For my fellow beer snobs

[zelda25]

This story warms my porter-loving heart. My FIL is in the malting business; his company doesn't do much for the Anheuser/Coors/Miller crowd anymore, but they have more orders than they can fill thanks to the craft brewers.


Bud and Miller Are Trying to Hijack Craft Beer—and It’s Totally Backfiring

—By Tom Philpott| Wed Jul. 30, 2014 6:00 AM EDT



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Thomas Hawk/Flickr

InBev and MillerCoors loom over the US beer landscape like…well, like one of those monstrous inflatable Bud Light bottles that spring up at certain football tailgate parties and outdoor concerts. Together, the two global giants own nearly 80 percent of the US beer market. InBev alone, corporate owner of Budweiser, spends a staggering $449 million on US advertising.



But also, like those vast blow-up beer bottles, their presence is not-so-faintly ridiculous and always teetering. The industry's signature light beers are suffering a "slow, watery death," BusinessWeek recently reported, their sales declining steadily.



Meanwhile, independent breweries cranking out distinctive product—known as craft breweries—are undergoing an accelerating renaissance. "Sales of craft beers grew 16 percent in volume over the past year versus a 1.7 percent decline for the biggest U.S. beer brands," Bloomberg reported in January. And new craft breweries are budding like hop flowers in spring. Here are the latest numbers, just out from the Brewer's Association. Note that that the number of US craft brewers has nearly doubled since 2010, and grew 20 percent in the past year alone.





Chart: The Brewers Association

Now, here's an historical look at the situation, a chart that I also included the last time I looked at the craft-beer revival, back in 2011. Note that the number of breweries plunged with the coming of Prohibition, surged with the onset of legalization in the 1930s, and then began a long, slow decline as the beer industry consolidated into the hands of giants like Budweiser, Coors, and Miller. By the end of the 1970s, the entire US beer market was being satisfied, if that's the word, by fewer than 100 large brewing facilities.



And then, starting in the early '80s—with the gradual demise of Prohibition-era restrictions like the one that kept breweries from selling beer directly to the public, as well as people's growing distaste for watered-down swill—the craft-brew revival, the one reaching full flower today, emerged.




Chart: Biodesic

For its part, Big Beer has responded to the declining popularity of its goods in two ways. The first is relentless cost cutting. When Belgian mega-brewer InBev bought US corporate beer giant Bud in 2008, it very quickly slashed 1,400 jobs, about 6 percent of its US workforce. And the laser-like focus on slashing costs has continued, as this aptly titled 2012 BusinessWeek piece, "The Plot to Destroy America's Beer," shows.



Ersatz "craft" beers include Shock Top, Blue Moon, Leinenkugel, Killian's, Batch 19, and Third Shift.

The second is to roll out phony craft beers—brands like ShockTop and Blue Moon—and buy up legit craft brewers like Chicago's Goose Island, which InBev did in 2011. Other ersatz "craft" beers include Leinenkugel, Killian's, Batch 19, and Third Shift. The strategy has been successful, to a point. Bloomberg reports that InBev has seen its Goose Island and Shock Top sales surge.



But there's a catch: These stealth Big Beer brands aren't "putting the microbrewers who started the movement out of business," Bloomberg reports. Rather, "the new labels are taking sales from already-troubled mass-market brands owned by the industry giants peddling these crafty brews." In other words, consumers aren't dropping Sierra Nevada or Dogfish Head and reaching for the Shocktop. Rather, ShockTop sales are being propped up by refugees from Bud Light and the like.



Meanwhile, the beer world is buzzing about what would be the granddaddy of all mergers: rumors are swirling that InBev is preparing a bid to takeover SABMiller, a move that would give the combined company 30 percent of the globe's beer market. The motivation, reports the St. Louis Post Dispatch: "A-B InBev could reap $2 billion in cost-savings through an acquisition of their largest rival, through global procurement and shared services, and eliminating job redundancies."



While Big Beer attempts to solve its problems with crafty marketing and yet more giantism, US craft brewers are trying out innovative business models. Big-name craft brewers Full Sail (Oregon), New Belgium (Colorado), and Harpoon (Boston) are all fully employee-owned. Here in Austin, Black Star Brewery and Pub is cooperatively owned by 3,000 community members and managed by a "workers assembly" as a "democratic self-managed workplace." It may sound like it should be a cluster, but the place is always packed, the service is brisk, the food is good, and the beer is excellent. And the employees proudly refuse tips, citing their living wage as the reason. Meanwhile, a forthcoming worker-owned project, 4thTap Brewing Co-op, is creating excitement among Austin beer nerds with its promise to "bring radical brewing to the forefront of the Texas craft beer scene."



