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US craft beer growth slows first-digit single-digit growth

Issuing time:2019-03-26 00:00
This week, The Brewers Association released data on craft beer in 2016. Last year, craft beer production was 24.6 million barrels, up 6% year-on-year – the first single-digit growth in recent years. This data was 13%, 18% and 18% in the first three years.

The American Brewers Association is an industry association of approximately 7,200 winemakers that publishes beer-related data every year. After the release of craft beer data, their chief economist Bart Watson said: “The era of 18% growth may be over. This industry is a mature industry, and such a large industry cannot continue to grow like that. The speed has grown."

In the past few years, craft beer has changed from the original niche product to a word often mentioned in the beer field. You can feel this more obviously from the increase in production volume to the total beer production data. In fact, according to the retail sales, the market share of craft beer has reached 21.9%.

Big companies are also aware of this and are starting to buy craft beer brands. Obviously, Anheuser-Busch InBev, in November last year they acquired Karbach Brewing Co. in Texas, which is already the ninth craft beer brand bought by Anheuser-Busch InBev, and even two months they even I bought three in a month.

However, the entry of large companies is also a problem that the craft beer industry is now facing. In fact, the American Brewers Association also pointed out in the report that due to the acquisition of large companies, the US craft beer production was reduced by 1.2 million barrels. The American Brewers Association has three definitions of “craft beer”: small (with an annual production of no more than 6 million barrels), independent (non-finished beer manufacturers with a share of no more than 25%) and tradition.

At the same time, the competition in this industry has become more intense. There were more than 5,300 breweries in the United States last year, of which 5,234 were craft beer. Budweiser used this reason last year to explain why their craft beer sector sales are slowing down: “There are so many shelves for craft beer, and a lot of choices will make some consumers attractive to others.”

Boston-based Sam Adams was founded in 1984 and is considered a pioneer in the craft beer industry, and their founder, Jim Koch, said last month: “I have heard from some retailers that there may be too many choices, but instead Let some customers not drink craft beer."
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