Beverage Dynamics

Beverage Dynamics Sept-Oct 2015

Beverage Dynamics is the largest national business magazine devoted exclusively to the needs of off-premise beverage alcohol retailers, from single liquor stores to big box chains, through coverage of the latest trends in wine, beer and spirits.

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American Whiskeys & Beer 52 Beverage Dynamics • September/October 2015 www.beveragedynamics.com THE VIEW FROM BEHIND THE COUNTER Retailers notice fluctuations in the fortunes of American beer brands, even as these domestic lagers are still the most popular beer choice with consumers. "Our number one seller is Miller Lite 30-packs, hands down, out of everything in the store—beer, wine, liquor," says James Campbell, the beer department manager at Bay Ridge Wine & Spirits in Annapolis, MD. "But going over the numbers from previous years, we are noticing a decline in sales on domestic kegs. A lot of people who are used to grabbing a 30-pack, now they're only getting an 18-pack and they're grabbing a six-pack of craft, because craft is just through the roof right now." Large packages with low prices were cited repeatedly by retailers as the big brewers' greatest strength. In Boulder, Colorado, Hazel's Beverage World caters to both univer- sity students on tight budgets and to fans of the town's 20 craft breweries. Derek Ridge, the store's beer manager, says 'Always Game Ready' football program with retail, social/digi- tal, out-of-home and local experiential components," Maloney says. If the retro feel and the nostalgic connection to sports sounds predictable, that may be a winning move: Coors Ban- quet, the company's old school brand, is on track for its ninth straight year of growth. Earlier this year, Anheuser-Busch took an eyebrow-raising approach to rebuilding Budweiser numbers. Instead of warming hearts with the Clydesdales, Bud's 2014 Super Bowl ad sneered at craft beers and their drinkers, portraying both as effete and precious. Naturally, the ad caused indignation in the craft beer community, mixed with accusations of hypocrisy—particularly since A-B had just announced the purchase of a craft brewery known for brewing precisely the sort of beers the ad mocked. A-B clearly calculated that it could afford to offend craft beer lovers, so long as the ads reinforced the loyalty of wavering Bud fans with its "us and them" message. LEADING DOMESTIC BEER BRANDS, 2013-2014P (000 2.25-Gallon Cases) '13/'14 Brand Brewer 2013 2014p % Chg Bud Light AB InBev 520,510 511,661 -1.7% Coors Light MillerCoors 253,800 244,917 -3.5% Budweiser AB InBev 215,520 205,606 -4.6% Miller Lite MillerCoors 189,940 186,901 -1.6% Natural Light AB InBev 102,020 95,083 -6.8% Busch Light AB InBev 89,400 89,350 -0.1% Busch AB InBev 72,440 73,889 2.0% Michelob Ultra AB InBev 55,700 56,981 2.3% Keystone Light MillerCoors 52,720 48,502 -8.0% Miller High Life MillerCoors 49,950 46,953 -6.0% Total Leading Brands 1,602,000 1,559,843 -2.6% (p) Preliminary. | Source: Handbook Advance 2015. For more information visit www.bevinfostore.com. James Campbell, beer department manager at Bay Ridge Wine & Spirits in Annapolis, MD. Jamie Piastuch, beer consultant at the Merritt Island, FL branch of ABC Fine Wine and Spirits.

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