Skip to main content
Business

1500% sales bump: Bar owners rake it in at city’s first outdoor booze zone

Three people in festive attire drink from large beer glasses, surrounded by inflatable pretzels, celebrating together in an outdoor setting.
Friday’s Oktoberfest celebration cost roughly $60,000 to produce. | Source: Kevin Shea Adams

Thousands of attendees, even more downed steins, and lederhosen galore: Last week’s Oktoberfest celebration in California’s first legal public drinking zone exceeded organizers’ expectations. 

“It was a ridiculously busy day — it was everything we hoped for and then some,” said Andy Chun, owner of Schroeder’s, one of three bars that hosted the event. “People drank all the beer. They ate all the pretzels. They danced until 10 p.m.” 

The street party — which hosted an estimated 10,000 revelers throughout the day — was a trial run of the city’s new “entertainment zone” concept and marked its latest attempt to make downtown fun again at a time when offices are emptier than ever. 

A bustling street filled with people at an outdoor Oktoberfest event, featuring tables, beer, and food stalls, while a large banner welcomes attendees.
Thousands of revelers gather Friday for Oktoberfest on Front. | Source: Noah Berger for The Standard

A yodeling competition, axe throwing, and live music wooed attendees, according to Chun. The biggest issue was that the unexpectedly big crowd meant there were long lines.

“Operationally, there’s a million things we’d want to improve,” he said. “But people were patient, and there was definitely a lot of goodwill and positive energy.” 

All told, Schroeder’s rang in double its usual revenue for the annual Oktoberfest event, while Harrington’s Bar & Grill, another business on the strip, said its sales were 1,500% higher than a typical Friday, as it sold about 5,000 beers. 

“It exceeded our wildest expectations,” said Ben Bleiman, partner at Harrington’s and president of the San Francisco Entertainment Commission. “I think it was a validation to people like myself who have been saying that nightlife is going to be the catalyst for bringing our downtown back.”

The investment in time and money to pull off the event was worth it, he added: “August was so slow that we were nervous financially, and this one event set us right. So it was an absolute godsend.” 

Three men dressed in traditional lederhosen hold up beers, smiling outside Harringtons Bar. The scene is lively with people in the background, capturing the festive atmosphere.
Harrington’s Bar & Grill says sales were 1,500% higher than a typical Friday. | Source: Noah Berger for The Standard

That said, the festivity didn’t come cheap. The Downtown SF Partnership — the community benefit district that includes the Front Street entertainment zone — received a $50,000 grant through the city’s Downtown ENRG initiative to fund entertainment and nightlife and spent $25,000 on Oktoberfest. Schroeder’s, Harrington’s, and the third bar in the zone, Royal Exchange, each pitched in $10,000, while real estate firm BXP chipped in $5,000. 

But the leader of the Downtown SF Partnership said the event’s success brought ample rewards beyond the giddy attendees and ample beer sales.

“There was definitely a ripple effect with other businesses,” said president and CEO Robbie Silver. He walked by nearby bars and restaurants like Perbacco, Tadich Grill, and Irish Times and saw folks wearing the free Oktoberfest hats passed out to attendees. “People are not only going to come for an event, they’re going to go to multiple bars, or dinner, and spend their dollars downtown,” he said.  

To make events like Oktoberfest easier (and cheaper) to plan, the Board of Supervisors has voted unanimously in support of legislation to create a master permit system for entertainment zones, which would streamline the process of working with the city. Meanwhile, Mayor London Breed proposed legislation to waive 49 annual fees for small businesses and launch four new entertainment zones.

As for Front Street’s entertainment zone, the team has plans for a holiday event in December, a St. Patrick’s Day party, and smaller evenings featuring live music or outdoor movies. A Halloween bash could be in the cards for next month. While there’s more competition downtown for the year’s spookiest holiday, Bleiman and Chun said the momentum from Oktoberfest’s success seems worth chasing. 

“We kind of feel like we have to do something for Halloween,” Bleiman said, “We’re the fucking Front Street entertainment zone!”