For me, all of this ferment underlines an important point about the US food scene: It may be dominated by a few massive, heavily marketed companies at the top, but that doesn't stop viable alternatives from bubbling from below.


www.motherjones.com/tom-philpott/2014/07/craft-beer-revival

[msmerymac]

Well, I think the big players have known for a while that if they want to keep their customers, they need to rely heavily on craft or craft-like beer, because of its surging popularity and the fact that traditional american-style lager really has nowhere to go but down.

BUT I think this article is missing the benefit of partnerships between companies like InBev and smaller craft breweries. Which is distribution. So many people bitched about Goose Island selling out to Budweiser (and they acquired another craft brewery on Long Island this year. Blue Point? I can't remember the name). But the reality is that Goose Island couldn't really keep up with the distribution laws and practices of all 50 states. Hell, a few years ago DOGFISH HEAD announced that they were suspending distribution in a few states, including Texas. The laws and taxes for distribution is just so wonky and different all over the country that it seems like the only brewers who can actually have a true national distribution are InBev and SABMiller. Which is great for them, in a way, because if you get used to drinking Shocktop and Blue Moon when you live in Arizona, you can still find that beer when you move to North Carolina and remain a loyal customer, you know? At the same time, brands like Goose Island get new customers when their beer is able to reach people in Louisiana. I think this is good because not everyone lives in a craft beer mecca, like I do. Seeing more than just Coors, Miller, Bud, Stella, Heineken and maybe Sam Adams at a local bar is a total win for beer in general.

Of course, consolidation means bad things much of the time. I think Goose Island's head brewer left after the merger. Then InBev moved their brewing operations from IL to NY. And of course, consolidating the brewing and management process means less jobs at less breweries, which is what happened with the big market players in the first place. And there's a question of quality of the product, and how much R&D will be spent on new and exciting things. Like wild fermentation, for example. Is InBev, with their careful business model, going to allow a brand they own to take a risk with wild yeast or a really unknown style of beer like grodziskie?

I will admit that I still drink Goose Island when I feel like it and it's the better option available to me. I'm not sure I've seen anything new and interesting from them for a while, though.

[mbcdefg]

MH is a craft beer guy. He thought that this Shock Top commercial was funny, because it shows that they're getting scared:

beerandwhiskeybros.com/2014/07/09/new-shock-top-video-campaign-calls-out-craft-beers-for-trying-too-hard/

[zelda25]

Jul 30, 2014 15:27:48 GMT -5 msmerymac said:

Well, I think the big players have known for a while that if they want to keep their customers, they need to rely heavily on craft or craft-like beer, because of its surging popularity and the fact that traditional american-style lager really has nowhere to go but down.

BUT I think this article is missing the benefit of partnerships between companies like InBev and smaller craft breweries. Which is distribution. So many people bitched about Goose Island selling out to Budweiser (and they acquired another craft brewery on Long Island this year. Blue Point? I can't remember the name). But the reality is that Goose Island couldn't really keep up with the distribution laws and practices of all 50 states. Hell, a few years ago DOGFISH HEAD announced that they were suspending distribution in a few states, including Texas. The laws and taxes for distribution is just so wonky and different all over the country that it seems like the only brewers who can actually have a true national distribution are InBev and SABMiller. Which is great for them, in a way, because if you get used to drinking Shocktop and Blue Moon when you live in Arizona, you can still find that beer when you move to North Carolina and remain a loyal customer, you know? At the same time, brands like Goose Island get new customers when their beer is able to reach people in Louisiana. I think this is good because not everyone lives in a craft beer mecca, like I do. Seeing more than just Coors, Miller, Bud, Stella, Heineken and maybe Sam Adams at a local bar is a total win for beer in general.

Of course, consolidation means bad things much of the time. I think Goose Island's head brewer left after the merger. Then InBev moved their brewing operations from IL to NY. And of course, consolidating the brewing and management process means less jobs at less breweries, which is what happened with the big market players in the first place. And there's a question of quality of the product, and how much R&D will be spent on new and exciting things. Like wild fermentation, for example. Is InBev, with their careful business model, going to allow a brand they own to take a risk with wild yeast or a really unknown style of beer like grodziskie?

I will admit that I still drink Goose Island when I feel like it and it's the better option available to me. I'm not sure I've seen anything new and interesting from them for a while, though.

