Beer Nut: More thoughts on Anchor’s impending closure

In this 2004 file photo, a number of artisan beers made at Anchor Brewing Co. are displayed in San Francisco. Anchor Brewing Co. says it is halting its operations and liquidating the business, citing declining sales and challenging economic conditions. Craig Lee/San Francisco Chronicle via AP, File

The recent sad news of Anchor Brewing’s impending closure (which I mentioned last week) reminded me of a question I posed a few years ago: Are we getting to the point where there are too many craft breweries? The fact of the matter is that the market can only sustain so many craft breweries, and while I concluded that we hadn’t reached saturation yet, it seems that collateral damage is still being incurred.

When a giant like Anchor is struggling to compete, we have to take a step back and wonder why. Of course the pandemic had a role; it did damage to virtually everyone in one way or another. But beyond that, could an ever-expanding slate of competitors dethrone even brewing royalty like Anchor? I’m guessing “yes.”

Because as great and consistent as Anchor’s products have been, the market has changed – even radically – over the past few decades. Younger generations will naturally not have brand loyalty to an older brewery, no matter how good it is. It’s just the natural order of things. Couple that truism with a plethora of new, shiny breweries stuffing their wares on the shelves, and you have a recipe for decline, if not demise.

One can only drink so much beer, and choices must be made. Sure, a person can attempt to try every new brew that hits the market, but that doesn’t solve any one brewery’s problems. In fact, I could argue that spending a little on a lot of breweries is worse in some ways, because most businesses count on repeat customers. (For the record, I’m certainly not trying to tell anyone how to spend their beer money. I’m just making a point about the nature of business.)

I am still of the mind that there is plenty of room for more craft breweries. Craft beer is still a (relatively) small segment of the overall beer market. I realize that not everyone is going to like beer. I also realize that taste is subjective and not everyone is going to enjoy a more full-flavored craft beer. But I still think there are plenty of people who just need to sample craft offerings and expand their range.

One last note about Anchor: New England brewery Narragansett recently started a petition on change.org called “Stand Together to Save Anchor Brewing Company!” As of this writing, it had about 6,200 signatures. Not sure if these types of efforts can help, but they can’t hurt.

Beer Note:

Springfield’s White Lion Brewing will host a Naismith Basketball Hall of Fame Enshrinement Weekend block party at 1550 Main St., featuring Springfield native and former NBA player Travis Best.

The fun will kick off on Aug. 11 with a celebration of 50 years of hip-hop with music by PZO Pete. Then on Aug. 12, the festivities will include Brandon Serafino, Aaron Joseph, Nector Garcia, and Malado.

The event is free and open to the public.

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