Today, May 3rd, is the start of 2016’s Craft Brewers Conference in Philadelphia. This year’s convention has about 2,000 more registered attendees than last year’s convention, which was held in Portland. The 13,000 people in attendance will represent almost 900 exhibitors! An amazing number considering crafts represent only 12% of the US beer market.
Without a repeat of the craft segment’s total numbers, consider that there are now over 4,000 breweries operating and over 6,000 brewing permits issued! Thirty five years ago, there were less than 50 breweries in the US. That growth is remarkable.
Also what is remarkable is that just 10+ years ago, industry pundits and critics were claiming that despite the spirit industry’s innovation and growth, the stagnate beer industry offered no unique products and showed little innovation. Well, well, well, amazing how the crafts quieted those comments. Never before has the industry offered such original and impressive products, with more being produced daily. Consumers are supporting these flavors in growing numbers.
In addition to the business as usual, you can expect the eminent topic among all attendees will be the proposed ABI/SAB acquisition and what ramifications such a deal will mean to the crafts. For crafts, the key to success is access to the marketplace if the AB network decides to cast their future exclusively with AB. Even with ABI’s assurances (to the senate hearings) that closing access to market will not happen, history has shown there may be a hidden agenda.
With the upcoming elections, one wonders how involved ABI is with the candidates and supporting PACs. There is too much at stake for ABI not to cover all bases. It is politics!
One of the recent issues facing crafts is just how much, if any, will ABI’s and MC’s aggressive price discounting affect the craft industry? Given crafts trends, this pricing may just be a war between ABI and MC, and dragging in Crown will produce little damage to crafts. Only time will tell.
Needless to say, it will be a very interesting week for the industry, but no matter how, or what is happening, never before has the beer industry been as exciting as it is today. It is THE place to be!
If you are attending the CBC, please come by and say hello. You can find me at the Portland State U. booth on Wednesday and Thursday morning. I would love to visit with each of you and pop a cold one!
He was a wise man who invented beer….
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