economic worries?

[lhall]

How has the last few month's turmoil in the economy affected your sales?

[frigatebay]

I think it will be a few more months, ie holiday season before it sinks in to most people. I expect the first quarter of next year to be bad.

[jarviw]

I am quite interested in knowing the actual data for the craft segment as well.

In general, the demand for beer is relatively inelastic, and the pricing/income doesn't really have great effects (per Tremblay & Tremblay's meta-analysis in The US Brewing Industry).
However, their data were mostly derived from mega brews and the brewing industry as a whole... will people start giving up their craft beer for cheaper alternatives?

[Jeff Lockhart]

sales

It is hard to determine how sales have been affected. We have only been open a little over a year (July 4) and in our area, Tourist season (summer) rocks. After that it drops to mostly local. Our sales over last year are up slightly, but I attribute that to time to get our name out.

I agree that most people will realize the situation in a few months and that first Q next will be sad.

Jeff

[admin]

Thanks Ihall for posting this. It will be very interesting to see what folks say.

I posted a commentary not too long ago here. But this was written before the continuation of the stock meltdown. As the economy worsens, it may change how the consumer spends – even on great craft beer. Time will tell.