The Growing Demand for Craft Beer
For those unfamiliar with the workings of this industry, there are two types of beer: industrial and craft.
Industrial beer is produced in large quantities for mass consumption. Craft beer, on the other hand, is produced by small distilleries, often owned by small businesses or families.
While the demand for industrial beer remains high and dominates the alcohol market, there is a steadily increasing demand for craft beer. This is especially true among certain demographics, such as self-proclaimed “hipsters,” but also extends to other demographics.
Eco-friendly Sustainability of the Business Model
Similar to other industries, there has been a shift towards a more sustainable business model in the beer industry.
By sustainability, we mean operating in a way that minimizes harm to the environment. This includes considerations like reducing carbon emissions, implementing recycling and waste management practices, and more.
In other words, the industry is moving towards a standard that promotes greater environmental sustainability.
It’s worth noting that many of these standards have been generalized across the economy, including reduced packaging, restrictions on certain plastics, subsidies for sustainable business practices, and more.
Local Flavors and Ingredients
This trend is particularly prominent in small or craft breweries.
Rather than using commercial ingredients, these breweries opt for locally sourced ingredients to enhance both taste and sustainability.
Using locally-available ingredients adds a unique and interesting flavor to the beer compared to those made with commercial ingredients.
Changes in Alcohol Consumption Levels
With the increasing awareness of health and the negative effects of excessive alcohol consumption, there has been a decline in alcohol intake.
People are paying closer attention to their alcohol consumption and making other lifestyle changes.
This has led to the rise of alcohol-free beers, which have become popular among health-conscious individuals. It’s important to note that these beers are not completely alcohol-free but have a very low alcohol content, typically around 0.5%.
Craft Beer Innovation
Another notable trend is the pursuit of creativity in crafting beers.
This trend is observed not only in craft breweries but also in industrial breweries. Many brewers are experimenting with different ingredients and quantities to create new flavors.
There have been success stories in various places resulting from these experiments.
The beer industry has been undergoing technological advancements for some time now.
Gone are the days of brewing beer in oak caskets in underground vaults. Today, much of the beer is produced on an industrial scale in large steel drums. This applies to microbreweries as well.
One of the significant changes is the increased use of technology to control the manufacturing process. This extends to various aspects of the beer industry, including production, packaging, marketing, and more.
Some technological changes include automation and the utilization of AI.
Rising Demand for CBD Beer
CBD stands for “Cannabidiol,” an active ingredient in marijuana. With the increasing legalization of marijuana in many places, some beer producers have started incorporating CBD into their products with interesting results.
While not many manufacturers have ventured into producing CBD beer, it is gaining popularity. However, its mainstream acceptance is hindered by marijuana’s controlled substance status in many jurisdictions. As marijuana continues to be legalized in more places, this may change in the future.
Interest in International Beers
Another significant trend is the consumer interest in foreign brews.
People have always had a fascination with exotic products, seeking to escape the ordinary.
In the past, consumption of foreign beers was mainly limited to the upper classes due to their high cost. However, as markets open up and incomes rise, there has been an increase in the availability of foreign beers and beer makers entering local markets.
It’s important to note that the trends mentioned above are just some of the many ongoing trends. Additionally, there are emerging changes that may not be apparent yet but will likely shape the future of the beer industry.
For those interested in the beer industry, paying attention to these trend changes is crucial as they will have a significant impact on this sector of the economy.
Synthetic Ingredients Enter the Beer Market
Climate change presents challenges to breweries as it affects crop growth and yields, including yeast and hops. To recreate the tropical flavors typically associated with IPAs, some beer suppliers have turned to synthetic liquid products to mimic aromas and flavors.
Craft Beer Trends for Health-conscious Consumers
Health concerns, particularly during the pandemic, have increased public interest in wellness. As a result, consumers are adopting behaviors such as moderate alcohol consumption. Craft beers are gaining popularity among mainstream consumers due to their lower alcohol and calorie content.
Lagers, in particular, align more naturally with health and wellness trends. Some breweries are capitalizing on the demand for more exotic choices to offer light and drinkable lagers with traditional European flavors.
Brewers are also focusing on producing easy-to-drink beers with lower alcohol content. Non-alcoholic beers with multiple flavors have become popular among millennials. To maintain quality and comply with legal regulations, producing non-alcoholic beverages requires precise control of decay, sugar content, and alcohol production. Continuous monitoring of non-alcoholic beverages can shed light on this ongoing trend.
IPAs Losing Some Popularity
While IPAs remain popular among American beer consumers, their appeal seems to have diminished slightly. However, there are still specific types of IPAs that maintain a loyal following. Some breweries are expanding their offerings to include a wider selection of hazy IPAs.
A More Inclusive Consumer Base and Industry
Market research indicates a gradual shift towards a more diverse audience in the beer industry. A recent report by the Brewers Association reveals that female drinkers under the age of 25 outnumber their male counterparts in the same age group.
Advancements in Brewing Technology
Modern breweries are embracing advanced software to stay competitive. These platforms provide brewers with automated and efficient features that consider various factors shaping the industry.
Global craft beer trends reflect increased competition, driving the adoption of user-friendly, centralized, and data-driven solutions for optimal monitoring of the brewing and fermentation process.