A Refreshing Look At Beer By: JJ Cavanaugh and Wes Perry

Agenda 2 Last Call Introduction Industry Types Of Beer Consumption

3 Introduction Last Call Introduction Industry Types Of Beer Consumption

What’s the most expensive beer per bottle and its cost? What rank does beer hold in terms of most popular drink? What U.S. historical event would not have occurred without the aid of beer? What is the fear of an empty beer glass? “Tutankhamen” $52 2 nd behind tea Pilgrims landing at Plymouth Rock Cenosillicaphobia Fun Facts To Know Source: Hub, Slash4 Last Call Introduction Industry Types Of Beer Consumption

Water – Best to use filtered or spring Yeast – Creates the alcohol in the beer – Two types of yeast: Ale and Lager Malt – Essentially barley grains about to sprout – Turned to mash before being entering brewing process – Acts as a catalyst for the fermentation process Hops – Adds bitterness, spicy flavoring, and aroma – Bacterial inhibitor and natural clarifying agent Last Call Introduction Industry Types Of Beer Consumption 5 Essential Ingredients Source: Beer-FAQ

6 Annotated Timeline Source: About Last Call Introduction Industry Types Of Beer Consumption

7 Industry Last Call Introduction Industry Types Of Beer Consumption

8 U.S. Market Share For Brewers Last Call Introduction Industry Types Of Beer Consumption Source: Beer Institute

Generated $33.5 trillion in business and personal taxes 553,000 total establishments – Retail (99.1%) – Wholesaler (0.6%) – Brewers (0.3%) 9 Economic Impact For 2010 Last Call Introduction Industry Types Of Beer Consumption StateJobsWages (Billions) California229,700$ 10.5 Texas146,000$ 5.8 New York99,200$ 4.6 Georgia59,300$ 2.2 Montana7,600$ 0.2 Total U.S.1,800,000$ 71.2 Source: Beer Serves

Brewery classification by barrels* per year produced – Large Brewery: > 6 million – Regional Brewery: 15,000 – 6 million – Microbrewery: < 15,000 Other classifications – Brewpub is a restaurant brewery that sells 25% or more of its beer on site – Contract brewing company outsources its beer production to another company – Regional craft brewery is an independent brewery with > 50% of its volume in malt beers *1 barrel = 31 U.S. gallons 10 Market Segments Last Call Introduction Industry Types Of Beer Consumption Source: Brewers Association

11 Microbrew Growth By Year Last Call Introduction Industry Types Of Beer Consumption Craft brewing industry grew 9.0% by volume in first half of 2010 – Total U.S. beer sales declined 2.7% by volume Source: Brewers Association

12 Types Of Beer Last Call Introduction Industry Types Of Beer Consumption

Characteristics – Light golden color – Moderate amount of malt taste and substantial hops taste – Alcoholic level of % – Pale body and crisp dry finish Examples – Sam Adams Golden Pilsner – Warsteiner – Pilsner Urquell 13 Pilsner Last Call Introduction Industry Types Of Beer Consumption Source: Epinions

14 Lager Last Call Introduction Industry Types Of Beer Consumption Characteristics – Emphasizes the flavor of grain and yeast – Fermentation process lasts few weeks to months – Most popular beer in U.S. – Smooth flavor Examples – Yuengling – Shiner Bock – Budweiser Source: Epinions

15 Ale Last Call Introduction Industry Types Of Beer Consumption Characteristics – Fruity taste – Sharper taste than Lagers with more hop flavor – Should be served around 50 degrees – Uses top-fermenting yeast Examples – Sierra Nevada – Smithwick’s – Newcastle Source: Epinions

16 Porter Last Call Introduction Industry Types Of Beer Consumption Characteristics – Dark top-fermented beer – Alcoholic level of % – Full body taste that’s strong and malty – More filling and higher calories than the average beer Examples – Guinness – Sam Adams Honey Porter – Catamount Porter Source: Epinions

17 Stout Last Call Introduction Industry Types Of Beer Consumption Characteristics – Four types of stout – Dry, milk, imperial, oatmeal – Typically flavored with coffee and chocolate – Darker, hoppier, and richer than a Porter – Brewed using roasted barley and a generous amount of hops Examples – Murphy’s – Guinness Stout – Sam Smith’s Oatmeal Stout Source: Epinions

18 Consumption Last Call Introduction Industry Types Of Beer Consumption

19 Demographics Last Call Introduction Industry Types Of Beer Consumption Men typically favor domestic light beer Women attracted more to specialty microbrews – Attributed to the greater variety Source: Beer Brewing

20 Gallons Consumed Per Person (2010) Last Call Introduction Industry Types Of Beer Consumption 40.0 > 30.0 ≤ 34.9 ≤ ≤ 39.9 Source: Beer Institute

21 Last Call Introduction Industry Types Of Beer Consumption

Beer has greater popularity than you might expect The whole greater than the parts – Type of beer can change dramatically based on use of ingredients More companies involved than just Budweiser or Miller-Coors – Industry as a whole greatly affects U.S. economy Men are not the only consumers of beer 22 More Than Meets The Tongue Last Call Introduction Industry Types Of Beer Consumption

23 Drink Responsibly Last Call Introduction Industry Types Of Beer Consumption

24 Questions Last Call Introduction Industry Types Of Beer Consumption

25 Sources Last Call Introduction Industry Types Of Beer Consumption &tt=14&bt=0&bts=0&zu=http%3A// /Industry%20Update% Website.ppt statistics/market-segments statistics/number-of-breweries brewing/US_beer_industry/beer_demographics.htm