Beer Fest 2011

Today’s consumer market has been dominated by large mergers in the corporate world that have taken over the competition at the height of what capitalism has created. However, we can look at one industry that has been resisting change in this area.

Beer.  It is a commodity that Americans have relied on forever.  Anheuser-Busch, Miller and Coors are the three corporate heads that have dominated the American beer industry since the end of Prohibition.  It has only been in the past decade or so that there has been a new component to the industry.  The phenomenon of the microbrewery has taken off nationwide.  People love the variety of taste that light beer clearly does not offer.  Back in the 70s and 80s there was no variety other than the imports we get and now the business has swung a totally different direction than most industries.  Instead of the industry fusing together, which we see more and more of today, independent brewing companies are at an all time high with over 1400 breweries in the country. 

This past weekend marked the 10^th annual Beer Fest in Wilmington, NC.  Lighthouse Beer & Wine has always been the host of the event since 2001.  Lighthouse is located on Wrightsville beach and has been opened only since 1998. The success of Beer Fest is a prime example of the fulfillment of a fast growing trend in craft and microbrews.  These new brands of beers are not exactly comparable in taste.  They are all unique, something that the American public has found very appealing.  Beer has risen to a new level of connoisseurship, one that rivals wine.

The Beer market has clearly shifted and continues to change.  Honing in on what now defines the niche market of beer is something that marketers have had to really start to invest time into.  Building brand awareness has shown success through simply having a quality product.  The three corporate heads of the industry have had to scramble in the last few years as they have seen a decrease in sales.  People don’t necessarily want one light beer that tastes exactly like the other.  They want variety in what they drink and knowing the effort and thoroughness that goes into the beer at an independent brewery is a good target buying incentive for customers that are looking for a new beers to purchase.  Anheuser –Busch, Coors, and Miller have started to catch on to this trend and have basically bought into various independent breweries without putting their name on the beer.  Their way into the microbrew trend that has risen is almost to conceal their brand name and emphasize the microbrewery in order to maintain their credibility.  This sub branding of breweries seems to be the future for the corporate beer industry where people authenticate it on a personal level based on quality of the product rather than basing their choices on the traditional mass media advertising campaigns that we are used to seeing on television.

Beer Fest was a great way to advertise small breweries because sampling the product is one of the most effective way give incentive to customers and gain brand loyalty.

By: Oliver Evans, Sally Shupe, Jared Sales