Nice article on how AB InBev is trying to destroy good beer for higher profits

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Evidence that the BMC mindless masses will drink anything as long as it has less flavor and is less filling.

A good percentage will probably drop the product once they know it's not an American business and that the acquisition cost American jobs. News travels very slowly to BMC drinkers.
 
I kinda got scammed a few days back. I have a monthly poker game at my house. I always hit a local brewpub for a keg of amber ale that my friends love. Its a bit of a haul and I didnt have time to make the trip this time.

I hit the local beer store for a 1/6 keg. All they had was IPAs and my friends wont drink it. They are mostly BMC drinkers. They had a special on Goose Island honkers ale. I'd heard of goose island, but never tried it. The keg was ridiculously cheap, so I bought it. Got it home and noticed A big ole AB eagle on the keg.

Got a little suspicious and googled goose island. Turns out I bought an InBev owned brewery product. It was definitely not marketed that way. I even spoke to the beer guy and he told me it was a high-end microbrewery in Chicago. He highly recommended it.

It was OK, not great. A little watery and kinda bland. Tasted like a malty budweiser. Its drinkable, but I feel a little duped.

The moral of the story is 'Be careful out there'. Make sure you know what you're buying.


Goose Island is a high end microbrewery. They were independently owned for many years and the owner(s) just sold the company to AB-InBev last year. So, maybe if you are an elitist you can choose to call them "sellouts" since they chose to, you know...sell their business that they built up over many years. However, so far as I know, they are still running the same operation and selling the same beers they were two years ago.

You may not like that beer you picked up, but it's not because they are AB-InBev swill or whatever you convinced yourself.
 
Beer Wars is a really good documentary, it is available on Nexflix on demand.

+1 This company has to grow or die. Once they are done with the big boys they will increase their intimidation toward craft brewers. I would say start teaching your friends and your family how to brew their own beer instead of supporting these big brewers practices. And check the labels to make sure your brand hasn't sold out.
 
So, maybe if you are an elitist you can choose to call them "sellouts" since they chose to, you know...sell their business that they built up over many years.

The article seems to gloss over InBev's strategy of buying craft breweries (merely calling craft breweries a 'threat'). But it seems clear their bottom line of cutting costs is the main goal. Which means closing breweries, firing people, reusing brands.

Goose Island is not an obscure brand so it does fit in to their idea. There are so many breweries producing beer right now that I don't have a problem not buying any of the InBev brands until their reputation takes a turn. This decision has nothing to do with being elitist. Home brewers are the opposite of elitists. That is why we naturally question the over the top marketing of microbrewery brands. In this day and age anyone with the internet can get information without it being marketed at us, so our choices are more informed than ever.
 
Of course. The Brazillian is using an aggressive business model of the 80's (watch Wallstreet to jar your memory of hostile takeovers during the 80's). Aquire cheap, gut the company and sell off. They make much more money that way. The beneficiaries will be the companies who don't gain much notice and purchase these companies as this company discards what's left of them. They are killers no doubt but when they run out of food they will starve like any other predator or find another industry to plunder.
 
This article confirms the fears I had when AB-InBev bought Goose Island. AB's decisions are ultimately influenced by shareholders, not by brewers. Eventually, cost-cutting wins at the expense of the craft beer drinker. Fortunately, there are still plenty of small independent breweries competing for my craft beer dollars.
 
So why are there a post-prohibition record number of breweries in this country?
But you must take into consideration another fact. Population growth.
The US population in July*1870 : 38.56 million
The US population in July 1920 : 106.46 million
The US population in July 2012 : 313.85 million


Breweries development in the period:
125_post_thumb.jpg


So the population has almost multiplied by TEN , and breweries JUST managed to come to a figure slightly above the figure of 1887.
Logically, there should be ten times as many breweries today, no?
 
This actually good for craft beer drinkers. The way I see it InBev will keep bringing their companies product to new lows. At the same time craft beer is growing in popularity. It is almost like a perfect storm.
 
