Finding a Happy Medium

I have a beer bottle collection of (mostly) unique beers that will be hitting 1400 next week. I recall six-packs (local craft brews in the Des Moines, IA region) being $3.99 back in 1995, but that just makes me old. *smile*

Seeing 4-packs above $10 (I am in Wisconsin now) has always galled me. But then I realized beer was simply pricing itself like wine. Buy a bottle of wine, or grab a 4 or 6 of beer -- 10 bucks. I knew ten bucks was going to be an inflection point 5-6 years ago (as did most folks, I think). In that sense, prices moving even higher just means the beer is considered "higher-end", like a more expensive bottle of wine. How many people can truly tell the difference between a $20 bottle of wine and one that costs $35? Not that many, probably, but the pricing tiers still can and will occur.

I am glad to hear consumer push-back is being felt, though. I buy 24-packs of ultra cheap light beer (8 bucks a 24) as an any-time/finisher sort of beer when I just feel like drinking more. And I am finding close-out beers for $3.99 fairly regularly at one of my local grocery stores, some of the bottles new to my collection (though that is obviously getting harder these days).

Overall, though, I think breweries will continue to consider a "happy medium" to be a pricing structure like that of wine or even harder spirits, and we all know how wildly varying in price/quality that is. All we can do as consumers, as I see it, is try to make sure we are really getting a "premium" worth the additional cost. Just a simple wallet vote. Just say no to hype and enforced scarcity, is what I say. I'll just have a couple more cans of Kül instead of shelling out 20 bucks for a 4-pack of so-called rare and amazing brew. (Yes, I have collected 1,400 beers and still drink 1-star swill like Kül. Sue me. *smile*).

 

I enjoy drinking quality craft beer, and especially trying different styles and breweries. With that being said I've noticed that I'm buying less quantity as prices have increased. This in turn causes me to drink less, which overall in my opinion is a good outcome. No longer am I buying cases of Yuengling to get through a week, instead the $30 4 pack of KBS is getting stretched to 2-3 weeks of enjoyment. In the end, I enjoyed the KBS more and probably did less damage to my liver.

 

I have noticed Lagunitas aggressive pricing -- was able to pick up a few more bottles of theirs for the wall without breaking the bank. Their pricing was basically bringing them down to the same level a lot of the local Wisconsin breweries sell at (New Glarus, Capitol, Wisconsin, Central Waters, Lakefront, etc.).

 

I am getting Sierra Nevada Torpedo or Pale Ale at a bit less than $30 per case. I am perfectly happy with that, along with Yuengling Lager for $17.99 a case. Every so often I will try another newer craft beer and pay big bucks for a six pack, but rarely have I found it worth the price.

 

That's funny cause here in Charleston, the most expensive beers at the bar or store are always the locals. I would expect to pay more for a beer like Victory here due to travel, but it is cheaper on the whole. Makes me not want to support the locals. I have heard every excuse as to why they are more expensive, but it comes down to hipsters willing to pay. I can pay half as much in North Carolina as Charleston. And the last point is quality is not the determining factor for cost of beer, it almost seems gimmicky names drive cost up.

On growlers, I hardly buy them in Charleston, used to be fairly standard for an $8-10 growler at a brewery so less than $2 a beer. Now $15 and up is pretty standard and that is $3 a beer or $18 a six pack which is pretty high for a standard offering.

 

Today: Trillium releases Deciduous, its fall seasonal release. This year's version is a wheat DIPA. Sounds interesting. Quick price check before I walk over: $20.20/4-pack.

No thanks, saved myself a trip. When expanded scale doesn't lead to lower prices it gets frustrating. Trillium sells every drop of their beer in expeditious fashion, so other consumers don't care. But I've had nearly every damn local IPA in the Boston market and the difference in quality is very slim while the gap in price seems to be expanding. I find myself reverting to Sierra Nevada 12-packs more frequently and getting more excited for Jacks Abby putting out new shelf lagers than I do for high-priced local 4-packs. Every tasting and fest I go to I hear similar comments from "veteran" craft guys.

From the article: "In Boston....breweries and beer bars are even starting to drop their prices in hopes of spurring drinkers to linger for more than a pint" Care to provide an example? I can only think of one: the Lower Depths. But every taproom or beer bar I've been to lately has been more expensive than the last time I was there.

