KRCC, the Colorado College radio station just posted a brief recap on all that's been happening if you would like a quick 5 minute radio update. It's a short interview with Ed Sealover from the Denver Business Journal and Tim Hoover who writes about the issue for the Denver Post. Both believe the bill will hurt the industry, at least that's what it sounds like. There's also a brief mention about the funny little law that convenience stores exploited pertaining to bars not being allowed to sell beer under 4%, a bill that was swiftly killed by Hickenlooper (for sure this was a good thing!).
Okay, so here's the email that Bristol sent out over the weekend (BTW, I'm happy to post arguments and thoughts from each side of the story). Have a read:
Urgent: Help us Save The Ales! |
Dear Friends, Remember last year when we asked you to imagine a world with no Beerocrats, no Community Ales, and the disappearance of many small Colorado craft brewers? Well, Colorado craft beers are under attack. Again. And we need your help. For the third time in as many years, legislation has been introduced in the State House that would gut our thriving industry. The bills would eliminate the 3.2 beer that is sold in grocery and convenience stores and allow convenience stores to carry full strength beer. If passed, this would open grocery stores up for the sale of full strength beer. At first glance, full strength beer in grocery stores sounds like a good thing, and that's what the big corporate lobbies behind these bills want you to think. The reality, though, is that these bills would be "convenient" for corporations' bottom lines, but not convenient for you, the consumer. An independent economic report released last year estimates that within five years, 10,000 jobs will be lost and 900 of the state's ~1600 liquor stores will close. Breweries will lose vital access to market, many will close, seasonal and specialty ales will disappear from shelves, and your favorite Bristol products probably won't be available at grocery stores. And in a tricky turn, this legislation just got introduced yesterday and will likely appear in its first committee next week, so time is of the essence. We'll be working on getting you more information as the situation develops, so please look at our website, check out our Facebook page, or join the conversation -- tweet with #SaveTheAles. Bottom line: this bill isn't about convenience. For the Colorado economy it's about lost jobs and profits being sent to out of state corporations. For brewers it means lost market share, layoffs and less flexibility in brewing your favorite beers. For you, it means you will pay more for a smaller selection of beer. Please help us. Call or write your Colorado State Representative, who you can find at votesmart.org (you can use this sample letter here). |
The argument that we'll lose whatever-amount of liquor stores just doesn't move me. It's like closing a prison — yes, you lose jobs, but the move is still the right one. As a consumer, I want to get my beer in the most convenient way possible, not just keep to our current way because it's our current way.
ReplyDeleteThat there is even a law about 3.2 beer at all is an archaic religious throwback that doesn't make any sense. And if selling full-strength beer at grocery stores puts 700 liquor stores out of business, then maybe there were too many liquor stores in the first place. I love beer. And I love Bristol beer, particularly. And you can bet that if I'm able to pick up a Beehive six-pack at King Soopers, I will do so (and so will a lot of others). I just don't believe the impact will be as severe as some are saying. And overall, I think it'll be a good thing. Having 3.2 beer is simply absurd, and we should get rid of it.
ReplyDeleteSomehow I doubt Budweiser, Coors, and Miller are going to leave any room on the shelves at the big box stores for the craft beer. If you ever saw "Beer Wars" there is a part in the documentary where they show how Budweiser floods the market with Bud, Budlight, Bud Select, Bud Lime, in cans, bottles, 20 packs, Etc. All this rice beer does is take up alot of shelf space, limiting room for the little craft guys. I enjoy getting my beer from the liquor store, its nice to have a large selection of craft beer. I'm certain that if the bill does pass, then the liquor stores are going to lose that rice beer business. Hopefully they will be able to survive on liquor and craft beer sales.
ReplyDeleteOne thing I respected about Colorado immediately after moving here a few years ago (besides great beer) was everyone’s love for local product and local economy. Even if some of you think the impact isn’t as severe as the studies show, does sending profits to out of state chain headquarters really support Colorado (local) economy? If we lose locally-owned businesses (whether it is a liquor store), think of (1) another empty box just sitting there (do we really need another one of those?) and (2) an un-diversified tax base. Not so good for the local economy. On top of it all, it would change an already strong business model that has encouraged entrepreneurs (small craft brewers and mom & pop liquor store owners) to invest in Colorado. Then think about it...if those businesses that do survive, they'll profit less, having less to give back to the community. What if there really was a world where community ales were endangered or extinct? Also, not so good. Take Bristol’s community ales as just one LOCAL example. They give back as to the community - through Local 5, Smokebrush Porter, Cheyenne Canon Pinon Nut Ale, Venetucci Pumpkin Ale and other contributions. People out there are arguing that “beer is beer” when in Colorado reality, craft beer is community. Show some local love, people.
