Brewers Association Professional Division American Homebrewers
Transcription
Brewers Association Professional Division American Homebrewers
n AnnuAl Industry revIew Issue n The New Brewer MAy/JUNE 2013 New Brewer VOL. 30 N O. 3 MA y / JU N E 2013 The T H E J O U R N A L O F T H E B R E W E R S A S S O C I A T I O N n ANNUAL INdUSTRy REVIEW ISSUE Craft on fire n Craft’s Growth Accelerates n Micros: An American Success Story ® A Publication of the Brewers Association www.BrewersAssociation.org 1,977 2013 NUMBERS AT A G L A N C E 59,000 Operating brewery members 73% Of operating breweries are members 137 & 36 Combined circulation of Zymurgy and The New Brewer House (137) and Senate (36) co-sponsors of H.R. 494 and S. 917, legislation to recalibrate small brewer excise tax 75,596 Copies of Brewers Publications books sold 60,000 + Attendees at BA events 50 States where homebrewing is now legal 2 41,870 Brewers Association | 2013 Stewardship Report 10 Million American Homebrewers Association® members Bre we r sAsso c i at i o n .o rg B re w e r sAsso c i at i o n .o rg Page views on BA websites 500 Credentialed journalists covering BA events Brewers Association | 2013 Stewardship Report 3 One of the Brewers Association’s goals is to be a transparent organization. This stewardship report serves as a summary of Brewers Association board, committee, staff and member activities in the 2013 calendar year. The Brewers Association is a 501(c)(6) not-for-profit trade association. Purpose B r ewe r s A ss o ciati o n Professional Membership & Member Education As of December 31, 2013, 49 of the 50 largest craft brewers were Brewers Association members. Membership Development To promote and protect small and independent American brewers, their craft beers and the community of brewing enthusiasts. U.S. operating brewery members of the Brewers Association grew from 1,650 to 1,977 in 2013. 73 percent of U.S. operating breweries are BA members. Individual Members Allied Trade Professional Members Craft Beer Retailers Brewers Association Membership Structure Wholesalers The New Brewer The Brewers Association produced six bi-monthly issues focused on technical brewing, government affairs, operations and marketing and management features. Mission By 2017, America’s craft brewers will have more than 10 percent market share, will be recognized as making the best beer in the world, will be able to obtain the ingredients and materials needed and will be politically influential enough to secure fair legislative and regulatory treatment for craft brewers. As American craft brewers, our commitment to quality, vitality and diversity will continue to invigorate our country’s impressive brewing culture. Consumers will understand and support craft beer from true craft brewers. Our efforts will not only aid existing craft brewers, but also those who would come after, ensuring the continuing contribution of new ideas and individuals committed to a living and active beer culture. Core Values & Beliefs The Brewers Association’s Beer Industry Production Survey yields a comprehensive collection of annual production numbers for breweries in the United States. Every brewery in the nation is asked to participate in this annual project. The survey is the basis for the statistics that the Brewers Association provides to its members and media. The results of the survey are first released at the Craft Brewers Conference, as well as in the industry review issue of The New Brewer trade publication and in the Members-Only area of BrewersAssociation.org. Total Members* *as of 12/2013 n Brewers Association Website A T I O N A S S O C I % Over 2012 n ent Recycled Equipm n Deconstructors • Fostering transparency within our own organization. S B R E W E R 21 ability Brewpub Sustain • Building relationships and collaborating with our industry partners. T H E + n • Promoting ethical and legal trade practices. O F 2013 Advertising Revenue Future Breweries of the • Working to build a community of brewers and brewing enthusiasts to provide them with a unified voice. The BA website also offers an expansive and growing selection of Members-Only content, including technical data on hops and malt production, industry statistics, a message board, and Power Hour webinar archives. Members can also view committee meeting notes, marketing resources, and brewery survey data. Over the course of 2013, BrewersAssociation.org saw more than 1.1 million visits and 2.5 million page views—a 40 and 33 percent increase from 2012, respectively. L J O U R N A n • Improving the economic health of American craft brewers. New Brewer ISSUE • Educating brewers and consumers about the diversity, flavor and quality of beer. T H E SUSTAINABILITy • Providing stewardship for 10,000 years of brewing history. The 2013 n • Supporting and encouraging the responsible enjoyment of beer. n 2013 BrewersAssociation.org is the definitive online resource for professional craft brewers, media and beer industry organizations. The website provides statistics, updates on industry growth and information on government affairs—both legislative and regulatory—to the media, members and potential new members. issue ers Con ferenCe 2013 Cra ft Brew MARC H/ApR IL VOL.3 0 NO.2 MARCH/ApRIL • Vigorously defending our industry. 