How Stagflation Is Reshaping the Brewing Industry

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How Stagflation Is Reshaping the Brewing Industry

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Episode 118 of Stagflation Conversations examines how small and mid-sized craft breweries are adapting to persistent high input costs and slowing consumer demand. Lucas and Luna dig into the impact of rising barley and aluminum prices—up 18% and 14% year-over-year respectively—and explore why many brewers are shifting from taproom expansions to contract brewing and retail partnerships. They also reference the latest CPI data showing a 0.4% decline in June, which hints at easing cost pressures but hasn't yet filtered through to raw materials. The hosts discuss the strategic pivot of a regional brewery in the Pacific Northwest that cut its distribution footprint by 30% to focus on core markets, and they compare it to the resilience of macro-brewers who leverage scale and hedging. The episode concludes with a look at how consumer trading-down behavior—from $10 six-packs to $8 six-packs—is reshaping shelf space. A brief listener-support segment appears near the end, reminding listeners that the show is funded by contributions at buy me a coffee dot com slash fexingo. #Stagflation #CraftBeer #BrewingIndustry #Inflation #SupplyChain #BarleyPrices #AluminumPrices #ConsumerBehavior #TradingDown #RegionalBrewery #ContractBrewing #RetailPartnerships #CPI #Economics #BusinessPodcast #FexingoBusiness #StagflationConversations #Podcast Keep every episode free: buymeacoffee.com/fexingo

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