Examples Of Microbrewery

Market Demographics
Microbrewery
This tag is applied to any brewery that produces less than 15,000 barrels of beer per year. The beer that is produced is sold through a distributor (49/50 states) or directly to the consumer (Washington State). Good examples include the Omaha Brewing Company, which is south of Columbus, GA, or Folklore Brewing in Dothan, AL.

Brewpub
This tag is applied to a brewery that has a restaurant (or a restaurant that has a brewery) that sells more than 25% of the beer it brews in the restaurant. Depending on state regulations, it may sell beer “to-go” or distribute off-site. If more than 75% of revenues come from outside the restaurant, it’s categorization changes to a microbrewery. Good examples include The Cannon

Many companies have turned to contract brewing to redirect capital not invested into production towards marketing and brand recognition. A good example is High Water Brewing buying and installing production tanks at Drake’s Brewery in San Leandro, CA (Routson, 2016).

Regional Brewery
This tag is applied to a brewery that produces between 15,000 and 6,000,000 barrels of beer per year. My personal favorites are the Boston Beer Company in Boston, MA and Sweetwater Brewing Company in Atlanta, GA. Unfortunately, Alabama does not have a regional brewery.
Large Brewery
This tag is applied to a brewery that produces more than 6,000,000 barrels of beer per year. This category includes Anheuser-Bush InBev, Elysian Brewing Company in Seattle, and MillerCoors.

Porter’s Five Forces Analysis
The Threat of New Entrants and Emerging

BBC has enjoyed strong growth over the previous three years, but revenue growth has slowed to 6% as of 2015. Much of this slowing can be attributed to expansion of operations larger brewers and the introduction of new microbrewers (Fleck, 2016).
The profitability woes that BBC is suffering from is due to the craft beer market finally reaching its long awaited saturation point. Generally speaking, it is unrealistic to expect any market to sustain 15% growth for an undetermined amount of time (Tuttle, 2016). As such, financial analysts have adjusted their expectations for BBC accordingly, setting annual revenue growth expectations at 4.5% over the next five years (Fleck, 2016). In direct relation to Porter’s Five Forces, the bargaining power of buyers in BBC’s favor is strong. With shipments exceeding 4 million barrels in 2014, BBC is the largest-volume purchaser in the craft beer market. Suppliers that provide hops and barley are very dependent on the beer industry, as the demand for medicinal or beverage uses are not remotely comparable. While BBC has enjoyed healthy profits over the last three years, decreases in revenues may lead to the company reevaluating supplier contracts to lower production input