How to Properly Address Outrageous Overpricing

yep, and given the economics context this discussion is within he is arguably misusing the notion of market price. In economics it is at the point where supply meets demand, and when everything is selling out in a rapid period of time it is clearly a case for pointing out that the price wasn't high enough. Interestingly enough this seems to be common in this industry where the most coveted beers seem to be kept artificially in low in retail price, perhaps because of the fact that too many are motivated by factors other than profit motive. There's often a gap between the prevailing price at many retailers (or loose sense of market price) and where the price actually reflects the intersection of supply and demand.

 

agree but please, please, please let's not forget about TAXES.

 

Pappy is top tier in name only, plenty of great stuff for $ 35-70.00.

 

There are plenty of great beers that are readily available year round under $5 a bottle too.

 

At $5 a bottle (what OP paid originally) it would equal $30 a sixer and that's more than enough, even for a world class IPA

 

I like this definition of price gouging from answers.com:

Further, I'd state that when the term is used on beeradvocate.com this is almost always the definition that is meant, and of course it can apply to beer or any convenience item. Surely not the legal crime called "price gouging," but still price gouging nonetheless and I don't see the point (kzoobrew, yemenmocha) of pointing out otherwise. Honestly, in what way do you think you are elevating the discussion by doing so?

 

Precisely. If someone with the means and the passion wants to open a beer store that sells only the very best beer at cost pricing, then good on them. But the majority of beer store owners are operating a business, not a charity - they didn't wake up one day and think "how can I get the best beer to those deserving beer nerds, at the lowest possible price". If they are also passionate about beer, then all the better - hopefully they will make informed/reasonable buying and pricing decisions.

And no-one is condoning a store charging $40 for a year-round sixer that goes for $10 everywhere else (or whatever the example further up was). Any store that does this will quickly (and deservedly) go out of business.

But there does need to be a larger range of pricing, so that the top tier beers are priced accordingly, and therefore come closer to balancing the supply vs the demand. Everyone on BA, is on here because they spend a portion of their excess income on a hobby that involves purchasing a luxury item. We're not talking about working class families getting food in their mouths, and being gouged by evil profiteers (please can we never use the word gouging in relation to beer again). Some people have different levels of excess income than others. That's unavoidable. The problem is that most people want (and think they deserve) everything. Higher prices on high end beer would mean buying less of it, or really thinking hard about what you spend your money on (high priced single instead of regular sixer, not as well as). This is not a bad thing.

 

I have no solution for you, but a similar example.

There is a store in Austin that locals refer to as "The Flag Store." They have a great beer selection, but EVERYTHING they carry is priced higher than anywhere else in town. Not just specials and annuals, but everything. And everyone knows this.

The downside is that their prices are jacked, and you're going to get abused shopping there. The upside is that after something sells out everywhere else, they probably still have it, so you can get some, albeit at a much higher price.

So I choose not to shop there, unless I REALLY need something that is gone everywhere else. Its the "store of last resorts" for me, and I know what I'm getting into when I go there.

Sounds like this store might operate the same way. So either don't shop there, or bite the bullet and be thankful they have something you want that noone else has.

 

None of is like price gouges, and this is clearly the case here IMO, but the owner still dictates the price , he probably figures if he's the last man standing with a brew it will sell, and he's probably right. As a consumer the best you can do is to choose not to participate .

 

These limited release beers are basically being used in a loss leader strategy while still making profit. I think it is pretty brilliant personally and it works on me. Stores have won me over to buy my regular beer from them by providing limited release beers at prices I can afford.

 

Seriously?

 

I know that some people want prices to go up for selfish reasons. That's fine. It's just amusing when they start talking about it being smart economics. The problem is that it's not just things like KBS going up in price.

Some BAs like to think that the market revolves around beer geeks with money who "appreciate the beer more" and will pay more for things they like. Most breweries and stores don't just have to appeal to those people, they have to appeal to new drinkers, current drinkers who are getting into microbrews, and current regular microbrew drinkers who aren't willing to do things like pay $14 for a 4-pack of Red's Rye. Like I said, a lot of people get sticker shock in the craft aisle as is. At some point steady price increases at the brewery and store level are going to start biting people in the ass.

 

I would never, ever suggest that someone with more money somehow has a greater appreciation.

And you're right - the vast majority of people (to some extent or another) have opinions that are motivated by what would work best for them.

I wouldn't say though, that those who argue for price increases on the top level beers, are necessarily trying to argue "smart economics" for totally selfish reasons. I don't think they are even trying to say their suggestion is the smart choice. More that the current situation for beer is atypical when compared to other luxury consumables, including the closest comparable items such as whisky, wine etc. It just doesn't make sense.

No matter what the model is, someone will be favored and someone won't. Here's the difference in my opinion - if the small batch / limited / one-off / barrel aged etc beer is priced appropriately, anyone who wants it will have the opportunity to buy it. The problem with this method of course, is that this is a harder decision for someone who has $10/week to spend on beer vs someone with $250/week. But versus the current situation (tons of butthurt at missing out on something, people complaining about "hype" and lack of enough distribution of rare beer X in their area etc), at least it gives everyone the opportunity to get a beer they really want.

And to put it in context - my wife allows me to spend $40/week on beer. More than some I'm sure, but less than plenty of others too - just pointing out that I'm not arguing for these price increases because I'm sitting on a pile of spare cash.

 

I disagree I know a few shops where the owner will negotiate with you, what would it hurt to ask?

 

Your wife "allows you", dude you have bigger problems than beer prices, seriously who wears the pants in that relationship. I also think that in some cases people with more money do appreciate it more, simply because they have more money to try more rare beers.

 

Haha - yeah I regretted that as soon as I posted it.

On your other point - you could argue that. But there are probably people out there with money to burn who buy up tons of stuff without truly appreciating it as well. Maybe the people with less money take longer to experience the same number of beers - but over the long run I would have to disagree.

 

Late to the party, but I normally ask the clerk point blank why the price is what it is. In some, but not all cases I get a reasonable explanation about why it's priced that way. The decision is then left to me to either purchase it or walk away.

I support a handful of bottle shops in my area that I get bottles from knowing they're overpriced, but have a good reason to be. Some of these shops are very newly opened and others were charged ridiculous prices from their distributor. I'll preface that by saying those shop owners often reciprocate by sharing a bottle of their shelf beer with me free of charge and offering food items that aren't on the menu (they have a small sandwich/cheese/charcuterie menu). It really is up to you and your wallet. My only advice would be to try to level with the clerk and state your case.

Double Dose, when you could find it, was $18.99 for the 4-pack. I still have some in my fridge and will gladly send you one to try because I personally love it.

 

I think the biggest thing that keeps beer prices high is the "taster" or the "ticker." Those are the "one and done" crowd. They never buy the same beer twice. You can't predict what they will buy next and you can't ever satisfy them.

 

Right, it's atypical. The motivating complaint about price increases in the current context is just whining about no longer being able to have one's cake and eat it too, so to speak. A lot in the beer market is still not close to being anywhere as efficient as it is in other luxury categories, especially whisky, wine, etc. as you mentioned. The sober folks know this and just acknowledge how great beer is right now because it's such an incredible value compared to other beverage categories. Buy up, drink up, and enjoy it while it lasts. It is relatively cheap. But no, some turn this around and seem to think that they as consumers are entitled to these artificially low prices.

 

He did have an actual answer, just because you didnt want to hear it doesnt change that.