Beer brewery expects massive price increase: "Many brands will not survive"
Created: 05/28/2022, 08:59
By: Jan-Frederik Wendt
Beer is too cheap.
That's what a well-known brewery and an association think.
The background is increased costs.
Is the industry facing a radical upheaval?
Kassel - The head of sales at the Erdinger Weißbräu brewery thinks beer is too cheap.
The drink must be more expensive, said Josef Westermeier the news portal t-online.
The reason for the necessary price increase is the exploding energy costs.
“Theoretically, a crate of wheat beer could cost three to four euros more.
Exactly when is open,” said Westermeier.
Ultimately, retail decides whether customers have to dig deeper into their pockets.
The prices for beer have risen less than for other products in recent years.
“Shoes, cars and so on are much more expensive these days.
Only groceries and beer cost almost the same, they are far too cheap,” said Westermeier.
“If retailers and customers don't understand that beer is worth something, there will be a radical change in the industry.
In the end, many beer brands will not survive," said Westermeier.
The Corona crisis had already caused massive slumps in breweries in the Kassel region.
Erdinger Weißbräu | |
|---|---|
Seat | earthing |
founding | 1886 |
Total sales 2020 | 1.5 million hectoliters |
Brewing beer uses a lot of energy.
The increased costs are "cruel, they have tripled".
In the event of a gas crisis in the course of the Ukraine conflict, the family company would have to weigh up what it could still produce - and what not.
“Draft beer would be the least at risk, it’s the least energy intensive.
To put it bluntly: We need a wheat beer triage, a prioritization of the sales channels," said Westermeier.
The breweries would have to decide which customer gets how much beer - to the advantage of the most loyal customers.
Beer price: Association sees the survival of the industry at risk
The Association of Private Breweries is also calling for a rethink.
"The current price does not reflect the true value of the beer by far," said association manager Roland Demleitner to t-online.
“The price of beer has been far too low for years.
That has to change in order to ensure the long-term survival of the industry."
Beer price: A well-known brewery expects a massive price increase (symbol photo).
© Christophe Gateau/dpa
Demleitner therefore also expects prices to rise.
"The price of electricity has risen by up to 200 percent, packaging by 100 percent, and there are always new record prices for malt."
Customers sometimes accepted higher beer prices.
Because many breweries are rooted in the region.
However, it depends on the region and the market segment how long the situation can be sustained.
He particularly appealed to retailers to refrain from special offers in the future.
“Cheap beer should attract customers to the supermarkets.
The price that we should actually achieve is hardly enforceable," says the association official.
(Jan-Frederik Wendt)