5,772 Beer Industry Statistics New Brewer • Promoting and celebrating the small, independent and traditional culture of American craft brewers. Brewers Association Professional Membership The At the Brewers Association we believe in: Brewery Members The Brewers Association communications committee includes a subcommittee to discuss The New Brewer content, sponsorship and long-term management direction. The New Brewer is available in online format to members as The New Brewer online. This convenient resource now offers easy access to back issues from 2000 to present. ® A Publication of n the Brewers Associatio Circulation: 14,000 (22% increase from 2012) Association.org www.Brewers Photos © Brewers Association, Jason E. Kaplan and Jensen Sutta 4 Brewers Association | 2013 Stewardship Report Bre we r sAsso c i at i o n .o rg B re w e r sAsso c i at i o n .o rg Brewers Association | 2013 Stewardship Report 5 Craft Brewer Defined: An American craft brewer is small, independent and traditional. Small Annual production of beer less than 6 million barrels. Beer production is attributed to a brewer according to the rules of alternating proprietorships. Flavored malt beverages are not considered beer for purposes of this definition. Independent Less than 25% of the craft brewery is owned or controlled (or equivalent economic interest) by an alcoholic beverage industry member who is not themselves a craft brewer. Traditional A brewer who has either an all malt flagship (the beer which represents the greatest volume among that brewers brands) or has at least 50% of its volume in either all malt beers or in beers which use adjuncts to enhance rather than lighten flavor. Power Hour Professional E-Conference Series The Brewers Association presented six hour-long educational seminars in 2013 for members, featuring guests Jim Kuhr (Matt Brewing Company), Matt Stinchfield (Ploughshare Brewing Co.), Dan Wandel (IRI), Bill Pecoriello (GuestMetrics), Ian Ward (Brewers Supply Group), Jeff Schaefer (New Glarus Brewing Co.) and Bart Watson (Brewers Association). Topics covered in 2013 include: • Food Safety - Preparing for an FDA Brewery Inspection • 2012 Sales Year-End Review of the Beer Category and Craft Segment • On-Premise Insights for Craft Brewers • 2013 Mid-Year Beer Category & Craft Segment Review • State of the Crop: Barley and Malt Insights — 2013 and Beyond • Economics of Draught Quality and Beer Line Cleaning Brewers Association Forum 13,450 Participants (23% increase from 2012) Over 6,400 professionals attended Craft Brewers Conference in Washington, D.C., where they networked and attended some of the 80 seminars. The keynote session featured Kim Jordan of New Belgium Brewing. BrewExpo America provided the opportunity to shop for equipment and services from 440 exhibiting companies over two days. Legislative At the end of 2013, there were 137 House co-sponsors and 36 Senate co-sponsors of H.R. 494 and S. 917, the graduated small brewer excise tax reduction legislation. These bills seek a recalibration of the small brewer excise tax rate on the first 60,000 barrels to $3.50 per barrel and also provide for reducing the upper tax rate to $16 per barrel on beer production above 60,001 barrels up to 2 million barrels for brewers with an annual production of less than 6 million barrels. In March, 220 state guild representatives and small brewers representing 46 states conducted more than 300 individual Congressional meetings. BA Chief Operating Officer Bob Pease and 13 Brewers Association member brewers appeared before the United States Senate Democratic Steering and Outreach Committee in May to discuss their businesses, the challenges and opportunities in the small brewing community. The discussion covered a wide range of issues from taxation and regulation to the key role many small breweries play in revitalizing communities across the country. House and Senate Small Brewers Caucuses Brewers Association members and staff participated in three joint House-Senate Caucus meetings in 2013. Topics included an introduction to small brewer excise tax recalibration legislation, the differences between craft brewed beer and adjunct lagers and a session featuring the BA small brewers participating in the Senate Democratic Steering and Outreach Committee. The Brewers Association presented Peter Bouckaert with the Russell Schehrer Award for Innovation in Craft Brewing, Art Larrance with the Brewers Association Recognition Award and David Katleski with the F.X. Matt Defense of the Small Brewing Industry Award. There are 20 members of the Senate Bipartisan Small Brewers Caucus and 123 members of the House Small Brewers Caucus as of December 2013. State Brewers Associations Washington, D.C. area members served as exceptional and generous hosts for the 2013 Craft Brewers Conference & BrewExpo America. Attendees will long remember the welcome reception at the Smithsonian National Air and Space Museum. Brewers Association | 2013 Stewardship Report Government Affairs In December, seven BA small brewery members led a tutored beer tasting for House Ways & Means Committee members and staff. Craft Brewers Conference & BrewExpo America® 6 B r ewe r s A ss o ciati o n The Brewers Association continued its support of state associations with meetings at the Craft Brewers Conference, Great American Beer Festival® (GABF) and the 2013 Washington, D.C. Legislative Hill Climb. Additionally, 14 guilds participated in the Support Your Local Brewery Guilds Pavilion at GABF. BA staff attended 41 guild meetings, plus three national and three regional guild meetings in 2013, and helped five new guilds organize. Bre we r sAsso c i at i o n .o rg B re w e r sAsso c i at i o n .o rg Brewers Association | 2013 Stewardship Report 7 B r ewe r s A ss o ciati o n Small Brewers Hill Climb | March 2013 220 state guild representatives and small brewers representing 46 states conducted more than 300 individual Congressional meetings to discuss the contributions that their businesses and the industry make to their communities. 