AB acquired Wicked Weed

[RevKev]

Excellent write up by Chris Herron. Gives a deeper perspective into why AB Inbev is going in this direction.

http://goodbeerhunting.com/blog/2017/5/5/watch-the-hands-not-the-cards-the-magic-of-megabrew

That's a fantastic share. This thread honestly should end with that. I see no cons in their strategy, although it may make making core beers harder to make with extravagant ingredients I still think the goal is to join them and reap the benefits

 

[Cape Brewing]

I get tired of people just throwing up the... 'If someone through millions at me I'd take the money and run too!' Of course we would,

Wait.... what?

 

[Callacave]

Wait.... what?

I'm just saying I'd like more discussion than seeing 50 posts of the obvious.

 

[applescrap]

Excellent write up by Chris Herron. Gives a deeper perspective into why AB Inbev is going in this direction.

I get tired of people just throwing up the... 'If someone through millions at me I'd take the money and run too!' Of course we would, but anybody that truly cares about the industry can find some great insight in this article.

http://goodbeerhunting.com/blog/2017/5/5/watch-the-hands-not-the-cards-the-magic-of-megabrew

This is a good read. 136 billion dollars, wow. It makes me think that even if everyone banned together, quit buying them, etc., etc. That another company wouldnt just buy them up and carry on business. This quote is particularly interesting because the rest of the article is less forward in its accusations. So, they are going to control the market raw goods so they can make everyones beer taste like s...t so people will buy bud. This is borderline conspiracy theory weird, no. It's clear though they want to get as much money, breweries, beer and profit as they can. Honestly I'm wondering if working for them would be a pretty sweet job. Also it's clear that all of our retirements may contain some of their stock so we want them to do well right?

"While everyone thinks that AB InBev is truly interested in getting into craft and building these brands (which is a secondary goal at best), I submit that maybe buying craft breweries is more of a tool to devalue the craft category and increase the brand equity of their core legacy beers."

 

[Callacave]

I have a buddy that's been working for AB for about 20 years. I think some people forget that InBev bought out AB not too long ago.

I remember him telling me some of the corners they were cutting in production to produce Bud, so it's interesting to know that even the product of Bud had some corners cut.

I guess it's just business in the end though. It's happens in every industry. We homebrewers just hold our hobby a little closer to our heart though.

 

[rodwha]

This is a good read. 136 billion dollars, wow. It makes me think that even if everyone banned together, quit buying them, etc., etc. That another company wouldnt just buy them up and carry on business. This quote is particularly interesting because the rest of the article is less forward in its accusations. So, they are going to control the market raw goods so they can make everyones beer taste like s...t so people will buy bud. This is borderline conspiracy theory weird, no. It's clear though they want to get as much money, breweries, beer and profit as they can. Honestly I'm wondering if working for them would be a pretty sweet job. Also it's clear that all of our retirements may contain some of their stock so we want them to do well right?

"While everyone thinks that AB InBev is truly interested in getting into craft and building these brands (which is a secondary goal at best), I submit that maybe buying craft breweries is more of a tool to devalue the craft category and increase the brand equity of their core legacy beers."

What they claimed was that by owning so many craft breweries and now even more raw ingredients they can bring the price of craft down closer to their level so that Bud's price isn't considered so cheap.

 

[applescrap]

What they claimed was that by owning so many craft breweries and now even more raw ingredients they can bring the price of craft down closer to their level so that Bud's price isn't considered so cheap.

Is this a bad thing? If so please explain. I feel the price of beer has gotten a little expensive.

 

[GilaMinumBeer]

Bwahahaha. Love the article. Especially the bit where all these anti-AB tirades only serve their purpose. The reality being that if you REALLY want to give AB/InBev the middle finger after a buyout/collaboration then what you should be doing is buying MORE of the brand so they cannot justify a price drop.

Well done guys.

 

[rodwha]

Is this a bad thing? If so please explain. I feel the price of beer has gotten a little expensive.