ReplyDeleteDo you realize...
ReplyDeleteThe "Mom & Pop" Liquor stores have made the independent craft brewers
successful in our great state by promoting these quality brews. It's
why Colorado has earned the reputation as "The Napa Valley of Beers".
Do you really think the "check-out boy" at the grocery store is going
to have the knowledge to continue to build this reputation? Do you
realize many liquor stores are right next door (conveniently) to
grocery stores? An independent consulting firm did a study on the
economic impact of the of the bill. They determined that 600 liquor
stores would go out of business if this bill passes. That's a lot of
jobs lost in an already shaky economy. Plus, why would we want to send
profits outside of Colorado to grocery stores' corporate headquarters
when right now, those profits stay in our state?
Also, according to Safeway's own testimony, their liquor sections
would be about about 5000 sq ft, where the average mom and pop liquor
store is about 25000 square feet. It doesn't take an Einstein to
realize that selection would necessarily decrease.
Lastly, when this bill came up the first time, we (I work for a local
CS brewery) actually approached the chains about carrying our
award-winning beers. They informed us that they make their purchasing
decisions based on national SKUs. Since we don't distribute out of
state and neither do many quality craft brews), we'd never show up on
their radar. We'd automatically be out of the game. Sure, you'd be
able to get Fat Tire and Sam Adams, but how far would you have to go
to find Twisted Pine's excellent Hoppy Boy IPA or Bristol's Laughing
Lab?
Small liquor stores provide access to market to the 124 craft brewers
in this state. Grocery and convenience stores wouldn't. The reason
Colorado has arguably the best craft brewing industry and culture in
the country is precisely because our laws protect and foster small
business. It's not good for brewers, it's not good for consumers and
it's not good for the Colorado economy to move money, jobs and choices
out of the state.
Letʼs save jobs, our local economy and the Colorado craft brewing industry. Join me in opposing HB-1284 (Sale of Full Beer to grocery stores)
Go to www.votesmart.org to contact your representative
Call/email your representative, ask them to please vote No on HB 1284
I'll continue to go where I need to go in order to obtain the beers I enjoy the most. No worries. It's just a matter of time until this bill (or one just like it) passes. Liquor store owners should see (or have seen) the writing on the wall and adjusted accordingly. Next stupid law to go: not being able to buy a motor vehicle on Sundays!
ReplyDelete"Sure, you'd be able to get Fat Tire and Sam Adams, but how far would you have to go
ReplyDeleteto find Twisted Pine's excellent Hoppy Boy IPA or Bristol's Laughing
Lab?"
--apparently right next door, based on your comment.
Also, if none of the craft beer is going to be sold at supermarkets anyway, the only real difference is that you will be able to purchase full strength bud and coors. Those of us that drink good beer will seek it out at the liquor store right next door to the supermarket. I came from a state where full strenght beer was available everywhere, and most supermarkets sold a nice variety of craft beers, which occasionally buy there. 99% of the time I went to a liquor store with a larger selection.
"Small liquor stores provide access to market to the 124 craft brewers in this state."
ReplyDeleteI challenge you to find a small liquor store that has beer from 124 Colorado craft brewers. Actually I challenge you to find one that has beer from 20 Colorado brewers. Most liquor stores I have been to stock more oregon and California beer than they do Colorado beer.
How many of the craft breweries in this state distribute? I agree that most liquor stores have a very small selection of CO beers so it must be that these guys are supporting themselves with taproom sales and tap accounts. I don't know.
ReplyDeleteBut the issue of putting local markets out of business is serious enough. Money will leave the state never to return. The idea that you can go right next door for your beer will not be true if these little guys lose all their Bud Light sales which, sad as it is, constitutes a huge majority of what CO'ans drink. Once that next-door liquor store folds, your "convenience" of getting beer at the grocery turns into a much further drive out of the way to find the now fewer stores that have what you're looking for. The ones that survive will certainly have their niche, but as was said, if this is about my convenience, don't let this bill pass.
