Craft beer’s share of the total U.S. beer market, based on volume, has now climbed to 12.7%.
Based on sales, craft has a 23% share.
That’s according to research from The Brewers Association, which reports 2017 beer volume sales slipped 1% while craft volume was up 5%.
Where do things go from here?
What types of marketing strategies will craft brewers use to drive growth?
“From a marketing perspective, local continues to be a huge driver of purchaser decisions,” says Paul Gatza, director of The Brewers Association.
“Also, younger legal drinking age drinkers are really interested in trying things they haven’t tried before. That experiential component is double-edged… people are willing to try new brands but make it hard for brewers and distributors to build brands.
“Beyond marketing is a larger issue of market access. Within craft, the shelves and distributor houses are pretty crowded. In some large retailers, the large brewers call the shots as to who gets the space.
“With the acquisitions and brand families that some perceive as craft as the portfolio, it is easier to get shelf space as a brewer or distributor-pushed sold out brand than to earn it through beer drinker pull.”
How Craft Brewers Leverage Local Marketing For Customer Retention And Loyalty
At Tenaya Creek Brewery in Las Vegas, social media manager Connor Morris focuses on helping customers better grasp the attributes of the product.
“We try and share as much of the behind the scenes aspect of brewing, such as sharing pictures and videos of brewers playing with new ingredients down to final step of canning and bottling the beer.”
Also important in supporting the brand… an inviting environment.
“As for the culture it is very relaxed, laid back and from the moment you walk in you feel like you’re surrounded by friends and family,” says Morris.
“You will come in have an excellent beer and leave with more friends than when you came.”
Paul Gatza sees this approach at Tenaya Creek as a point of differentiation that’s widely used.
“The taproom brewer is great at developing affinity of people who visit their establishments, make connections, feel connected to the brands, and seek them out in other on and off-premise establishments.”
The Challenge Of Discovery
Craft beer drinkers tend to experiment and seek out new beers.
A favorite pour might not be abandoned, but it can be dislodged.
Inclinations toward exploration that often define the craft beer consumer can complicate the task of nurturing a brand once it’s been established.
“Some older flagship brands are struggling because they aren’t new, and many drinkers have tried them in an era of what’s new,” says Gatza.
“The idea of ‘rotation nation,’ where each keg that kicks is replaced by another brand, serves the beer drinker but makes brand building and account maintenance harder for brewers and distributors.”
The Challenge Of Differentiating The Category
When is a craft beer truly a craft beer and not the disguised product of a larger brewer?
The authenticity prized by enthusiasts is being identified with an independent craft seal.
The seal has been adopted by more than 3,400 brewers. Paul Gatza with the Brewers Association, says the seal’s exposure is expanding.
“We are seeing the independent craft brewer seal appear on bottles, cans, six-pack holders, case boxes, keg collars and brewery windows and on brewery walls.
“The latest we are seeing is on menus of craft beer bars and brewpub groups. There have been lots of apparel items featuring the seal. We definitely hear in surveying that people want the seal to be able to differentiate.
“We are not quite yet at critical mass where the beer drinker assumes that all craft brewers have the seal on packaging, but that day may be coming within a year or two.”
