Diversity in Craft Beer – A Hot Cause in Need of Cool Mobilization

One of the attractions of craft beer is its diversity – particularly the diversity of styles (the Brewers Association recognizes over 150 styles of beer), flavors (Black Cherry Porter anyone?), and strengths. Walk into any craft brewery and the chances are that your choice will include Brown Ale, Stout, Pilsner, Pale Ale, several different IPAs, and a host of other different styles, while the strength of the beer on offer may range from a sessionable 4.2% ABV to a more intimidating 12% ABV. No one can deny, that when it comes to offering the beer drinker diversity, craft beer is king.

A diverse selection of beers at Basecamp Brewing in Portland, OR

There is, however, another type of diversity that is sorely lacking in the craft brewing industry, and that is, what I term demographic diversity. When we look at any population, we can break it down along a number of different parameters – age, gender, race/ethnicity being three of the more important ones. If we look at the U.S. population, for example, 50.8% are female, 16.5% are 65 years of age or older, 18.5% are Latino or Hispanic, 13.4% are Black or African-American, and 13.5% are foreign born (I am part of that 13.5%). No matter how you look at it, America is a diverse place. According to the Population Reference Bureau, “the U.S. population is significantly more diverse racially and ethnically now than it was in 1900“. And as the 21st century progresses, America will become more diverse.

A 2019 survey by the Brewers Association showed, not surprisingly perhaps, that ownership and employment in the craft brewing industry is disproportionately White and Male. Starting with race/ethnicity, 88.4% of brewery owners are White. In contrast, Whites only comprise 76.3% of the U.S. population. Of the various racial/ethnic groups in the United States, the one that is most underrepresented in the craft brewing industry are Blacks or African Americans. Despite compromising 13.4% of the U.S. population, only 1% of craft brewery owners and 0.6% of production brewers are Black or African American. When you walk into a craft brewery taproom, it is unlikely that the bartender pouring your pint will be Black or African American – only 4.2% of non-managerial service staff are Black or African American. When an African-American bartender serves the newly released IPA, the chances are that the person he or she is serving is White – in 2018, 85.5% of craft beer drinkers were non-Hispanic Whites.

Only 4.2% of non-managerial service staff in American craft breweries are Black or African American
Black Frog Brewery – A Black-owned brewery in Holland, OH

With the recent widespread protests over racial injustice, the issue of demographic diversity within the craft beer industry has come to the fore. To their credit, the Brewers Association had already established a number of initiatives (prior to the events of 2020) to encourage, support, and facilitate diversity within the craft brewing industry. These include the establishment of a Diversity Committee, the appointment of a Diversity Ambassador, the creation of Diversity and Inclusion Event Grants Program, and a number of Diversity Best Practices resources. All of these initiatives and resources are extremely important and have the potential to make a difference. They are not enough, however.

As I ponder the issue of diversity within the craft brewing industry, I think that the ideas of Hayagreeva Rao are instructive. Rao (his friends call him Huggy) is a Professor of Organizational Behavior and Human Resources at Stanford University. Rao is an expert in collective action within organizations and in markets. In 2009, Rao published a book titled Market Rebels: How Activists Make or Break Radical Innovations. Rao is primarily interested in how innovations (e.g., personal computers, hybrid cars, craft beer – yes he does devote a chapter to craft beer) become a market success. Many innovations, such as craft beer, challenge the status quo. Successfully challenging the status quo requires challenging and overcoming cultural values that are often deeply entrenched within society, or a sub-group thereof. The two keys to successfully challenging the status quo are what Rao calls hot causes and cool mobilizations. According to Rao, “hot causes mobilize passions and engender new beliefs, and cool mobilization triggers new behavior while allowing new beliefs to develop.” Hot causes “inspire feelings of pride or anger“. Take the craft beer revolution as an example (which Rao does in his aforementioned book) – the hot cause was dissatisfaction with mass produced beer, while the cool mobilization were the homebrew clubs and then brewpubs and microbreweries that were established as a response. Now let’s take these two ideas and apply them to the issue of diversity (or lack thereof) in the craft brewing industry.

The hot cause is quite apparent – there is a lack of diversity within the world of craft brewing. So how do we change that? To begin with, any successful challenge to the status quo requires activists; folks who feel passionate about the cause. In the beginning, these activists are often few in number. Therefore, they have to be able to grow the movement by inspiring others to join them. Identifying a hot cause, while necessary, is an insufficient condition for change, however. Change occurs when the hot cause leads to cool mobilization. Put simply, cool mobilization is when you actually take action to bring about the change that you desire to see. Cool mobilization, as Rao notes, “requires conscious participation—indeed, participants have to ‘fill out’ the experience through their actions and experimentation.”

So with respect to increasing diversity with craft brewing, what does cool mobilization look like, and who is going to undertake it? These are important questions. When it comes to increasing diversity with craft beer, no single person or entity is (nor should they be) charged with making it happen. As I said above, the initiatives and programs started by the Brewers Association are excellent, but are insufficient. Real change is going to be grass roots and bottom-up. “Be the Change You Wish to See in the World” is a phrase we sometimes hear invoked. Erroneously attributed to Mahatma Gandhi, this maxim does, I believe, provide clues as to the way forward. What is the change we want to see? It seems astonishingly simple – we want to see more Black-owned breweries, more Black brewers, more Black brewery staff, and more Black craft beer drinkers (have I missed anything)? Now this is a blog entry (not a doctoral dissertation), so I really do not have the space to address all of these in the detail that they deserve. But take something simple, like having more Black bar staff at a craft brewery taproom. It is incumbent upon brewery owners to make this happen – they, after all, are the ones making hiring decisions. This is where the Diversity Best Practices resources available from the Brewers Association can be tremendously helpful. They provide breweries with strategies, tactics, and benchmarks for creating a more diverse and inclusive brewery staff. For example, to enhance the diversity of an applicant pool, one tactic offered by the Brewers Association is to “strategically list advertisements in locations that will increase the size and variety of your labor pool”. When it comes to creating benchmarks, the BA suggests that brewery staff should “reflect the demographic diversity of the surrounding community”. It is clear, from reviewing the Best Practices resources on the Brewers Association website, that increasing diversity within the industry will not be easy; nor will it happen overnight. It will require effort on the part of breweries. It will require them to be strategic. It will require them to be intentional. Will enough breweries be willing to step-up and do what is necessary to change the status quo? The hot cause exists. Whether it is hot enough and/or whether the necessary cool mobilization will occur, only time will tell.

Further Reading:

Rao, Hayagreeva. 2009. Market Rebels: How Activists Make or Break Radical Innovations. Princeton University Press: Princeton, NJ.

Drinking Local Beer

This is the fourth blog entry I have written that has been inspired by the Covid-19 pandemic. For me and many Ohioans, we really started to feel the impact of Covid-19 on Sunday March 15. That was the first day that bars and restaurants in the state were closed (starting at 9.00pm) for regular business. They would be closed for a full two months, reopening for outdoor seating only on May 15 and capacity-restricted indoor dining on May 22. During that time most bars and restaurants (including craft breweries) survived by selling food and beer for delivery and/or curbside pick-up. Denied taproom sales, many breweries experienced a significant drop in their revenues; surviving Covid-19 quickly became the primary objective.

Once craft brewery taprooms in Ohio were closed for business, and I realized that they were going to face a significant drop in revenues, I made the decision to drink beer from local breweries only. Before going any further, I should note that I am not a “Buy Local” zealot. I understand Ricardo’s Theory of Comparative Advantage, and the reasons why we purchase and consume products that are made in other places (be they other cities in the United States or other countries). However, for a couple of months at least, I thought it would be fun and interesting to drink only beers made by local breweries. That, of course, begs the question as to what constitutes a local brewery? Does the brewery have to be located in the city of Toledo to be considered local? Or could that be broadened to include the entire county (Lucas County)? What about defining local as any beer produced in the state of Ohio? An alternative to using political jurisdictions (City, County, or State boundaries) to define local, is delimiting breweries within a certain radius of where I live. But what radius should I use – 10 miles, 20 miles, 50 miles?