8 Brewers Association | 2013 Stewardship Report Bre we r sAsso c i at i o n .o rg B re w e r sAsso c i at i o n .o rg Brewers Association | 2013 Stewardship Report 9 B r ewe r s A ss o ciati o n 2013 Support Your Local Brewery (SYLB) Issue Alerts (14 total): • • • • • There are 49 active state brewer associations/guilds in the U.S. In 2013 the Brewers Association supported continuing development in all state associations with focused efforts in: • • • • • • • • • • • • • Arkansas (single bottle sales) Connecticut (franchise) Florida (container size legislation) Georgia (franchise and brewpub issues) Illinois (franchise) Indiana (federal small brewer excise tax legislation) Maine (franchise) Maryland (franchise and self-distribution) Massachusetts (franchise) Mississippi (formation) Missouri (franchise) Nevada (reorganization) New Hampshire (reactivation) • • • • • • • • • • • • • New Mexico (state alcohol law reform) North Carolina (strategic planning) North Dakota (formation and self-distribution) Ohio (distributor branch ownership) Oklahoma (formation) Oregon (draught line cleaning legislation) Pennsylvania (franchise) Rhode Island (formation) South Dakota (formation and self-distribution) Texas (franchise, self-distribution and brewery sales) Washington DC (formation) West Virginia (formation) Wyoming (formation) In 2013, the Brewers Association hosted two Capitol Hill Congressional receptions, the Celebration of American Craft Beer reception in May and the Holiday Cheers reception in December. These craft beer and food pairing events drew Members of Congress and nearly 700 staffers from both the House and Senate. Both featured beer from 23 BA small brewery members. Tax and Trade Bureau (TTB) The Brewers Association submitted comments in support of the Tax and Trade Bureau’s proposed rule (NPRM 131) concerning a reduction in bond amount and the quarterly filing of tax returns, tax payments and operational reports for brewers with an annual federal tax liability of $50,000 or less. The Brewers Association continued monitoring TTB’s serving facts and allergen labeling proposals. Final rulings are still pending. Food and Drug Administration The Brewers Association signed on to industry comments regarding a proposed rule for preventative controls for human food contained in the Food Safety Modernization Act (FSMA). The comments focus on an already existing exemption for alcohol beverages in FSMA. Support Your Local Brewery Support Your Local Brewery is a communication network that informs beer enthusiasts about issues that impact small brewers and organizes grassroots activity to defend the interests of small brewers. The network grew to more than 110,000 direct contacts and over 1.2 million total contacts by the end of 2013. Brewers Association | 2013 Stewardship Report Regulatory Brewers Association serving facts comments influenced a positive interim ruling on optional serving facts labeling. Legislative Receptions 10 • Alabama: Activists were asked to contact their elected officials on five separate occasions in a successful effort to leagalize homebrewing. Illinois – BA sent two alerts asking SYLB members to support legislation legalizing homebrew competitions. Kansas – BA sent two alerts to support legislation allowing for homebrew to be served outside the home for events like homebrew club meetings and homebrew competitions. Mississippi – Homebrewing is now legal in the state thanks to the response of SYLB members to three separate alerts. Oklahoma – BA asked SYLB members to contact their legislators in support of legislation allowing the state’s brewers to serve free samples to brewery visitors. Washington – BA activated the network in opposition to a proposed increase in the state beer excise tax. BA started work to prepare comments on proposed provisions to regulate breweries that provide spent grain for use in animal feed. National Beer Wholesalers Association (NBWA) Legislative Conference BA President Charlie Papazian participated in a panel discussion on industry issues with Beer Institute President Joe McClain and National Beverage Importers Association President Bill Earle. We hosted a reception featuring 14 BA members’ craft beers. Attendees included members of Congress and staff, small brewers, BA Board and staff, NBWA executives and wholesalers. Bre we r sAsso c i at i o n .o rg B re w e r sAsso c i at i o n .o rg Brewers Association | 2013 Stewardship Report 11 B r ewe r s A ss o ciati o n Export Development Program Craft Beer Program In 2013, the Brewers Association received $458,013 from the United States Department of Agriculture (USDA) Market Access Program and $46,000 from the Emerging Markets Program to promote the export of American craft beer. The BA’s Export Development Program (EDP) began in 2004 with a grant from the United States Department of Agriculture’s Market Access Program. In 2013, the Craft Beer Program worked to educate the public and support member breweries by sharing information on small and independent craft brewers through member programs, data dissemination, seminars, tastings and media relations. CraftBeer.com Its objectives include: • Educating international trade and media about the quality and diversity of products offered by the U.S. craft beer industry and about U.S. craft beer culture • Informing EDP member breweries about opportunities for their products in key international target markets • Complementing the industry’s own efforts to increase international distribution • Taking a lead position on disseminating the message on quality beer • Helping all Brewers Association member breweries to increase sales in domestic and international markets CraftBeer.com provides the inside scoop on the U.S. craft beer movement. The site offers numerous resources for enthusiasts and retailers. It is home to “The Mother of All Beer Weeks,” American Craft Beer Week®, Support Your Local Brewery program, CraftBeer.com’s annual list of Great American Beer Bars, CraftBeer.com’s Beer 101 Course and has the most extensive U.S. brewery finder and cooking with craft beer online recipe database. Educating International Trade and Media • • • American Craft Beer Ambassador to Europe – Andreas Fält continues to spearhead American craft beer education and promotion activities in Europe. He leads the BA’s expanded presence in festivals and competitions, and conducts trade and consumer seminars. Fält was enthroned this year as an Honorary