I think I take a lot for granted because, I, too, live in a craft beer mecca; it's pretty typical to walk into any local MegaMarket and find maybe an 8-ft section for the Big Beers and the rest of the aisle completely devoted to craft beer.

Anyway, your point is a good one, and I wonder if the crafters have mostly been content to keep it fairly regional; I can find familiar craft beer pretty much anywhere along the West Coast, but I know if I went to Chicago or Philadelphia, I wouldn't recognize anything. The local wine industry has the same issue.

[debatethis]

Oooh, porter. I have Great Lakes Edmund Fitzgerald in my fridge at home that's now calling my name. I know they're one of the larger craft breweries but oh, it's tasty.

[zelda25]

Jul 30, 2014 15:36:22 GMT -5 debatethis said:

Oooh, porter. I have Great Lakes Edmund Fitzgerald in my fridge at home that's now calling my name. I know they're one of the larger craft breweries but oh, it's tasty.

I WANT TO TRY ALL THE PORTER!

[msmerymac]

Jul 30, 2014 15:35:27 GMT -5 zelda25 said:

Jul 30, 2014 15:27:48 GMT -5 msmerymac said:

I think I take a lot for granted because, I, too, live in a craft beer mecca; it's pretty typical to walk into any local MegaMarket and find maybe an 8-ft section for the Big Beers and the rest of the aisle completely devoted to craft beer.

Anyway, your point is a good one, and I wonder if the crafters have mostly been content to keep it fairly regional; I can find familiar craft beer pretty much anywhere along the West Coast, but I know if I went to Chicago or Philadelphia, I wouldn't recognize anything. The local wine industry has the same issue.

Surprisingly, there are a good amount of west coast beers in Philly, now, but I get your point. Since moving here I haven't found things from, say, Pizza Port or Craftsman or Eagle Rock Brewing, which are now widely available in stores in Los Angeles, being local to them, let alone interesting things from OR or WA. We do get Russian River, Stone, Firestone Walker, the Bruery, Lost Abbey, Bear Republic, Rogue, Deschutes and Anderson Valley frequently, though.  I was pleasantly surprised by that! And Philly was the only east coast city to get Pliny the Younger in 2013.

I will say that I went to the Great American Beer Festival 2 years ago and Southern Tier Brewing wasn't even there, although they are one of the most sought-after breweries in the US. Apparently the reason is that they are brewing at capacity and have no interest in expanding into other states. I know they are widely available in the northeast and somewhat in the midwest, maybe, but they don't find value in attending national beer events if they don't want to talk about distribution.

[msmerymac]

Jul 30, 2014 15:36:22 GMT -5 debatethis said:

Oooh, porter. I have Great Lakes Edmund Fitzgerald in my fridge at home that's now calling my name. I know they're one of the larger craft breweries but oh, it's tasty.

I had a flight delay during a layover at the Cleveland airport last year. Yeah, that entire time was spent at the Great Lakes Brewing bar. 

[aurora]

Jul 30, 2014 15:35:27 GMT -5 zelda25 said:

Jul 30, 2014 15:27:48 GMT -5 msmerymac said:

...
BUT I think this article is missing the benefit of partnerships between companies like InBev and smaller craft breweries. Which is distribution. ...

I think I take a lot for granted because, I, too, live in a craft beer mecca; it's pretty typical to walk into any local MegaMarket and find maybe an 8-ft section for the Big Beers and the rest of the aisle completely devoted to craft beer.

Anyway, your point is a good one, and I wonder if the crafters have mostly been content to keep it fairly regional; I can find familiar craft beer pretty much anywhere along the West Coast, but I know if I went to Chicago or Philadelphia, I wouldn't recognize anything. The local wine industry has the same issue.

I have to agree with zelda about taking things for granted because of living in a craft beer mecca.  I've never thought much about distribution difficulties beyond my state because you can't throw a stone around here without hitting a new craft brewer.

I do have to say that I had no interest in beer whatsoever before finding craft brewers.  Typical "big beer" is ridiculously boring; you can do so much more with it!

[zelda25]

Jul 30, 2014 15:46:05 GMT -5 msmerymac said:

Jul 30, 2014 15:35:27 GMT -5 zelda25 said:

I think I take a lot for granted because, I, too, live in a craft beer mecca; it's pretty typical to walk into any local MegaMarket and find maybe an 8-ft section for the Big Beers and the rest of the aisle completely devoted to craft beer.