Perhaps these brands taste different b/c they're now much fresher? Wonder what would happen is you took the St. Louis brewed Becks and put it on a container ship on the Mississippi river for a few weeks then distributed it?
 
The likely consequence in the long run is that the giant firms producing tasteless low quality beer will start losing market share to the craft brew scene and to compensate will then buy out the independents and the cycle will repeat ad infinitum
 
But you must take into consideration another fact. Population growth.
The US population in July*1870 : 38.56 million
The US population in July 1920 : 106.46 million
The US population in July 2012 : 313.85 million


Breweries development in the period:
125_post_thumb.jpg


So the population has almost multiplied by TEN , and breweries JUST managed to come to a figure slightly above the figure of 1887.
Logically, there should be ten times as many breweries today, no?

look, I see your point, but you ignore the fact that significant improvements in transportation and delivery are going to have a significant impact over that period.

What's really interesting to me is that the overall trend is essentially unchanged by prohibition. That is, if you look where the line was headed pre-prohibition, that's right where it picks up after prohibition.

As for AZs point about the strength of craft brewing... the fact that the number of breweries has increased by more than a factor of 20 in 30 years say sit all.
 
So the population has almost multiplied by TEN , and breweries JUST managed to come to a figure slightly above the figure of 1887.
Logically, there should be ten times as many breweries today, no?

That's a quite leap in logic. I'd say it holds up for something like schools or hospitals (as those need to be in proximity to the people), whereas beer can be transported. I think the metric you would expect to have increased by a factor of ten is the number of barrels brewed. Even that is with the assumption that per capita beer consumption is equal between 1887 and today.

Edit: just a second too slow...

Perhaps these brands taste different b/c they're now much fresher? Wonder what would happen is you took the St. Louis brewed Becks and put it on a container ship on the Mississippi river for a few weeks then distributed it?

It probably plays a minor role in the difference in flavors, but I think I'd say most of it is due to differences in process and water between locations.
 
weirdboy said:
Goose Island is a high end microbrewery. They were independently owned for many years and the owner(s) just sold the company to AB-InBev last year. So, maybe if you are an elitist you can choose to call them "sellouts" since they chose to, you know...sell their business that they built up over many years. However, so far as I know, they are still running the same operation and selling the same beers they were two years ago.

You may not like that beer you picked up, but it's not because they are AB-InBev swill or whatever you convinced yourself.


First - I'm not an elitist. I'm drinking a Labatts Blue right now and watching football. Hardly something an elitist would do. In fact I'm just about to pop another Blue. Oh, and there is no Brie in sight.

Second - I don't hate the beer. I enjoy English Ales. I'm just very underwelmed. I can't comment on how good it used to be. The keg won't go to waste.

Third - I said I googled It. Its made at AB in Baldwinsville, NY.

Here's the link: http://mybeerbuzz.blogspot.com/2012/05/goose-island-honkers-ale-ipa-harvest.html

here's another: http://www.huffingtonpost.com/2012/08/26/goose-island-going-nation_n_1831409.html

I wasn't trying to slam Goose Island. I don't care what they do. I'd just like to know what I'm buying. The advertising in the store indicated I was buying a Chicago-made craft beer. I was willing to pay a premium price because of that. That wasn't the case. What I bought was a mass-produced InBev-owned product. It's my own fault for being under-educated about the product. I take full blame, but it won't happen again.

Consider my post a PSA.
 
Customers don't like becks and bass now because it's too fresh? Hahaha. That article is pretty sad when you think about it. There are many people who will be inspired by this business model and "success" story.
 
But you must take into consideration another fact. Population growth.
The US population in July*1870 : 38.56 million
The US population in July 1920 : 106.46 million
The US population in July 2012 : 313.85 million


Breweries development in the period:
125_post_thumb.jpg


So the population has almost multiplied by TEN , and breweries JUST managed to come to a figure slightly above the figure of 1887.
Logically, there should be ten times as many breweries today, no?

Does your point including production, or are you suggesting production per brewery hasnt't matched, or exceeded population growth?