Knight of the Brewer’s Mashstaff in Belgium. European Media Dinners – Hosted at Munich’s iconic Restaurant 181, this dinner resulted in substantial media coverage and further engagement with European beer sommeliers. The BA also held a beer dinner at Benares and a trade reception at Bodean’s in London. Brazil Trade Mission – The BA and member breweries spoke about American craft beer at the Brasil Brau trade show, conducted two trade tastings, and participated in promotional events. The trade mission resulted in 33 articles featuring American craft beer and the BA. Informing EDP Members About Market Opportunities • • CBC/GABF seminars – 2013 seminars covered export opportunities in Australia, British Columbia and Europe, as well as the TTB’s resources for assisting exporters. Trade lead – The EDP issued a trade lead to its members about qualified sales opportunities in Sweden with Bibendum AB. Complementing Industry Efforts to Increase International Distribution • • Trade Shows – The EDP offered product exposure opportunities at trade shows including the Berlin Bierfestival, Drinktec, Great British Beer Festival, Stockholm Beer and Whiskey Festival and the Summer Fancy Food Exhibition. Competitions – The EDP supported American craft beer entries in the Australian International Beer Awards, Brussels Beer Challenge, European Beer Star and the Stockholm Beer Competition. Quality Control Guide – The EDP launched the Best Practices Guide to Quality Craft Beer, to increase awareness of proper craft beer handling among distributors, retailers and on-premise accounts. Helping All BA Members Increase Sales in Domestic and International Markets • 12 The EDP fostered widespread media coverage for the craft beer industry in domestic and international publications. Brewers Association | 2013 Stewardship Report Website Update In 2013 we incorporated a cleaner look and design with more visual posts, Google+ integration and an improved brewery locator. We also created a new section called The Beverage, updated the Style Finder, improved News and Calendar and— most importantly—the site’s new responsive design looks beautiful on mobile and tablet devices. Marketplace Presentations The Craft Beer Program conducted tastings and presentations for beer lovers, distributors, retailers and journalists to further their understanding of craft brewers and emphasize craft beer and food pairings. Presentations and tastings: Beer Bloggers Conference, Beverage World Magazine’s The Beverage Forum, Big Beers, Belgians & Barleywines, Colorado State University, Craft Brewers Conference, National Beer Wholesalers Association Conference, Great American Beer Festival®, NY Bar & Wine Show, SAVORSM: An American Craft Beer & Food Experience and more. American Craft Beer Week® Taking a Lead Position on Disseminating the Message on Quality Beer • Over the course of 2013, CraftBeer.com saw more than 1.6 million visits, a 21 percent increase from 2012. It also had over 3.1 million page views and has 30,000+ Facebook followers and 26,000+ Twitter followers. Bre we r sAsso c i at i o n .o rg American Craft Beer Week (ACBW) has grown nationwide to provide a platform to celebrate our country’s beer culture and small and independent craft brewers. In 2013, the program saw more than 1,000 posted events in the official ACBW calendar and celebrations happening in all fifty states. Additionally, American Craft Beer Week’s Facebook page exceeded 55,000 likes. CraftBeer.com continues to collect and promote more than 50 other U.S. beer weeks. B re w e r sAsso c i at i o n .o rg Brewers Association | 2013 Stewardship Report 13 B r ewe r s A ss o ciati o n Events Great American Beer Festival® The 2013 Great American Beer Festival (GABF) saw 49,000 attendees. Judges evaluated 4,809 beers from 732 breweries entered in the competition’s 84 categories. The public had the opportunity to sample 3,142 beers in the festival hall. Tickets sold out in a record-breaking 20 minutes. This year, GABF had 46 more breweries pouring their beers in the hall and 368 more beers offered at the festival. The Adambier and Grodzisz categories were added to the competition. GABF continues to provide educational opportunities like the State Guild Pavilion, Brewers Studio Pavilion, You Be the Judge Pavilion and the Beer & Food Pavilion. Pavilions offered educational opportunities in the main hall during all sessions, covering a myriad of topics. The Farm to Table Pavilion showcased breweries and chefs offering food pairings in a VIP area overlooking the Rockies. SAVORSM: An American Craft Beer & Food Experience Media at BA Events Part of the BA mission is to promote small and independent craft brewers and their craft brewed beers to audiences around the country. SAVOR elevates craft beer’s image by focusing on craft beer and food pairings. The Craft Beer Program coordinated with the BA marketing and events departments to provide credentials to more than 500 journalists at key BA events, including Craft Brewers Conference, GABF and SAVOR: An American Craft Beer & Food Experience. For the first time, the small, high-end event traveled to New York City to attract mainstream media interest with 76 craft breweries from eight regions serving 152 craft beers paired with food items. Private Tasting Salons and Educational Salons were presented, giving participating breweries an additional opportunity to share specialty beers with an audience of 2,000, including media. Statistics and Media Relations We annually publish statistic releases that share vital information on the craft brewing segment. The Craft Beer Program also hosted desk-side and on-premise tastings for journalists throughout the year. Our media relations agency, The Rosen Group, sends seasonal craft beer samples to top tier journalists four times per year. The event continues to draw media and consumer interest and returns to Washington, D.C., May 9-10, 2014. Media List for Brewery Members Up-to-date media lists containing thousands of beer, food, wine and business contacts are available to U.S. brewery members in the BrewersAssociation.org Members-Only area. Each brewery member can request one state list, as well as the national list, once per year. Craft Brewer Pavilions The BA organized a craft brewer pavilion at the National Beer Wholesalers Association’s bi-annual trade show in Las Vegas. Thirty craft brewers served their craft beers to wholesaler attendees. 