The question of what constitutes “local” is one that has been debated by both academics and policy makers. According to the 2008 Farm Bill any food produced within a 400 mile radius is considered locally or regionally produced. In Canada, food is considered local if it is produced in the province or territory in which it is sold or (if sold across provincial borders) is purchased within is 50 km (31 miles) of its originating province or territory.

After giving it some thought I decided to restrict my beer drinking from breweries located in the states of Ohio and Michigan. I live in Ohio, of course, but am very close to Michigan. From my house I can be in Michigan in approximately twelve minutes. I have visited a good number of breweries in Ohio and Michigan and feel a strong affinity to the craft beer movement in both states. Of course, some of the breweries in both states are pretty far from my home. For example, Jackie O’s Pub & Brewery in Athens, OH is 219 miles from my home, while Ore Dock Brewing Company in Marquette Michigan’s Upper Peninsula is 490 miles away – not exactly local.

Ore Dock Brewing Company in Marquette, MI is 490 miles from my home

Not surprisingly, I am not the first person to commit to consuming local food and drink. In 2005, Alisa Smith and James MacKinnon pledged to eat only dishes made from ingredients harvested within a 100 mile radius of their Vancouver, BC home. In 2007, Barbara Kingsolver moved her family from Tucson, AZ to rural Virginia, where they spent the year eating food grown/reared by themselves or by someone in their neighborhood.

Restricting myself to Ohio and Michigan beers has not exactly been a penance. According to the Brewers Association, there are 400 craft breweries in Michigan and 311 in Ohio. Of course, not all 711 sell their beer in the Toledo market, but enough do that I never lacked choice or got bored with the beers I was drinking. In fact, if I had to, I could probably drink Ohio and Michigan beers for an entire year and not feel hard done by. I did sneak in a few non Ohio and Michigan beers in over the last couple of months – but these were beers that were already sitting in my basement refrigerator and whose “consume by” date already here or rapidly approaching. Most of these beers were consumed on my back deck, while enjoying the warm rays of the spring sunshine. I have created a two galleries highlighting some of the Ohio and Michigan beers that I consumed.

Inspired By Covid-19

Craft brewers are highly creative and innovative individuals. In addition to a love of beer, I would argue that the opportunity to be creative and innovative is what attracts many individuals to become home brewers, keeps them engaged in the hobby, and eventually propels them to open their own commercial brewery. Every brewer, with whom I have had a conversation, stresses the joy they get from brewing a new beer using a recipe that they concocted themselves. But creativity and innovation in the brewing world extends well beyond that of creating a new beer. Indeed, the next time you step into a brewery, you will see evidence of creativity everywhere – from the tap handles, to the designs on beer cans, to the very names of the beers themselves.

When it comes to beer names, many brewers choose beer names that connect the beer drinker with the brewery’s local community, whether that be a historical event, local landmark, or famous person. Great Lakes Brewing Company in Cleveland, OH do a particularly good job at this. Their portfolio of beers include Elliot Ness Amber Lager (named after the American Prohibition Agent who was hired as Cleveland’s Safety Director in 1935), Edmund Fitzgerald Porter (named after the freighter that sank during a storm on Lake Superior on November 10, 1975, with the loss of its entire crew of 29), and Ohio City Oatmeal Stout (named after the Cleveland neighborhood where the brewery is located). Other breweries have named beers after people, events etc. that have no connection with their community. For example, a number of breweries released beers to recognize the 50th anniversary of Neil Armstrong being the first human to set foot on the moon. These include Schlafly Brewery in St. Louis, MO who released their Lunar Lager variety pack. The pack included Lift-Off Lager, Apollo’s Orbit Black Lager, Moon Walk Dunkel, and The Eagle Has Landed American Lager.

Given the penchant of craft breweries to name beers after historically significant people or events, it should come as no surprise that the current Covid-19 pandemic has spawned several appropriately named beers. Here are some of the ones I came across while browsing the web.

Fauci Spring: Brewed by Wild Heaven Beer in Avondale, GA, this Açaí Pale Ale (ABV 4.25%) recognizes Dr. Anthony Fauci. As Director of the National Institute of Allergy and Infectious Diseases, Dr. Fauci has been a critical member of the White House Coronavirus Task Force. Most evenings he appears on our television screens during the daily Task Force Press briefings.

Fauci Spring Açaí Pale Ale (Wild Heaven Beer, Avondale, GA)

Don’t Stand So Close To Me: In efforts to mitigate the spread of Covid-19 and flatten the curve we are all encouraged to maintain our social distance (six feet) from other people. Social distancing has provided inspiration for several new brews. The aforementioned Wild Haven Beer have produced a German-style Lager which they called Don’t Stand So Close To Me, a German-style Lager.

Don’t Stand So Close To Me German Style Lager (Wild Heaven Beer, Avondale, GA)

Social Distance: Brewed by Hop Springs in Murfreesboro, TN Social Distance is another beer that encourages people to keep at least six feet apart. Part of the profits from this Tennessee Ale (think a hoppier Hefeweizen) goes to support workers in the local hospitality industry who are not working because of Covid-19.

Social Distance (Hop Springs, Murfreesboro, TN)

PPE: Many of us have become familiar with the acronym PPE. It stands for Personal Protective Equipment and refers to a variety of products such as face masks, gowns, gloves etc. that protect the wearer against infection. Much of the news during the Covid-19 pandemic has focused on the shortage of PPE. Water’s End Brewery of Lake Ridge, VA and Beltway Brewing of Sterling, VA have come together and collaborated to produce PPE, an IPA with an ABV of 6.4%. In the case of the beer, PPE stands for People Performing under Extreme Conditions. Six dollars of every six pack sold is contributed to the Inova Covid-19 Emergency Preparedness Fund. Inova is northern Virginia’s leading nonprofit healthcare provider.

PPE (Water’s End Brewery, Lake Ridge, VA and Beltway Brewing, Sterling, VA)

Thank You Note: Brewed by Slow Pour Brewing Company of Lawrenceville, GA, Thank You Note is an IPA. Any frontline worker (nurses, doctors, truck drivers, grocery store clerks etc.) are able to stop by Slow Pour’s tasting room and, with an ID, can get a free six-pack of the beer. This beer is a true Thank You Note to frontline workers who are working so hard, often under stressful conditions, during the Covid-19 pandemic.

Thank You Note (Slow Pour Brewing, Lawrenceville, GA)

Stir Crazy: During the stay-at-home orders issued by most states, many of us went a little stir crazy right. Recognizing this reality, Boomtown Brewery of Los Angeles, CA are brewing a Hazy IPA named Stir Crazy. It has an ABV of 7%.

Stir Crazy (Boomtown Brewery, Los Angeles, CA)

For The Front Line: Harpoon Brewery in Boston, MA has released a an IPA (ABV 5%) that it is calling For The Front Line. The beer is, in fact, a re-release of its Harpoon Ale, which it first brewed back in 1986. A portion of the profits made from selling the beer will  be donated to charities in both Boston and Vermont that support frontline and hospitality workers.

