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Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsThe world's largest beer maker should be worried about its survival
It may seem odd to picture the demise of the flagship brand of the worlds largest beer company. But Anheuser-Busch the U.S.-based unit of AB InBev is following in the footsteps that led to the irrelevance of a host of other once-dominant companies Eastman Kodak, Woolworths Department Stores, Bethlehem Steel and Blockbuster Video, to name a few.
While AB InBev shareholders are cheering each move to boost short-term profitability by snapping up other companies including the US$110 billion takeover of rival SABMiller CEO Carlos Brito may be unwittingly digging Anheuser-Buschs grave by ignoring long-term trends.
How could the rational pursuit of profits and growth through acquisition mean the beginning of the end for Anheuser-Busch?
This, we would argue, is a case of disruption theory in action. And the disruptors are the growing ranks of craft brewers that are collectively changing the industry and beer consumption habits as consumers increasingly shun Anheuser-Busch and its products the disrupted for beers made locally and with a wider variety of higher-quality ingredients.
http://www.businessinsider.com/budweiser-may-be-fighting-for-its-survival-2016-5
Bonus quote:
You could make Coors from swamp water and it would be exactly the same.
Good beer is going mainstream now. I got this article from my daughter's track coach's Twitter.
The Velveteen Ocelot
(115,924 posts)Throd
(7,208 posts)Human101948
(3,457 posts)sometimes like Miller Lite.
The Velveteen Ocelot
(115,924 posts)Fairgo
(1,571 posts)Ask Frank, he knows.
The Velveteen Ocelot
(115,924 posts)zappaman
(20,606 posts)I'm lucky in that Firestone brewery just opened a new brewery within walking distance.
They are brewing some beers unique to this facility and they are amazing!
Too much quality out there to settle for bland watery urine.
gratuitous
(82,849 posts)They seem to be accentuating the fact that their beer is a mass production commodity designed solely to make you piss and stagger. That's all well and good if you're underage or barely of drinking age, but as people mature, they're not drinking cheap beer just for the buzz.
Smaller batch craft beers are coming down in price as production methods get less expensive. When you can get a six pack of something good for nearly the same price as Bud, why not drink something more interesting?
pinebox
(5,761 posts)Pass the original please!
cali
(114,904 posts)I was never a big beer drinker until Hill Farmstead opened up down the road.
But if you live next to the world's best brewery...
.
http://www.burlingtonfreepress.com/story/news/2016/01/31/hill-farmstead-brewery-vermonts-nek-best-world/79603334/
That looks amazing.
jberryhill
(62,444 posts)Prohibition threw a real monkey wrench into the way that beer is made and sold in the US.
Even when prohibition ended, it was not until the Carter administration that laws on homebrewing were relaxed.
Brewing beer was a family craft that came to the US with immigrants from countries with strong brewing traditions.
Just as you wouldn't expect there to be a national brand of milk, beer was primarily a local product. Prohibition killed off all the local breweries which couldn't limp through the 1920's on other lines of product.
nemo137
(3,297 posts)Not just beer, but local wine and spirits traditions, and with them, probably changed local foodways for the worse.
IamMab
(1,359 posts)Going into a craft beer bar means having to wade through long menus that are often not very descriptive, having to choose from dozens, if not hundreds, of beers with nothing but the varied and strange names that are visible. This is the same phenomenon that has been studied in grocery stores. People feel increased stress when asked to choose from more options, especially under pressure (pretty common in a busy bar with a line behind you).
And the reason that beers like Budweiser continue to be successful is because while craft beers are popular among young drinkers with disposable income, eventually people age up and their budgets become tighter. College investment for kids or craft beer? Home repair or craft beer? Car payment or craft beer? Something eventually gives, and it's usually superfluous expenses like over-priced beverages.
I have no skin in this game, though, because I drink cider.
Throd
(7,208 posts)panader0
(25,816 posts)braddy
(3,585 posts)If I'm throwing a party I want to buy 36 packs on sale, not stuff that costs an arm and a leg.
Fairgo
(1,571 posts)Best beer in the Bayou
iscooterliberally
(2,864 posts)Initech
(100,117 posts)Lagunitas sold to Heineken for an insane amount of money, Ballast Point sold to Constellation. Golden Road is part of the InBev conglomerate. So is Goose Island. Saint Archer is part of MillerCoors, I could go on and on. Good for the owners, I guess, but sad for those of us that want real competition.
trotsky
(49,533 posts)Now whenever I go shopping if I'm not buying one of my local varieties, I have to bring up the Google and research a brand to find out if it's a stealth InBev operation.
trotsky
(49,533 posts)They are snapping up once glorious local craft brands (Goose Island, Lagunitas, RedHook, Magic Hat) but kept the appearance that they are still independent. Market confusion.
KamaAina
(78,249 posts)petronius
(26,607 posts)points for being craft anymore. Although I don't begrudge folks if they want to cash in on their success, and ultimately I'll just buy what I enjoy drinking (as long as I'm not lining the pockets of the too-uber-sleazy of course)...
trotsky
(49,533 posts)Outside of a couple of German brands, most of the beer in my fridge is local stuff. Brands I know are still independent. Like these guys:
http://www.schellsbrewery.com
KamaAina
(78,249 posts)Almost as bad, though.
trotsky
(49,533 posts)With InBev also snapping up Miller-Coors, it wouldn't surprise me to see them merge with Heineken too.
KamaAina
(78,249 posts)Because it's fscking close to water!
Trajan
(19,089 posts)Widmer ... Full Sail ... 10BARREL ... All now at least partially owned by The Mighty Annheiser Busch ....
Suckage, but we still have lots of local options ...
NCTraveler
(30,481 posts)They will have their ups and downs but a solid customer base will continue to get drunk off of their swill for the next century. Nationwide legalization of marijuana might hurt it some.
The Velveteen Ocelot
(115,924 posts)NCTraveler
(30,481 posts)Lots and lots of alcohol consumption.
tularetom
(23,664 posts)closeupready
(29,503 posts)wine, basically.
Micro/craft brewing has been a thing since the early 90's, so if it hasn't conquered Big Brewing at this point, I don't see the immediate threat.
Part of why the big American brews aren't as popular in the US as 'craft' or European beers is, IMHO, because Germany has a beer wholesomeness law - the Reinheitsgebot - which dictates you can't sell in Germany something as "beer" if it has any ingredients beyond hops, barley, malt, and water (if I'm remembering correctly - if not, DU will correct me shortly, I predict). So when you buy a German beer, you feel confident that it meets a minimum of standards in terms of food hygiene. US craft brews mimic the spirit of these laws so as to improve the brand value to a US consumer which increasingly is demanding more transparency in food products.
Meanwhile, there are no such Reinheitsgebot laws in the US (of which I'm aware), thus US breweries can adulterate their brews with substances added in the interests of preservation, coloring, head formation, ... basically whatever.
mathematic
(1,440 posts)The Reinheitsgebot reflects a conservative beer tradition, not purity or quality or food hygiene.
American craft brewers are the polar opposite of the spirit of the Reinheitsgebot. American craft beer is characterized by experimentation and risk taking. The absence of a Reinheitsgebot-style law is why we have craft brewers and Germany doesn't.
"Ghost pepper imperial pale ale" is not a thing in Germany. It's an American craft thing. And it's pretty gross, unless you're totally into ghost peppers.
Major Nikon
(36,827 posts)bigwillq
(72,790 posts)Although I am sure others will say the same about the beer I drink (Heineken).
Different strokes for different folks, I guess.
JCMach1
(27,582 posts)nearly as bad...
Sorry, but there is some awful craft beer out there.