The prices are rather high. However for some it's because their costs are high. Volume reduces costs all the way around. It's no different than us paying for grains by the pound instead of by 10 or 55 as it also with hops. Eventually the little guy won't sell enough to stay in business. How much does AB/InBev buy thereby reduces the overall costs? How can Little Joe's tiny stablishment keep up?

I typically don't buy anything that's unreasonable. $9 for a 6 pack is about as high as I'll go unless it's an import, but I often will buy something on sale or in a 12 pack and almost never buy a bomber.

 

[rodwha]

Bwahahaha. Love the article. Especially the bit where all these anti-AB tirades only serve their purpose. The reality being that if you REALLY want to give AB/InBev the middle finger after a buyout/collaboration then what you should be doing is buying MORE of the brand so they cannot justify a price drop.

Well done guys.

Oh, yeah, cause that's the way it works... :smack:

 

[GilaMinumBeer]

Oh, yeah, cause that's the way it works... :smack:

"... many diehard craft consumers will shy away from the purchased brand, which inherently lost value the moment the buyout was announced, AB InBev can easily lower the prices to reflect the reduced brand equity, and a large group of consumers who don’t consider themselves “craft” or care about ownership will happily buy it at the lower price."

In part, yes, it does. They COUNT on your tirade as a partial means to devalue craft brands and level the playing field price points.

 

[Schecter]

http://wayland.wickedlocal.com/blog...lls-out-of-wicked-weed-fest-may-host-own-fest

 

[rodwha]

"... many diehard craft consumers will shy away from the purchased brand, which inherently lost value the moment the buyout was announced, AB InBev can easily lower the prices to reflect the reduced brand equity, and a large group of consumers who don’t consider themselves “craft” or care about ownership will happily buy it at the lower price."

In part, yes, it does. They COUNT on your tirade as a partial means to devalue craft brands and level the playing field price points.

I was referring to this:

"The reality being that if you REALLY want to give AB/InBev the middle finger after a buyout/collaboration then what you should be doing is buying MORE of the brand so they cannot justify a price drop."

A ludicrous statement.

 

[Ashevillain]

As much as it sucks it's whatever at this point. Cash in and start over. I still drink Elysian, GI and Breckenridge. Good for them. I also read on another page they started with Fortune 500 type capital, so not really shocking.

First of all no disrespect to all the workers/brewers there, some very experienced and hard working people who have to face this transition in a much more real way than the consumer.

I am not surprised; they hit the ground so stacked. It was always oriented towards growth, marketing, and tourism. They were perpetually expanding from the beginning. IMO they never planned to sustain their business themselves the way they grew it. I would not be surprised if they were funded by inbev resources to begin with:rockin: to help foster a sort of normalization surrounding inbev acquiring craft breweries / a roundabout way for inbev to create a craft brewery that consumers won't turn their noses up at(talking out of my ass of course, hey its the internet). Its not hard to tell from the beginning what direction they were headed, so I think aside from the initial hype most people aren't that surprised/interested.

A lot of their beer is good though hope that remains the same.


EDIT: Whoa just read through some more of these posts haha! Hot topic i guess. Don't take anything I said the wrong way y'all just speculating xD.

 

[h22lude]

I was referring to this:

"The reality being that if you REALLY want to give AB/InBev the middle finger after a buyout/collaboration then what you should be doing is buying MORE of the brand so they cannot justify a price drop."

A ludicrous statement.

I'm with you. I understand why they want the price drop but buying more at the higher price will not big a big middle finger the them. It's the exact opposite.

"I hate your product so much and I don't want you to be able to justify a price drop so I'll buy your product at the higher price" said no one ever for any product ever made

 

[GilaMinumBeer]

I was referring to this:

"The reality being that if you REALLY want to give AB/InBev the middle finger after a buyout/collaboration then what you should be doing is buying MORE of the brand so they cannot justify a price drop."

A ludicrous statement.

I'm with you. I understand why they want the price drop but buying more at the higher price will not big a big middle finger the them. It's the exact opposite.