For The Frontline (Harpoon Brewery, Boston, MA)

Donate To Service Industry Workers By Drinking This Beer: This is perhaps the Covid-19 inspired beer with the longest name – Donate to Service Workers by Drinking This Beer. Brewed by Hi-Wire Brewing of Asheville, NC this IPA (ABV 5%) gets straight to the point. Sales of this beer will  benefit unemployed hospitality workers in both North Carolina, as well as in other parts of the country. Hi-Wire will donate some of the profits to the USBG National Charity Foundation and the North Carolina Restaurant Workers Relief Fund.

Donate to Service Industry Workers by Drinking this Beer (Hi-Wire Brewing, Asheville, NC).

FVCK COVID: Ale Asylum in Madison, WI leaves you in no doubt about how they feel about Covid-19. Their new beer, FVCK COVID, a Pilsner (ABV 4%), conveys a straightforward message. Some of the profits from the beer will go to support health care workers at local hospitals, as well as unemployed hospitality industry workers.

FVCK COVID (Ale Asylum, Madison, WI)

Lifesavers and National Heroes: Covid-19 inspired beers are also appearing on the other side of the Atlantic Ocean. The London Beer Factory in London, UK have brewed two beers that honor frontline workers who work for Britain’s National Health Service (NHS). Lifesavers is an American Pale Ale (ABV 4.2%) while National Heroes (ABV 4.0%) is a Lager. The revenue from the sale of both beers are going to two London hospital charities. Revenue from Lifesavers will benefit the King’s College Hospital Charity and Guy’s Hospital Charity.

Lifesavers and National Heroes (The London Beer Factory, London, UK)

All Together: Finally, there is All Together, a worldwide brewing initiative organized by Other Half Brewing Co. who have breweries in Brooklyn, NY and Rochester, NY. Other Half came up with the simple idea of getting breweries all over the world to use the same recipe to brew the same beer (All Together). Some of the monies generated from the beer support local hospitality workers, while some is retained by the brewery to help them get through this difficult period. As stated by Other Half Brewing Co., on their website:

“All Together is a worldwide, open-ended beer collaboration created to raise support for the industry we love so much. It’s an effort to raise awareness and provide relief, even in the smallest way, to those who are struggling. We’re inviting any brewer, from any corner of the planet to participate.”

Breweries wishing to participate can attain the recipe and artwork to produce the beer. As stated by Other Half Brewing Co. on their website, “the recipe is open source, the artwork is public, and the name is yours to use.” The recipe is intentionally flexible, so that brewers can produce either a New England IPA or a West Coast IPA. Literally dozens of breweries have taken up the challenge laid down by Other Half, and are producing All Together Beer. And it is not just breweries in the United States; craft breweries in Canada, New Zealand, Latin America, and Europe are participating. The name is inspired by the rallying call that, when it comes to Covid-19, we are all in this together.

Breweries wishing to produce All Together IPA can download the label template from the website of Other Half Brewing Co.
Promotional material for All Together IPA can be downloaded from the website of All Together Brewing Co.

Craft breweries across the United States, and in other countries, are struggling to sell enough beer to survive Covid-19. Some will not survive; indeed some have already permanently closed. Despite these challenges, the creativity and generosity of those working in the industry refuses to be squelched. I have written before about craft breweries (and distilleries) producing and distributing complimentary hand sanitizer to members of the general public and/or frontline workers. We also see this generosity manifest itself in the donation of monies from Covid-19 inspired beers. To some, such generosity in the face of economic adversity may be surprising. But to those of us who know and understand the craft beer community, recognize the fact that generosity is part of the DNA of those working in the craft brewing industry.

“Getting Together” During Covid-19

One of my favorite shows on Netflx is Still Game; a sitcom, set in the fictitious suburb of Craiglang, which is located just outside the city of Glasgow in Scotland. The show follows the everyday lives of two old-age pensioners, Jack Jarvis and Victor McDade. Jack and Victor have been friends since childhood, live in flats right across the hall from each other, and are widowers. Craiglang is not a particularly nice suburb. In fact, on several occasions Jack and Victor refer to Craiglang as a shitehole. Much of Jack and Victor’s social lives center around the local pub – the Clansman. Jack and Victor can be found there most evenings, having a couple of pints of lager and hanging out with Craiglang’s other retirees; these include Tam (a tightwad), Isa (the local gossip), and Winston (a former shipyard worker always looking to beat the system in search of extra money). The Clansman is what urban sociologist, Ray Oldenburg, would call a Third Place – a place where friends gather and enjoy each other’s company; a place where conversation and humor are prized. It is Craiglang’s equivalent of Cheers.

Jack Jarvis and Victor McDade – Still Game’s two main characters (Source: https://www.whats-on-netflix.com/news/when-will-season-8-of-still-game-be-on-netflix/).

Robin Dunbar, a British anthropologist, has studied the social and mental health benefits of going to a pub. Numerous studies conducted by Dunbar has led him to conclude that “there are social and wellbeing benefits to be derived directly from drinking alcohol, especially in relaxed social environments”. According to Dunbar, hanging out with friends in a bar, drinking beer, telling jokes, exchanging gossip, etc. releases endorphins in the brain. These endorphins “generate a positive feeling in a person, similar to that of morphine. So we feel good. And crucially, alcohol also activates the endorphin system, which in itself will enhance social bonds among those who indulge together.” Dunbar also cites research that shows that the probability of still being alive twelve months after a heart attacks was higher for people with vibrant social networks. To quote Dunbar, yet again, “our social networks play a central role in our ability to survive the worst traumas that life can throw at us. And those networks are very clearly enhanced by the use of alcohol”.

Going to the pub and meeting friends for a drink also helps to combat loneliness. In an article in the Wall Street Journal, Janet Adamy and Paul Overberg cite research which finds that “loneliness takes a physical toll, and is as closely linked to early mortality as smoking up to 15 cigarettes a day or consuming more than six alcoholic drinks a day. Loneliness is even worse for longevity than being obese or physically inactive.” In 2018, The Economist called loneliness a serious public health problem. Today, single person households comprise 28% of all American households. Many of these single person households comprise elderly people.

As I write this blog entry, the world is in the grip of the global Covid-19 (Coronavirus) pandemic. President Trump had declared a national emergency, while Governors all across the country have declared states of emergency in their states. Citizens are being asked to practice social distancing. To facilitate social distancing, bars and restaurants (as well as many other businesses) have been closed, and restricted to home delivery or curbside pick-up. “Stay-at-Home” orders, or their equivalent, have been imposed across most of the United States. Such orders make it difficult to get together with friends for a beer. And, it exacerbates loneliness., and all its attendant challenges. As astutely observed by Mike Pomranz, in a recent piece on FoodandWine.com,  “the coronavirus has stripped beer of half its powers”. For while it can still intoxicate, the inability to gather with friends means that it cannot “socially lubricate”.

A few days after bars and restaurants in Ohio were closed, my wife suggested to me that we contact our oldest daughter who lives in Cincinnati, OH to see if she and her boyfriend would be interested in having a virtual “Happy Hour”. Our daughter is a nurse at Christ Hospital in Cincinnati. She normally works in the heart failure unit. But with Covid-19 she has been temporarily transferred to the cardiac ICU unit to provide extra support for the staff there. While she is not working directly with Covid-19 patients, we still worry about her during this challenging period. Having a virtual Happy Hour would, we thought, be a great way to catch up with her and, as anxious parents, check in with her. She and her boyfriend are also craft beer aficionados so, for me, it would be an opportunity to us to enjoy a few craft beers “together”.

