Wicked Weed sells out.

Re: Wicked Weed sells out.

Postby jjpeanasky » Fri May 05, 2017 1:30 pm

bf514921 wrote:Why is everyone one so ticked that someone made bank selling a brewery, if it's that important go start a great craft brewery and don't sell it or vote with you own dough and don't buy the beer, can't craft be big? IF the beer is till good?

Sent from my LG-US780 using Tapatalk

Eh, it's not about being big, it's that InBev has shown time and again that they're not willing to play nice and go along with the spirit of "craft beer". Dirty tactics with the distributors being the big culprit. I personally don't have much against the likes of Sierra Nevada or New Belgium, but given the choice, I'll have the local flavor first the majority of the time.

- Josh Peanasky
jjpeanasky
 
Posts: 192
Joined: Fri Jan 29, 2016 5:37 am

Re: Wicked Weed sells out.

Postby Matt F » Fri May 05, 2017 1:50 pm

The main problem is as they increase their ownership of craft breweries they can even more effectively corner the market on raw materials. It is called an oligopoly and does not benefit the consumer. It leads to homogeneous products and profit seeking at the expense of product quality. In-Bev did not use to need Citra Hops for example. Now they can control the market and pricing to a point. A large corporation can more easily survive supply constraints leading to high prices of their inputs. As most inputs are an agricultural product, year to year growing conditions can cause constraints. Small breweries can easily be priced out and become extinct. We saw this happen once already when there was a major hop shortage not that many years ago. Some adapted. Some died. That is actually a main driver for some craft breweries to team with the big boys is to ease this risk and make their existence more sustainable. They are big enough they have to worry about their employees and feel it is the best choice. People are mad because they want their craft breweries to continue to battle the big guys. The fewer small breweries there are, the more barriers to entry there will be.

I got in to this craft beer thing in 1995. Back then most breweries were giving away free beer at their facilities and the brewer was hanging with the patrons. My favorite of these early on was Avery. They are now pretty big by craft beer terms. The times they are a changing. People want to hang on to the romantic and fun culture that was craft beer. The problem is the industry is maturing and has become a business. It use to be all the little breweries were owned by the brewer and his money dudes. Now money dudes are going around starting breweries and hunting out a brewer simply for the cash flow. The mantra that drives the business has changed. The industry is changed. Basically most people use to be cool. Now that craft is essentially main stream, many just want a piece of the money pie. Greed did not use to exist in Craft beer and it was beautiful.

This is quite the rant when I read back through. It's like I think I know something about finance and economics. Oh wait, I do. That is what I have multiple college degrees for and have made my living in for over 20 years now. This is also exactly how I said the industry would go some day. I don't see this trend ending anytime soon.

I do feel small independent brewers can continue to survive as long as their raw materials are available. Supporting a brewpub and small scale production continues to be viable. Larger scale regional brewers are going to continue to merge with the big boys as it is the most sustainable path for them. To grow and compete they have to realize economies of scale applied by the enormous resources for the large corporations. I believe you will continue to see a large gap grow between big and small craft brewers with out much in between. It is already happening.

In the end, you as consumers get to speak with your dollars. Buy what you want to drink and that is how you try to keep them alive. It will become more difficult when you see pricing gaps on the shelf between the small independents and the large breweries.

So that is why people are mad. I don't blame folks for selling out as that is the path they went down. They may also have worked really hard for a long time and it is time to step down. It is an easy exit. You don't have too though. Look at Shaun Hill owner of Hill Farmstead in Vermont. He has had to fight offers off on the daily for years. He has a vision of what he wants his brewery to be. Maximizing profit and market share are not what drives his brewery. It is a really cool thing he is doing.

You all have a choice and the knowledge to make the choice that fits you. Remember, not everyone out there in the beer world is as beer nerdy as us. Not all consumers know the products as well. People will be walking in to Hy-Vee that know they like IPA but have no idea that say Goose Island is AB In-Bev. They can easily see that a 6-pk is $7.99 versus $9.99 or more for a competing small brewery that may have a far superior product. They go $7.99 not knowing any different. The great thing is we all still have a choice and can help our friends make choices. I think I have to recommend beers to people 10 times a day around my office. I am sure you do the same. Just keep spreading the good word for good beer.

In the end, thank god I homebrew, just keep my hop prices reasonable.
Matt Franklin
Slappy Brewing North

On Tap:
Saison
Matt Damon in my Mouth

Fermenting:
NE Pale Ale

Up Next:
Belgian Dubbel
Coffee Chocolate Latte Stout
Peanut Butter Cup Stout
User avatar
Matt F
 
Posts: 3336
Joined: Mon Feb 13, 2006 9:09 pm
Location: Cedar Rapids, IA

Re: Wicked Weed sells out.

Postby bf514921 » Fri May 05, 2017 4:58 pm

Speaking of buying local Image

Sent from my LG-US780 using Tapatalk
Brandon Franklin - The other Franklin
bf514921
 
Posts: 549
Joined: Tue Jan 10, 2012 9:32 pm
Location: Central City, IA

Re: Wicked Weed sells out.

Postby jjpeanasky » Sat May 06, 2017 4:44 am

bf514921 wrote:Speaking of buying local Image

Sent from my LG-US780 using Tapatalk

Hey! I've got some of those, but Centennial!

- Josh Peanasky
jjpeanasky
 
Posts: 192
Joined: Fri Jan 29, 2016 5:37 am

Re: Wicked Weed sells out.

Postby carrisr » Thu May 11, 2017 2:26 pm

Proclamation brewing posted today​ that they are being denied South American hops they had pre-ordered due to ABI buying out the SAB Hop Farms. No one gets them unless they are under the ABI umbrella according to the FB post. I haven't confirmed any of this but it sure sounds shitty.

