News IRI Worldwide: Craft Beer Sales Up Narrowly Through Mid-Year

Discussion in 'Beer News & Releases' started by dennis3951, Jul 3, 2018.

  1. dennis3951

    dennis3951 Champion (846) Mar 6, 2008 New Jersey
    Beer Trader

  2. jmdrpi

    jmdrpi Poo-Bah (4,980) Dec 11, 2008 Pennsylvania

    It would seem to make sense that store sales are down, likely because brewery-direct sales on smaller breweries have been steadily increasing? That would make sense to me.
     
  3. EvenMoreJesus

    EvenMoreJesus Savant (952) Jun 8, 2017 Pennsylvania
    Premium Member

    Founders Brewing (up 51.4 percent)

    Holy fuck! Founder's is puttin' in WORK, fam.
     
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  4. hopfenunmaltz

    hopfenunmaltz Meyvn (1,389) Jun 8, 2005 Michigan

    My observation is that the Solid Gold Lager was a big part of that bump.
     
  5. donspublic

    donspublic Poo-Bah (1,619) Aug 4, 2014 Texas
    Premium Member Beer Trader

    I have always wondered do these numbers take into account the sales from the small local brewer's taproom? Or do these number simply track over the counter/via distributor numbers? I am guessing since it says off-premise, then they don't. If that is the case, then yes that isn't a big deal. I guess the gloom and doom supported around this needs to change to show a number that includes all sales from craft brewers, on premise and off premise. That is what I would like to see tracked and reported on. That is like reporting on McDonald's sales are down...and only looking at purchases thru the drive thru window. I know to a lot of larger brewers, this is their bread and butter, but for the industry the growth should be tracked both ways
     
  6. jmdrpi

    jmdrpi Poo-Bah (4,980) Dec 11, 2008 Pennsylvania

    I don't think so

    Well, the doom and gloom is about some of the big craft breweries that sell 99% of their beer off-premise. Sierra Nevada, New Belgium, CBA, and Deschultes are all in the negative.

    But good to see that Founders, Oskar Blues, Stone, FW, Bell's, Sweetwater, and DFH are up.
     
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  7. dennis3951

    dennis3951 Champion (846) Mar 6, 2008 New Jersey
    Beer Trader

    I just wonder how muck of their growth is due to the fact that Founders is still expanding the number of states it is sold in.
     
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  8. jmdrpi

    jmdrpi Poo-Bah (4,980) Dec 11, 2008 Pennsylvania

    From the article:

    I think the term craft beer maker is really in danger with BBC. In my opinion it's the Brewers Association's biggest hypocritical issue with their definition. When BBC is in when maybe half of their volume is non-beer, but Founders is out because of 30% ownership shake, it just doesn't pass the smell test.
     
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  9. EvenMoreJesus

    EvenMoreJesus Savant (952) Jun 8, 2017 Pennsylvania
    Premium Member

    Hypocrisy at its finest, IMO. The value of the dollar is for real, brah.
     
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  10. MNAle

    MNAle Savant (970) Sep 6, 2011 Minnesota

    Founders seems to be muddling through despite the loss of hype for KBS...
     
  11. hopfenunmaltz

    hopfenunmaltz Meyvn (1,389) Jun 8, 2005 Michigan

    My $0.02 is that they have upped their export game more than the expansion in the US.
    https://foundersbrewing.com/beer/find-our-beer/

    I don’t think that these 3 states drove that increase.
    https://www.grbj.com/articles/87639-brewery-extends-distribution-footprint
    They have added AK since that release.

    The taproom in Detroit has added another outlet. My initial post on this thread was based on a visit there. I drank one beer, and saw one guy walk out with 2 cases of Solid Gold, and another with 3 cases, before I was finished. I was impressed that they were moving that much of that beer as I didn’t finish the small sample that the server gave me.
     
  12. jesskidden

    jesskidden Meyvn (1,303) Aug 10, 2005 New Jersey

    IRI stats usually say what sorts of retailers they derive from (collected from register scans) - in this case, according to the article:
    "...(a) variety of large-scale retail stores ...grocery, club, drug, dollar, mass merchandiser and convenience stores..."

    That, no doubt, leaves out "mom & pop" stand alone liquors stores, PA retail distributors and other sorts stores, as well.

    The Brewers Association created the term "own premise" for these sales, and last year they estimate them at "...approximately 9.4% of the production volume of small and independent brewers... about 1% of overall U.S. beer sales volume."

    Doubt that IRI stats, given they way they're collected (at the retail level), include exports - not sure about The Brewers Association's yearly barrelage figures.
     
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  13. Oktoberfiesta

    Oktoberfiesta Disciple (306) Nov 16, 2013 New Mexico
    Beer Trader

    I think Sam Adams could retire as beer makers And they'd do great with their other line of goods. That's just the sad reality of these regional to large legacy breweries.