14 Brewers Association | 2013 Stewardship Report Bre we r sAsso c i at i o n .o rg B re w e r sAsso c i at i o n .o rg Brewers Association | 2013 Stewardship Report 15 B r ewe r s A ss o ciati o n Allied Trade Partners American Homebrewers Association® Contributions to the Brewers Association The Allied Trade contributes significant financial support and technical expertise to the Brewers Association: • Membership dues in the Brewers Association. • Advertising in The New Brewer, Zymurgy, Craft Brewers Conference program, Great American Beer Festival® program and AHA National Homebrewers Conference programs. • Sponsorship of the Great American Beer Festival, World Beer Cup®, Craft Brewers Conference and National Homebrewers Conference, National Homebrew Competition and other programs and services. • Participation in technical forums, Power Hour presentations, Craft Brewers Conference seminars, committees, magazine content and key performance guidelines development. • Helping brewers make better beer and manage their companies more effectively by providing valuable services and products that meet small brewer needs and innovate with new beers and processes now and in the future. North America’s largest beer industry trade show. 440 companies exhibited at the 2013 BrewExpo America, providing direct customer access to products, demonstrations and representatives. BP Book Sales Revenue 2010-2013 Brewers Publications supports the mission of the Brewers Association by publishing books of enduring value for amateur and professional brewers as well as titles that promote understanding and appreciation of American craft beer by consumers. Dollars FOR THE HOMEBREWER & BEER LOVER $1,000,000 AHA National Homebrewers Conference The 2013 AHA National Homebrewers Conference, held in June in Philadelphia, drew 3,400 attendees. Attendees enjoyed 36 educational presentations, highlighted by keynote speaker Tom Peters of Monk’s Cafe. The National Homebrewers Conference is the only event of its kind, drawing homebrewers from across the nation and around the world to learn, exchange ideas, share homebrew and have fun. $800,000 $600,000 $400,000 Vol. 36 k No. 5 | September/October 2013 ® The 2013 National Homebrew Competition had 7,756 entries from 2,187 homebrewers. The Journal of the American Homebrewers Association® The Perfect PumPkin Beer AHA Rallies $200,000 $0 2010 2011 2012 #4 How to Brew by John Palmer (up from #5) Year #14 For the Love of Hops by Stan Hieronymus #19 Water: A Comprehensive Guide for Brewers by John Palmer and Colin Kaminski #21 Designing Great Beers by Ray Daniels (down from #16) #25 Yeast: The Practical Guide to Beer Fermentation by Chris White and Jamil Zainasheff (up from #38) Brewers Association | 2013 Stewardship Report In December, the AHA launched a new and updated website, providing better navigation and even more content for homebrewers. HomebrewersAssociation.org provides a fun, rich user experience through accessible, informative content and community tools that allow users to learn from each other and share their knowledge. Over the course of 2013, the site saw more than 2.5 million visits, a 44 percent increase from 2012. AHA National Homebrew Competition $1,200,000 2013 BP also had the opportunity to be featured at BJ’s warehouse chain stores in the last quarter of 2013. Boxes of How to Brew were set up in a display next to homebrew kits. By year end, 68 percent of the units ordered had been sold and continue to sell. 16 HomebrewersAssociation.org National Homebrewers Conference Winners Circle BP books are doing well in both major book chains as well as at distributors: Barnes & Noble (up 46%), Amazon (up 27%), Baker & Taylor (up 38%) and Ingram (up 26%). $1,400,000 The AHA introduced mobile apps to complement eZymurgy. The apps offer off-line access on both Apple and Android devices. Like eZymurgy, the apps offer all issues of Zymurgy dating back to the January 2000 issue. AHA members enjoy access to 14 years (85 individual issues) of Zymurgy magazine online and with the apps. k Amazon sales surpassed $1 million in net revenue. Gross and net sales at the National Book Network (NBN) were both up 33% while returns dropped to 2.17%. • • • • • The Brewers Association produced six issues of Zymurgy magazine in 2013. Circulation finished the year at more than 45,000 copies per issue, an increase of over 7,000 copies per issue since 2012. Distribution includes AHA members, BA brewery and allied trade members, newsstands and homebrew supply shops. September/October 2013 Revenue generated by Brewers Publications’ titles exceeded $2 million—a 31 percent increase over 2012. New books, The Brewers Association’s Guide to Starting Your Own Brewery, Second Edition by Dick Cantwell and Water: A Comprehensive Guide for Brewers by John Palmer and Colin Kaminski. $2,058,954 Brewers Publications BP’s top sellers through NBN were: Zymurgy® Zymurgy Apps BrewExpo America® at Craft Brewers Conference • • Membership in the American Homebrewers Association finished the year at the highest level in the organization’s history, up 19 percent. Membership was at 41,870 at year-end. Bre we r sAsso c i at i o n .o rg AHA Rallies are membership generators and “thank you” events for AHA members. These Rallies are hosted by BA member breweries. Current AHA members attend for free, while non-members get in for the price of a discounted AHA membership. In 2013, the AHA