Craft Beer Industry Concerns - what is and isn't craft beer

[Bribie G]

That was Byron Bay Brewery not Stone and Wood.

Aha I didn't know there were two breweries at Byron Bay.
I've been to Byron Bay twice (first and last time).

 

[Goose]

And your point is?

I think you missed it...

 

[BottloBill]

Posted in its own thread but thought I would slot it here aswell http//www.brewsnews.com.au/2015/06/tooheys-taps-into-pale-ale-trend/

 

[BottloBill]

Posted in its own thread but thought I would slot it here aswell
http://www.brewsnews.com.au/2015/06/tooheys-taps-into-pale-ale-trend/

 

[MichaelM]

Craft beer is more about the implied culture and economics around the production of beer. It's about the individual or group of individuals who take their passion to make good beer and turn it into an independent business. The small man giving it a go. It's about producing a beer for the local community on a small scale and the business's interaction with with the community. Local job creation despite economic inefficiencies, Giving back to the community, offering a cultural opportunity. Working collaboratively with other craft breweries rather than a war for the taps and shelves. Craft brewers revive historical practices in the brewing industry. They have the financial backing of investors who actually care about the product and not purely the profit, despite not having access to millions that the multinationals. Here's a link to an inspiring video on you tube: https://youtu.be/Xh2oDdTHXQU

 

[GalBrew]

Craft beer is more about the implied culture and economics around the production of beer. It's about the individual or group of individuals who take their passion to make good beer and turn it into an independent business. The small man giving it a go. It's about producing a beer for the local community on a small scale and the business's interaction with with the community. Local job creation despite economic inefficiencies, Giving back to the community, offering a cultural opportunity. Working collaboratively with other craft breweries rather than a war for the taps and shelves. Craft brewers revive historical practices in the brewing industry. They have the financial backing of investors who actually care about the product and not purely the profit, despite not having access to millions that the multinationals. Here's a link to an inspiring video on you tube: https://youtu.be/Xh2oDdTHXQU

So what happens when said craft brewery becomes successful and expands a few times like a Sierra Nevada for example? Is a brewery no longer 'craft' once it goes beyond 'the small man having a go'? Because then 'craft' is basically a term for unprofitable local breweries that will no doubt last only a short time. Any brewery that is successful anywhere will expand and grow, that is how business works and that is why the 'small' descriptor for craft breweries can only be temporary.

 

[Liam_snorkel]

I disagree with your assessment of "craft" being "unprofitable local breweries that only last a short time". Not all businesses want to expand in that way.
You could argue that massive 'craft' breweries like SN have outgrown the label, but I guess being family owned, not cutting down on ingredients, doing things like the "beer camp" collaborations, open fermentations (such as bigfoot) - mean that they have a foot in each door.

 

[wide eyed and legless]

So what happens when said craft brewery becomes successful and expands a few times like a Sierra Nevada for example? Is a brewery no longer 'craft' once it goes beyond 'the small man having a go'? Because then 'craft' is basically a term for unprofitable local breweries that will no doubt last only a short time. Any brewery that is successful anywhere will expand and grow, that is how business works and that is why the 'small' descriptor for craft breweries can only be temporary.

It would just be called an independent brewery, if someone starts a brewery with good intentions of making craft beer, it will be inevitable that it would have to grow, one would find it impossible not to, if they don't someone else will then they would eventually disappear.

 

[Liam_snorkel]

I think the exception to that case are some brewpubs that don't package their beers except for kegs to be distributed locally. Profitable, without (geographical) expansion being a goal.

 

[Brooa]

This whole dodgey marketing thing gets us at the public bar as well. I was at a private function with a bar tab at the local recently. Included in the bar tab was any local beer. When I asked for a fat yak, the barman says "no mate that's not local, It's Matilda Bay". I don't know how much more local you can get than 5klm from the major Brisbane brewery it's brewed at.