Anyway, your point is a good one, and I wonder if the crafters have mostly been content to keep it fairly regional; I can find familiar craft beer pretty much anywhere along the West Coast, but I know if I went to Chicago or Philadelphia, I wouldn't recognize anything. The local wine industry has the same issue.

Surprisingly, there are a good amount of west coast beers in Philly, now, but I get your point. Since moving here I haven't found things from, say, Pizza Port or Craftsman or Eagle Rock Brewing, which are now widely available in stores in Los Angeles, being local to them, let alone interesting things from OR or WA. We do get Russian River, Stone, Firestone Walker, the Bruery, Lost Abbey, Bear Republic, Rogue, Deschutes and Anderson Valley frequently, though.  I was pleasantly surprised by that! And Philly was the only east coast city to get Pliny the Younger in 2013.

I will say that I went to the Great American Beer Festival 2 years ago and Southern Tier Brewing wasn't even there, although they are one of the most sought-after breweries in the US. Apparently the reason is that they are brewing at capacity and have no interest in expanding into other states. I know they are widely available in the northeast and somewhat in the midwest, maybe, but they don't find value in attending national beer events if they don't want to talk about distribution.

That's interesting, and makes me think that I need to expand my beer-tier thinking. Instead of BigBeers (AB/Coors/Miller) and LittleBeers (all the crafters), I need a tier in the middle: AlmostBigBeer--the crafters like Rogue and Deschutes that are (apparently) nearly ubiquitous.

[lya]

I love craft beer! And I actually like the regional aspect of the distribution. My H and I have made a hobby of sorts visiting breweries and doing tastings. I love that when we go on vacation or travel in general, we can find something new to try.

[mbcdefg]

Jul 30, 2014 15:35:27 GMT -5 zelda25 said:

Jul 30, 2014 15:27:48 GMT -5 msmerymac said:

Well, I think the big players have known for a while that if they want to keep their customers, they need to rely heavily on craft or craft-like beer, because of its surging popularity and the fact that traditional american-style lager really has nowhere to go but down.

BUT I think this article is missing the benefit of partnerships between companies like InBev and smaller craft breweries. Which is distribution. So many people bitched about Goose Island selling out to Budweiser (and they acquired another craft brewery on Long Island this year. Blue Point? I can't remember the name). But the reality is that Goose Island couldn't really keep up with the distribution laws and practices of all 50 states. Hell, a few years ago DOGFISH HEAD announced that they were suspending distribution in a few states, including Texas. The laws and taxes for distribution is just so wonky and different all over the country that it seems like the only brewers who can actually have a true national distribution are InBev and SABMiller. Which is great for them, in a way, because if you get used to drinking Shocktop and Blue Moon when you live in Arizona, you can still find that beer when you move to North Carolina and remain a loyal customer, you know? At the same time, brands like Goose Island get new customers when their beer is able to reach people in Louisiana. I think this is good because not everyone lives in a craft beer mecca, like I do. Seeing more than just Coors, Miller, Bud, Stella, Heineken and maybe Sam Adams at a local bar is a total win for beer in general.

Of course, consolidation means bad things much of the time. I think Goose Island's head brewer left after the merger. Then InBev moved their brewing operations from IL to NY. And of course, consolidating the brewing and management process means less jobs at less breweries, which is what happened with the big market players in the first place. And there's a question of quality of the product, and how much R&D will be spent on new and exciting things. Like wild fermentation, for example. Is InBev, with their careful business model, going to allow a brand they own to take a risk with wild yeast or a really unknown style of beer like grodziskie?

I will admit that I still drink Goose Island when I feel like it and it's the better option available to me. I'm not sure I've seen anything new and interesting from them for a while, though.

I think I take a lot for granted because, I, too, live in a craft beer mecca; it's pretty typical to walk into any local MegaMarket and find maybe an 8-ft section for the Big Beers and the rest of the aisle completely devoted to craft beer.

Anyway, your point is a good one, and I wonder if the crafters have mostly been content to keep it fairly regional; I can find familiar craft beer pretty much anywhere along the West Coast, but I know if I went to Chicago or Philadelphia, I wouldn't recognize anything. The local wine industry has the same issue.

Distribution and liquor laws are weird. In NY you have to buy beer and hard liquor in separate stores; in NJ you can't buy booze in supermarkets or stores like Target/CVS, and Bergen County has Blue Laws on Sundays; and in PA you need to buy it by the case if you want more than 192 oz.

