Founder's Spotlight - Scotty Hunter

When Scotty Hunter started Urban Artifact in 2015, it wasn't just about making beer – it was about creating something different. With his background in chemical engineering and a passion for brewing, Hunter saw an opportunity in the craft beer market that others had missed.

"We wanted to do something that we like doing and provide that to other people," Hunter explains. "When we set up brands, we want them to have a very clear market position, focus, expertise, and niche. We don't want to be everything to everybody because we don't think that's how any long-standing brands have ever been successful."

That focused approach has paid off. Urban Artifact now produces over 10,000 barrels annually, placing it in the top 3% of U.S. breweries. But what makes them truly unique is their dedication to fruit-forward sour beers, earning them the title of the world's largest dedicated fruit brewery.

Mastering the Art of Fruit Beer

Urban Artifact's success stems from their innovative brewing process. The brewery uses a proprietary strain of lactobacillus, captured from their building's church bell tower and banked at Omega Yeast Labs. This unique approach creates their signature tart profile that serves as the perfect canvas for their fruit-forward creations.

"We found our most success when we started doing our fruited lines," Hunter shares. "We make it a big focus to listen to what our consumers are saying and our feedback, then distilling that down and creating things that we expect they're going to like."

Adapting to Change: The Pandemic Pivot

When COVID-19 hit, Urban Artifact demonstrated remarkable adaptability by shifting to direct-to-consumer shipping. Despite the challenges facing the beverage industry, their direct sales showed impressive growth.

"In 2020, our direct sales, including taproom and online sales, were actually positive compared to 2019," Hunter reveals. "We shipped 500 barrels worth of beer, which other breweries might scoff at, but anybody in beer realizes how much volume that actually is."

This successful pivot not only helped them weather the pandemic but also laid the groundwork for their next venture: Coastalo THC beverages.

Entering the Cannabis Beverage Market

Hunter's entry into the THC beverage market with Coastalo wasn't just a business decision – it was personal. "I drink less and less. I tell people I'm kind of bad at drinking. I'll get a hangover after one, maybe two drinks," he explains. "Through some friends and family, I would get access to cannabis products in low dose form that I thoroughly enjoyed, and that became my personal preference."

Coastalo's approach to THC beverages reflects the same focused strategy that made Urban Artifact successful. Rather than trying to compete in the crowded seltzer market, they've created a line of nostalgic sodas with unique seasonal offerings.

Innovation in Cannabis Beverages

One of Coastalo's most exciting innovations is their draft program. "We have a two-milligram per 12-ounce item on draft," Hunter explains. "I think that's a way to really get the on-premise channel on board with this category."

Their seasonal offerings, including flavors like Christmas Cookie and Pumpkin Spice, demonstrate their understanding of consumer behavior. "People are people," Hunter notes. "When it's Christmas time, they want something Christmas themed. They're not gonna change."

Looking to the Future

While optimistic about the cannabis beverage market's potential, Hunter maintains a realistic perspective on the challenges ahead. "I think people need to temper their expectations because that education piece takes time," he cautions. "I think we're going to fight regulation on and off... but it's gonna ebb and flow."

The market is becoming more competitive, and Hunter believes success will depend on more than just having a THC beverage. "Distributors that are already active in the space and doing well with it are self-limiting on the number of brands they're going to carry," he observes. "I think what a lot of distributors learned from the craft beer boom and the seltzer craze is to maybe be a little more measured."

Building Sustainable Brands

For both Urban Artifact and Coastalo, the focus remains on creating quality products that resonate with consumers. "We wanted a full-flavored beverage," Hunter says of Coastalo's development. "From our perspective, the point of these is very experiential. People want to taste something that is good."

This commitment to quality and consumer experience, combined with their innovative approach to both craft beer and cannabis beverages, positions Hunter's ventures well for the future. As the cannabis beverage market continues to evolve, his experience in building successful craft beverage brands provides valuable insights for the industry's development.