🧮A Practical Guide to ROI on Spent Grain Automation🧾

Many craft brewers are asking:

💬 Is it worth automating our spent grain packaging process? The answer lies in a few key numbers — and they’re easier to calculate than you might think.

In this article, we walk you through a simple, structured method for calculating your return on investment (ROI) from automating spent grain handling. You don’t need a finance background — just a few data points from your own operation and a clear view of your goals. 📈

🔍 What Is ROI — and Why Does It Matter?

Return on Investment (ROI) is a calculation that helps you see whether a purchase or upgrade (like automation equipment) will bring in more value than it costs.

Here’s the basic formula:

👉 ROI = (Savings – Costs) ÷ Costs × 100

Where:

• Savings = money saved or gained
• Costs = amount invested or spent

This shows how much benefit (in percent) you’re gaining for every dollar you spend.

But for long-term planning, most breweries focus on two specific metrics:

✅ Payback Period

How long it takes before the money you save or earn equals the amount you spent.

✅ 10-Year ROI Projection

How much financial return you’ll get over a decade — this helps you plan ahead.

🧾 A Step-by-Step ROI Calculator for Breweries

Here’s a simple way to break down your costs and savings:

1️⃣ Estimate Your Spent Grain Output

The average brewery produces 0.2 kilograms of spent grain per liter of beer brewed.

Example: If your brewery produces 2 million liters/year, that’s about 400,000 kg of spent grain.

2️⃣ Calculate Labor Savings

How many hours per week do your staff spend handling wet spent grain?

Multiply that by your hourly wage rate and the number of weeks per year.

Let’s say 10 hours/week at $25/hour over 52 weeks = $13,000/year

Automation can significantly reduce or eliminate this time.

3️⃣ Track Disposal or Handling Costs

Some breweries pay to have spent grain hauled away. Others need special handling.

If you spend $3,000/year on hauling fees, this adds to your potential savings.

Use these numbers in our ROI tool to compare your current costs against the cost of automation.

📊 Real-World Example: Medium Brewery ROI Breakdown

Let’s look at a real example of a 2 million-liter-per-year brewery:

Before automation:

• $16,000 in revenue from selling spent grain

After automation:

• $22,000 in improved resale value (better packaging = better price)
• $26,000 saved in labor and waste handling = $48,000 in yearly benefit

🛠️ Equipment cost: ~$175,000

📆 Payback time: ~3.65 years

After that, the system continues to generate savings and profit.

🌍 The Extra Benefits You Might Not Be Tracking

Some value isn’t easy to measure in dollars — but it matters:

♻️ Environmental Impact

Spent grain sent to landfill breaks down and releases carbon dioxide (CO₂).

👉 1 ton of spent grain = ~0.25 tons of CO₂ emissions

Diverting this waste through reuse or resale helps your brewery lower its environmental footprint.

🏅 Brand Value

Did you know that 68% of consumers are willing to pay more for beer from eco-friendly brands?

By showcasing your sustainability efforts, you can strengthen customer loyalty and even attract new buyers — especially in local or premium markets.

🔜 Coming Next: Creative Ways to Reuse Spent Grain

In the next article, we’ll explore how brewers are turning their waste into innovative new products — like vegan leather, high-protein flour, and sustainable building materials.

♻️ Your spent grain could be your next product line!

💬 Have you already tracked your spent grain costs? What surprised you most? Let’s discuss below!

#BreweryAutomation #SpentGrainSolutions #CraftBrewingROI #SustainableBrewing #SmartInvestments #MeasurementInBrewing #FoodWasteInnovation 🍺📉🌱