Market Overview

Granite City Food and Brewery Announces Return to Craft Beer Roots


Key Architect Behind Popeyes Epic Brand Turnaround, Richard Lynch,
Draws on Previous Success in Shaping Granite City's Future

Granite City Food & Brewery Ltd. (OTC:GCFB) today announced a
relaunch of the brand with a return to its craft beer roots. The move
positions Granite City to reestablish its leadership role in the growing
craft beer community. Chief Executive Officer Richard H. Lynch (Dick),
has been here before. He returned Popeyes to its Louisiana heritage and
the company and its investors saw leaps in same stores sales, AUV,
number of units, profitability, and it ultimately sold at a historic
multiple. Now Mr. Lynch has turned his sights on craft beer, and sees a
similar opportunity in Granite City Food and Brewery. He will return the
company to its heritage as a leader in the craft brewing industry and
drive that forward, in turn growing the business, increasing
profitability, and expanding the community of craft beer fans.

Lynch has assembled a world-class management team comprised of industry
experts in brewing, operations and marketing to drive and implement
Granite City's new brand purpose—Build and Foster a Community of
Craft Beer Fans for Life
. He has also appointed longtime employee RJ
Nab as VP-Brewmaster to craft Granite City's calendar of seasonal beer
offerings, which will serve as the inspiration for future menu items, a
key to Lynch's brand strategy.

"All great brands have a clearly articulated purpose that drives the
company strategy and the brand's success. Granite City will exemplify
that approach," said Lynch. "When I looked at the Granite City
opportunity, it became apparent to me that the purpose already existed,
it just needed to be unleashed. With the brand purpose in place, Granite
City is effectively reclaiming its craft beer heritage and planting its
flag in the craft beer community."

"Granite City was one of the first craft breweries in many of the
markets in which we currently operate," said RJ Nab, VP-brewmaster for
Granite City. "Like all craft breweries, we brew our beer on site, and
as we know, fresh beer just tastes better."

To bring the brand purpose to life, Lynch has:

  • Implemented a strategic roadmap to ensure accountability, focus, and
    positive business results
  • Assembled a world-class management team
  • Built a new brand strategy centered on craft beer
  • Created a new marketing calendar driven by monthly introductions of
    seasonal craft beers
  • Instituted a feature program where seasonal beer drives the menu
  • Developed and launched a proprietary employee training program
    entitled "Craft Beer Hospitality"

Granite City's new "Craft Beer Hospitality" guest experience program
will provide employees with a thorough understanding of the brand's
history and craft beer heritage. In contrast to a typical casual dining
experience, this initiative will provide Granite City staff with the
tools necessary to go from merely telling guests about various craft
beers to confidently teaching its customers about craft beer and
its relationship to the Granite City menu.

"Our fresh brewed beer and scratch menu are only half of the story. The
guest experience is the other half and is what truly energizes our craft
beer heritage," said Michael McBride, vice president of operations for
Granite City. "We have designed the training program to elevate the
craft beer experience by educating our staff about craft beer and
empowering them to pass that knowledge on to our guests."

"People are more likely to purchase from brands that educate them in
some way, which leads to a better overall experience," said Lynch. "That
is why this rollout will play a vital role in creating a unique craft
beer experience for our guests."

Granite City has revamped its calendar of seasonal craft beer offerings
which will be leveraged within its scratch kitchen. Granite City's
marketing strategy will include the development of new beer-inspired
menu items and limited time offers that coincide with the changing
seasonal brew collection.

"Every craft beer has an inherently unique flavor profile," said Zach
Miller, vice-president of marketing for Granite City. "Having our
rotating craft beer lineup spill over into our scratch kitchen allows us
to keep our menu fresh and deliver an unparalleled craft beer and dining

The first example of the brand's new craft beer-forward direction can be
seen in its Oktoberfest in-store promotion set to run from September 28
- October 25. During the promotion, Granite City will be re-releasing
its award-winning Oktoberfest Märzen, hosting a beer tapping event for
its loyalty club, hosting bier parties with live music and special
menus, and unveiling its limited time Oktoberfest menu which will be
available throughout the month of October.

"We have renewed our resolve toward building and enhancing the craft
beer community," said Lynch. "The entire Granite City concept will
benefit if we hold true to our mission of creating craft beer fans for
life as opposed to just securing a guest for a night."

About Granite City Food & Brewery Granite City Food & Brewery
operates two casual dining concepts – 35 Granite City Food & Brewery
restaurants across 14 states and 5 Cadillac Ranch All American Bar &
Grill restaurants in 5 states. Granite City features scratch kitchens
and a patented brewing process, "Fermentus Interruptus," allowing each
location to brew and serve fine and fresh handcrafted beer. Cadillac
Ranch offers country-themed food, music and fun in a country casual
atmosphere. Additional information about Granite City Food & Brewery can
be found at
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