darn, we make a fine pilsner.” Then I dragged my calculator out, a notepad and pencil and figured what the new pricing would do to us. I considered how we could still keep our costs and prices down. The microbrew industry announced significant price increases late fall of 2007 — 6 to 7 percent across the board for kegs and bottled beer. We had to face that music, too. This spring we did raise our keg pricing 5 percent and our taproom prices as well. It’s life in the new world and great beer is worth it.

Q: Silver Moon has created a niche for itself with the Central Oregon music and performance community. Why did you decide to pursue that avenue and how did it evolve?

A: I always saw the Moon Room hosting fun and diverse live shows. I love live music, especially in small venues. It’s more intimate and meaningful. We’ve assembled a great little place for acts to strut and the sound quality in our taproom is surprisingly good. About a year ago, I hired David Bowers to book all of our shows. The Moon Room is still evolving and getting better and that’s exciting. We’ve recently added a 20-inch disco ball for show nights. The patrons love it and I think we’re the only venue in town with one. It’s all about fun, entertainment and great beer.

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