Americans love beer. In fact, the consumers love it so much they spend more on six-packs than on water. According to a Nielsen research, people spent about $37 million on beers in February 2017. That’s thrice they paid for water, which is the most consumed beverage in the world. Beers are also outpacing the sale of wine.
One of the in-demand types of beers today is the craft beer. It’s a term to characterize beers produced in a more traditional manner, usually without the use of machines. Many of these beers are in small and microbreweries.
The Health of the Sub-Industry
According to Brewers Association, which also defined “craft beer,” volume sales of beers stalled in 2016. But that of the craft beers grew. It went up by 6.2 percent in terms of volume during the period. When it comes to solar sales, craft beer breweries earned more than $22 billion. It’s an increase of about 10 percent.
While these numbers are good, Fortune provided a complete picture. The sub-industry is also showing signs of a slowdown. The production volume from January to June 2017 went up by 5 percent. But this is lower than the increase in 2016, which was 8 percent.
There’s Still Opportunity
For those who are planning to make craft beers, there’s a silver lining. Despite the slowdown, it continues to influence the US economy. Its contribution has increased by over 20 percent within the past two years. Most of the production volume growth is among the microbreweries – and that’s a good thing.
It means these places, which can make only a limited number of beers within the year, remain profitable. Nevertheless, some smart budget planning helps. To be more profitable, hops supplier Hop Havoc tells the breweries to buy bulk hops. Buying in bulk always brings about discounts and huge savings, even in shipping.
Americans will always have a love affair with beers, but their taste is evolving. They’re looking for more flavor, style, and experience. As long as craft beers will continue to offer these, they will survive and thrive.