When I went to Chicago on business last month, MH asked me to bring back anything I could find from Three Floyds or Surly. The two times we've driven out to Chicago together, we've made a detour to the Teunta's liquor store Kenosha WI and the Three Floyds brewpub in Indiana.

We usually stop in Tired Hands Brewery when we're in Philadelphia, and we stop in liquor stores to bring back stuff that's not distributed to New Jersey. Bell's, namely.

There are a bunch of breweries opening in NJ nowadays, but mainly in South Jersey. We're near Newark and property prices and taxes are very high in our part of the state, so most businesses open down south where it's a bit cheaper. I follow someone on Facebook who's opening a gluten-free brewery in Jersey City, so that's neat.

[Deleted]

I live in a pretty random place in the middle of Canada, and we still have three local craft breweries. I think part of the point of craft beer is that you can't find it across the continent - if you travel, you try new things. The product has personality because it's made by people that are allowed to do what they love and brew some things that aren't going to be loved by the masses.

But I also love that I can drink a Shocktop instead of a Kokanee at my brother's house. I totally agree that they're stealing business from themselves with the faux-craft beers.

[msmerymac]

Jul 30, 2014 15:52:16 GMT -5 zelda25 said:

Jul 30, 2014 15:46:05 GMT -5 msmerymac said:

Surprisingly, there are a good amount of west coast beers in Philly, now, but I get your point. Since moving here I haven't found things from, say, Pizza Port or Craftsman or Eagle Rock Brewing, which are now widely available in stores in Los Angeles, being local to them, let alone interesting things from OR or WA. We do get Russian River, Stone, Firestone Walker, the Bruery, Lost Abbey, Bear Republic, Rogue, Deschutes and Anderson Valley frequently, though.  I was pleasantly surprised by that! And Philly was the only east coast city to get Pliny the Younger in 2013.

I will say that I went to the Great American Beer Festival 2 years ago and Southern Tier Brewing wasn't even there, although they are one of the most sought-after breweries in the US. Apparently the reason is that they are brewing at capacity and have no interest in expanding into other states. I know they are widely available in the northeast and somewhat in the midwest, maybe, but they don't find value in attending national beer events if they don't want to talk about distribution.

That's interesting, and makes me think that I need to expand my beer-tier thinking. Instead of BigBeers (AB/Coors/Miller) and LittleBeers (all the crafters), I need a tier in the middle: AlmostBigBeer--the crafters like Rogue and Deschutes that are (apparently) nearly ubiquitous.

Very true! Also Sierra Nevada, New Belgium, and Dogfish Head probably. Actually, there is a legal definition of microbrewery and craft beer, as set by congress. And each year, I believe Sam Adams lobbies to increase the amount of production that you can make and still be considered craft beer because it wants to fall under those limits. So if you make exactly as much beer or less than Sam Adams, congratulations, you're craft beer! Sorry, In-Bev. (Actually I'm not sure how it works with sub-brands owned by In-Bev, though, like if Goose Island is still legally craft beer, and only Bud/Bud Light are not.)

ETA: I think Deschutes only came to Philly last year. But I freaking love Chainbreaker. It's very drinkable.

[msmerymac]

Jul 30, 2014 15:56:23 GMT -5 mbcdefg said:

Jul 30, 2014 15:35:27 GMT -5 zelda25 said:

I think I take a lot for granted because, I, too, live in a craft beer mecca; it's pretty typical to walk into any local MegaMarket and find maybe an 8-ft section for the Big Beers and the rest of the aisle completely devoted to craft beer.

Anyway, your point is a good one, and I wonder if the crafters have mostly been content to keep it fairly regional; I can find familiar craft beer pretty much anywhere along the West Coast, but I know if I went to Chicago or Philadelphia, I wouldn't recognize anything. The local wine industry has the same issue.

Distribution and liquor laws are weird. In NY you have to buy beer and hard liquor in separate stores; in NJ you can't buy booze in supermarkets or stores like Target/CVS, and Bergen County has Blue Laws on Sundays; and in PA you need to buy it by the case if you want more than 192 oz.

When I went to Chicago on business last month, MH asked me to bring back anything I could find from Three Floyds or Surly. The two times we've driven out to Chicago together, we've made a detour to the Teunta's liquor store Kenosha WI and the Three Floyds brewpub in Indiana.

We usually stop in Tired Hands Brewery when we're in Philadelphia, and we stop in liquor stores to bring back stuff that's not distributed to New Jersey. Bell's, namely.

