Beer Distribution Market Highlights – Industry Growth, Issues And Technology Trends

Beer production represents a fast-growing segment of the beverage industry today. Industry statistics show that breweries in the U.S. are flourishing. Much of this growth can be attributed to the growing popularity of craft beers among all demographics. According to a 2012 article published in U.S. News & World Report, dollar sales at craft breweries were up 14 percent in the first half of 2012 and volume was up 12 percent. Craft breweries–which include small micro-breweries as well as larger, well-known brands–make up 97 percent of all U.S. breweries today.

What is the current market landscape in beer distribution?

Midsize and large craft beer breweries typically rely on distributors offering direct store delivery (DSD) service to retail locations in a specific geographic area. The extraordinary growth trend of craft beers presents opportunities for licensed independent beer distributors in busy markets to expand their businesses and potentially penetrate new and untapped markets. However, these companies face issues and challenges as their businesses grow and route management for their truck fleets becomes more complex.

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