Virtual Happy Hour with our daughter, her boyfriend, and cat

Being a nurse, my daughter does not have a normal 9-5 workday. She does twelve shifts that start at 7am in the morning. She sometimes works weekends and holidays. Despite her schedule, so far, we have been able to get together with her (and her boyfriend and cat) on either a Friday or Saturday evening. We connect via FaceTime. These have turned out to be fun and enjoyable times together. Our happy hours have all lasted well beyond an hour, even creeping close to the four-hour mark on several occasions. They are happy occasions, during which we simply engage in conversation. I am not sure whether we will continue to have them once the the threat of Covid-19 has gone. I suspect we might not – our Friday and Saturday evenings will be filled with other activities, such as visiting friends, and doing our part to support the local restaurant and bar scene. But if, indeed, we do not resume our virtual Happy Hours that will be ok – because it will mean that life is back to normal (or whatever the transitional new normal is like). I am sure that none of us will forget the year 2020. There have been so many negative aspects of the the Covid-19 pandemic. But there have been some positive ones as well – and our Friday/Saturday evening virtual Happy Hours with our daughter, her boyfriend, and Nelson the cat have been delightful and a bright ray of sunshine during these difficult days. The social distancing necessitated by Covid-19 gives me an enhanced appreciation of modern-day communications technology. In an e-mail exchange I had earlier this week with one of our department’s doctoral students we were discussing the use of FaceTime to connect with those from whom we were socially distanced. She made the comment that she was glad that all of this was happening in 2020 and not 1996.

Nelson the cat has been an important participant in our Friday/Saturday evening virtual Happy Hours

We were not the only ones to participate in a virtual Happy Hour as a way to connect with family. Writing in the Grand Fork Herald, Nichole Philips, tells the heartwarming story of Andy Smallman, whose ageing parents live in a retirement community just outside of Seattle, WA. Mr. Smallman created an event which he called “Beer with Grandad“. Using Zoom, Mr. Smallman was able to simultaneously bring together twenty members of his extended family one Saturday evening. The importance of this virtual family reunion to his 80+ year old parents was immeasurable. When they emerge out of the other side of the Covid-19 pandemic, I am quite certain that the Smallman family will look back with joy and happiness on these virtual get-togethers. I know that my wife and I will.

Further Reading:

Dunbar, Robin I. M., Jacques Launay, Rafael Wlodarski, Cole Robertson, Eiluned Pearce, James Carney, and Pádraig MacCarron. 2017. Functional benefits of (modest) alcohol consumption. Adaptive Human Behavior and Physiology, Volume 3, pp. 118–133.

Oldenburg, Ray. 1996-97. Our vanishing “third places”. Planning Commissions Journal, Number 25, pp. 6-10.

Covid-19: Craft Breweries Responding to the Challenge

Craft brewers and the breweries they represent have a reputation for creativity. As craft beer drinkers we see this manifest in the creation of new beer styles (or derivatives of existing styles) such as New England IPAs, West Coast IPAs, and Pastry Stouts. When it comes to creativity, craft breweries are facing a new challenge – that of selling their beer while the world is in the grips of the Covid19 (Coronavirus) pandemic. In attempts to mitigate the impact of the Covid19 (the so called “flattening the curve”) many Governors have ordered the closing of bars and restaurants for an indefinite period. This includes my own state of Ohio. In most cases, the restrictions do allow bars and restaurants to deliver food and drink to customers, as well as for curbside pick-up.

In some states home delivery and curbside pick-up of beer was, until Covid-19, illegal. Recognizing that craft breweries (and restaurants) need every bit of help they can get, many of these states have relaxed, albeit temporarily, these restrictions. In Tennessee, for example, craft breweries who have on-premise beer permits can request a temporary “on- and off-premise” permit that allows them to deliver beer to customers’ homes. The $250 permit application fee has been waived.

In Cincinnati, OH MadTree Brewing started sending what they called “adult ice cream trucks” into city neighborhoods. Instead of ice cream, however the trucks were selling Mad Tree beer and Catch-a-Fire pizza. After a couple days, however, MadTree suspended this initiative, as the trucks were attracting crowds that were “uncomfortably big”. In other words, social distancing, was being compromised. In Syracuse, NY, Now and Later Bottle Shop and Taproom had a similar idea, and are taking their delivery truck from neighborhood to neighborhood. Like MadTree in Cincinnati, Now and Later’s owner, Jason Purdy likens his beer delivery truck to an old fashioned ice cream truck. Other breweries, such as Stone Brewing in Escondido, CA and Karl Strauss Brewing Company in San Diego, CA are using couriers such as DoorDash to get beer to customers. In Memphis, TN, Matt Wilson, owner of three Swanky’s Taco Shops in metropolitan Memphis is going the extra mile to help craft breweries. Although his restaurants sell beers such as Budweiser, only locally brewed canned beer will be available for curbside pick-up.

In Ohio, the Ohio Craft Brewers Association (OCBA) maintain a list of breweries that are offer carry-out and delivery of beer. The list, available on the OCBA website, includes the hours the breweries are open for carry-out, whether they accept online orders, offer food for sale, and accept gift cards. At the time of writing 173 of OCBA’s operating brewery members are offering curbside pick-up. One Ohio brewery in particular is pulling out all the stops to encourage beer drinkers to utilize their curbside pick-up service. With store shelves empty of toilet paper, Black Frog Brewery of Holland, OH were offering a free roll of toilet paper with the purchase of a Howler or Growler of their beer.

Black Frog Brewery of Holland, OH were offering a free roll of toilet paper with the purchase of a Howler or Growler of their beer

States are also helping craft breweries by postponing sales tax collection. This will facilitate cash flow during this difficult period. Some private sector companies are also stepping in to help. Codi Manufacturing of Golden, CO are a mobile canning company. Realizing that some Colorado breweries have never canned their beer before, Codi offered their canning services for free. Breweries still have to pay for the cans, but not having to pay for use of the mobile canning system is a significant help. With taprooms closed, being able to offer their customers canned beer is critical to craft breweries. Closed taprooms, bars, and restaurants means that kegs have become almost obsolete (the exception is customers stopping by a brewery to get their growler refilled). As a result many breweries are scrambling to transfer kegged beers to cans. That can be a time-consuming process. For example, it took staff at Chicago’s Dovetail Brewery 13 hours to transfer (by hand) 50 kegs of beer into 5,000 sixteen ounce cans.

Despite all of these efforts, the slow down in business resulting from Covid-19, will have have an economic impact that is negative and significant. A survey by the Brewers Association paints a sobering picture. Ninety-five percent of craft brewers who responded to the survey expect year-over-year sales, for the first month of the closure period, to be down. On average, breweries expect a 59.5% drop in sales.

In the midst of these economic challenges, however, craft breweries have neither forgotten or abandoned their commitment to their local communities. As hand sanitizer is hoarded, and becomes a near-impossible product to find on the shelves of local retailers, many breweries (and distilleries) have stepped up and utilized their production capacity to produce this increasingly hard-to-get product. Craft breweries from New Orleans to Tampa Bay are producing hand sanitizer. And, in many cases, they are giving it away for free. Maumee Bay Brewing Company in my home city, Toledo, OH is one such brewery. Anyone can drop by the brewery and pick some up, for free. Last Thursday, I dropped by the brewery to pick-up some dinner and get a growler refill. While there, one of the brewery’s staff members offered a bottle of hand sanitizer to everyone in line. In addition to the general public, their ‘customers’ also include health care workers, many of whom are working with the disabled and elderly members of the northwest Ohio community. In Boulder, CO, Avery Brewing Company is giving away 4,000 cases of beer (96,000 beers) to workers at the frontline of fighting Covid-19 – healthcare, police, fire, grocery store workers etc. That craft breweries would step up and support their community at a time when they themselves are hurting may surprise some people; but to those of us who understand the industry realize that supporting their community is quite simply part of the industry’s DNA.