 

[MichaelM]

Not all businesses want to be bought out by larger multinational breweries but want to keep it in the family and remain independent. Also not all businesses want to expand to the point of being another James Squire. Depends on the business model. Being small doesn't mean you will be unsuccessful. You focus on a niche market.

 

[wide eyed and legless]

Not all businesses want to be bought out by larger multinational breweries but want to keep it in the family and remain independent. Also not all businesses want to expand to the point of being another James Squire. Depends on the business model. Being small doesn't mean you will be unsuccessful. You focus on a niche market.

The only problem with that is there are many others in that niche market and expansion would have to follow as a natural turn of events, if you brew a successful beer and it becomes popular, then without expanding the only option is to get it brewed elsewhere, a business becomes like a small child which you are proud of and it would be inevitable that one would nurture it and see it grow.If one wants to brew beer in a small profitable way as Liam suggested a brew pub is the way to go.

 

[GalBrew]

The only problem with that is there are many others in that niche market and expansion would have to follow as a natural turn of events, if you brew a successful beer and it becomes popular, then without expanding the only option is to get it brewed elsewhere, a business becomes like a small child which you are proud of and it would be inevitable that one would nurture it and see it grow.If one wants to brew beer in a small profitable way as Liam suggested a brew pub is the way to go.

This is exactly the problem. What happens in 20 years time when there is a 'craft brewery' on ever corner? Margins on beer are not great, the only ones that will survive the inevitable craft beer wars of the 21st century will be small local brewpubs, that are far more profitable compared to setup cost (you make a lot more by pouring a beer over the bar than by packaging/kegging for distribution) or the larger packaging breweries that can sell far more product (for lower margin), be they independently owned or not.

 

[Dave70]

This whole dodgey marketing thing gets us at the public bar as well. I was at a private function with a bar tab at the local recently. Included in the bar tab was any local beer. When I asked for a fat yak, the barman says "no mate that's not local, It's Matilda Bay". I don't know how much more local you can get than 5klm from the major Brisbane brewery it's brewed at.

Thats funny. On a same same but different note, we had a set menu at the the brother in laws birthday the other night at a Greek restaurant. Wonderful food, truly, but the beer choice on offer was a trifecta of shit - Crownies, Haan super dry and can you guess?? - yes that's right, Corona. Anyhow, I though **** this, they must at least have Ouzo. So I went inside to check the fridge to discover a range of Murrys and JS beer. The Crownies and Corona were about the same exorbitant price as the the other stuff, about $8 a pop, so it just seemed odd they weren't part of the set menu list.
Guess the markup must be less. In any case, the meal was $44 per head. My drinks bill was $48. It was worth it.

 

[MichaelM]

To try and draw a parallel. Is cheese made on a small scale by an independent business and sold at a farmers market or at a local outlet not considered artisan/craft cheese? If that same cheese was mass produced at a large factory it wouldn't be considered craft/ artisan cheese .can the same not be applied to beer?

 

[GalBrew]

But what happens when that small scale cheese factory increases in size, employs more staff and churns out vast amounts of the exact same cheese?

 

[Liam_snorkel]

it's all about the vibe, man.

 

[wide eyed and legless]

I suppose it is applied to beer, it would start life out as a craft beer and as it grows the craft seems to get dropped, as it would apply only to a small operation. It would then become an independent brewery, though Ballast Point Brewery when it sold for $1 billion was touted as a craft brewery, even though it was a large brewery and about to enter on to the stock market just before it was sold so that it could expand to keep up with demand.
I would say "craft" is a misused word when it comes to beer, I can't recall a craft cheese being mass produced so the craft is dropped, in beer it is a marketing ploy used by the likes of Coles, Woolworths/Dan Murphys.

 

[crowmanz]

I can't recall a craft cheese being mass produced

 

[GalBrew]

Whata about a brewery like Cantillon? They are pretty big as is Rodenbach and Weihenstephan. Are we suggesting that they are no longer craft? Because they have been honing their craft for a while now and make stellar beers.