Craft beer sales slightly up in the off-premise but at a price

USA |The going is getting tougher for craft brewers, if off-premise sales are anything to go by. According to market research firm IRI, sales of craft beer in supermarkets and the like in 2018 only rose 1.2 percent (until 2 December 2018), compared with the 6 percent growth in 2017.

The small year-on-year increase really cannot surprise, as there are more than 7,000 breweries operating in the US today. In 2017, there were just some 6,000 craft breweries.

Some of that growth came at the expense of the larger craft brewers. Off-premise volume sales for 17 of the 30 best-selling craft brands were down through the beginning of December. Samuel Adams Boston Lager tumbled 14 percent, Leinenkugel’s seasonal beer fell 13 percent, and Blue Moon was down 4.7 percent according to IRI data. Even worse off was New Belgium Brewing, which saw a 19.5 percent plunge in sales of its flagship brand Fat Tire.

A commentator on the Motley Fool website even felt justify to predict that the craft beer industry looks poised to head into a decline, despite another 1,000 breweries expected to open this year.

The Brewers Association will release market figures later this year which will include on-premise and taprooms sales.