Volume, Dollar Growth Slows in Beer Industry

CHICAGOBoth dollar and volume gain in the beer industry has slowed in 2013 due to consumer preference evolvement making the beer market landscape change, according to the Technomic BeerTAB (Trends in Adults Beverages) report.

"Mainstream domestic beer performance was buoyed somewhat by the continued growth of super-premium labels such as Blue Moon and the retro-hip brands including Pabst Blue Ribbon. The mainstream domestic category's rate of decline slowed in 2013," says Eric Schmidt, director of research at Technomic. "Light beer remained the largest category, and volume expanded slightly as Bud Light was flat, Coors Light grew and Bud Light Platinum added 20,000 cases to the market."

The report reveals that following a 1.3% decline in 2011, beer volume increased 1.2% to 2.8 billion 2.25-gallon cases and the retail value rose 3.5% to $62.3 billion.

Craft beer continues to  increase from 139,000 (2.25-gallon cases) in 2010 to 178,000 in 2012.

The largest beer categories faired considerably better in 2012 than they did in 2011, although the industry's momentum really came from imported and craft beer, flavored malt beverages and cider, says Schmidt.

Consumers sought out more flavorful and diverse styles of beer increasing the higher-priced category in the overall market. In addition, beer volume in restaurants and bars has increased slightly in 2012 and sales grew 2.5%.

The larges percentage increase was seen in advertising which grew to 6.5% and $1.3 billion with television ads accounting for more than two-thirds of total spending.

Budweiser announced that it is bringing back Budweiser's Project 12 on Oct. 28 The project will introduce three new beers named after the ZIP codes where they were brewed. 

In 2012, more than 3,921 beers from 799 breweries and 54 countries entered the annual World Beer Cup. Check out the winners here.

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