A bottle of hand sanitizer and a growler of Buckeye beer from Maumee Bay Brewing Company in Toledo, OH

Going Out Of Business

Last September, one of the breweries in my town, Toledo, OH, closed. Black Cloister Brewing Company had opened its doors in March 2015. It was located in the heart of downtown Toledo, and was one of the many businesses contributing to the vibrancy of our city center. The announcement that it would close was sad news. In closing Black Cloister was not alone. While we do not yet have data for 2019, we do know that in 2018 a total of 213 breweries closed across the United States. Breweries, like other businesses, close for a variety of reasons. These include a poor location, cash flow problems, expanding too quickly and aggressively, etc.

Black Cloister Brewing Company in downtown Toledo closed in September 2019

To examine the closure of craft breweries from a national perspective, I used data available on the website of the Brewers Association. The data I examined was only for craft breweries producing 15,000 barrels of beer or less. So it did not include the so-called Regional Breweries that produce more than 15,000 barrels of beer annually.

As you can see from the first graph below (green bars), the number of breweries that closed increased each year between 2010 and 2018. In 2010, fifty-four breweries closed. In 2018, the number of breweries that closed was two hundred and thirteen. Indeed 2017 and 2018 seem to have been a bad year for breweries. In addition to the 2018 closures, one hundred and ninety-five breweries closed in 2017. These raw numbers suggest that, year after year, breweries are finding it tougher to stay open.

However, part of the reason why the number of breweries closing increased each year was because there were simply more breweries. So to asses whether breweries were finding it harder to survive, we really need to look at the number of breweries closing as a percentage of breweries that existed. For example, there were 1,525 breweries in the United States in 2009. In 2010, fifty-four breweries closed. The fifty-four breweries that closed in 2010 represent 3.5% of the breweries that were open in 2009. Looking at the second graph, it is clear that the year-to-year variation in the percentage of breweries that closed was very small. The percentage ranged from 2.4% in 2012 to 3.6% in 2017. These data show considerably less variability from year to year.

Another way to look at brewery closure rates is to compare them with similar businesses. This, of course, begs the question as to what is a “similar” business. Many craft breweries are, after all, part manufacturer, part bar/restaurant. A 2014 study of 81,000 full-service restaurants over a 20-year period by Tian Lou of the U.S. Bureau of Labor Statistics and Philip B. Stark of the University of California, Berkeley showed that 17% closed within twelve months of opening. The same study found that the median lifespan of restaurants to be approximately 4.5 years. So it seems that craft breweries are faring quite well compared to full-service restaurants. Having said that, it is probably an unfair comparison. Full service restaurants are a mature industry, in contrast to craft breweries which are still in growth mode,

As a geographer, my interest lies in detecting the existence of any spatial patterns in brewery closures. Along with my colleagues Isabelle Nilsson of the University of North Carolina, Charlotte and Oleg Smirnov and Matt Lehnert of the University of Toledo, we examined craft brewery closures in Chicago, IL, Denver, CO, and Portland, OR between the years 2012 and 2016. One of the things we were interested in investigating was whether being geographically isolated versus being part of a cluster of breweries impacted the chances that a brewery would close. There is evidence from a number of different industries that being part of a cluster (a brewery district) is beneficial. To craft beer drinkers, geographic clustering of breweries inside a city is attractive because it makes it easier for them to brewery-hop, and visit several breweries within the space of an afternoon or an evening.

Our study showed that the brewery closures do not appear to occur where a concentration of breweries exist. Rather, they tended to occur in more residential areas, outside of downtowns. Closed breweries had an average of one other brewery within a one mile radius, while those that were still open as of 2016 had an average of 2.5 other breweries surrounding them. Of the breweries in our analysis that closed, 58% had no other breweries within a mile. Of the breweries that remained open, 26% had four or more breweries within a mile, while 9% had ten or more breweries within a mile.

Bakersfield, CA has an evolving brewery district. Source: Bakersfield.com

Whenever a craft brewery closes in a community, it is not unusual for a local newspaper to run a story that asks whether the local market has hit saturation point with respect to the number of craft breweries. Has the craft beer bubble bust is another commonly asked question. In fact, as I was thinking about writing this blog entry the Virginia-Pilot newspaper reported the closure of Coelacanth Brewery in Norfolk, VA. And the story’s headline read, asked the question – Is the craft beer bubble bursting?” It is a question that has been asked for several years now, in markets ranging from Cleveland, OH to Grand Rapids, MI. More often than not, however, the feeling is that in most markets there is still room for growth. In a piece in Crain’s Business Chicago, Dalton Baker wrote about craft brewery closures and declining craft beer sales in the city of Chicago, IL. Baker describes the Chicago craft beer market as mature, a characteristic that it shares with Denver, CO, San Diego, CA, and Seattle, WA. I think there is no doubt that certain markets are nearer saturation than others. On the other hand, there are places where the market is under-served by craft breweries. The city I live in, Toledo, OH is one of them. It has, I believe, significant room for growth.

In a recently published end-of-decade piece published in Forbes, Chris Funari asked a number of brewers to gaze into their crystal ball and share their thoughts on what the next ten years might bring for the craft segment of the brewing industry. Kim Jordan, Co-Founder of New Belgium Brewing believes that industry will experience a shakeout, which will result in a significant number of brewery closures. The net result will be a smaller population of breweries. Daniel Kenary, Co-Founder and CEO of Harpoon Brewery seems to agree. He believes that the recent growth is “unsustainable” and that “the fast money will try to leave as quickly as it entered” . Tom Wilkes, writing in Beer & Brewing, believes that the future may be brighter for breweries at opposite ends of the size spectrum – small breweries and very large breweries. The small ones can focus on the local market and develop a loyal customer basis from the surrounding community, while the very large brewers have the capital to engage in effective marketing and distribution. But those in the middle, who are “attempting to fight for that retail and grocery and tap handles” may find the future challenging.

Of course, as I sit here today the world is in the grip of the Covid-19 (Coronavirus) pandemic. Across the United States, Governors have ordered bars and restaurants to close temporarily as part of the efforts to minimize the spread of the virus and flatten the curve. With their taprooms closed, craft breweries are offering curbside pick-up and home delivery. The impact on sales is potentially devastating. For some breweries, that were already struggling, this represents the final nail in the coffin, and closure has already been announced. Depending upon how long restrictions associated with Covid-19 last, 2020 could be a record year for brewery closures.

Further Reading:

Nilsson, Isabelle, Oleg Smirnov, Neil Reid, and Matthew Lehnert. 2019. To cluster or not to cluster? Spatial determinants of closures in the American craft brewing industry. Papers in Regional Science, Volume 98, Issue No. 4, Pages 1759-1778.

Wine, Women, and Basketball – But What About Beer?

The University of Toledo (UT), where I work, has a men’s and a women’s basketball team. I am not a basketball fan, so I really do not follow the fortunes of either one. On average, I probably attend a college basketball game once every five years or so. Back in January one of our doctoral students forwarded me an e-mail she had received promoting upcoming games for both the men’s and women’s teams. I am sure I had received the same e-mail, but upon seeing from the subject line that its content was about basketball, had probably deleted it. In sending me the e-mail, the student drew my attention to two upcoming UT basketball games – one involving the men’s team and one involving the women’s team. The men’s game was promoted as “Men’s Basketball Craft Beer Night”, while the women’s game was promoted as “Women’s Basketball Wine Night”. Fans were invited to come early to the Men’s game and sample some craft beer beforehand; come to the Women’s game and sample some wine beforehand. The student who brought these promotional ads to my attention questioned whether those responsible for them had given much, if any, thought to gender stereotypes. For both ads were clear examples of gender stereotyping – beer for the guys and wine for the gals. When I first saw these ads, I have to admit, they made me cringe.

