Still cautious from the economic downturn, consumers created an uneven environment for beer once again in 2011. The year’s performance reflected a category of contradictions with trends torn between the ongoing price consciousness of some shoppers and the insatiable taste for variety — even if it carries a higher price — from other demographics. As crafts, flavored malt beverages (FMB) and ciders benefited from consumer curiosity, the large domestic brewers repeated 2010’s trend of dollar sales growth as volume declined.
“In 2011, total beer volume sales continued to decline, down by another 2 percent while value sales of beer were up by 1 percent,” explains Ty Law, research analyst at Euromonitor International, Chicago. “As consumers were trading down, manufacturers hiked up unit prices on their economy beers to make a profit. As economy beers were no longer a cheap buzz, many Americans stopped purchasing them and instead saved up for the premium-end products.”