 

Prices in Atlanta have been on the rise for years, with a large spike in the past 3 years.

The distributors here monopolistically got together and told all the local craft brewers that minimum price for a 6-pack MUST be $9.99 retail from now on. How is this legal? Distributor (mafia) makes 40% margin - more than the brewers typically make!

I can get 0.5L beers in Germany all day for 1 EUR. What's the problem here for a smaller canned beer, why is it about $2 with tax? Greed!

When I go to my (former) favorite beer bar in Atlanta, it is $10 for an 4 oz pour of some special beers on draft. They even have 6 oz and 8 oz pours on the menu for astronomical prices regularly now. Sure the selection is amazing, but $40 for a 16 oz pint on draft? Even a high-end restaurant in Manhattan would blink before charging customers that.

Beer is supposed to be the "everyman's" drink - now it is cheaper to buy decent wine than decent beer. What the hell happened?!

 

In Seattle, where cost of living is completely out of hand, I am not seeing the prices you describe. Fremont 6 packs can be usually found for 9 bucks on sale; local and hard to beat quality wise at any price. At my favorite bottle shop I would consider 12 for a sixer a splurge. There are more expensive offerings I'm sure but it's usually a barrel aged and/or rare beer. My point being that you can find top quality local brews for the same price as AB acquired brews, and substantially less than hyped up brews.

 

I can find 500ml bottles of Ayinger for 3 or 4 dollars. Pretty much unbeatable in quality for the style and imported. Maybe i should move to germany!

 

Happy Medium = Fiddlehead growlers for $10, Alchemist 4 packs for $12.50, Otter Creek/SN variety 12 packs for $15.

I won't go near those Singlecut/Exhibit A +$20 4 packs anymore. Everyone once in awhile I'll splurge for a bomber, but not for regular consumption.

 

I have been having this conversation often lately. I went to a local brewery release last week and picked up three 16oz 4-packs (one of each release), it rang up at $56!!! I don't usually price shop all that much when it comes to beer I like, but that really hit me.

There's another triple release today and I will be sitting this one out. It's just excessive in my opinion.

 

Founders had a great running special this summer: 15 packs of seasonal and 12 packs of high gravity for $13.99. I gladly drank them all.summer. That's a very happy medium.

 

Larry, when Tired Hands opened 5 years ago and started their canning operations 1+ years ago I was thinking that folks will 'soon' rebel at the prices. Over the 1+ years of canning they have raised prices - for example an IPA was $16 a 4-pack and now is $18 a 4-pack. They have charged $25 a 4-pack for some of their Milkshake series of beers. At this point in time I am not seeing any changes in people not willing to pay these prices. When Tired Hands has a can release they often sell-out that day and if some beers make it to the following day they typically sell out that next day.

Do you have any insight into the sales of Tree House & Trillium? Any indications that folks are unwilling to pay high prices and the beer 'sitting' for a period of time?

Cheers!

 

They brew it in your state. Not fresh?

 

Neither does distro, no shortage of lines at either. Not sitting around. I've tried so many of them, just not a fan. Need more bitterness in my life.

 

Maybe it's not real smart of me money-wise, but I don't typically worry about the price when i'm buying craft. That's not to say that I blow tons of money when buying beer, but I don't get bothered about spending $20 for a 6-pack. I think that the amount of enjoyment I get out of that 6-pack justifies the price tag for me.

 

If I recall, SN bottle conditions, so even the freshest IPAs don't leave the brewery/warehouse for a week or two after bottling. In the modern day IPA market, a two-week old IPA is past its prime. In the meantime, I'll gladly drink SN hoppy beers up to 3 months out if it's kept cool.

 

According to tweets and Facebook, they have no shortage of buyers and sell out all thectine. So no...the tipping point on price has not yet been reached.

 

^^^^ SN has great shelf life. 2 weeks beers are old? Ugggg.

 

Price creep is a huge concern for me.
I remember being shocked to pay $15.99 for a bomber of parabola in 2015. Now, it would be 18.99 or 19.99 for the same thing (or $9-11 for 12oz!). Six packs have eclipsed $10 in many cases, $16-20 4-packs are becoming pretty common. I tried to set a beer budget last year. It just wasn't enough as I couldn't really get much for my money.