In defense of the ads, one might argue that the UT Athletics Department were simply recognizing the reality that more craft beer drinkers are male than female, and more wine drinkers are female than male. According to a 2018 Nielsen Harris on Demand survey, 68.5% of craft beer drinkers who drink craft beer “at least several times a year” are male; 31.5% are female. Interestingly, the survey identified two markets where female craft beer drinkers outnumber male craft beer drinkers – Portland, OR and Providence, RI. In contrast, a 2018 study by Sonoma State University found that 60% of wine drinkers are female, and 40% are male. Despite these demographic differences, I will still submit that the the ads were an unnecessary exercise in gender stereotyping. Why not simply advertise the first game as being one where craft beer would be available beforehand, and the second as one where wine would be available beforehand?

Of course, this type of stereotyping is nothing new. A 2012 study by researchers at The University of Liverpool and Liverpool John Moores University found that alcohol-related ads in women’s magazines were primarily focused on champagne and sparkling wine, while alcohol-related ads in men’s magazines focused on beer. Indeed, craft beer and gender stereotyping is a topic I have written about before.

Not only do many women enjoy craft beer, but they also are a number of women who own breweries and/or commercially brew beer. Last month, I attended the annual Nebraska Tourism and Adventure Travel Workshop in Nebraska City, NE. In addition to giving a presentation at the workshop, I was also a member of a panel on “Maximizing Your Exposure with Partnerships”. There were three of us on the panel. I was the only male. The other two panel members were Jessica Kraus, co-owner of Lost Way Brewery in Holdrege, NE and Jessi Hoeft of First Street Brewing Company in Hastings, Nebraska. The panel was moderated by Gabby Ayala, Executive Director of the Nebraska Craft Brewers Guild. Jessica is also Executive Director of the Holdrege Chamber of Commerce. These are smart, intelligent, successful women who know what they are talking about when it comes to beer and the craft brewing industry. For me, it was honor to share the stage with and learn from them.

Sharing the stage with (left to right) Gabby Ayala (Nebraska Brewers Guild), Jessi Hoeft (First Street Brewing), and Jessica Kraus (Lost Way Brewery) at the 2020 Nebraska Agritourism & Adventure Travel Workshop (Photo Credit: Nebraska Tourism Commission)

Unfortunately, and undeservedly, female brewers are often less highly regarded than their male counterparts. A recent study by researchers at Stanford University found that “craft beer described as produced by a woman is evaluated more negatively than the same product described as produced by a man.” According to Sarah A. Soule, one of the researchers on the project, “our research suggests that customers don’t value and are less inclined to buy traditionally male products if they think they’ve been manufactured by women . . . There’s an assumption that your woman-made craft beer . . . won’t be as good.”

It is easy to forget that before men arrived on the scene, brewing beer was primarily a task done by women. Indeed, in both Mesopotamia and ancient Egypt the beer that was brewed was done so almost exclusively by women. It was the same in pre-industrial Europe, where making beer was just one of a number of household tasks performed by women. Such was the case for Katharina von Bora, wife of the 16th century leader of the Protestant Reformation, Martin Luther. Von Bora brewed all the beer for the Luther household. And her husband loved it, often heaping praise on his wife’s brewing skills. In one of his many letters, Luther wrote, “I keep thinking what good wine and beer I have at home, as well as a beautiful wife.” In discussing the historical role of women as brewers, Allison Schell of the National Women’s History Museum refers to it as a “forgotten pairing“. What an apt description. It became forgotten because, in shifting from an economy based on agriculture to one based on manufacturing, the brewing of beer moved from small-scale home production to larger scale commercial production – and when that happened, men took over the brewing process.

Katharina von Bora brewed the beer for the Luther household
Source: Wikimedia Commons

So when it comes to beer and the brewing industry we (and by that I mean men) need to treat our female peers with respect. Whether they are brewers or consumers we have to understand that their gender does not define them. Rather, they are defined by their love, passion, and knowledge of beer. They are co-equals and partners in this wonderful journey that we, who love are craft beer, are taking.

Further Reading:

Tak, Elsie, Shelley J. Correll, and Sarah A. Soule. 2019. Gender inequality in product markets: When and how status beliefs transfer to products. Social Forces, Volume 98, Number 2, pp. 548-577.

Understanding Beer Tourists

During the month of February I gave two presentations on the topic of beer tourism. The first was at the Beer Marketing and Tourism Conference in St. Petersburg, FL, while the second was at the Nebraska Agritourism and Adventure Travel Workshop in Nebraska City, NE. Beer tourism is a topic I wrote about in a previous blog entry in 2017. In June, I will be traveling to Fort Myers, FL to make a presentation on the same topic to interested stakeholders in that community. There is no question that interest in beer tourism is growing. Tourism officials and others in a myriad of places are recognizing that beer tourism represents an opportunity to bring new dollars into their communities. There have been a small number of studies that estimate the economic impact of beer tourism. A 2019 study of the nearly 94,000 beer tourists who visited Kent County, MI (home of Grand Rapids) estimated their economic impact to be $38.5 million. The 2017 Oregon Brewer Festival, which was held in Portland, OR had an economic impact of $23.9 million. Finally, the 2018 release of Pliny the Younger by Russian River Brewery had an economic impact of $3.36 million on Sonoma County, CA.

Thanks to these studies, and a number of others undertaken by academics, we actually know quite a bit about beer tourists – their demographic profile, travel preferences, and travel patterns. We know, for example, that somewhere between 60 and 66% of beer tourists are male, 75-84% are under the age of fifty, 60-80% have at least a Bachelor’s degree, and 40-45% live in households whose annual income exceeds $80,000. In short beer tourists tend to be male, young, well-educated, and are economically well-off.

We also know that beer tourists do not stray far from home. Seventy-five percent of the beer tourists who visit Kent County, MI live in the state of Michigan, while 83% of those traveling to Santa Rosa, CA for the 2016 Pliny the Younger Release were from the state of California. Not only do most beer tourists travel short distances, they also visit a destination for a couple of days – 95% of the beer tourists who visit Kent County, MI do so for two nights or less. Indeed, the average length of stay in Kent County was 1.6 nights, while those who traveled to Santa Rosa, CA for the Pliny the Younger Release in 2019 stayed for an average of 1.8 nights. Perhaps not surprisingly, beer tourists travel in small groups of between two and four people (think a couple or two couples, traveling together).

Research by Jennifer Kraftchick and her colleagues at the University of North Carolina in Greensboro suggests that the primary reason why craft beer drinkers visit breweries in other towns and states is to taste craft beer in the breweries where it is brewed. Visiting a craft brewery in another community often provides the craft beer drinker the opportunity to taste beer that is unavailable in their home town. This is consistent with other research which suggests that craft beer drinkers like to travel from brewery to brewery tasting the beer and enjoying the unique ambience of each brewery.

The aforementioned characteristics of beer tourists are insightful for towns and cities looking to market their communities to beer tourists. For example, I advise communities to focus their marketing efforts to a 150 mile radius. Depending on the community the number of people living within a 150 mile radius can be quite large. For example, there are 18.7 million people within a 150 mile radius of the city I live in, Toledo, OH. I also suggest targeting short-stay tourists, promoting their community (and their breweries) as an ideal ‘weekend getaway’. If a community has a brewery district, I suggest marketing it – emphasizing the ease of moving from one brewery to another (e.g., on foot, by bicycle, or by Uber). Identifying, and making the potential beer tourist aware of complimentary activities is also a good idea. Beer tourists travel with spouses, partners, and friends – some of whom may not be beer drinkers. So providing information on, for example, wineries is smart marketing. Or perhaps your community has a variety of outdoor recreational opportunities such as hiking or kayaking – if that is the case, then think about ways to cross-market breweries with these activities.

