While the Beer Industry Stagnates, Craft Breweries Thrive in Growing Market

Even with a valiant effort from the craft beer industry, overall beer sales tanked in 2013. According to USA Today, even with a rise in craft beer sales, overall beer sales fell 1.4 percent from last year's totals. Yet this still marks a staggering number of 2.8 billion 2.25 gallon cases, though it is less than the 2.84 billion sold in 2012.

While there was a decrease, however, craft beer steadily grew. It increased to 7 percent of the total market share. This has been a steady trend for the industry, as total market shares have increased yearly since 2011. Obviously, an increase in market share meant an increase in market spending on craft beer--up to 8.5 percent of the total beer purchases in 2013.

The main drop in sales can be tracked to "Light Beer," which makes up 50 percent of the market in sales. In contrast, craft beer increased its total cases sold by 10 percent. Donna Hood Crecca, senior director of Technomic's adult beverage resource group, which published these findings, noted the cause for the change.

"In beer we are seeing people moving toward more flavorful, more unique styles and brands," said Crecca.

Over 98 percent of the craft beer market stems from microbreweries, and small local brew pubs. This is not a unique phenomenon in the food market, as small and local industries grow more popular with the millenials.

"Consumers are really interested in exploring beer and getting into different flavor profiles and things that are compatible with different foods," said Crecca.

While some of this change is influenced by a growing interest in craft beer, some can be attributed to the economic downturn. The demographic that are the largest consumers of mainstream beer are some who have been hit hardest by the changes to the economy.

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