Beer brewers revise playbooks to win back lost customers(2)

By Tiffany Hsu  2012-2-7 17:54:49

"It's kind of like 'Top Chef' but with alcohol," said Gordon. "More glamorous and interesting than popping a Coors in the backyard."

Beer executives put much of the blame for their industry's slide on the recession and its aftershocks.

Young men in their 20s — the largest beer-drinking age group — were among the hardest hit by unemployment and the economic downturn, said Eric Shepard, executive editor of Beer Marketer's Insights.

"They may be still drinking beer, but they're drinking less," he said. "And they're less likely to go out."

Mainstream companies are trying to get onboard one alcohol trend: hard cider, which saw sales grow more than 20% over the last year.

Anheuser-Busch is prepping a cider called Evolve. And many analysts believe that MillerCoors is on track to buy Crispin Cider.

But perhaps the biggest threat to mainstream brands is from craft or "micro" breweries that turn out beer honed by individual or a small group of brew masters in relatively small batches. It's beer's tie to the artisanal and slow-food movements, and it's increasingly popular.

Of the 25 craft brewers that sell more than 100,000 barrels a year, each saw sales increase last year. Brewer D.G. Yuengling & Son Inc. of Pottsville, Pa., was up 16.9%, and Samuel Adams owner Boston Beer Co. scored an estimated 8% increase in shipments.

Even the major companies are starting to turn out craft brews. Popular brand Blue Moon is made by MillerCoors, and at several Barney's Beanery locations it now outsells two of the company's mainstream labels, Miller Lite and Coors Light.

"Your average customer now knows a lot more about craft beers and mixology and the different kinds of liquors available," said AJ Sacher, regional manager of the West Hollywood restaurant chain. "So you're just as likely to see craft beers at any bar or restaurant as you are Bud or Coors."

The price of craft brews has fallen in recent years, which has helped boost growth. "It's aspirational for people to be able to drink top-notch beer and be able to afford it," said Paul Scrivano, owner of the Blue Dog Beer Tavern in Sherman Oaks.

While many people may be cutting back on beer this Super Bowl, Jasen Wong, 24, isn't one of them. In fact, to him the beverage is more important than the game.

"I've never been a big football fan," the advertising manager said. "For me, my focus on Sunday is going to be the beer."

But it won't be Bud. He'll be drinking Blue Moon.

[1] [2]


From Los Angeles Times
  • YourName:
  • More
  • Say:


  • Code:

© 2008 cnwinenews.com Inc. All Rights Reserved.

About us