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There has been what some people call a craft brewery revolution in the United States over the past ten years or so. Large commercial breweries such as Anheuser Busch, Coors and Miller have dominated the beer market and continue to do so. Now, there is a strong niche of consumers that are looking for more quality and personality in their beer. The craft beer segment has grown steadily over the past few years, but has not been able to really challenge the market share of the larger companies. One key reason that the larger companies continue to dominate even with a lower quality product is that the larger corporations have economies of scale. These companies can produce their product much cheaper and make it more convenient for the consumer. One thing that has separated the two is that the craft breweries have mainly packaged their beer in glass bottles, while the commercial brewers have utilized aluminum cans. If the craft brewers can utilize this production technique while still producing the same quality product, they may be able to gain profits and cut out a larger niche in the market for themselves. Canned beer reaches more venues than bottled beer. Canned beer appeals to drinkers going to outdoor events. Golf courses, sports stadiums, and beaches are examples of venues that lend themselves to cans. Glass bottles are discouraged and even prohibited in many of these types of venues. Activities such as tailgating or camping are also examples of less glass friendly activities where consumers tend to enjoy alcoholic beverages. This is probably why most stores sell their beverages in plastic bottles and cans. That in mind, stores may be more open to carrying the local craft beers if they were in cans, because there would be a higher demand for them. Most importantly, canned beer is cheaper to package and ship than bottled beer. First of all, aluminum is lighter than glass. Also, a can is one single unit, where a bottle consists of a label, cap, and then the bottle itself. Carl Nolen, president of Capital Brewery in Middleton Wisconsin, stated, “Capital's packaging and shipping costs for canned beer are about half the costs for bottled beer.” Many can naysayers complain that cans supposedly add a metallic taste to beer, but according to the website craftcans.com beer cans use a coating to eliminate any metallic flavors. Craft breweries, like in any other industry, are always looking for a cheaper way to produce the same quality product. One of the main reasons that craft breweries struggle is that they use high quality ingredients and take their time to make sure each brew is made perfect. This leads to high production costs, which is passed down to the consumer. This leads to less share in the market, but perhaps if more of these breweries adapt to canning their beers they will be able to increase their profit margins and gain market share. Reference: (2011, May 19). More Brewers Packaging Craft Beers in Cans. Milwaukee Journal Sentinel. Retrieved from http://www.beverageworld.com/index
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Craft beer, Cans, Craft breweries,
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