There are a bunch of breweries opening in NJ nowadays, but mainly in South Jersey. We're near Newark and property prices and taxes are very high in our part of the state, so most businesses open down south where it's a bit cheaper. I follow someone on Facebook who's opening a gluten-free brewery in Jersey City, so that's neat.

They are delicious (and their bread is so freaking good), but you should also try Forest and Main Brewing!

[erbear]

I live in philly and have been on the craft beer train for about 10 years. We're pretty spoiled here.

Dark beer lovers unite! I went to a beer tasting last week and so many IPAs. No bueno.

[pinkdutchtulips]

Jul 30, 2014 15:46:05 GMT -5 msmerymac said:

Jul 30, 2014 15:35:27 GMT -5 zelda25 said:

I think I take a lot for granted because, I, too, live in a craft beer mecca; it's pretty typical to walk into any local MegaMarket and find maybe an 8-ft section for the Big Beers and the rest of the aisle completely devoted to craft beer.

Anyway, your point is a good one, and I wonder if the crafters have mostly been content to keep it fairly regional; I can find familiar craft beer pretty much anywhere along the West Coast, but I know if I went to Chicago or Philadelphia, I wouldn't recognize anything. The local wine industry has the same issue.

Surprisingly, there are a good amount of west coast beers in Philly, now, but I get your point. Since moving here I haven't found things from, say, Pizza Port or Craftsman or Eagle Rock Brewing, which are now widely available in stores in Los Angeles, being local to them, let alone interesting things from OR or WA. We do get Russian River, Stone, Firestone Walker, the Bruery, Lost Abbey, Bear Republic, Rogue, Deschutes and Anderson Valley frequently, though.  I was pleasantly surprised by that! And Philly was the only east coast city to get Pliny the Younger in 2013.

I will say that I went to the Great American Beer Festival 2 years ago and Southern Tier Brewing wasn't even there, although they are one of the most sought-after breweries in the US. Apparently the reason is that they are brewing at capacity and have no interest in expanding into other states. I know they are widely available in the northeast and somewhat in the midwest, maybe, but they don't find value in attending national beer events if they don't want to talk about distribution.

I was at the AVBC a couple of years ago .. got the GRAND tour of the brewery including the production facility. since it was a Sunday it wasn't in operation and they let an almost 3yo dd run around like a mad woman there ! I'm very glad to see that my philly friends can indulge in one of my favorite craft beers ! 

[msmerymac]

Jul 30, 2014 16:05:26 GMT -5 pinkdutchtulips said:

Jul 30, 2014 15:46:05 GMT -5 msmerymac said:

Surprisingly, there are a good amount of west coast beers in Philly, now, but I get your point. Since moving here I haven't found things from, say, Pizza Port or Craftsman or Eagle Rock Brewing, which are now widely available in stores in Los Angeles, being local to them, let alone interesting things from OR or WA. We do get Russian River, Stone, Firestone Walker, the Bruery, Lost Abbey, Bear Republic, Rogue, Deschutes and Anderson Valley frequently, though.  I was pleasantly surprised by that! And Philly was the only east coast city to get Pliny the Younger in 2013.

I will say that I went to the Great American Beer Festival 2 years ago and Southern Tier Brewing wasn't even there, although they are one of the most sought-after breweries in the US. Apparently the reason is that they are brewing at capacity and have no interest in expanding into other states. I know they are widely available in the northeast and somewhat in the midwest, maybe, but they don't find value in attending national beer events if they don't want to talk about distribution.

I was at the AVBC a couple of years ago .. got the GRAND tour of the brewery including the production facility. since it was a Sunday it wasn't in operation and they let an almost 3yo dd run around like a mad woman there ! I'm very glad to see that my philly friends can indulge in one of my favorite craft beers ! 

My husband and I stayed in Napa on our honeymoon and we actually drove to AV, Bear Republic and Russian River on that trip. Missed out on Lagunitas, but we have to save some for another occasion I guess. 

ETA: We met the northeast distributor for Anderson Valley at a Philly beer week event this year! 

[UMaineTeach]

Jul 30, 2014 15:35:27 GMT -5 zelda25 said:

Jul 30, 2014 15:27:48 GMT -5 msmerymac said:

 I can find familiar craft beer pretty much anywhere along the West Coast, but I know if I went to Chicago or Philadelphia, I wouldn't recognize anything. The local wine industry has the same issue.

The number one thing MH likes about traveling for work is trying all the local/small distribution beer he can find.