Sent from my Nexus 5X using Tapatalk
Randy Carris
Robotic Brewer
Randy All the Time Brewing
User avatar
carrisr
Site Admin
 
Posts: 1724
Joined: Sun Nov 01, 2009 9:43 am
Location: Stone City, IA

Re: Wicked Weed sells out.

Postby Matt F » Thu May 11, 2017 3:05 pm

Seems to support my concerns in my lengthy rant.
Matt Franklin
Slappy Brewing North

On Tap:
Saison
Matt Damon in my Mouth

Fermenting:
NE Pale Ale

Up Next:
Belgian Dubbel
Coffee Chocolate Latte Stout
Peanut Butter Cup Stout
User avatar
Matt F
 
Posts: 3336
Joined: Mon Feb 13, 2006 9:09 pm
Location: Cedar Rapids, IA

Re: Wicked Weed sells out.

Postby TappedOut » Fri May 12, 2017 9:01 am

It's easy enough to drink great beer without supporting ABInbev. Also, fuck Northern Brewer.
TappedOut
 
Posts: 540
Joined: Wed May 14, 2008 10:27 am

Re: Wicked Weed sells out.

Postby whitedj » Sun May 14, 2017 9:36 pm

This is how publicly held corporations operate. Make as much money as possible, there is never enough. If they can make a buck or take over market share they will to make stockholders happy ,and make more money as more people want to own their shares. If you disagree with this mindset, perhaps socialism is for you?

I understand both sides of the argument, and dont disagree that this could decrease the creativity of craft brewing.

Sent from my SM-G930R4 using Tapatalk
The guy who submitted a barley wine in the Furious competition...
whitedj
 
Posts: 640
Joined: Wed Jan 25, 2012 8:53 pm
Location: Marion

Re: Wicked Weed sells out.

Postby tony b » Mon May 15, 2017 8:39 am

Best way to beat the big guys - drink local! We are fortunate enough to have 8 (soon to be 9) breweries within 25 miles (Granite City doesn't really count in my book.) Support them!
A Mighty Wind's A Brewing

“Life is short - break the rules, forgive quickly, kiss slowly, love truly, laugh uncontrollably, and never regret anything that made you smile” ― Mae West
User avatar
tony b
 
Posts: 2216
Joined: Mon Nov 19, 2007 5:13 pm
Location: CR, IA

Re: Wicked Weed sells out.

Postby Matt F » Wed Jul 05, 2017 7:48 am

Matt Franklin
Slappy Brewing North

On Tap:
Saison
Matt Damon in my Mouth

Fermenting:
NE Pale Ale

Up Next:
Belgian Dubbel
Coffee Chocolate Latte Stout
Peanut Butter Cup Stout
User avatar
Matt F
 
Posts: 3336
Joined: Mon Feb 13, 2006 9:09 pm
Location: Cedar Rapids, IA

Re: Wicked Weed sells out.

Postby tony b » Wed Jul 05, 2017 9:25 am

Of all the "tentacles" in the article, the scariest one is AB buying the hop farm.
A Mighty Wind's A Brewing

“Life is short - break the rules, forgive quickly, kiss slowly, love truly, laugh uncontrollably, and never regret anything that made you smile” ― Mae West
User avatar
tony b
 
Posts: 2216
Joined: Mon Nov 19, 2007 5:13 pm
Location: CR, IA

Re: Wicked Weed sells out.

Postby andrewmaixner » Wed Jul 05, 2017 9:29 am

Matt F wrote:https://beerandbrewing.com/editor-s-note-craft-beer-and-brewing-magazine-august-september-2017/?utm_medium=email&utm_campaign=editorial&utm_source=autopilot&utm_term=070417-edit

from the article:
Add these to the stake AB-InBev owns in ... PicoBrew ...

I did not know that.
Maybe it's time for someone to start a public and living list of all known MacroBrew stakes in craft and home brewing related things?
User avatar
andrewmaixner
 
Posts: 547
Joined: Mon Jul 14, 2014 10:26 am

Re: Wicked Weed sells out.

Postby bf514921 » Wed Jul 05, 2017 12:20 pm

So that's the master plan everyone has there very own Budweiser brewery On there kitchen and buys Pico packs from northern brewer to get their bud hit

Sent from my SM-G930R4 using Tapatalk
Brandon Franklin - The other Franklin
bf514921
 
Posts: 549
Joined: Tue Jan 10, 2012 9:32 pm
Location: Central City, IA

Re: Wicked Weed sells out.

Postby carrisr » Wed Jul 05, 2017 4:06 pm

In the Picobrew case, it's only a minor share investor through their ventures company. The vast majority of Pb's private shares are held by the founders and employees. Also keep in mind that a big part of the business model for the Pico kits is partnering with breweries. So while it's perhaps a bit unsettling, it's nothing like the total buyouts of breweries and other vendors.

Sent from my Nexus 5X using Tapatalk
Randy Carris
Robotic Brewer
Randy All the Time Brewing
User avatar
carrisr
Site Admin
 
Posts: 1724
Joined: Sun Nov 01, 2009 9:43 am
Location: Stone City, IA

Re: Wicked Weed sells out.

Postby carrisr » Wed Jul 05, 2017 4:08 pm

Also, AB is in joint development with Kuerig on a competing device.

Sent from my Nexus 5X using Tapatalk
Randy Carris
Robotic Brewer
Randy All the Time Brewing
User avatar
carrisr
Site Admin
 
Posts: 1724
Joined: Sun Nov 01, 2009 9:43 am
Location: Stone City, IA

PreviousNext

Return to News

Who is online

Users browsing this forum: No registered users and 1 guest

cron