held 15 Rallies across the country, bringing in 310 memberships, 67 percent of which were new memberships. All told, 1,740 people connected with the AHA at a Rally. A Publication of the Brewers Association www.HomebrewersAssociation.org $7.50 US / $10.00 CAN 0 9> 7 25274 80980 6 41 PLUS: Recipes You Can Brew London Homebrewers Go Pro Wort Chiller Comparisons Czech Dark Lager NATiONAl HOmEbREw COmpETiTiON wiNNiNg RECipES Government Affairs Homebrewers around the country celebrated a landmark victory in May 2013, as Alabama became the final state to legalize the hobby. Earlier in the year, Mississippi passed a homebrew legalization bill. The AHA, working closely with local advocates, helped keep the legislation in both states moving forward despite many setbacks over the years. The AHA also assisted homebrewers in Illinois and Kansas with homebrewing rights legislation. B re w e r sAsso c i at i o n .o rg Brewers Association | 2013 Stewardship Report 17 B r ewe r s A ss o ciati o n Financials AHA Governing Committee The AHA Governing Committee is made up of 15 members elected by the AHA membership. Fred Bonjour and Justin Crossley were re-elected to the Governing Committee in 2013. Two Governing Committee members are selected from the group to serve as AHA representatives on the Brewers Association Board of Directors. In 2013, Chris Frey and Chris Graham served as the Governing Committee representatives on the Brewers Association Board of Directors. 2013 Financial Statement (Consolidated) December 31st, 2013 abbv. Balance Sheet 2013 2012 ACTUAL ACTUAL REVENUE: 12/31/13 12/31/12 Cash $2,500,649 $1,311,257 Reserves $8,152,466 $5,653,924 Home Beer and Wine Maker Survey ADVER. & SPONS. REVENUE 3,024,529 2,183,909 Accounts Rec. $1,585,699 $1,272,343 In 2013, the AHA conducted its first-ever nationwide survey of home beer and wine makers. The survey generated more than 18,000 responses. The results of the survey indicate that there are roughly 1.2 million Americans making 65.3 million gallons of homebrew annually. BOOK/MERCH. SALES 2,331,508 1,876,614 Inventory $521,222 $706,396 MEMBERSHIP REVENUE 3,134,696 2,523,847 Prepaid Expenses/Other $980,293 $283,239 EVENT REVENUE 8,280,603 6,170,270 Total Current Assets: $13,740,329 $9,227,159 GOV’T GRANT FUNDING 542,776 439,676 ALL OTHER REVENUE 286,499 197,166 $9,779 $18,330 $17,600,611 $13,391,483 $446,987 $419,997 $14,197,095 $9,665,485 12/31/13 12/31/12 Media Outreach TOTAL REVENUE The American Homebrewers Association worked with the Brewers Association’s public relations firm to increase its media reach in 2013. With the PR firm’s help, the AHA sent 14 press releases and garnered 412 individual media hits with 560,788,286 impressions for the year. EXPENSES: Long-Term Assets Fixed Assets TOTAL ASSETS: GEN. OFFICE/ADMIN. EXP. -434,807 -388,239 DEPREC. & AMORT. -158,425 -122,783 SALARIES & BENEFITS -4,143,487 -3,572,174 Accounts Payable $566,243 $443,432 AHA Member Deals INSURANCE EXPENSE -144,771 -132,441 Deferred Deposits $6,006,297 $4,100,586 The AHA continued to expand the number and variety of AHA Member Deals offered through this popular loyalty program benefit. At the end of 2013, 961 breweries, taprooms, bars, restaurants, homebrew shops and more offered deals to AHA members. This is a 24 percent increase over 2012. LEGAL FEES -446,187 -474,762 Other $162,011 $161,641 Total Current Liab. $6,734,551 $4,705,659 RENT EXPENSE LIABILITIES: -241,158 -224,040 EVENT OPERATIONS -3,875,579 -3,336,070 SALES & MARKETING -946,953 -570,943 Retained Earnings $4,959,826 $3,959,599 PRINTING -527,383 -421,398 Current Yr. Earnings $2,502,718 $1,000,227 Great American Beer Festival® POSTAGE & SHIPPING -611,491 -510,985 The 2013 Great American Beer Festival included the eighth annual GABF Pro-Am Competition, in which BA member breweries entered commercial versions of award-winning AHA member homebrew recipes. The competition was another success with 100 entries judged. All of the entered beers were featured in the festival hall at the GABF Pro-Am booth. COST OF GOODS SOLD -495,988 -521,807 $14,197,095 $9,665,485 TRAVEL -805,461 -774,902 -1,500,904 -806,323 -765,299 -534,390 ($15,097,893) ($12,391,257) $2,502,718 $1,000,226 • • • • • • • • Retailer Program: Allows businesses to sell pre-paid AHA membership cards. The program generated 1,534 new memberships in 2013, a 69 percent increase over 2012. Web Banners: In 2013, AHA web banners generated 541 new memberships—a 37 percent increase over 2012. Zymurgy Resale Program: Allows retailers such as homebrew supply shops, bookstores and newsstands to sell Zymurgy magazine. The amount of distributing retailers participating in the program grew by 10 percent in 2013. Big Brew: A simultaneous worldwide brewing event held on the first Saturday of May to celebrate National Homebrew Day. Mead Day: A national event to celebrate the art of meadmaking held the first Saturday of August. Learn To Homebrew Day: A day to inspire and instruct new homebrewers on the first Saturday of November. AHA/BJCP Sanctioned Competition Program: The AHA and Beer Judge Certification Program work together to sanction and promote homebrew competitions. AHA Clubs Programs: The AHA maintains a database of registered homebrew clubs. The AHA also awards the annual AHA Homebrew Club of the Year and Gambrinus Club Awards. Brewers Association | 2013 Stewardship Report OUTSIDE SERVICES ALL OTHER EXPENSES Other AHA Programs 18 ASSETS: Bre we r sAsso c i at i o n .o rg TOTAL EXPENSES NET SURPLUS B re w e r sAsso c i at i o n .o rg TOTAL LIABILITIES: Brewers Association | 2013 Stewardship Report 19 B r ewe r s A ss o ciati o n Our Staff Upcoming Events Brewers Association Professional Division American Homebrewers Association® 2014 2014 Craft Brewers Conference & BrewExpo America® April 8-11, 2014, Denver, CO National Homebrew Competition March-April, 2014 World Beer Cup® Gala Awards Ceremony April 11, 2014, Denver, CO