Diversification

New Belgium has chosen a limited corporate diversification strategy and is essentially a single-business firm focused solely on the production of beer. This is not unusual in the craft brewing market with most breweries pursuing this strategy. The one revenue stream outside of beer is brewery swag that is sold online and in their taprooms. This swag while revenue generating, is essentially a marketing tool. Because New Belgium is privately held it is difficult to gain access to their detailed financials, but it is difficult to imagine this tiny amount of t-shirts, hats, and other New Belgium branded merchandise amounts to even 5% of their sales. Instead of pursuing a diversification strategy, New Belgium continues to focus on their original plan of producing great beer while behaving as a socially conscious employee-focused company.