100 years ago, breweries were producing volume for their small, local markets. Not so, for today. And 100 years ago, they were producing mostly similar styles. Again, not so for today.

As Maureen Ogle says in "Ambitious Brew," the greatest time for beer in the U.S. is now.
 
AZ_IPA said:
As Maureen Ogle says in "Ambitious Brew," the greatest time for beer in the U.S. is now.

I have a hard time seeing how anyone could even try to argue against this claim.
 
AZ_IPA said:
But, but, but, but inbev is killing 'em all, don't you see??? ;)

Well, all we've really seen is stats on number of breweries. Nothing about number of *living* breweries. Hmmmmmmmmmmmm... maybe they ARE all dead!
 
Seems the sentiment here seems to be "I don't care, because I drink craft beer and they are only messing with the big macro breweries that I could care less about".

You might care once they are done acquiring the large macro companies, and start taking over mid to large sized craft breweries and start effing with their product.
 
Third - I said I googled It. Its made at AB in Baldwinsville, NY.

This is true. AB made a big deal about how "goose island will not be brewed in st. louis!!"

.....it took them all of 6 months to move most of the core lineup production to NY.
 
Did anyone else catch the ' Imperial Pale Ale'? Is this a typo for India Pale Ale, or is this an actual style?

Actually 312 is a wit....


Inbev is clearly not taking into account that beer purchases are for most people(for craft and BMC people alike) an emotional decision. With the BMC crowd its a tradition of drinking it, and all the things that happened while they enjoyed a beer. With us craft people its more about singular experiences we had while enjoying a specific beer(IE a visit to a brewery and drinking the stout on cask, or sharing one of those IPAs with an old friend, a particularly memorable meal, or that one beer that converted you to "real beer" ect) I'm sure for some of the connoisseur types this emotional connection may be hard to admit, as it undermines your mechanical tasting ability.

You can run the business as efficiently as possible but if you destroy the mystique of the beer that gets people to open their wallets it doesn't really matter.

I think AB always understood this and their marketing is proof. The bud Clydesdale's, Bush: Head for the mountains, even the general tone of their commercials. They helped solicit an emotional response and memory about the last time you enjoyed one of their beers and who you enjoyed it with.


Anyways, I think this is bad for the guys at the top and the middle. The small producers, who lets face it, most of us buy the majority of our beer from will be unaffected. The breweries that should be most concerned about this are the Sierra Nevada's, Sam Adam's, Rogues, and New Beligiums of the world.
 
I agree with Xpertskir, AB understood tradition and even if I am not a fan of their style of beer I do respect holding traditions and recipes on high as a very important part of brewing. Degrading your product and ingredients for the sake of profit will be the undoing of the company and the emergence of a budding "crafter" to fill the space left.

The consumer notices these things, especially if they have been brand loyal for a number of years, just look at what happened with Coca Cola when they tried to change the formula. They ended up brewing Coke Classic and found the new formula wassn't selling compared to the "Classic" formula so they mostly abandoned the new formula and if I remember right it was a very costly mistake for Coca Cola as well.
 
The consumer notices these things, especially if they have been brand loyal for a number of years, just look at what happened with Coca Cola when they tried to change the formula. They ended up brewing Coke Classic and found the new formula wassn't selling compared to the "Classic" formula so they mostly abandoned the new formula and if I remember right it was a very costly mistake for Coca Cola as well.
Actually, the whole New Coke debacle turned out to be one of the best financial moves Coke ever did, but they were very lucky with that one.
 
I have to say I read the article and agree with all of you in principle that cheapening a recipe for profit is wrong, especially if you are going to continue to charge the same $$$ for it...but here's my experience.

I used to drink at Goose Island in the late 80's, the first brewpub. I have heard the news of them being purchased. Last month, I was out in eastern PA and at a hotel when I asked them what they had on tap. They reeled off a few things (pretty good selection actually) and one of them was a Goose Island IPA. I said I'd take one of those. It was delicious, very good, and like all of us I've had quite a few craft IPA's. It tasted homebrew fresh, not months old. I told the bartender "wow this tastes fresh!" and he said "yeah, we just tapped that keg". But I didn't realize at the time it probably wasn't brewed in Chicago.