[zelda25]

Jul 30, 2014 16:02:55 GMT -5 erbear said:

I live in philly and have been on the craft beer train for about 10 years. We're pretty spoiled here.

Dark beer lovers unite! I went to a beer tasting last week and so many IPAs. No bueno.

Ugh, yes! H is an IPA fanboy; I can't stand the stuff. So we often have His and Hers beer stock in the fridge. He keeps trying to get me taste more IPAs, always insisting that he has trained himself to like all kinds of things that he used to hate, so I need to do the same. Why? Porter is awesome and I don't have to force myself to like it. So weird.

[heyjude]

TL DR!

I have loved craft brew since college! I win! Only now is it "trendy"

/hipster

Craft brew is so big I know two people either thinking about opening their own brewery or are actually opening their own brewery.

And my little neighborhood alone is about to get its second, second (!!!!) brewery!

There's a bubble here folks...

[ESF]

Jul 30, 2014 17:01:32 GMT -5 heyjude said:

TL DR!

I have loved craft brew since college! I win! Only now is it "trendy"

/hipster

Craft brew is so big I know two people either thinking about opening their own brewery or are actually opening their own brewery.

And my little neighborhood alone is about to get its second, second (!!!!) brewery!

There's a bubble here folks...

I actually don't think there's a bubble.  I think the number will just eventually level off at some point, but given that Bud, Coors, etc still have GINORMOUS market shares compared to the little guys, there's still a long way to go before microbreweries start going belly up or aren't able to compete. 

There are hundreds of wineries in Sonoma alone.  Most just make small batches and sell to wine clubs.  There's no reason why this can't happen with beer.  

I know a few people in the wine industry and who are involved in the home brewing/start up brewery community, and neither field is competitive - the goal is to steal customers from Gallo and Bud, not from other small competitors. More small competitors are great for them. As with wine, a brewery in BFE is just a brewery, but if two breweries open up, it's a destination that drives traffic from farther away and benefits both. That second brewery doesn't steal their customers, it increases them.  So there's tremendous joint efforts in removing barriers to these industries, which is aided by an extremely mobilized fan base that will attend town meetings and get involved in state efforts to increase their access to these things.

With beer especially -- I bet there are still a lot of people who like craft beer, but wind up drinking Blue Moon because it's what's at the grocery store. Or that's what they can get a keg of for big parties, weddings, etc.  But if a craft brewery opens up in the neighborhood, or a state craft wine club opens up and delivers real microbrews to their doorstep, they'll switch.   

[UMaineTeach]

Jul 30, 2014 17:17:23 GMT -5 ESF said:

Jul 30, 2014 17:01:32 GMT -5 heyjude said:

TL DR!

I have loved craft brew since college! I win! Only now is it "trendy"

/hipster

Craft brew is so big I know two people either thinking about opening their own brewery or are actually opening their own brewery.

And my little neighborhood alone is about to get its second, second (!!!!) brewery!

There's a bubble here folks...

 So there's tremendous joint efforts in removing barriers to these industries, which is aided by an extremely mobilized fan base that will attend town meetings and get involved in state efforts to increase their access to these things.

H and I are doing our state's Beer Trail where all the breweries that joined the Brewer's Guild got on a map. They are all working together to get more business for them all.

Small brewers and microbrew fans in the state have also gotten 2 laws changed recently, advertising the % alcohol on menus and feeding spent grains to pigs.

[heyjude]

Jul 30, 2014 17:17:23 GMT -5 ESF said:

Jul 30, 2014 17:01:32 GMT -5 heyjude said:

TL DR!

I have loved craft brew since college! I win! Only now is it "trendy"

/hipster

Craft brew is so big I know two people either thinking about opening their own brewery or are actually opening their own brewery.

And my little neighborhood alone is about to get its second, second (!!!!) brewery!

There's a bubble here folks...

I actually don't think there's a bubble.  I think the number will just eventually level off at some point, but given that Bud, Coors, etc still have GINORMOUS market shares compared to the little guys, there's still a long way to go before microbreweries start going belly up or aren't able to compete. 

There are hundreds of wineries in Sonoma alone.  Most just make small batches and sell to wine clubs.  There's no reason why this can't happen with beer.  