"I hate your product so much and I don't want you to be able to justify a price drop so I'll buy your product at the higher price" said no one ever for any product ever made

The point being that their motive is to keep their flagship brands competitive at a the current price point. While buying the acquired products at a higher price point doesn't hurt the acquired brand, it does damage their motivation for buying them in an effort to protect their flagship.

Buy their beer, or don't. Either way, they have figured out how to profit from it.

 

[applescrap]

The prices are rather high. However for some it's because their costs are high. Volume reduces costs all the way around. It's no different than us paying for grains by the pound instead of by 10 or 55 as it also with hops. Eventually the little guy won't sell enough to stay in business. How much does AB/InBev buy thereby reduces the overall costs? How can Little Joe's tiny stablishment keep up?

I typically don't buy anything that's unreasonable. $9 for a 6 pack is about as high as I'll go unless it's an import, but I often will buy something on sale or in a 12 pack and almost never buy a bomber.

Sure, that makes sense. At my liquor store 9 a six pack would be pretty limiting. I used to not buy stuff cause of price but now I figure fug it, I would rather have exactly what I want rather than save a few bucks. Also a pint of bud could cost 6 in a bar so figure I am saving anyways. I do save though by buying sanke kegs and now that goose at a dollar a beer. More expensive stuff has proven to be waaayyyy overvalued to me compared to wine. So at 20 dollars for 12 oz I would rather drink wine.

 

[Cape Brewing]

Not a lot of small independent craft brewers can swing this sort of thing...

https://www.brewbound.com/news/anheuser-busch-accused-inducing-massachusetts-retailers

 

[slym2none]

This is absolute hogwash LOL
Anyone can start a company in this great country we live in. All it takes is hard work...Start small and work your up the ladder....by the grace of god you'll be bought out for millions and enjoy the fruits of your labor.....or hold out and keep slaving away never spending time with the family....and that would make you the worst businessman in the history of business

I really hope this is sarcasm.

 

[lump42]

Is this a bad thing? If so please explain. I feel the price of beer has gotten a little expensive.

It's the same reason there are very very few local hardware stores, grocery stores, clothing stores, etc. They've been pushed out of business by lowes, homedepot, walmart, kroger. Beat 'em in price, drive em out, and win in volume. Yes it is a free market, but those companies are not known to pay heir employees a livable wage either.

 

[slym2none]

Take a look at your clothes labels, good chance many were made in foreign countries by slave labored children. How many posts have you made in your life angry about that? What about alleppo and on and on. If you want to be bothered by stuff there are bigger human rights violations to worry about, no?

Wow.

Just wow.

 

[Schecter]

This post derailed quick.

 

[b-boy]

https://www.yahoo.com/style/m/d7185...d4865608a3/ss_at-least-49-breweries-pull.html

 

[GilaMinumBeer]

Not a lot of small independent craft brewers can swing this sort of thing...

https://www.brewbound.com/news/anheuser-busch-accused-inducing-massachusetts-retailers

While I do hope AB/InBev gets slapped for this sort of thing, I doubt they will.

Corruption in the distribution channels is the real issue.

 

[rodwha]

...but not the only issue as there are several.

 

[GilaMinumBeer]

...but not the only issue as there are several.

Ha. Fix distribution and the AB MO falls apart.

Heck, even some method/effort of consistent policing/enforcing current distribution laws may be enough to cripple the AB stronghold on the industry.

 

[Weezy]

I'll start worrying when AB/Inbev gets the laws changed that makes starting new breweries difficult or distribution difficult.

 

[GilaMinumBeer]

I'll start worrying when AB/Inbev gets the laws changed that makes starting new breweries difficult or distribution difficult.

They already make distribution difficult under the current set of laws. Through obfuscation of antiquated laws.

 

[slym2none]

https://www.beeradvocate.com/commun...f-south-african-hops-to-indie-brewers.509891/

 

[bleme]

https://www.beeradvocate.com/commun...f-south-african-hops-to-indie-brewers.509891/

Best quote of that thread: "So, wait. "Craft" brewers want consumers to boycott ABInBev's beers but are now angry that "craft" brewers can't buy ABInBev hops? "