Texas Craft Brewers Guild Finds 71% Decline In Brewery Sales Due To COVID-19

, Texas Craft Brewers Guild Finds 71% Decline In Brewery Sales Due To COVID-19

According to a survey by the Texas Craft Brewers Guild, craft breweries across the state have experienced an average 71% decline in revenue because of the coronavirus pandemic.

And the survey details not only the economic cost of the coronavirus on Texas brewers, but adjustments some breweries have made to survive, and the importance of temporary relief measures that the Texas Craft Brewers Guild has proposed…

, Texas Craft Brewers Guild Finds 71% Decline In Brewery Sales Due To COVID-19The key takeaways from the guild’s survey of almost 70 Texas craft breweries, weren’t pretty…

  • 71% is the average revenue decline Texas craft breweries have experienced due to COVID-19
  • 63% of responding breweries have had to lay off or furlough employees (those breweries laid-off 65% of their employees on average).

All of Texas’ 360+ brewery taprooms (as well as the thousands of bars and restaurants they rely on for sales) are now CLOSED, with those that can moving to more limited To-Go only models in respect for public health and social distancing.

And the survey highlights adjustments some Texas craft breweries have made to their businesses to stay afloat…

  • 90% have shifted to selling Beer-To-Go via drive-thru, curbside pickup or takeout
  • 78% have shifted to more packaged product than draft
  • 67% have reduced beer production
  • 27% have temporarily stopped beer production and/or are just managing current inventory
  • 14% have temporarily closed

Finally the Texas Craft Brewers Guild survey asked respondents to rank the importance of temporary relief measures proposed by the organization …

  • 91% consider direct-to-consumer delivery important
  • 89% consider direct-to-consumer shipping important
  • 78% consider expediting label approval to get packaged beer to off-premise retailers faster important
  • 94% consider the temporary suspension of TABC excise tax collection important
  • 79% consider an excise tax credit for surplus beer disposed of due to COVID-19 impacts important
  • 92% of responding breweries said, if implemented, they are at least somewhat likely to engage in direct to-consumer delivery, shipping AND expedited label approval to get packaged products to market.

This from Texas Craft Brewers Guild Executive Director Charles Vallhonrat …

“The craft brewing industry is driven by the entrepreneurial spirit, a strong sense of community, and a passion for well-crafted beer.  Our members tell us daily how they are working feverishly to adjust to the rapidly changing business environment during this tragic health and safety crisis, with the primary goal of protecting their employees and customers.”

Statistics are based on survey results from 68 Texas craft breweries, approximately a third of the Texas Craft Brewers Guild’s operating brewery members.

Want more on what Texas craft breweries are doing to weather this storm?  There’s this…

TEXAS CRAFT BREWERIES ASK FOR EMERGENCY ACTION ALLOWING THEM TO MAKE HOME DELIVERIES

###

Big H/T to Craft Brewing Business for their help with this piece…

About AmericanCraftBeer.com

AmericanCraftBeer.com is the nations' leading source for the Best Craft Beer News, Reviews, Events and Media.
Scroll To Top