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Lohrmanns Brew at an economic turning point: Managing Director's departure in the context of declining beer markets

From left: Prof. Dr. Thomas Henle, Francisco Arroyo-Escobar, Prof. Dr. Jan J. Weigand (Image: PR)
From left: Prof. Dr. Thomas Henle, Francisco Arroyo-Escobar, Prof. Dr. Jan J. Weigand (Image: PR)

The Dresden brewery Dresden Lohrmanns Brew is surprisingly parting ways with Managing Director Francisco Arroyo-Escobar. The move comes at a time when the German beer market is experiencing significant declines. What does this mean for the future of the university brewery?

Change at the top: Who will lead Lohrmanns Brew in the future?

On December 31, 2025, Francisco Arroyo-Escobar will end his operational management at Lohrmanns Brew. According to a LinkedIn post by the company, those responsible thank Arroyo-Escobar "for your commitment, your energy and many strong years". In future, his duties will be taken over by a dual management team consisting of the founders and so-called "Lohrmanns Profs" Prof. Dr. Thomas Henle and Prof. Dr. Jan J. Weigand. Both are not only the scientific brains behind the project, but have also been part of the management and strategic direction since its foundation. Henle and Weigand thus look set to play a central role in growing into operational management.

Lohrmanns Brew: science meets brewing practice

The brewery is not just another craft beer producer - it was "brewed under supervision", as it says in its own company presentations. Founded in close association with Dresden University of Technology, chemists and food chemists have developed beer creations here that appeal to both local beer lovers and interested parties from the university world.

In early 2024, Lohrmanns also opened a brewery restaurant at Kraftwerk Mitte Dresden, a location designed to combine the art of brewing, gastronomy and science. There, master brewer Gregor Reichardt announced: "We won't be producing run-of-the-mill Pilsners and boring standard beers", underlining the company's claim to special quality and variety.

German beer market in a downward spiral

The change of personnel at Lohrmanns comes at a time of considerable structural challenges for the German brewing industry: according to n-tv.de, beer sales in Germany are falling to a record low. The majority of beer was still sold domestically, but with a significant drop - around 5.8 percent - compared to the previous year. The German Brewers' Association stated that "breweries, like retailers and restaurants, are feeling the effects of the massive consumer restraint".

Such trends hit small and medium-sized breweries particularly hard, as they often have less of a buffer against market fluctuations than large, established brands. Operational management, cost management and market positioning thus gain additional economic weight.

Economic pressure and strategic options

For a company like Lohrmanns Brew, the pressure in the overall market means that strategic decisions have to be made with particular care. Local roots, experimental recipes and an academic background create a strong brand identity - but these are no guarantees against the increased competition, falling demand for classic beers and cost increases that many breweries are experiencing.

The fact that Arroyo-Escobar's departure was communicated publicly and transparently could be interpreted as a strategic move to reassure stakeholders. At the same time, the change in personnel offers the opportunity to rethink internal structures and possibly take further steps towards professionalization.

Importance for Dresden and consumers

Lohrmanns Brew is part of the lively craft beer scene in Saxony and stands for innovation and local identity. A successful transition in this economically challenging phase can send a strong signal to other small breweries, which also have to navigate between tradition, experimentation and economic realpolitik.

For consumers, this means that craft beers remain part of the regional culture - but whether they are preserved in their current diversity also depends on economic decisions at company level.

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