Posts tagged ‘sales’

Beer prices may go up!!!! Agggghhhhh!!!

Here’s a sad article I found today about shortages around the world causing beer prices to go up due to the increase in price of hops.  Here is the devastating article!

Tightening supply of hops could mean rising price of local beer

BY JOHN BREWER
Pioneer Press

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Brewer Josh Bischoff empties a 6-pound bucket of hops into a 400-gallon brew kettle at Town Hall Brewery in Minneapolis. Bischoff was brewing a batch of Masala Mama India Pale Ale, a beer that uses 40 pounds of five different kinds of American hops. Smaller craft brewers like Town Hall are in a tough spot as the supply of hops tightens and the price increases: They use a lot of hops in their beers and their access to lower-priced supplies is limited. (John Doman, Pioneer Press) (John Doman)

if(requestedWidth > 0){ document.getElementById(‘articleViewerGroup’).style.width = requestedWidth + “px”; document.getElementById(‘articleViewerGroup’).style.margin = “0px 0px 10px 10px”; } Why should Minnesotans care about an Australian drought, European flooding and the increasing use of biofuels?

Because it might drive up the price of our locally made beer.

Take a deep breath (and maybe a slug of that brew):

Beer is made of water, malted barley, hops and yeast. A drought Down Under has sent Australia looking for barley overseas; flooding has Europe calling on the United States to supply it with hops; and biofuels have motivated farmers to grow corn and soybeans instead of hops.

This means a lot of demand for a shrinking supply of beer-making materials – and a likely bump in the price of beer at your local liquor store.

“Don’t be surprised to see everything go up 15, 20 percent,” said Jeff Williamson,

Mike Hoops, the head brewer at Town Hall, holds partially dried hop buds. After they dry, the buds will be pelletized and added to the various beers made at the Seven Corners brew pub. (John Doman, Pioneer Press) (John Doman)

co-owner and brewmaster at Flat Earth Brewing Co. in St. Paul. He plans to keep his beer prices steady for at least the next year.

Read the article here.

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Even the Anheuser Busch and the other big guys know the significance of the Craft beer market

I just read a great article today talking about what I was starting to notice: The big guys are making beer and not using their name on the bottles. It is craft beer, but with the distribution channels that all the big guys have, its very easy to get market penetration. Here is some of the article.. and as always you can click below to read the entire article.

Giant brewers think small

Major producers use size to muscle into the craft-beer market.

BY DAVID KESMODEL
Wall Street Journal

For years, makers of small-batch “craft” beers have been chipping away at the market share of America’s three beer giants. Now, the big brewers are craftily playing the same game, and winning back much of the momentum.

The major brewers generally avoid using the parent company’s name on the labels for their craft beers. Anheuser-Busch Cos., for example, lists Green Valley Brewing Co. as the maker of its Wild Hop Lager, an organic beer. Sunset Wheat from Jacob Leinenkugel Brewing Co., is owned by SABMiller PLC. Blue Moon Brewing Co. is a fully-owned subsidiary of Molson Coors Brewing Co., but the parent company isn’t mentioned on its beer labels.

Through the first eight months of this year, retail sales of craft beers made by those companies or their affiliates grew at nearly three times the rate of independent craft brews, according to market-research firm Nielsen Co.

Sales of craft beers affiliated with the big three brewers in grocery, drug, convenience and major-market liquor stores surged 45 percent to $177 million through Aug. 25 against year-earlier levels, excluding sales at Wal-Mart Stores Inc., Nielsen found. (Wal-Mart doesn’t supply sales data to Nielsen or any other data-tracking firm.) Sales of independent craft brands rose 16 percent to $531 million.

Read the rest of the article here