National Homebrew Day May 3, 2014 NBWA-BA Legislative Conference Reception April 27, 2014, Washington, D.C. National Homebrewers Conference June 12-14, 2014, Grand Rapids, MI Celebration of Craft Beer Legislative Reception May 8, 2014, Washington, D.C. Mead Day August 2, 2014 SAVORSM: An American Craft Beer & Food Experience May 9-10, 2014, Washington, D.C. Learn to Homebrew Day November 1, 2014 American Craft Beer Week® May 12-18, 2014 2015 Brewers Association Holiday Reception December 2014, Washington, D.C. 2015 Craft Brewers Conference & BrewExpo America April 14-17, 2015, Portland, OR ® SAVORSM: An American Craft Beer & Food Experience May/June, 2015, Washington, D.C. President Bob Pease Chief Operating Officer Tom Clark Finance Director •Ryan Farrell Human Resources/ Finance Coordinator •Katie Brown Finance Accounts Manager Paul Gatza Brewers Association Director Julia Herz Craft Beer Program Director National Homebrew Competition March-April, 2015 Great American Beer Festival® October 2-4, 2014, Denver, CO Charlie Papazian National Homebrew Day May 2, 2015 • Acacia Coast State Brewers Association Coordinator National Homebrewers Conference June 11-13, 2015, San Diego, CA Mead Day August 1, 2015 Learn to Homebrew Day November 7, 2015 •Bradley Latham Senior Event Manager •Chris Williams Event Manager •Kathryn Porter Drapeau Event Manager • Erin Glass BA Membership Coordinator •Duncan Bryant AHA Web Coordinator •Chris Swersey Competition Manager • Pete Johnson Programs Manager •Jill Redding The New Brewer Editor •Chris Swersey Technical Brewing Projects Coordinator Great American Beer Festival® September 24-26, 2015, Denver, CO •Steve Parr AHA Business Coordinator Nancy Johnson Event Director •Janis Gross AHA Project Coordinator •Chuck Skypeck Technical Brewing Projects Assistant American Craft Beer Week® May 11-17, 2015 Gary Glass American Homebrewers Association Director •Andy Sparhawk Craft Beer Program Coordinator Stephanie Martin Graphics/Production Director and Operations Manager • Luke Trautwein Art Director •Kerry Fannon Senior Designer •Allison Seymour Magazine Art Director Barbara Fusco Sales & Marketing Director •Spencer Powlison Marketing Coordinator •Chris Pryor Business Development Manager for Advertising & Sponsorship (East) •Ellie Matthai Graphic Designer •Kari Harrington Business Development Manager for Advertising & Sponsorship (West) •Jill Redding Zymurgy Editor •Ian Stevens Member Services Team Lead •Joe Damgaard Advertising & Sponsorship Associate •Matt Bolling AHA Events and Membership Coordinator • George Myler Warehouse/Shipping Manager •Marc Preo Special Projects Coordinator • Jon Esser Member Services Specialist/Shipping Assistant • Anthony Orig Member Services Specialist Cindy Jones Web Director •Nate Zander Web Architect •Meghan Storey Web Editor Shane Wood Information Technology Director •Mike Lun Data and Systems Analyst • Kristi Switzer Brewers Publications Publisher •Mark Snyder Export Development Program Manager •Bart Watson Staff Economist •Sarah White BA Divisional Assistant 20 Brewers Association | 2013 Stewardship Report Bre we r sAsso c i at i o n .o rg B re w e r sAsso c i at i o n .o rg Brewers Association | 2013 Stewardship Report 21 B r ewe r s A ss o ciati o n Governance Events Committee Brewers Association Board of Directors • Steve Bradt (Chair), Free State Brewing • Tomme Arthur, The Lost Abbey • Fred Bueltmann, New Holland Brewing Co. • • Dick Cantwell (Pipeline Chair), Elysian Brewing Company • Tom Flores, Brewer’s Alley • Jamie Floyd, Ninkasi Brewing Company Sam Calagione, Dogfish Head Craft Brewery • John Harris, Full Sail Brewing Company • Bill Covaleski, Victory Brewing Co. • Larry Horwitz, Iron Hill Brewery & Restaurant • Leslie Henderson, Lazy Magnolia Brewing Co. • Charles Kyle, Sierra Nevada Brewing Company • Greg Koch, Stone Brewing Co. • Geoff Larson, Alaskan Brewing Company • Jeff Mendel, Left Hand Brewing Co. • • Barnaby Struve, Three Floyds Brewing Co. Matt Meadows (Draught Chair), New Belgium Brewing Co. • • Staff Liaisons: Nancy Johnson, Charlie Papazian, Bob Pease, Bradley Latham, Chris Williams, Kathryn Porter Drapeau Matthew Moberly, Bell’s Brewery, Inc. • Travis Morrison, New Belgium Brewing Co. • James “Otto” Ottolini, The St. Louis Brewery • Jason Perkins, Allagash Brewing Company Brewpubs Committee Left to Right: (Back row) Chris Graham, Eric Wallace, Tom Clark (BA Staff), Ken Grossman, Kim Jordan, Rob Tod, Larry Chase, Paul Gatza (BA Staff), Chris P. Frey, Marc Sorini (BA Counsel), John Mallett, John Pinkerton, Bob Pease (BA Staff), (Front Row) Steve Hindy, Nick Matt, Charlie Papazian (BA Staff), Sam Calagione, Gary Fish, Mark Edelson. February 2013 – February 2014 • • • • • • • • Steve Bradt, Free State Brewing Co. (KS) Sam Calagione, Dogfish Head Craft Brewery (DE) Larry Chase, Standing Stone Brewing Co. (OR) Mark Edelson, Iron Hill Brewery & Restaurant (DE) Gary Fish, Deschutes Brewery (OR) Chris P. Frey, AHA Representative (MI) Chris Graham, AHA Representative, Beer, Beer & More Beer (CA) Ken Grossman, Sierra Nevada Brewing Co. (CA) • • • • • • • Steve Hindy, Brooklyn Brewery (NY) Kim Jordan, New Belgium Brewing Co. (CO) John Mallett, Bell’s Brewery (MI) Nick Matt, F.X. Matt Brewing Co. (NY) John Pinkerton, Moon River Brewing Co. (GA) Rob Tod, Allagash Brewing Co. (ME) Eric Wallace, Left Hand Brewing Co. (CO) Board of Directors Elections • Eligible brewery members of the Brewers Association elected two packaging brewery board members, one pub brewery member and appointed one at-large position in December 2013. • John Pinkerton (Chair), Moon River Brewing Co. • John Pinkerton, Moon River Brewing Company • Dick Cantwell, Elysian Brewing Co. • • Larry Chase, Standing Stone Brewing Co. Matt Stinchfield (Safety Chair), Ploughshare Brewing Company • • Tom Dargen, Craft Works Brewery Restaurant Group Katie Wallace (Sustainability Chair), New Belgium Brewing Co. • Mark