    I feel founders/bells/ and most of those in the green are only green because they have added new distribution points. Didn't founders make a big push to overseas markets? Is that included in the data? A couple of those Brewers made its way to NM in he past 6 months to 3 years. Sales here were great but falling flat big time.

    It's just sad. My dad loves fat tire but he also likes shiner Bock, Boston lager, a number of light lager imports, and not to mention local offerings, so there really isn't anything eye popping about new Belgium's lineup. If they aren't local, well made lineups are struggling. Gimmicks are selling though.


    If it weren't for new distribution points, or these weird tea/cider hybrids, craft beer may very well be barely increasing.

    I wonder how wine and hard liquor are looking.
     
  14. jmdrpi

    jmdrpi Poo-Bah (4,980) Dec 11, 2008 Pennsylvania

    Which would mean the stats are fairly worthless for Pennsylvania, even with the move of some beer sales into select grocery stores in the past few years. An article I found from late 2017 said there are 330 grocery and convenience stores statewide that now have licenses to sell six packs, but there are 1000+ beer distributors.
     
    #14 jmdrpi, Jul 3, 2018
    Last edited: Jul 3, 2018
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  15. jesskidden

    jesskidden Meyvn (1,303) Aug 10, 2005 New Jersey

    And NJ (mostly indie liquor stores) and many other states. The IRI data is kinda used by the industry to follow national trends and broadly see whose beers are up and whose are down. By not collecting data from those sorts of retailers and ignoring on-premise (where "craft" typical has a larger share than the overall beer market) and own-premise sales means the data is always going to be "imprecise" - to put it kindly.
     
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  16. JackHorzempa

    JackHorzempa Poo-Bah (3,569) Dec 15, 2005 Pennsylvania
    Premium Member

    I posted about this article in the other thread:

    From the Brewbound article:

    “Sales for some of the country’s largest craft beer suppliers – Sierra Nevada Brewing Company, New Belgium Brewing, Craft Brew Alliance and Deschutes Brewery – are in the red.”

    Sierra Nevada beer sales have been down the past couple of years and it seems that 2018 may be a problem year as well.

    And:

    “Boston Beer Company — which produces the Samuel Adams, Angry Orchard, Twisted Tea and Truly Spiked hard seltzer lines – has grown 16 percent on the year due to the breakout success of Angry Orchard Rosé cider as well as the growth of its Truly spiked seltzer and Twisted Tea products.”

    It seems that Sam Adams are relying on their non-beer products to grow their revenue.

    Also:

    “Off-premise sales of imported beer, the second largest segment behind domestic premium beer, were also up 5.3 percent through June 17, according to IRI.”

    My guess is that Mexican AAL beers are a significant portion of the import growth.

    Cheers!
     
  17. BayAreaJoe

    BayAreaJoe Devotee (488) Nov 23, 2017 California

    I'm sure it contributed, but Founder's crazy numbers are all about All Day IPA. It grew over 50% last year, is growing over 50% so far already this year, and accounts for about 60% of their total volume.
     
  18. stevesbeer

    stevesbeer Initiate (187) May 17, 2016 Washington
    Beer Trader

    I was going to mention that as well. They just started out here in Washington last year, start of summer I think it was. That all-day Ipa is a mighty fine camping beer, for sure.
     
  19. JackHorzempa

    JackHorzempa Poo-Bah (3,569) Dec 15, 2005 Pennsylvania
    Premium Member

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  20. RobHB

    RobHB Initiate (153) Aug 20, 2017 New Jersey

    Wow. 60% of their volume is insane, talk about a game changing beer: it draws people who aren't typically IPA drinkers to IPA, helped to push beer to cans for the larger breweries, gave beer drinkers an expectation of other 15 packs from them (PC Pils is a perfect beer for a 15 pack as is Solid Gold, which I don't care for) and drove the whole session IPA segment of IPAs.

    I would also imagine the boom of All Day helped to make Founders' Barrel Aging series possible. Some are more hit than miss, obviously, but I'd say it is a success.
     
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  21. dennis3951

    dennis3951 Champion (846) Mar 6, 2008 New Jersey
    Beer Trader

    I don't care for or for any Lite IPAs
     
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  22. JackHorzempa

    JackHorzempa Poo-Bah (3,569) Dec 15, 2005 Pennsylvania
    Premium Member

    Have you tried Carton Boat Beer? if so, what do you think of that beer?

    Cheers!
     
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  23. hopfenunmaltz

    hopfenunmaltz Meyvn (1,389) Jun 8, 2005 Michigan

    you are correct.
     
  24. dennis3951

    dennis3951 Champion (846) Mar 6, 2008 New Jersey
    Beer Trader

    That's a nice refreshing beer. I don't know if they call boat an IPA now but when it 1st came out Carton just called it a session ale. To me it's more a Kolsch than an IPA,