History tells us that, broadly speaking, Americans generally prioritize low price over everything else. Or, as Salon writes, "discounts and quantity over premium prices and quality." But in the battle between macrobrews and craftbrews, that might be about to change.
A terrific article this week by David Sirota for Salon examines the rise of craft brews and the (possible) sea change they represent. In 2011 the overall beer market declined substantially, while the craft brewing industry increased its year-to-year sales by 15 percent. It now accounts for 5.7 percent (of the total beer market) by volume and 9.1 percent by dollars. In other words, "craft brewers are generating a much larger share of beer revenue than they are contributing to the overall volume of beer in America."
Sirota notes that in other major low-price-low-quality vs. high-price-higher-quality battles, the trend has been for major establishments to try and mimic the smaller upstarts (i.e. Microsoft copying Apple). But the macrobrew industry seems to be doing the opposite, and intensifying their old low-price/low-quality/high-volume formula.
In the competition for the future of drinking, both sides are obviously trying to exploit their strengths and minimize their weaknesses. The massive macrobrewing corporations are trying to take advantage of their size and corresponding ability to produce volume -- all while playing down the fact that their beers have little local character or quality. The craft brewing industry, composed mostly of independent small and medium-size businesses, know they can't compete in a volume game, and so they are trying to promote quality and diversity. It's a straightforward fight -- one that may seem only interesting to drinkers, but one that truly transcends the inebriation industry. It underscores both consumer shifts and questions about what kind of economy we want in the future.
Read the whole article and then come back and tell us what you think!
Read More: Can Beer Save America? at Salon
(Image: Emma Christensen)
Elizabeth Apron fro...

Interesting. With still a very small percentage of the market, I don't see the microbrews taking over the beer sales. At least, not in the next 15-20 years. Cost is still a big issue for many people & cheap beer is bought by all demographics.
I still only buy craft beer. It is delicious!
Looking at the beer section in my local Fred Meyer, I'm surprised anyone buys anything but craft beers! I think Seattleites have become uber-beer-snobs, though (but I love it!!!)
The one thing the article ignores is that man of these craft breweries have made deals with much larger breweries and corporations in order to increase their distribution to a wider audience. They're still dealing with small volume/higher cost, but they see the advantage of accessing the larger companies audiences and pre-established networks - see Goose Island in Chicago and their deals with Widmer Bros and Anheuser Busch.
There is definitely something to be said for quality over quantity - though I never see the big guys going out of business (there are way too many college students for that to happen). And it could be a great lesson to American businesses, while people are often looking for cheap, quality does win out over quantity in many arenas.
Living in Wisconsin I see lots of craft brews being the dominant option on non-corporate tap lines. I think people are buying them because it's not that much more expensive for a better tasting and usually higher proof brew.
With that being said, there will always be the people that just drink to get drunk or the domestic beer drinker that doesnt care that his beer has almost no flavor or a bad taste; or care that their beer has 37 ingredients versus my 4.
and p.s. since the picture is taken and the article is ran, could I please oh please have that bottle of Pliny the Elder? Please??