Having attracted tourists to your community, it would be nice if they enjoyed themselves so much that they decide to return at a future date. Kent County, MI has been particularly successful at getting beer tourists to return for repeat visits. Sixty percent of beer tourists surveyed as part of the Kent County, MI study indicated that they had visited Kent County at least once during the previous twelve months. A return visit by a beer tourist indicates that the previous visit had been an enjoyable experience. So having your community’s breweries put their best foot forward and showing visitors a good time is critical. The same goes for other places (e.g. hotels, restaurants, museums, etc.) that beer tourists may visit. Remember, most beer tourists who visit your community live within a couple of hours drive – give them a reason to return, and they will.

Beer tourism is growing in popularity. More and more communities are embracing it. At the Beer Marketing and Tourism Conference that I attended last month in St. Petersburg, FL, there were representatives from a number of Destination Marketing Organizations (DMOs) in attendance. I chatted with a number of them over the three days of the conference. There is no question that the DMOs I chatted with appreciate the benefits that beer tourism can bring to their communities.

Focus marketing efforts on potential beer tourists living with a 150 mile radius of your community
Source: Statsamerica.com
Market your community to beer tourists as a weekend getaway
Source: Los Angeles Times, January 9, 2020
If your community has a brewery district, market it
Source: The Californian, November 9, 2018
Market complementary activities such as wineries

Further Reading:

Benton, Cristina and Sara Bowers. 2019. The Economic Impact of Beer Tourism in Kent County. East Lansing, MI: Anderson Economic Group, LLC.

Kraftchick, Jennifer Francioni, Erick T. Byrd, Bonnie Canziani, and Nancy J. Gladwell. 2014. Understanding beer tourist motivation. Tourism Management Perspectives, Volume 12, pp. 41-47.

From Orwell To Oldenburg

George Orwell is one of my favorite authors. I have read, several times each, every novel he wrote. I first became acquainted with Orwell in high school in Scotland, where we read his two classics, Animal Farm and 1984. Neither of those are my favorite Orwell novels, however – that honor belongs to his 1934 work Burmese Days. It was Orwell’s first novel, and tells the story of John Flory, a timber merchant, disillusioned with life in 1920s imperial Burma. Orwell had lived in Burma between 1922 and 1927, where he had served with the Indian Imperial Police; so he had first hand knowledge of life in that part of the world. In addition to Orwell’s novels, I have also read and enjoyed, all of his essays. Among my favorites are A Day in the Life of a Tramp (1929), Shooting an Elephant (1936), and The Moon Under the Water (1946). It is to this latter essay that I now turn.

Orwell’s Burmese Days

The Moon Under the Water is an imaginary London pub. It is a creation of Orwell’s imagination. It is, in fact, Orwell’s ideal pub. In actuality, Orwell’s ideal pub, comprises several distinct bars where drinks are available – a public bar, a saloon bar, a ladies’ bar, an upstairs dining room, and a bottle-and-jug – the latter serving “those who are too bashful to buy their supper beer publicly”.

In discussing his ideal pub, Orwell identifies ten qualities that it should have. These are:

  1. It is highly accessible. In the case of The Moon Under the Water, it was a two-minute walk from the nearest bus stop.
  2. Most of its patrons are ‘regulars’, who occupy the same chair every evening. Their motivation for going is to engage in conversation as much as it is to drink beer. In fact, the atmosphere of the pub is more important than the beer.
  3. The barmaids know the names of most of their customers, and take a personal interest in everyone. 
  4. The architecture and the internal decor of the bar are “uncompromisingly Victorian”, and includes a “good fire”.
  5. It is not too loud and so is always quiet enough to talk. There is no radio or piano.
  6. It sells tobacco, cigarettes, aspirins and stamps. If you need to use the pub’s phone they are good about letting you do so.
  7. It sells Draught Stout.
  8. They are careful to use the proper glassware. For example, a pint of beer would never be served in a handleless glass. They also have both pewter mugs and strawberry-pink China mugs. The latter were going out of fashion, and were rarely seen in London Pubs when Orwell was writing this essay.
  9. It has an outdoor garden with tables and chairs. The garden has swings and a chute (slide) for children. On summer evenings families gather in the garden. Orwell likes the garden because “it allows whole families to go there instead on Mum having to stay at home and mind the baby while Dad goes out alone”.
  10. Games, such as darts, are only played in the public bar.

Reading Orwell’s essay reminded me of the work of Ray Oldenburg, an urban sociologist at the University of West Florida. In 1989, Oldenburg published a book titled “The Great Good Place”. It was subtitled, “Cafes, Coffee Shops, Bookstores, Bars, Hair Salons, and Other Hangouts at the Heart of a Community”. It was within the pages of this book that Oldenburg introduced the concept of the Third Place. A Third Place is a strikingly simple concept. To Oldenburg, Third Places are “nothing more than informal public gathering places.” As Stuart M. Butler and Carmen Diaz tell us, they are places where people come to “exchange ideas, have a good time and build relationships.” They are, according to Michael Hickey, “the living room of society”. Third Places exist in contrast to First Places (home) and Second Places (work).

The Great Good Place by Ray Oldenburg

In The Great Good Place, Oldenburg devotes six chapters to specific types of Third Place – The German-American Lager Beer Gardens, Main Street, The English Pub, The French Café, The American Tavern, and Classic Coffeehouses. In three of these (German-American Beer Garden, English Pub, and American Tavern) beer is the staple product sold. Third Places, according to Oldenburg, have seven characteristics. These are:

  1. Third Places are neutral meeting places,
  2. Third places are inclusive and everyone is welcome; no one is excluded,
  3. Conversation is the main activity,
  4. Third Places have regulars; people who go there on a regular basis,
  5. Third Places are physically plain and have an unpretentious ambience,
  6. In Third Places, the mood is playful and wit is prized,
  7. Third Places are a home away from home.

In a later piece, Oldenburg describes some other characteristics of Third Places. For example, “they work best when within walking distance of the people they serve.” Reading Orwell’s description of his ideal pub and Oldenburg’s descriptions of Third Places, I can’t help but feel that they are describing very similar places. Both are places where community gather. Both are frequented by regular customers. Both are easily accessible to their clientele; they are either walkable from home (in the case of Third Places) of are within a few minutes walk of a bus stop (in the case of Orwell’s ideal pub). In both places, conversation is one of the main activities that occurs. In Orwell’s ideal pub, the opportunity to engage in conversation is, to some patrons, more important than the beer. In Orwell’s ideal pub proper glassware is used – as it would in the taproom of a reputable craft brewery.  Many Victorian pubs also had a “bottle-and-jug”, where patrons could purchase beer to take home. This is not unlike the concept of walking into a craft brewery with a growler and asking the bartender to fill it with your favorite IPA or Brown Ale, which you then take with you for home consumption. A wide variety of venues in a community can function as Third Places, including librariescoffee shopschurches, and craft breweries. Indeed, as I have argued before, many modern-day craft breweries deliberately position themselves as Third Places within their communities; places where neighbors, friends, and family can come together and enjoy the company of one another.

