High-end beer sales are booming

Beer is following the trend in the wine sector, which I reported last week. The higher-end and craft beers are gaining market share by about 8%. The lower-end and chain-store, Joe-30-pack beer sales between April and September 2022 are down -5% to -10% compared back to 2017 (the height of the craft beer rage). This info is derived from Constellation Brands and a Bernot article in “Good Beer Hunting.” I did chuckle when a Yahoo article named the struggling working class as “economically sensitive consumers” - not for their plight but for the PC weasel words. The working poor are rarely in the higher end and craft market”.

For many it’s bang for the buck, and a carefully chosen 30-pack gets you through the week under $25. For comparison and unlikely to be found in most average middle American’s fridge, Sam Adam’s Utopias, the company’s most recent release, costs about $300 per 24 oz bottle. Floyd’s Barrel-Aged Dark Lord de Muerte is $50 for 750 ml. Pabst Blue Ribbon 1844 is $44 for 750ml.

More in the real world, beer of the month club allows members to buy a 12-month membership. Their site is very informative. They will send a 12 pack of four types of craft beer. These are curated and can include ales, IPAs, stouts, porters, lagers, bocks and other styles.  There are several stores locally with extensive inventories of craft beer. So, you may educate yourselves. Our own famous Dogfish constantly wins recognition, and makes best-of list with Dogfish Head 120 Minute, “the ultimate IPA.” It is hopped every minute for 120 minutes. However, unlike other hoppy IPAs, it isn’t overly bitter but flavorful and reaching about 20% ABV. Their collaboration with the band Flaming Lips, named Dragons & Yum Yums, is worth a try. It’s not always available. I could not resist the labeling. A pale ale brewed of dragon fruit and yumberry. 

Since there is little sense in reinventing the wheel, let me refer you to this Vinovest starting point at https://www.vinovest.co/blog/investment-wines#link-3 before providing my opinions on cellar purchases. Please read entire paper first and support our local businesses. If you don’t have a local wine store pal who will help you get product, try to acquire one. I am happy to help those who contact my listed email for specific advice. Don’t let these prices shock you. They are barometer prices of great acclaim wines. The following are some less-astronomically priced of outstanding performers with price appreciation through Sept. Those listed are available and have gained 50% or more over the past 6 years.

These are 2016 comparisons:

Buy the 2018 Ridge Montebello came in $160 5/19, now $250 at 67%. These are 2016 comparisons. Dominus, 93%; Opus One, 71%; and Jos. Phelps Insignia, 53%. 

Rhone wine in 2018 is a great year across the board. Recently I go in the market unless it is the whites. A 2017 M. Chapoutier Ermitage Le Meal Blanc, 67%,  will cellar more than 30 years. Be careful on Chateauneuf du Pape (2018, 61%). These don’t appreciate much. A great example is Ch. Beaucastel Cuvee Hommage, a Jaques Perrin. They are in the $400 range and stay there forever. The 1998, priced at $667 in 2012, reached $751 5/22, 12%. Considering inflation, you’re under water. Long timers will remember, I reviewed CDP annually until the market place changed. Still wonderful, easier to acquire older wine at fair QPR. As Steve Martin said in the restaurant putdown in “The Jerk,” “Bring me some new wine…no more of that old stuff.”

Have Burgundy, Bordeaux and Port reached their peak? Bottle sales having fallen about 10%, since 2016. Be careful in that market. Possibly driven by reaching a price plateau, prompting folks to look elsewhere.  My reasons? Very limited production labels are still moving higher, while the rest languish. Another reason is that the taste of consumers is moving from Port, Sauterne and lighter-bodied PN and Right Bank Merlot driven Bordeaux toward bigger red labels. Malbec, anyone? There also appears to be a move toward more austere whites. Even Pinot Grigio and Rose is drying out. Meanwhile a heating climate is making their production more challenging. More next week if there is interest.