A new reason to bash AB

Well, there's been quite a bit of sympathetic talk about Anheuser-Busch around here lately.
Tonight This just came in the e-mail.

I say we mobilize the HBT machine:rockin:

Here is the text.
June 20, 2008

Dear Beer Activists and Homebrewers,

The craft brewers of California need your help! Please read the following information that has been provided by the California Small Brewers Association concerning an issue that could negatively impact California small brewers and ultimately consumer access to craft beer.

A bill sponsored by Anheuser-Busch, Assembly Bill 1245 is being voted on in committee this Tuesday, June 24th. This bill would significantly expand the limits on what a brewer can give away to a retailer. Currently, a brewer can only give away small items of minimal value to a retailer or consumer. The law now in place helps create an equal playing field for both small and large breweries. This law has helped the craft brewing industry flourish in California.

Anheuser-Busch wants to increase the limit 1,600% so they can use give-ways as an inducement to gain placements in stores, bars and restaurants. Craft brewers - because we are small, independent businesses which brew with passion and typically do not have large marketing budgets - cannot afford to compete with the big brewers on this level. Passing this bill will allow large corporate brewers to “buy” retail placements at craft beers expense.

The craft brewers of California will be at a distinct disadvantage if this bill passes, therefore limiting the choice and availability of craft beers in the marketplace.

There are five Senators on the committee who have indicated they will vote in favor of this bill – and against your local brewery. They are:

Senator Wiggins (Mendocino, Humbolt parts of Sonoma County)

Senator Harman (Huntington Beach area)

Senator Denham (Central valley Modesto area)

Senator Yee (parts of western San Francisco County)

Senator Wyland (parts of San Diego County)

If you live in the district one of these Senators, we need your help! Please read on. If you are not sure who your Senator is, you can easily and quickly find out here.

If you are in the district of one of the five Senators above, please write a letter to fax or email, or call your Senators office no later than Monday, June 23rd.

Let your Senator know that you are opposed to AB 1245 and that this bill is anti-small business and against the best interests of the craft brewers in California.

Senator Wiggins phone 916651-4002 fax 916-323-6958 email [email protected]

Senator Harman phone 916-651-4035 fax 916-445-9263 email [email protected]

Senator Denham phone 916-651-4012 fax 916-445-0773 email [email protected]

Senator Yee phone 916-651-4008 fax 916-327-2186 email [email protected]

Senator Wyland phone 916-651-4038 fax 916-446-7382 email [email protected]

Thanks for supporting your local brewery!

The California Small Brewers Association
Smallbrewers.com
Direct questions to: [email protected]

Sincerely,
signature
Charlie Papazian
President Brewers Association
[email protected]

signature
Gary Glass
Director
American Homebrewers Association
[email protected]
www.beertown.org

I wonder how many of those senators are friends with AB lobbyists?

Germey said:

The law now in place helps create an equal playing field for both small and large breweries. This law has helped the craft brewing industry flourish in California.

Click to expand...

Really?

So do other states that have a vibrant craft beer industry have similar restrictions?

Yes. Pennsylvania.

It's still a ***** to market craft beer in PA, but having restrictions on giveaway POS (point of sale) material definitely helps to level the field.

See, the big guys can afford to give away stuff like neon signs and other expensive stuff just to get a tap handle in a neighborhood bar or prime floor space in a wholesaler's barn. It's called economy of scale - the same reason they can be profitable selling a product at a price point less than half of a craft product.

California's brewing industry will definitely see a negative impact should this bill pass. Just remember - comments are due to the legislators by the 23rd! It's now the 21st! Get cracking!

Bob

brewt00l said:

Really?

So do other states that have a vibrant craft beer industry have similar restrictions?

Click to expand...

Oregon's craft brewery industry started because of draconian alcohol distribution laws. It was so difficult to get your beer to market because of the chokehold and expense that it became easier just to make and sell it on premise instead.

what is the % based on for how much value of product you can give away? also what is the cost based on? laded cost of goods, retail wholesale etc.

Oregon:

"6) No Full On-Premises Sales licensee or officer, director, manager, agent, or employee of a
Full On-Premises Sales licensee will solicit or accept any gift, gratuity, special individualized
discount, or other incentive from any retail sales agent of the Commission, or anyone representing
the retail sales agent, if such may be reasonably construed to be an enticement to obtain, maintain
or increase the recipients business with the retail sales agent."

I guess NO levels the playing field.

BobNQ3X said:

Yes. Pennsylvania.

Click to expand...

...but they do give that crap away in PA....all the time. Surfboards, snowboards, sports equipment, trips & vacations. Where's the limit? If there is one, then craft brewers already get the shaft here. I know plenty of bar/rest folks sporting some nice stuff courtesy of big brewers (incl Sam Adams and Yueng)

What I'm hearing so far is that no other state has limited giveaway/promo stuff that I inquired about..other limitations, yes but not specifically giveaway/marketing/promo items...cept Oregon.