Beer usually holds up better than other categories during tough economic times, said Benj Steinman, editor of trade publication Beer Marketer's Insights, and that trend had been holding true during this recession for some segments of the industry. But the latest figures show the market is trending downward, perhaps accelerating as global economies continue to sputter, and relief seems uncertain.
Beer is "recession-resistant, not recession-proof," Steinman said.
SABMiller said lager volumes fell 1 percent in the three-month period that ended Dec. 31, compared with the same period a year earlier, because of the economy.
"Consumer demand has been affected by the current global economic slowdown, and has continued to weaken in many of the group's markets," the company said in releasing its quarterly trading update, which does not provide financials.
Well just great first it was the cost of hops and barley, then the economy headed south, and now this. Good thing I’m not a stubborn old fart. :) Of course I can understand the slump in sales, since that corresponds with the slump in restaurant sales. What I would like to know and what isn’t brought out in this article is how are the microbreweries doing?
