Craft Beer Sales Slowdown as California Reaches Over 700 Breweries

Craft Beer Sales Slowdown as California Reaches Over 700 Breweries

Craft Beer Sales – Sales of craft beer are slowing, based on the most recent data from market research company IRI Worldwide.

Craft quantity sales across the business’s measured multi-outlet and benefit stations (MULC — which consist of supermarket, drug, club, dollar, mass-merchandiser, Walmart and military shops), are up only 6.2 percent year to date through June 12. And over the most recent four-week span, additionally finishing June 12, quantity increases are slower — craft sales are up only 5 percent.

And through the midway stage of the year, quantity sales were up more than 20 percent in 2014.

What ’s occurring to the red hot craft sector? There are a number of reasons for the gentler sales.

It’s more difficult to grow on a foundation that is bigger

Slower development is a “natural part” of class maturation as Brewers Organization chief economist Bart Watson told Brewbound before this year.

That was clear in 2015, when craft brewers put together grew only only 13 percent, to 24.5 million barrels.

The biggest brands are in fall

While IRI data can and should be used as a leading indicator of general group well-being, the operation of the state’s largest craft brands greatly influences the advice.

That contains some big mainstream brews like Samuel Adams Boston Lager, Shock Top Belgian White, New Belgium Fat Tire and Sierra Nevada Pale Ale.

Six of those 15 brands are experiencing double digit quantity decrease, which has an important impact on IRI’s topline craft group increase amount of 5 percent.

The extent to which classification tendencies can be impacted by those fall is maybe best exemplified by analyzing sales for a big brand like Boston Lager. Fast forward two years, and Boston Lager has tallied only $37.5 million in sales in those same retail stations year to date.

Craft Beer Sales, Flavored Malt Beverages, Import Beer?

Go to any business convention — including our own — and you’ll definitely hear the oft-repeated “we’re losing share to natures and wine ” refrain. While it’s accurate that beer’s buying occasions are being cut into by merchandises within those sections, two types — FMB’s and import beer — additionally seem to be affecting craft’s increase tendencies.

Quantity sales of flavored malt beverages, driven mainly by the success of Pabst’s Not Your Dad’s Root Beer and similar offerings from other firms, are up 11 percent year to date.

In response to those tendencies, some craft brewers have started introducing their own root beers that are hard and even created a few American-made Mexican lagers that are “.”

However, the slow down hasn’t discouraged craft brewers in California from opening up store.

In a press release marketing its coming “California Craft Beer Summit and Beer Festival, today ” the California Craft Brewers Association reported that more than 700 craft breweries are currently working across the state.

The Summit showcases the outrageous success of a community united over a common fire: craft beer and “California continues to direct the country’s craft beer movement,” CCBA executive director Tom McCormick said in the release.

Setting in view:

15 — the variety of breweries that were running in California in 1986, based on BI records.

Craft breweries, now is the time to look for alternative Craft Beer Sales channels such as an online marketplace for craft beer. The Beer Connect offers just that! After launching in Late December of 2015, The Beer Connect has helped over 50+ and counting craft breweries throughout the United States become successful with expanding into online sales directly to their consumers!

Want to learn more? Give us a call or shoot us an email.
Phone: (619) 399-7607

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