Happy December, damn this year flew by.
Brewery owners are obsessed with revenue.
Sometimes referred to as “Sales” or “Top Line”
“Bruh, sales are down 20% quarter over quarter and we don’t know what to do.”
I am getting the sense that as long as revenue remains the same or grows, you think everything will be fine.
Aye, this is Short Game thinking.
I have three theories as to why you may be focused on revenue as opposed to profit.
-
- Tracking revenue is easy. Whether you pull it up on your phone or you get a nightly email, it’s instant information at your fingertips. This feels good.
- You have a history with revenue. Comparing sales over different periods is a quick, albeit false, glance as to how the company is doing.
- Everything else is hard. Analyzing labor, COGS, Brewery expenses is hard. Yes it is. Also saying “no” is hard. Some people do not have the ability to say “no.
- Tracking revenue is easy. Whether you pull it up on your phone or you get a nightly email, it’s instant information at your fingertips. This feels good.
If revenue is your only concern, we need to have a talk. (real soon)
Revenues can grow all day long, but if expenses are not in line, it doesn’t matter. Revenue DOES NOT cure all.
If you can’t understand how to control the hard part, it does not matter. You are dying a slow death.
Dark metaphor?
Dark times.
Here is another way to think about it. What if revenue does not grow as expected? What if sales remain flat through 2023? What then?
Business must be focused on profit. Period.
Channeling all my closet-introverted control-freaks out there. Guess what? You can control cost….you can’t control revenue.
Ugh, I feel like a broken record. Let me help you figure this out. Please.
Let me help you understand the gap between Revenue and Profit.
It’s so important.
Schedule a call
Talk soon,