Brewdog chief cites negative press for sales slump after Tilray takeover

Irwin Simon, the chief executive of the new owner of Brewdog, has attributed the craft beer firm’s recent sales decline to negative media coverage surrounding its change of ownership. Simon stated that the company experienced a slump of up to 20 per cent year on year following its acquisition by the US cannabis and drinks maker Tilray. He described the trading figures as horrible, a result of the public perception that the brand was on the verge of exiting the market. The new leadership is now launching a comprehensive reset to stabilise the business and rebuild consumer confidence after the dramatic collapse of the company earlier this year.

The takeover by Tilray in March was completed for a sum of £33m, marking the end of a turbulent period for the firm. Brewdog, which had previously been valued at as much as £1bn and is credited with kickstarting the country’s craft beer obsession, saw much of its operational structure fall into administration. The transaction included the brand, intellectual property and 11 of its UK pubs, while the remainder of the business entered administration. This process resulted in the immediate closure of 38 bars and the loss of 484 jobs. Simon noted that the public did not fully understand the mechanics of administration, leading to a loss of consumers who stayed away from the brand due to the press coverage.

To counter these challenges, Brewdog is set to unveil 11 new products as part of its strategic reset. The new range includes a hazelnut-flavoured stout, a raspberry ripple IPA and a raspberry doughnut stout. The company has also made a series of senior appointments in recent days, which it describes as the start of a new exciting chapter. These hires include a new marketing director to lead the Choose Craft campaign and a managing director of bars and hospitality tasked with boosting sales across the remaining bar estate. Simon emphasised that the company put its heads down to invest in the brand despite the unhelpful and meaningless press reports that had circulated.

Brewdog was co-founded by James Watt and Martin Dickie in 2007 and gained fame through its equity punks model, which allowed everyday investors to buy small shares in exchange for beer-related perks. The firm recently launched a multi-million pound campaign to raise awareness of its new ownership, a move that included a critique of the former leadership. The campaign referenced claims from 2021 of a toxic culture under Watt and Dickie, stating that Tilray’s ownership would feature a little less allegation. Watt had previously apologised for his mistakes and launched an independent review before stepping down as chief executive in 2024, while Dickie left the business in August last year. Simon said the new campaign was designed to acknowledge the past without appearing arrogant, and the firm’s sales have reportedly risen year on year in the week since the campaign launched.