IPO vs IPA.... Wait.... What???
Walking into the office this morning, I heard a guy say “hey, did you see that Uber launched their IPA today?”. I gave it a good laugh and went on about my day thinking “I know, man. It’s Friday and I can’t wait to sip on an ice-cold IPA later either.” But, as the day went on, I kept thinking back to that moment and thought this was a great idea for a blog. So, this week’s blog is titled IPA vs IPO. It’s not going to be your normal marketing blog. Actually, it’s nowhere close to a normal marketing blog. But why not have a little fun to end the week, right? You see, this person’s statement is funny because Uber did not launch an IPA today. They launched an IPO, or Initial Public Offering. This is the title given to the process of taking a private company public. According to Investopedia, it is the very first sale of stock issued by a company to the public. An IPA, on the other hand, is a type of light-colored beer with a higher than average alcohol and hop content. Here at RM SEO, we are a fan of both and we are going to have a little fun discussing the difference between the two, bring them together, then close with a marketing pitch (turning this into a marketing blog, duh!). So grab an IPA and dig in.
Every company starts somewhere. Usually, this involves the founders investing a large sum of their own money into the company with the hope of growing the business. As private companies grow, they will realize that they need outside funding to continue to grow. This normally results in the company going from private to public. This is where an IPO comes in. The company launches an IPO to raise the capital it needs by selling shares. Then stock holders can trade those shares later for a profit if they are lucky. It’s a win-win situation for everyone involved.
An IPA is a beer, typically enjoyed by people of the hipster variety, that contains just about any hop imaginable. Legend has it, the IPA was born when British soldiers were in India and wanted their pale ales. However, the beer would go bad due to the tropical climate. Patriotic brewers stepped in and added a whole bunch of extra hops to the pale ales, and called it the India Pale Ale. I don’t know how true this is, but I heard it at a brewery one time. So, it’s got to be kind of true. Don’t @ me if it’s not. Anyways, these guys (creators of the IPA) are legends if you ask me.
You’re probably wondering where I’m going with this and how I’m possibly going to tie these two together, right? Me too.
Well, let’s dive in and give this a shot! Looking at the current state of craft brewing in America, many local breweries have started small and exploded into huge breweries. People love going to breweries. Here in Atlanta, it’s the thing to do when the weather is nice. Literally everyone does it. Every single millennial (21 and up of course) wants to stand on a patio with their friends drinking an ice cold IPA. It’s just what the cool kids do. This means that those small breweries that just wanted to make a little money while doing something they loved now have to seriously think about growing their companies. Many brewing companies have already done this. For example, there is Anheuser Busch, Ambev, Boston Beer (Sam Adams), Compania Cerv, Constellation, Craft Brew, Diageo, Embotelladora, and Molson Coors. I think it’s safe to assume that there will be many more joining this list in the next few years. These breweries are getting so big that they just can’t raise the money needed to sustain growth through private funding. They are going to have to launch an IPO at some point.
Ok, now that I’ve tied an IPO to an IPA, you’re still probably wondering why a marketing blog is writing about it….
Let me explain. Those breweries that are still working on growing need someone to help them with their marketing. You see, they could just hire someone on full time to run their marketing department. But chances are, money is tight and adding another person to the team is going to be too expensive. In steps RM SEO. Serving as your outsourced marketing director, we can do everything that the full-time employee could do for a whole lot less money. We’re talking 20% of that person’s annual salary. It’s a no brainer. You brew the beer, we grow your brand. Next thing you know, that new IPA will lead to that IPO and everyone wins. Contact us today to learn more!