There is one important aspect of Orwell’s ideal pub that may seem inconsistent with the philosophy of modern-day craft breweries. And that is the fact that it had a number of distinctive and separate drinking areas. As noted by Geoff Brandwood in his essay “The vanishing faces of the traditional pub’, the English pub (that Orwell would have been familiar with) was a “multi-room establishment and one which involves a hierarchy of rooms.” At the bottom of this hierarchy was the public bar, which Brandwood describes as a“predominantly male preserve”. Drinks in the public bar were cheaper than in other parts of the pub. Brandwood suggests the cheaper drinks acted as as “an effective financial incentive towards keeping customers in their appropriate place.” It was “where the working class were expected to congregate and drink.” Other rooms included the ‘lounge bar’, where drinks were more expensive and the customers middle class. Females, accompanied by males, patronized the lounge bar. As noted by Brandwood, “financial (and social) segregation was an entrenched feature of pub-going until well after the Second World War.” The ‘snug’, a small private drinking room, was another feature of English pubs in the Victorian era. Orwell’s ideal pub, however, did have a beer garden – and it was here where families (father, mother, and children) could be together. Given the English climate, the beer garden would have been very much a summer phenomenon.

The separation of drinkers based on characteristics such as sex or class was antithetical to the ideas of Oldenburg, whose Third Places welcomes everyone. Segregation is not a feature of Oldenburg’s Third Places. And modern-day craft breweries see themselves as more inclusive than typical bars. Walk into any craft brewery today and do not be surprised to see young children there, with their parents. Dogs are also an increasingly common piece of the craft brewery landscape. Craft breweries consciously promote themselves as a community space where everyone, regardless of socio-economic status, are welcome.

Orwell’s ideal pub and the modern day American craft brewery are separated by ~70 years and thousands of miles. As such, however, they provide us with a timely reminder that the fundamental human desire to gather and enjoy each other’s company transcends both time and space.

Further Reading:

Brandwood, Geoff. 2006. The vanishing faces of the traditional pub. The Journal of the Brewery History Society, Summer, Number 123, pp. 110-128.

Oldenburg, Ray. 1989. The Great Good Place. De Capo Press: Cambridge, MA.

Oldenburg, Ray. 1996-97. Our vanishing “third places”. Planning Commissioners Journal, Number 25, pp. 6-10.

Orwell, George. 1946. The moon under the water. Evening Standard, February 9.

Meeting an Icon

One of my favorite books about the craft brewing industry is The Audacity of Hops: The History of America’s Craft Beer Revolution by Tom Acitelli. I highly recommend it to anyone wanting a very readable account of the emergence and evolution of craft brewing in the United States. In the book you will learn of the key events and key people that were at the heart of the craft beer revolution. One of the most enjoyable and informative parts of Acitelli’s book is learning about the part played by particular individuals. These include Michael Jackson (British beer writer), Fritz Maytag (owner of Anchor Brewing Company), Jack McAuliffe (owner of New Albion Brewing Co.), and others.

The Audacity of Hops by Tom Acitelli

Earlier this month I had the opportunity to meet and chat with one of the craft beer pioneers featured in Acitelli’s book. I was invited to be the opening keynote speaker at the 4th Annual Beer Marketing and Tourism Conference in St. Petersburg, FL. In attendance at the meeting was Pete Slosberg, the co-founder of Pete’s Brewing Company. During the early 1990s Pete’s Brewing Company was the country’s second largest craft brewing company, after Boston Beer Company. Like many of the early craft brewing entrepreneurs, Slosberg was a home brewer. In 1986, with Mark Bronder, he founded Pete’s Brewing Company. The brewery’s signature product was an American Brown Ale, called Pete’s Wicked Ale. While inspired be English Brown Ales, Slosberg’s creation was distinctively American – it sat somewhere between an English Brown Ale and a Porter, and was more bitter than both. As a result, Slosberg is credited with creating American Brown Ale as a separate style.

Hanging out with Pete Slosberg (left) at 3 Daughters Brewing in St. Petersburg, FL

At the conference Slosberg made a presentation titled “Modern Guerrilla Marketing”. Guerrilla Marketing is an advertising strategy that utilizes “low-cost unconventional marketing tactics that yield maximum results”. As the owner of a start-up craft brewery, guerrilla marketing was critical to the early success of Pete’s Brewing Company.

In designing the original packaging for Pete’s Wicked Ale, Slosberg wanted to make sure that his beer stood out on the shelf. He therefore chose purple as its dominant color, and included a mugshot of his dog Millie. Against the rather mundane packaging of mass produced beers of the late-1980s, there was no doubt that Pete’s Wicked Ale was a standout. As Slosberg told conference attendees, “weird things draw your attention. Little things can be memorable. Make people do a double-take”. In another marketing “stunt” to promote his beer, Slosberg found himself naked in a bathtub of Pete’s Wicked Ale. It was another one of those weird double-take moments.

Promoting his beer – Pete Slosberg in a bathtub of Pete’s Wicked Ale

Some of the advertising for Pete’s Wicked Ale was not cheap, but it still fell into the “weird” category and turned heads. A prime example was his 1994 television commercial which ran during shows such as Seinfeld, Melrose Place and Northern Exposure in major markets such as Boston, Minneapolis, and San Francisco. For the commercial Slosberg sat at a red-draped table on the sidewalk in downtown San Francisco. On the table were some bottles of Pete’s Wicked Ale. As pedestrians walked by, Slosberg called out to them, asking them if they would like his autograph. The commercial (which can be viewed here) shows most pedestrians shunning Slosberg’s invitation. One who did stop is seen, shortly afterwards, scrunching up Slosberg’s autographed picture and tossing it into the nearest trash can. Named by The New York Times as one of the ten best advertising campaigns of 1994, the newspaper noted that “the campaign deftly plays up his image as the quintessential little guy taking on the beer behemoths.”

During his presentation to conference attendees, Slosberg talked about his entrepreneurial philosophy. To Slosberg, initial discussions about starting a company should focus on the goals/core values of the company, and not on the product. In discussions with his business partner, Mark Bronder, Slosberg identified three goals/core values for Pete’s Brewing Company:

  • Make a world class product
  • Get in on ground floor of a new industry or segment of an industry
  • Treat the product with reverence and everything else with irreverence (the fun factor)
Pete Slosberg at the Beer Marketing & Tourism Conference speaking about guerrilla marketing

The success of Pete’s Brewing Company was achieved without Slosberg and Bronder owning a brewery. All of Pete’s beers were brewed under contract. Over the years they contracted with a number of breweries to brew their beer. These included Palo Alto Brewing Co. (Palo Alto, CA) and August Schell Brewing (New Ulm, MN).

At its peak, Pete’s Brewing Company had 85 employees and annual sales of $71 million. Its beer was available in 47 states and, within the craft beer segment of the industry, only Boston Beer Company sold more beer. And the beer was good. In 1987, Pete’s Wicked Ale was voted the top ale, and was ranked one of America’s top five beers. While Pete’s Wicked Ale was its flagship beer, the company did produce five other products- Pete’s Wicked Lager, Pete’s Wicked Red, Pete’s Wicked Honey Wheat, Pete’s Wicked Winter Brew, and Pete’s Summer Brew.

In 1996, twelve years after its founding, Pete’s Brewing Company was acquired by The Gambrinus Company of San Antonio, TX. The cost of the acquisition was an impressive $69 million. In 2011, Gambrinus announced that they would be discontinuing the beers they produced under the Pete’s brand. Following its acquisition by Gambrinus, Pete’s Wicked Ale struggled in the market place. Perhaps that was because Gambrinus changed the recipe to make the beer lighter. Or perhaps it was because the beer no longer had its charismatic spokesperson to promote it in the marketplace.

I feel both honored and humbled to have met Pete Slosberg, and to have engaged in a couple of one-on-one conversations during the two-and-a-half day’s of the conference. He had an unassuming personality, was easy to chat with, and, within a few seconds of meeting him, he put you completely at ease. As someone who is interested in the history of craft brewing in the United States, it was a huge privilege to meet and spend some time with one of the industry’s early trailblazers. As a craft beer drinker, the debt of gratitude that I Pete Slosberg, and others like him, is both huge and significant.

Musings on Beer