The craft beer movement has given brew lovers a broad range of styles and brands to choose from. Liquor stores, bars, grocery stores, and even gas stations now stock their shelves with beer from small regional breweries. But what about the big guys? AB-InBev and MillerCoors must be hurting with the rise of the craft brewery right? Not exactly. Fans of the King of Beers, the Silver Bullet, and Natty Ice can rest easy knowing that the 6 largest brewing conglomerates still control over 90% of the U.S. beer market.
An interesting piece by Michigan State Assistant Professor, Philip H. Howard, depicts the startling beer oligopoly with eye catching visuals. Even with such a dominant market share, the rise of craft brewing has not been lost on the big brands. In recent years large breweries like AB-InBev have expanded their portfolio though acquisitions of smaller craft breweries like Goose Island.
For craft beer purists selling out even a small portion of a brewery is a cardinal sin. But with the promise of a large distribution network and the resources to help with expansion, one can hardly blame the craft brewery owner for wanted to align with a beer giant. The catch-22 is that the only way small breweries can produce enough beer and distribute to a wide enough net to meet demand is to partner with a large company.
Whatever your stance is on craft vs. large beer, we encourage you to remember that good beer is good beer. If you enjoy it, drink it!
The beer oligopoly
