The Wall Street Journal just published an article about beer sales. For the first time since 2008, beer sales are increasing in 2012. The article attributes this largely to the rise in popularity and accessibility of craft beer, and includes a section on how InBev and SABMiller are trying to work with the public’s new taste for variety.
Something we haven’t touched on much in class is how craft beer can lift profits, because of the higher price point, but lower consumption because a few craft beers are usually sipped over a night and not rapidly guzzled down over an hour, so less are needed.
According to The WSJ, the increase in sales (particularly from young men) shows that the nation is steadily climbing out of the recession and our low spending tendencies.
“Beer has struggled in recent years partly because its key customers, blue-collar males in their 20s, were battered by an economic downturn that hammered industries such as construction. ”