I know a few people in the wine industry and who are involved in the home brewing/start up brewery community, and neither field is competitive - the goal is to steal customers from Gallo and Bud, not from other small competitors. More small competitors are great for them. As with wine, a brewery in BFE is just a brewery, but if two breweries open up, it's a destination that drives traffic from farther away and benefits both. That second brewery doesn't steal their customers, it increases them.  So there's tremendous joint efforts in removing barriers to these industries, which is aided by an extremely mobilized fan base that will attend town meetings and get involved in state efforts to increase their access to these things.

With beer especially -- I bet there are still a lot of people who like craft beer, but wind up drinking Blue Moon because it's what's at the grocery store. Or that's what they can get a keg of for big parties, weddings, etc.  But if a craft brewery opens up in the neighborhood, or a state craft wine club opens up and delivers real microbrews to their doorstep, they'll switch.   

Interesting!

I don't know. Two separate friends, one home brewing in talks with others to start something, the other actually opening a brewery in the fall. And two new breweries opening up in my neighborhood all happening within the past year makes me think cupcakes, cupcakes, cupcakes!

Mmmmm. Beer and cupcakes.

[Deleted]

I like that so much craft beer is local and you can't always find something you may want. It means I am more likely to try new beers.

I was a big bud light girl until my first pregnancy. After not drinking, when I had a bud light I realized how awful it was. So I switched to better beers. Which usually means craft but doesn't have to. My brother has a kegorator in his basement and brews a lot of beer so I'm also spoiled with new tastes that way.

I'm also horrible with names so can't always remember what I liked. It's annoying lol

I agree with MMM though that distribution is tricky. We have a brewery here (well eastern shore) called Evolution and they may have to move part of their operation to Delaware bc of how wonky Marylands laws are in this respect.

[pescalita]

Jul 30, 2014 15:35:27 GMT -5 zelda25 said:

Anyway, your point is a good one, and I wonder if the crafters have mostly been content to keep it fairly regional; I can find familiar craft beer pretty much anywhere along the West Coast, but I know if I went to Chicago or Philadelphia, I wouldn't recognize anything. The local wine industry has the same issue.

To this point I think there is a variety, and it's one of the nice things about the boom. You have someone like Russian River on the one hand, who's basically all "make more? nah, we're good", and someone like Lagunitas on the other hand, who's all "BUILD ALL THE BREWERIES SELL ALL THE BEER". I appreciate what Magee is doing because he's keeping the quality and kind of "spreading the love" without really selling out or sacrificing the product and that's awesome, but at the same time, much as I kind of think Vinnie is full of himself (:::cough, overrated, cough:, I respect that he likes what he does and he isn't chasing more.

And because we have so many more craft breweries, we have enough that there are plenty of either philosophy, and everyone's happy.

Here's the 2013 craft beer sales rankings by brewery. It always really surprises me. I've never heard of Gambrinus and someone like Shipyard feels so small to me.
www.brewersassociation.org/attachments/0001/4525/CBP13_Top_50.pdf

[pescalita]

Jul 30, 2014 17:35:30 GMT -5 @mrsbecky07 said:

I'm also horrible with names so can't always remember what I liked. It's annoying lol

There's an app for that - untappd.com/

[heyjude]

Lest anyone is confused, I adore craft beer!

Beer > wine!

[UMaineTeach]

Jul 30, 2014 17:35:51 GMT -5 pescalita said:

Jul 30, 2014 15:35:27 GMT -5 zelda25 said:

Anyway, your point is a good one, and I wonder if the crafters have mostly been content to keep it fairly regional; I can find familiar craft beer pretty much anywhere along the West Coast, but I know if I went to Chicago or Philadelphia, I wouldn't recognize anything. The local wine industry has the same issue.

Here's the 2013 craft beer sales rankings by brewery. It always really surprises me. I've never heard of Gambrinus and someone like Shipyard feels so small to me.
www.brewersassociation.org/attachments/0001/4525/CBP13_Top_50.pdf

If I was going to pick a ME brewer to put on the list I would have said Shipyard. They have started to feel more like an actual mid-size brewery and a restaurant business and less like a "downhome" microbrew company.

I also just read that Allagash (the other ME on the list) got included in the Beer Camp pack mentioned above, is expanding their facility and holding a $65/head beer festival on Friday.

[Deleted]

Jul 30, 2014 17:38:50 GMT -5 pescalita said:

Jul 30, 2014 17:35:30 GMT -5 @mrsbecky07 said:

I'm also horrible with names so can't always remember what I liked. It's annoying lol

There's an app for that - untappd.com/

When the tapped out thread started , I thought it was about that app and beer LOLOL. It took a while to realize it was about a game. Regardless I need to use that app. It would help me so much.