Regardless, it was damn good beer. In fact, as good or better than any I'd had at Goose Island. Firsthand experience that all InBev beer does not taste like sh*t. :(
 
Maybe it's because I live in the roughneck/hillbilly armpit of the world, but I don't think AbInbev is going anywhere. The people who drink the mass produced light lagers can't tell the difference between broke or whole rice. Most of the country drinks BMC to socially drink and to get drunk. The price is right and the commercials make it look awesome.

Even the guy in the article who thought his Becks tasted more bland probably just bought an older six pack and it didn't taste just right or he was simply full of crap. I'd bet that most of the complaints on his BookFace page are from people who are emotionally hurt by their brand being brewed by someone or someplace different, and not because the beer tastes different. Find me a BMC drinker that sticks his nose in his glass as soon as he pours his beer then sips it and lets it coat his tongue before he swallows. Doesn't happen.

Sure the article seems awful and evil. It's nothing more than capitalism at its finest.
 
Maybe it's because I live in the roughneck/hillbilly armpit of the world, but I don't think AbInbev is going anywhere. The people who drink the mass produced light lagers can't tell the difference between broke or whole rice. Most of the country drinks BMC to socially drink and to get drunk. The price is right and the commercials make it look awesome.

Even the guy in the article who thought his Becks tasted more bland probably just bought an older six pack and it didn't taste just right or he was simply full of crap. I'd bet that most of the complaints on his BookFace page are from people who are emotionally hurt by their brand being brewed by someone or someplace different, and not because the beer tastes different. Find me a BMC drinker that sticks his nose in his glass as soon as he pours his beer then sips it and lets it coat his tongue before he swallows. Doesn't happen.

Sure the article seems awful and evil. It's nothing more than capitalism at its finest.

I'll one up you on the becks guy. I'll bet the reason it tasted "bad" is because since it was brewed in the US, it didnt get skunked on the trip over here from Europe. The taste he is missing is skunk.
 
