Cheers - September, 2015

Cheers is dedicated to delivering hospitality professionals the information, insights and data necessary to drive their beverage business by covering trends and innovations in operations, merchandising, service and training.

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Page 25 of 51 26 • September 2015 2013-2014 2010-2014 Brand Supplier 2010 2011 2012 2013 2014 % Change ACGR Dos Equis Heineken USA 14,000 16,100 19,650 22,490 25,998 15.6% 16.7% Leinenkugel's Summer Shandy MillerCoors 1,280 2,300 4,350 5,440 6,350 16.7% 49.2% Lagunitas IPA Lagunitas Brewing Co. 630 970 1,750 2,925 4,425 51.3% 62.8% Sierra Nevada Torpedo Sierra Nevada Brewing 890 1,380 2,060 2,420 2,665 10.1% 31.5% Ranger IPA New Belgium Brewing 701 958 1,181 1,323 1,600 20.9% 22.9% Crispin Cider MillerCoors 110 344 710 1,215 1,900 56.4% ++% ACGR = Annual Compound Growth Rate ++ Greater than 100% FAST TRACK BRANDS Domestic Brands must have exceeded 9 million 2.25-gallon cases in 2014, and imported brands/microbrews must have exceeded 1.5 million 2.25-gallon cases in 2014, with double-digit growth over each of the past four years. developed to be served in a rocks glass. The MillerCoors brand reached 5 million cases last year. Two year-round session beers—lighter ABV brews that consumers can typically in enjoy more than one of during a session—made the list again this year: River Ale, launched by Bend, OR-based Deschutes Brewery in 2013, and the three-year-old Founders All Day IPA from Founders Brewing Co. in Grand Rapids, MI. Session IPAs have caught on as a craft drinker's light beer, thanks to their lower ABV levels, Rogers notes. In addition to brewing a quality product, "Founders also did a good job with packaging and pricing, which made them relevant to the current consumers." FAST TRACK BRANDS Dos Equis once again tops the list of Fast Tack beer brands, growing 15.6% and reaching 26 million cases in 2014. Fast Track domestic brands must have exceeded 9 million 2.25-gallon cases in 2014, and imported brands/microbrews must have exceeded 1.5 million cases with double-digit growth over the past four years. Leinenkugel's Summer Shandy retained its second-place spot on the Fast Track list. Though its year-over-year growth has slowed from 25.1% in 2013 to 16.5% in 2014, the seasonal wheat beer/lemonade reached 6.4 million cases last year, up from 5.4 million in 2013. Crispin Cider moved over from the Rising Stars to the Fast Track brands. Founded in 2004, Crispin was acquired by MillerCoors in 2012. Ranger IPA, from Fort Collins, CO-based New Belgium Brewing, also transitioned from Rising Star to Fast Track brand. It increased 20.9% in 2014, reaching 1.6 million cases. Three of the six Fast Track beer brands are IPAs, including Lagunitas. The IPA from Lagunitas Brewing Co. was up 51.3%, reaching 4.4 million cases in 2014. Sierra Nevada's Torpedo, an American "extra" IPA from Chico, CA-based Sierra Nevada Brewing, was up 10.1% to 2.7 million cases sold. FOUNDERS ALL DAY IPA FOUNDERS BREWING CO. RISING STAR 2014 CASES SOLD: 780,000 Craft beer is evolving into a much broader consumer base than we had 20 years ago, says Mike Stevens, cofounder/CEO of Founders Brewing Co. in Bend, OR. "The big ABV beers of the craft industry still drive the exploration of the industry, but folks' taste buds have been hooked," he says. "People have always enjoyed lighter-profi le beers; however, they are now looking for full- fl avored, lighter-ABV beers as well." All Day IPA, which launched in early 2012, packs plenty of fl avor, he notes, but with a 4.7% ABV allows drinkers to enjoy more than just one. As consumers demand more out of fl avor in their beers, Stevens says, "we have to ask ourselves if the next premium light beer lives within the craft industry. Why can't we have full fl avor and less alcohol in one?" Has Founders done any specifi c marketing to promote All Day IPA? "We tend not to push our beers to consumers through marketing; rather, we allow the consumer to discover our brands on their own," Stevens says. "We focus all our efforts on one thing: the product, and making it the best it can be." BEER THEY ARE

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