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Are home brewers a "threat" to commercial brewing?

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I know this is drifting off topic, but some of the craft beer prices are a bit extreme. Sure, supply and demand and all, and if there is a market willing to pay those prices...so be it. I don't mind paying $20 a sizer if the beer is truly outstanding, and some are. But it seems there are a lot of mediocre beers riding those coattails, with similar price tags.

Sort of like the "small plates" fad in higher-end restaurants a few years ago. Give the customer less food, make it look pretty and hike the price. Tell 'em it's "locally-sourced" and charge even more. Some finer restaurants (with the right chefs) could pull it off, others tried and failed.

In the end, it's VALUE that I am seeking. When I want outstanding beer, I am willing to pay the price for it. But when I want OK beer (and sometimes I do), it should be at an OK price.
 
You know what threatens the craft beer market? Ridiculously high alcohol taxes, 3 tier distributions system that is primarily run by BMC, and legislation efforts that are backed by BMC to try and squeeze out the small guys through distribution and sales avenues. Any space that the craft brewer is able to leverage as an advantage the big breweries try to make illegal. Fortunately, the legislative momentum is in favor of craft breweries, right now. Let's hope it stays that way.

The original reason I started home brewing two years ago was that I couldn't walk out of a beer store with a a six back of craft beer for less than $10.00. Now, two years later, it is $12.50. That is more than 2 dollars a beer. 9% of the cost is a 6% sales tax and a 3% alcohol tax.

Very true. A couple of anecdotal points...

In my state, and maybe others, all grain beer ingredients aren't taxed because they are food products.

A friend recently had a 1/6 barrel of a stout my wife and I liked - Buffalo Sweat by Tallgrass Brewing. He paid $75 or so, maybe 11 cents per ounce. I saw it in the store yesterday at a price equivalent to about 17 cents per ounce not even including taxes. I priced out the clone recipe and I think I can do it for 6 cents per ounce and that's not even at bulk grain/hop/yeast prices. Either someone's making a nice profit or there is a lot of overhead in the market, probably the former.
 
I know this is drifting off topic, but some of the craft beer prices are a bit extreme. Sure, supply and demand and all, and if there is a market willing to pay those prices...so be it. I don't mind paying $20 a sizer if the beer is truly outstanding, and some are. But it seems there are a lot of mediocre beers riding those coattails, with similar price tags.

To your point... What bothers me is that ppl are paying these prices creating a market for it.

To me, it's similar to pro sports ticket costs. I have given up years ago to spend that much money to watch players that are rich. Not just that they are rich, but filthy rich enough to buy a personal use dump truck fleet. People are still paying the prices and packing stadiums so nothing will be done about it.
 
To your point... What bothers me is that ppl are paying these prices creating a market for it.

Yeah, especially since all of these craft brewers are anti-profit and just like giving their product away because of their love for the craft side of things; unlike the evil profit-driven BMC. Oh wait, you mean craft beer is driven by profit, too?
 
Yeah, especially since all of these craft brewers are anti-profit and just like giving their product away because of their love for the craft side of things; unlike the evil profit-driven BMC. Oh wait, you mean craft beer is driven by profit, too?

I think that he's saying many people may not distinguish "good" from "great," and support mediocre-to-OK stuff by paying high prices for it, thus not providing a sufficient market pressure to improve.

Or he could be talking about the grey-market / aftermarket, where the prices can go sky-high, just like high-demand shoes, sports and concert tickets, etc. The profit there goes to a debatably illegal scalper, instead of to the actual producer of the item.

Of course it's all better than BMC tastewise, so, ya, whatever.
 
Whether there is a threat from HBers to comm. brewers or vice-versa, nothing improves the quality of a product like competition. We all win.
 
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