Most complete list I could find courtesy of Wikipedia.
The brands

Absolut Cut (Sweden)
Alexander Keith's (Canada)
Keith's White
Keith's Dark
Keith's Red
Keith's Light
Keith's Regular
Andes (Argentina)
Antarctica (Brazil)
Apatinska pivara (Serbia)
Jelen pivo
Pils Light
Aqua Fratelli Vita (Brazil)
AstikA (Bulgaria)
Baisha (China)
BagBier (Russia)
BagBier
BagBier Classicheskoye
BagBier Krepkoye
BagBier Nashe
Bass (United Kingdom)
Baviera (Paraguay)
Beck's (Germany)
Beck's Dark
Beck's Oktoberfest
Beck's Premier Light
Belle-Vue (Belgium)
Belle-Vue Kriek
Belle-Vue Kriek Extra
Belle-Vue Framboise
Belle-Vue Gueuze
Bergenbier (Romania)
Blue Star (Canada)
Boddingtons (United Kingdom)
Bohemia (Brazil)
Bohemia Pilsen
Bohemia Escura
Bohemia Weiss
Bohemia Royal Ale
Bohemia Confraria
Bohemia Oaken
Borsodi (Hungary)
Borsodi Bivaly
Borsodi Polo
Borsodi Sör
Borostyán (Hungary)
Boomerang (France)
Brahma (Global)
Breda (The Channel Islands) Still Available
Budweiser
Budweiser Chelada
Bud Dry
Bud Extra
Bud Ice
Bud Ice Light
Budweiser Select
Budweiser Select 55
Bud Light
Bud Light Chelada
Bud Light Lime
Busch
Busch Light
Cafri (South Korea)
Caracu (Brazil)
Cass (South Korea)
Cass Fresh
Cass Light
Cass Red
Cass Lemon
Castlemaine XXXX (owned by Castlemaine Perkins Pty Ltd.)
Chernihivske (Ukraine)
Chernihivske Svitle
Chernihivske Premium
Chernihivske Mitsne
Chernihivske Temne
Chernihivske Bile
Chernihivske Bila Nich
Chernihivske Bagryane
Chernihivske Fitness+
Diebels (Germany)
Diekirch (Luxembourg)
Diekirch Grand Cru
Diekirch Grande Réserve
Diekirch Exclusive
Dimix (Germany)
Dommelsch (Netherlands)
Dommelsch Pilsener
Dommelsch Ice
Dommelsch Dominator
Double Deer (China)
E-Generation
Premium Light
Dry Beer
Dutch Gold (Netherlands)
Eiken Artois
Franziskaner Weissbier (Germany)
Franziskaner Hefe-Weissbier
Franziskaner Hefe-Weissbier Alkoholfrei
Franziskaner Hefe-Weissbier Dunkel
Franziskaner Hefe-Weissbier Leicht
Franziskaner Weissbier Kristallklar
Gilde Ratskeller (Germany)
Goose Island Brewery
Guaraná Antarctica (Brazil)
Guaraná Brahma (Brazil)
GuoGuang (China)
Haake-Beck (Germany)
Hasseröder (Germany)
Harbin (China)
Hertog Jan (Netherlands)
Primator
Oud Bruin
Grand Prestige
Tripel
Dubbel
Winterbier
Bockbier
Meibock
Hoegaarden (Belgium)
Hop Hound Amber Wheat
Hougaerdse Das (Belgium)
Jinlin (China)
Jinlongquan (China)
Draft
Refreshing
Julius (Belgium)
Jupiler (Belgium)
Jupiler N.A.
Jupiler Blue
Jupiler Tauro
KK (China)
Kamenitza (Bulgaria)
Klinskoye (Russia)
Klinskoye Svetloye
Klinskoye Zolotoye
Klinskoye Lux
Klinskoye Redkoye
Klinskoye Arriva
Klinskoye Samurai
Kokanee (Canada)
Kokanee
Kokanee Gold
Kokanee Light
Kokanee Frost
La Bécasse (France)
La Bécasse Kriek
La Bécasse Raspberry
La Bécasse Gueuze
Labatt Family (Canada) Acquired in 1995
Labatt Blue
Labatt Blue Light
Labatt .5
Labatt Lite
Labatt 50
John Labatt Classic
Labatt Genuine
Labatt Extra Dry Lager
Labatt Wildcat
Labatt Ice
Labatt Sterling
Lakeport Family (Canada) Acquired in 2007
Lakeport Pilsener
Lakeport Honey Lager
Lakeport Strong
Lakeport Ice
Lakeport Ale
Lakeport Light
Lakeport Red
Steeler
Brava
Wee Willy
Leffe (Belgium)
Leffe Brown
Leffe Blonde
Leffe Ruby
Leffe Printemps
Liber (Brazil)
Löwenbräu (Germany)
Löwenbräu Alkoholfrei
Löwenbräu Dunkel
Löwenbräu Löwen Weisse
Löwenbräu Original
Löwenbräu Oktoberfestbier
Löwenbräu Premium Pils
Löwenbräu Radler
Löwenbräu Schwarze Weisse
Löwenbräu Triumphator
Löwenbräu Urtyp
Marathon (Brazil)
Michelob
Michelob Light
Michelob AmberBock
Michelob Dunkel Weisse
Michelob Honey Lager
Michelob Honey Wheat
Michelob Irish Red Ale
Michelob Marzen
Michelob Pale Ale
Michelob Porter
Michelob Ultra
Michelob Ultra Amber
Michelob Ultra Lime Cactus
Michelob Ultra Pomegranate Raspberry
Michelob Ultra Tuscan Orange Grapefruit
Michelob Golden Draft
Michelob Golden Draft Light
Mousel (Luxembourg)
Natural Light
Pivara Trebjesa (Montenegro)
Nik Cool
Nik Gold
Nikšicko pivo
Nikšicko tamno
Noroc (Romania)
Oland Export Ale (Canada)
OB (South Korea)
Oranjeboom (Netherlands)
Oranjeboom Premium Pilsener
Oranjeboom Oud Bruin
Oranjeboom Premish Malt
Original (Brasil)
Peeterman Artois
Permskoye Gubernskoye (Russia)
Permskoye Gubernskoye Svetloye
Paceña (Bolivia)
Paceña Pico de Oro
Paceña Pico de Plata
Huari
Bock
Ducal
Piedboeuf (Belgium)
Piedboeuf Blond
Piedboeuf Brown
Piedboeuf Triple
Pilsen (Uruguay)
Quilmes (Argentina)
Red Bridge
Red Shiliang (China)
Rifey (Russia)
Rohan (Ukraine)
Rohan Lehke
Rohan Tradytsiyne
Rohan Monastyrske Temne
Rohan Veselyi Monach
Rohan Bezalkoholne
Rohan Kampai
Rohan Arriva
Rolling Rock
Rock Light
Safir (Belgium)
Santai (China)
Schooner Lager (Canada)
Sedrin (China)
Shock Top Beligian White
Sibirskaya Korona (Siberian Crown)(Russia)
Skol (Brazil)
Spaten (Germany)
Spaten Alkoholfrei
Spaten Diät-Pils
Spaten Münchner Hell
Spaten Oktoberfestbier
Spaten Pils
St. Pauli Girl (Germany)
St. Pauli Girl Lager
St. Pauli Girl Special Dark
St. Pauli Girl Non-Alcoholic
Staropramen (Czech Republic)
Stella Artois (Global)
Artois Bock
Peeterman Artois
Stone Mill Pale Ale
Sukita (Brazil)
Taller (Ukraine)
Tinkov Russian Lager (Russia)
Tolstiak (Russia)
Tolstiak Dobroye
Tolstiak Svetloye
Tolstiak Zaboristoye
Tolstiak Krepkoye
Tolstiak Grechisnoye
Vieux Temps (Belgium)
Wild Blue
Wolters (Germany)
Whitbread (United Kingdom) (purchased from Whitbread Group plc in 2001)
Yali (China)
Yantar (Ukraine)
Zagrebacka pivovara (Croatia)
Božicno Pivo
Ožujsko Pivo
Ožujsko Cool
Ožujsko Izzy
Ožujsko Strong
Fresssh by Ožujsko
Tomislav
ZiegenBock
Zizhulin (China)
Zhujiang (China)
Zenda (Perú)
 