Edelson, Iron Hill Brewery & Restaurant • Christian Ettinger, Hopworks Urban Brewery • Paul Kavulak, Nebraska Brewing Co. • Nick Matt, F.X. Matt Brewing Co. • Dave McLean, Magnolia Gastropub and Brewery • Scott Metzger, Freetail Brewing Co. • Cyrena Nouzille, Ladyface Ale Companie • Tony Simmons, Pagosa Brewing Co. • Sebastian Wolfrum, Natty Greene’s Pub and Brewing Companies • Executive Committee • • • • • • Sam Calagione, Dogfish Head Craft Brewery • Brandon Mazer, Shipyard Brewing Co. • John Carlson, Colorado Brewers Guild • Tom McCormick, California Small Brewers Assn. • Rich Doyle, Harpoon Brewery • Gene Muller, Flying Fish Brewing Co. American Homebrewers Association Governing Committee • • Gary Fish (Vice Chair), Deschutes Brewery (OR) Jeff Hamilton, Sprecher Brewing Co. Scott Newman-Bale, Short’s Brewing Co. • Jake Keeler (Chair) • • John Pinkerton, Moon River Brewing Co. • Drew Beechum (Vice Chair) Nick Matt (Past Chair), F.X. Matt Brewing Co. Steve Hindy, Brooklyn Brewery • Fred Bonjour • Kim Jordan, New Belgium Brewing Co. • Gary Prindiville, William K Busch Brewing Co. • Debbie Cerda • Denny Conn • Dan Kleban, Maine Beer Co. • • Justin Crossley • Dan Kopman, Saint Louis Brewery, Inc. John Rubbo, Yonkers Brewing Co. • Patrick Rue, The Bruery • Chris P. Frey • Jim Koch, Boston Beer Co. • Chris Graham • Nick Matt, F.X. Matt Brewing Co. Jason Wilson, Back Forty Brewing Co. • • Harold Gulbransen • Sean Lilly Wilson, Fullsteam Brewery • Bob Kauffman • Ron Price Sam Calagione (Chair), Dogfish Head Craft Brewery (DE) Mark Edelson (Secretary/ Treasurer), Iron Hill Brewery & Restaurant (DE) Staff Liaison: Bob Pease Government Affairs Committee 22 • Gary Fish (Chair), Deschutes Brewery • Sergio Barrios, Mark Anthony Brands Brewers Association | 2013 Stewardship Report • Staff Liaisons: Paul Gatza, Pete Johnson, Charlie Papazian, Bob Pease • Susan Ruud • Tom Schmidlin • Roxanne Westendorf • Jamil Zainasheff • Staff Liaisons: Matt Bolling, Gary Glass, Janis Gross, Steve Parr • Members Emeritus: Fred Eckhardt, Ray Daniels, Randy Mosher • Renee Greff, Arbor Brewing Company • Sam Calagione, Dogfish Head Brewery • Fred Mendes, Boston Beer Co. • Sierra Grossman, Sierra Nevada Brewing Company • John Cochran, Terrapin Beer • David Thibodeau, Ska Brewing Company • Dave Wilson, Alaskan Brewing Company • Stan Hieronymus, Beer Travelers & Labinsky • Doug DeGeest, Cold Spring Brewing Co. • Eric Wallace, Left Hand Brewing Co. • Neil Witte, Boulevard Brewing Company • Stephen Hindy, Brooklyn Brewery • Steve Hindy, Brooklyn Brewery • Staff Liaisons: Bob Pease, Mark Snyder • Randy Mosher, Randy Mosher Design • Brett Joyce, Rogue Ales • Matt Rattner, Karl Strauss Brewing Company • Jack Joyce, Rogue Ales Market Development Committee • • • Susan Ruud, American Homebrewers Association Governing Committee Chris Justema, Cascade Lakes Brewing Co. Fred Matt (Co-Chair), F.X. Matt Brewing Company This committee has four subcommittees: • Draught Beer Quality • Pipeline • Safety • Sustainability • Greg Koch, Stone Brewing Co. • Rob Tod (Co-Chair), Allagash Brewing Company • Sumit Vohra, LoneRider Brewing Co. • Jim Koch, Boston Beer Co. • • Liz Melby, Harpoon Brewery Gregg DeBoever, New Belgium Brewing Company This committee has one subcommittee: • Randy Mosher, Randy Mosher Design • Tommy Gannon, Sierra Nevada Brewing • Jessica Parr, Boston Beer • • • Jeremy Ragonese, Boulevard Brewing Co. Jessica Jones, Ninkasi Brewing Company • Mark Edelson (Chair), Iron Hill Brewery & Restaurant • • Hugh Sisson, Clipper City Brewing Co. Chris Lacey, Pelican Pub and Brewery • Larry Chase, Standing Stone Brewing Co. • • Staff Liaisons: Paul Gatza, Julia Herz, Charlie Papazian, Bob Pease, Andy Sparhawk Anna Nadasdy, Great Divide Brewing Co. • Jonathan Schwartz, Harpoon Brewery Chris P. Frey, AHA Representative to BA Board • • Todd Stevenson, Lagunitas Brewing Company Scott Metzger, Free Tail Brewing Co. • Scott Newman-Bale, Short’s Brewing Co. • Wynne Odell, Odell Brewing Co. • Jeff Schrag, Mother’s Brewing Co. • Brock Wagner, Saint Arnold Brewing Co. • Eric Wallace, Left Hand Brewing Co. • Staff Liaisons: Tom Clark, Bob Pease • Staff Liaisons: Paul Gatza, Erin Glass, Charlie Papazian, Bob Pease, Bart Watson, Ph.D. • The New Brewer Content Staff Liaisons: Paul Gatza, Gary Glass, Cindy Jones, Charlie Papazian, Bob Pease, Jill Redding, Chuck Skypeck, Kristi Switzer Governance Committee Communications Committee • Chris P. Frey (Chair Person), American Homebrewers Association Representative • Steve Bradt (Chair), Free State Brewing Co. Export Development Program Subcommittee • • Gary Fish, Deschutes Brewery • Brett Joyce (Chair), Rogue Ales George Ward, Boston Beer Company • Staff Liaisons: Paul Gatza, Julia Herz, Charlie Papazian, Bob Pease, Bart Watson, Ph.D., Sarah White • Dick Cantwell, Elysian Brewing Co. • Kim Jordan, New Belgium Brewing Co. • • Steve Crandall, Devils Backbone Brewing Company • Staff Liaisons: Charlie Papazian, Bob Pease Mattson Davis, Kona Brewery LLC • Heather Douglas, Shipyard Brewing Co. • Fred Czuba, Saxco Pacific Coast, LLC • Public Relations & Marketing Committee Ron Jeffries, Jolly Pumpkin Artisan Ales Gary Fish, Deschutes Brewery • • Adam Lambert, Dogfish Head Craft Brewery • Bre we r sAsso c i at i o n .o rg Mark Younquist, Dolores River Brewery • B re w e r sAsso c i at i o n .o rg Kim Jordan (Chair), New Belgium Brewing Co. Technical Committee • Ken Grossman (Co-Chair), Sierra Nevada Brewing Company • John Mallett (Co-Chair), Bell’s Brewery, Inc. • Staff Liaisons: Paul Gatza, Pete Johnson, Charlie Papazian, Bob Pease, Chuck Skypeck, Chris Swersey, Shane Wood Finance Committee Brewers Association | 2013 Stewardship Report 23 Brewers Association 736 Pearl Street • Boulder, CO 80302 USA 1.888.822.6273 (US and Canada only) • +1.303.447.0816 • FAX +1.303.447.2825 BrewersAssociation.org • info@brewersassociation.org ® Brewers Association www.BrewersAssociation.org ®