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Craft beer clash shows signs of brewing

A SUDDENLY public debate over craft beer versus "faux craft" brands made by multinational conglomerates could portend bigger battles to come in the rapidly growing segment.
By · 17 Dec 2012
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17 Dec 2012
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A SUDDENLY public debate over craft beer versus "faux craft" brands made by multinational conglomerates could portend bigger battles to come in the rapidly growing segment.

In a biting opening salvo, a trade group for America's craft brewers has accused Anheuser-Busch InBev and other major manufacturers of "deliberately attempting to blur the lines between their crafty, craft-like beers and true craft beers from today's small and independent brewers".

"We call for transparency in brand ownership and for information to be clearly presented in a way that allows beer drinkers to make an informed choice about who brewed the beer they are drinking," the Colorado-based Brewers Association said.

The group singled out Blue Moon and the Shock Top line.

Those popular beers are owned and produced by, respectively, SABMiller, the same company that makes Miller Lite, and AB-InBev, the Belgium-based purveyor of the ubiquitous Budweiser and Bud Light.

"You would not know that from looking at the labels," said Julia Herz, craft beer director for the Brewers Association. Ms Herz has called for manufacturers to be more transparent in their labelling.

The debate got off to a brisk start on Twitter, with the hashtag #CraftVsCrafty, and beyond.

In Australia, Lion Nathan owns beer brands such as Knappstein Reserve Lager and James Squire that could spark similar "craft versus crafty" debate.

Carlton & United Breweries owns Matilda Bay, which produces Bohemian Pilsner. It is described as a "hand-crafted" beer.
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Frequently Asked Questions about this Article…

The article describes a public debate where America's craft brewers accuse large multinational brewers of producing 'craft-like' or 'faux craft' beers that blur the line with true small, independent craft beers. The Brewers Association says this raises transparency concerns about who actually brews those beers.

The article calls out Anheuser‑Busch InBev (AB‑InBev) and SABMiller, and mentions brands such as Shock Top, Blue Moon, Budweiser, Bud Light and Miller Lite. It also references Australian owners Lion Nathan (Knappstein Reserve Lager, James Squire) and Carlton & United Breweries (Matilda Bay, Bohemian Pilsner).

According to the Brewers Association quoted in the article, transparency lets beer drinkers make informed choices about who brewed the beer they drink. For investors following the craft beer market, clear ownership and labeling can also clarify which companies are competing in the fast‑growing craft segment.

The debate started with a public accusation from the Brewers Association that major manufacturers were blurring lines between real craft and craft‑like beers. It quickly spread on social media, notably using the Twitter hashtag #CraftVsCrafty.

Yes. The article says the public debate over craft and 'faux craft' brands could portend bigger battles to come in the rapidly growing craft beer segment as large companies introduce craft‑style products.

The article notes Australian examples: Lion Nathan owns Knappstein Reserve Lager and James Squire, and Carlton & United Breweries owns Matilda Bay, which produces Bohemian Pilsner described as 'hand‑crafted'—all of which could spark similar debates about authenticity and ownership.

The Brewers Association is calling for transparency in brand ownership and for information to be clearly presented on labels so that beer drinkers can easily see who brewed the beer they are buying.

Based on the article, everyday investors may want to monitor brand ownership disclosures, how major brewers position craft‑style products, and consumer reaction (including social media trends like #CraftVsCrafty), since these factors could influence competition and perception within the growing craft beer segment.