Hey everyone, would be great to see your names, or at least a fake alias instead of Anonymous. Bristol just released more info on how you can help stop this bill if you are interested in it. I wish I was in town for this! Hopefully someone would be willing to go and report back:
ReplyDeleteWHAT:
Local businesses and organizations will gather to protect Bristol Brewing Co.’s Community Ales: Local 5 Ale, Smokebrush Porter, Venetucci Pumpkin Ale and Cheyenne Cañon Ale. In the past two years alone, Bristol Brewing Co.’s community support amounted to more than $100,000 in cash and $200,000 in in-kind donations. The Colorado Springs-based microbrewery will host a community-wide letter-signing event, asking Colorado Representatives to say “No to HB2184” in an effort to “Save the Ales.”
WHEN: Wed., March 23 at 4:30 p.m.
WHERE: Bristol Brewing Co. - 1647 South Tejon Street, Colorado Springs, Colo. 80905
VISUALS:
·From business and community leaders to craft beer advocates will gather in the Tasting Room for a letter-signing event asking local legislators to say “no to HB1284.”
·Visual representation of the community ales, for example, the Local 5 fire truck and Smokebrush’s toaster vehicle.
·Interviews with Mike Bristol, owner of Bristol Brewing Co., and members of the Colorado Springs community.
For more information, please call Laura Long at 719.310-2167 or visit www.bristolbrewing.com.
Everyone, thanks for your comments and responses. I want to address a couple things here:
ReplyDelete1- I hope the first anonymous poster knows that local economy, local community, and local beer are some of the most important things to me. I care very deeply about those things, that's why I keep this blog, and have kept other blogs in other areas of the country for three years at this point. My point is that I'm just not sold that introducing these beers to a larger market is going to be a bad thing for the breweries or for a huge percentage of the liquor stores. Instead I believe that a whole new group of people will start going crazy for craft beer. With hundreds of thousands more people discovering good beer, the specialty shops won't be able to hold onto their beer long enough.
2. Someone else made the comment that if the liquor stores lose their sales of full strength Bud, then we'll see some major problems. Okay, I can agree with that for sure. Often when I think about this bill, I am thinking of it in terms of the liquor stores losing their Fat Tire sales. But they'll still have a monopoly on hard liquor and wine.
3. Another anonymous poster said that the liquor stores should have seen the writing on the wall. I agree. I think it's fine if businesses want to try to keep the law from preventing other places to sell beer, but that's not necessarily a good business practice. You don't win customers and become creative by stopping others from carrying the same products, you do it by offering something different and better. This is where innovation happens. I think that this bill will force these places to think on their toes and develop some new creative strategies to keep their customers. This could mean better beer selection!
4. I'm also the first to admit that I could be wrong on all this. I'm happy to change my mind about the things I've said. In fact, I have changed my mind about a few things already - when I first brought this up months ago in another post I said that I appreciate the convenience of being able to pick out beers at a grocery store that will pair with my food. After talking with Mike Bristol, I now think less about the importance of convenience. I can see this could be hurtful to brewers because they wouldn't be making as much profits. The way I deal with my new understanding, is to buy from the brewery itself. When I lived in Oregon I usually bought all my beer at various beer stores (yes stores devoted only and solely to beer). These stores were often within half a mile from grocery stores that carried selections that were outrageous. We're talking 500+ different bottles of local beer at grocery stores! But, the beer stores, that carry 800+ different bottles were THRIVING! Anyway, when I go back I'll no longer even be tempted to buy in grocery stores, I'll buy from the local store as I always did. But I always appreciated the grocery store because there are many people who value convenience and because of it are then rewarded with a pretty amazing bottle selection. It is because grocery stores carried good beer that I began drinking good beer, and the same is true for many people.
5. Taxes and Profits - Yes, it's a problem that Safeway and 7-11 will be sending money off to other states. What can I say about that? I think it's not good, but I think we'll survive. I think, like I said, that the market will actually expand, there will be new customers in the craft beer world, loads of them, and we're going to need a hell of a lot more breweries to fill the demand. Look at Oregon, 38 or so breweries in the city limits! That place is the same size and population as Colorado Springs! It's crazy, everyone wants to open a brewery, a beer store, every place carries good beer. Sure, some of the money's going out of state but because of the growing interest, a good amount of it is now staying in the state. I can't tell you exactly how this happened, but I'm sure a good amount of it had to do with the fact that someone in a grocery store decided to try out a Mirror Pond Pale Ale, a Widmer Hefeweizen, or a Full Sail Amber and they were converted.
