CAN THE CRAFT BEER INDUSTRY SUSTAIN ITS CURRENT GROWTH?

I don’t know about you, but it seems about every few months I hear of a new brewery opening in the New England area …and that is only in New England. It’s almost as if you need an Excel spreadsheet just to keep track of all these new additions. Just in the Boston area, I know of six breweries that have opened since 2011 and in 2013. All of this growth got me thinking – can the craft beer industry really sustain all of this intense growth?

Having written about the craft beer industry for several years now, I have had the opportunity to interview many brewery owners. In every interview, I’ve asked each brewery owner if they thought the craft beer industry could sustain its current rate of growth. Here’s what some of them are thinking….

Ben Fullelove / Brash Brewing Company – Ipswich, MA

“I definitely think the market can handle the growth. The craft beer sector is still a small percentage of the total beer market. As more people become educated about the difference in quality of craft beer and the incredible variety in beers, the demand will continue to grow. Also, there’s no such thing as an ex-craft beer drinker. Once your palate understands the difference between mass-produced shit and artisan craft beer, there’s no going back. I think as long as you’re making great beers, you’ll be around for a long time to come.”

Chris Lohring / Notch Brewing Company – Ipswich, MA

“It’s not the industry that’s the issue; the issue is the pipeline between the beer and the consumer. That pipeline is controlled by the wholesaler and retailer, and their capacity is constrained. Not every brand will have the skill to get through that pipeline and into the hand of the consumer. The brewery taproom is the great equalizer, and you will see many of them coming on line.”

Bill Herlicka / White Birch Brewing Company – Hooksett, NH

“I think this time around we’re in a better situation than the first craft beer revolution in the early 90s.  It’s easy to try and draw parallels based on growth, but the internet, distribution channels, and decades of efforts by the surviving pioneers of our craft have all contributed to making this craft wave a more sustainable model.”

Jack White / Ballast Point Brewing Company – San Diego, CA

“It can handle the volume growth but the brand proliferation is going to be the challenge. It is hard to predict how that will ultimately pan out, but the well-run businesses making high-quality beer can survive with the right people and the right mode.”

Michael Oxton / Night Shift Brewing – Everett, MA

“I think the industry will take care of itself. By that I mean those breweries putting out creative, high-quality, interesting beers will always be successful, and those doing otherwise will not. The more the industry grows, the more quickly and dramatically that truth will manifest itself.”

Mike Hinkley / Green Flash Brewing Company – San Diego, CA

“Craft beer will continue to grow rapidly. How craft beer is defined will determine how the statistics tally. I prefer to look at the market from a consumer viewpoint, rather than with producer definitions. With that in mind, I think that beers of superior flavor and quality will continue to grow until they are the vast majority of consumer purchases and lesser quality beer will eventually disappear. Green Flash will continue to make superior beer and consumers will buy it in increasing amounts. Any more detail than that will require a time machine.”

So that’s what some of our industry’s leaders are thinking about a question that’s only going to be asked more often. Personally, I am excited for the craft beer industry going forward and, like many of those I’ve just cited, I remain positive about its future. I believe that craft beer can and will continue to grow and echo the sentiments expressed by many brewers – that if you brew something brilliant, people will always seek it out.