Hmm, didn't know they own Spaten and Leffe also. I'll just avoid those from now on. On general principle I choose not to support this company with my money. There are plenty of other brands out there I'd rather support.
 
I don't agree with their decisions or their seeming lack of respect for tradition. That said I believe that free market is already changing this. A few years ago I could see 5 different brands of beer in an average grocery store. Just off of the top of my head I'm sure that there at least 20 different brands of beer in the nearest store, 10 of which are rotating choices. Many of my friends took trips to local brewerys as an event this year where previously I don't think that really registered. Mr. Beer kits seem to be running rampant and I can count at least 5 people that I have talked to in the past few months that are looking to brew their own.

If you cut corners and make a boring product, people change their habits. Whether conciously or unconciously I see more and more people turning away from beers that are made cheaper.
 
Mr. Beer kits seem to be running rampant and I can count at least 5 people that I have talked to in the past few months that are looking to brew their own.

I was in a Rite Aid Pharmacy yesterday. They had a Mr Beer display right in the middle of the store. Complete kits and extra ingredients.
 
Most complete list I could find courtesy of Wikipedia.
The brands

Absolut Cut (Sweden)
Alexander Keith's (Canada)
Keith's White
Keith's Dark
Keith's Red
Keith's Light
Keith's Regular
......

Yikes - After seeing this list I'm wondering...Does anyone other than AB InBev even make beer in Germany anymore?:confused:
 
Yikes... Guess we can just hope that we don't move backwards and the lobbyists get the law makers to put home brewing in the same class as home distilling... ILLEGAL. At least we still have our local micro breweries and Sam Adams when we run out of home brew... At least for now.
 
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