Posts in The Business of Beer
The American Lambic Wars

In one of the tinier pockets of the brewing world, a heated debate rages. What should Americans call the beer made in the manner of spontaneously-fermented Belgian lambic? This wasn't remotely an issue until about 2007, when Allagash Brewing started a program that followed the practices quite closely. There may have been some efforts along the way toward traditional lambic-style beer, but Allagash built a dedicated coolship room and committed to an ongoing program making the beer. Last year, one of the small club of Americans making these beers decided to name and codify it, and thus began the debate.

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Brewers Reflect on the "Independence Seal"

I was interested in two very basic questions: 1) Did breweries believe it was important for consumers to know about breweries' independence?, and 2) were they planning to use the seal? I canvassed a half dozen breweries of different sizes from different parts of the country and got responses from four--Ninkasi (OR) and Harpoon (MA), large craft breweries, Port City (VA), a medium-sized brewery, and Gigantic (OR), a small brewery.

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Michelob Ultra is Crazy Popular; What Does This Tell Us?

On one end of the market, flavor is driving sales. Leaders in the craft segment may be suffering, but as Bud (down 5.6% this year) and Bud Light (-3.6%)  both continue a slow death spiral, mass market craft like Goose Island are flying off shelves. So how does a flavorless, blandly corporate beer becoming one of the few success stories in the domestic mass market sector? Branding is the only answer anyone can identify.

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How to Tank Spectacularly in the New Market

Over at Willamette Week, Matthew Korfhage has an article about Oregon's tightening beer market. The story is an Oregonized version of one we've seen applied to the national market a number of times over the past couple years. Thumbnail: in a tightening market, it's harder for the biggest players to maintain their barrelage even while small and mid-sized breweries continue to post big numbers. This is, in fact, what you'd expect in a mature market and it's not particularly surprising. Korfhage's case-in-point in the article is BridgePort, which is busy imploding before our eyes--but I think this illustrates a different lesson: in a tightening market, a brewery can no longer make a series of stupid decisions and expect to avoid tanking spectacularly.
 

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