ReplyDelete6. I'll say it again, I'm willing to change my ideas. See my previous comment for information about an event that Bristol is hosting to lay out some information on this bill.
Hope that made sense and I hope it wasn't too long.
A wise man once told me, "The road to Hell is paved with customer convenience".
ReplyDeleteIt's a poor argument for an issue that would change everything about our state's economy. We are lucky enough to live in a state that is known for incredible small businesses; be that a small town brewery, an incredible restaurant, or an awesome Mom and Pop shop. Fighting bills like these mean we're fighting to preserve our culture. Personally, I LOVE living in a state that's not all Wal-Marts and Applebees. This country was built on the backs of small business owners who risk everything to do what they love, not huge corporations who only see dollar signs.
But if any of you are still doubtful, venture over to any state without laws like this and try to find Stone Brewing, Avery, Peach Street, Odell's, Meadery of the Rockies, Tank 7, Epic, Mountain Moon, or ANY other of our favorite brews and spirits. They aren't there....And if these laws pass, they won't be here either.
@anonymous - thanks for your response. I disagree with you though. Putting aside the convenience thing for now...
ReplyDeleteI think this state is in fact overrun with Applebees and Walmarts. There are three Walmarts in Colorado Springs alone! I'm not saying we should give into it, but I'm saying that a ton of people shop at these chain grocery stores. If you have the chance to have some craft beer at those places, those people will then become interested in other craft beer. It's rare to hear a person say, 'I started drinking Fat Tire and that's all I've ever drank, and I've never tried any other microbrew.'
I used to live in Oregon - they had Stone, Boulevard, and all sorts of really great beers in the grocery stores from around the country, and they also had them all in the specialty beer shops too (beer shops still exist alongside grocery stores that also sell beer).
Sorry probably posting too much now - I'll also say this as a sort of rebuttal against myself. If all the breweries in Colorado are thinking this is a bad idea, maybe I should be listening to them. Believe me, I'm not as firm in my opinions as I sound, I just want to think through this more.
ReplyDeleteIf breweries and liquor stores need government protection to survive, I think that's kind of a huge problem. Most liquor stores have the same crummy selection of beer as grocery stores. Bud, Bud Light, Keystone, etc. The Cheers, the Coaltrains -- those businesses with true selection and expertise aren't going anywhere, and they will continue to thrive. When they say they'll lose money, I don't believe them. When they say there'll be layoffs, it sounds like a scare tactic to me: Using the emotional spectre of job loss to sway opinion (before even knowing the true impact of any legislation). I love this community as much as anyone, but if we need the law to artificially prop up liquor stores, then it sounds like we need a market correction anyway.
ReplyDeleteKeep in mind that retail is just one of three tiers in the alcohol delivery system. Until one takes the time to research how production and distribution affect retail, one won't be able to come to a thoughtful and fact based conclusion, just opinion. Jeanne McEvoy, President/CEO, Colorado Licensed Beverage Association - 303-766-7144.
ReplyDeleteHi Jeanne,
ReplyDeleteI would be very curious to hear more of your thoughts on the matter. Please feel free to email me, or post them here.
Thanks!
"We'll survive" - the response and willingness to send money/profits out of state? That's interesting. I know you are passionate about craft beer, which is why you have this blog. I respect that. This is just a friendly reminder of how bad the economy is right now and how there still is the reality of a 9.5% unemployment rate. Colorado hasn't even felt as much pain as other states - like California and Nevada. The atmosphere here is completely different and perhaps a $12 billion industry helps - doesn't anything and everything help these days? Yet, people argue to look at other markets. Concerning, really. Why would anyone want to mirror after them? No offense. That's fiscally irresponsible and NOT Colorado. Why should we allow for HB 1284 politicians to spin the argument by saying let's "end beer battles"? Let's end the beer wars and think about the local underdogs. Think about the local business owners. Think about a dying American dream.
ReplyDelete