This document summarizes trends in the craft beer market based on consumer insights. It finds that millennials currently make up almost half of regular craft beer drinkers and will continue driving growth. While most craft beer drinkers are currently male, brewers are looking to attract more female drinkers. The term "craft" can mean different things to consumers and brands need to ensure their interpretation aligns with their target audience. The document also notes trends like the rise of sessionable and lower alcohol craft beers, as well as increasing cross-border collaborations between craft brewers.

1. Consumer and Innovation
Trends in Craft Beer
The latest insights into the craft beer segment
Category series. Published November 2013
Consumer Insight

2. Meet the Author
Katrina Diamonon, Senior Analyst
I am a Senior Consumer Insight Analyst who has been immersed in consumer behavior and trends for over six years.
Since joining Datamonitor in 2009, I have conducted extensive consumer research on issues specific to the Australian
market, such as country-of-origin labeling, the evolution of organic products, and private label adoption.
I have also been involved in the creation and ongoing development of global content, including category insight reports
and TrendSights research, and have played a keen role in local and global survey design. I am committed to finding new
and innovative research techniques to help our clients better understand consumer behavior and the impacts of cultural
change.
My desire to offer fresh perspectives on consumer trends has also led me to become an ongoing contributor to key trade
publications in Australia and a keynote speaker at several international conferences.
2

3. Contents
1. Executive Summary
2. The Market: Where the Opportunities Lie
• SWOT analysis
• Innovation snapshot
• Consumer snapshot
3. The Trends: Consumer and Innovation Insight
• Made for millennials
• "Wine-ification" of beer
• Craft in a can
• Sessionable beer
• Craft beer gets social
• Craft catches on
4. The Future: What's Next in Craft Beer?
5. Appendix
Click on the title to go directly to the relevant section
5
9
10
11
12
15
19
24
29
34
39
44
49
53
3

4. Executive Summary
The market: where the opportunities lie
Source: Datamonitor analysis4
• The growing popularity of craft beer is made even more conspicuous by the fact that
the segment represents only a very small proportion of the total beer category.
• Expect craft beer to outperform the overall category in more mature markets
throughout North America and Europe.
The influence of the craft
beer segment is
disproportionate to its
size.
• Millennials are unquestionably championing the craft beer segment. Monitor how their
needs and preferences evolve as they mature in order to maintain their engagement
with the segment.
• Make sure to incorporate female drinkers into future positioning strategies.
Millennials will continue to
drive growth in craft beer
globally.
• The term "craft" is as ambiguous as it is appealing. Without a standard definition,
"craft" will mean different things to different people, creating markedly different
motivations for drinking craft beer.
• Ensure that the brand's interpretation aligns with that of the target consumer.
"Craft beer" is a subjective
term with multiple
interpretations.
Insight Implications and recommendations

5. Consumer Snapshot
Almost half of regular craft beer consumers belong to the millennial generation
Global: drinkers who consume real/craft ale at least once a
week, by age group, 2013
Source: Datamonitor Consumer Survey 20135
Regular craft beer consumers tend to be from the young and
male demographics
• Among those consumers who drink real/craft ale at least once
a week, almost half (48%) are millennials, which refers to the
generation born between the early 1980s and early 2000s.
• These consumers, who demonstrate a willingness to
experiment and desire for unique experiences, will drive the
market for craft beer globally. This trend is discussed in
greater detail later in this report.
• Presently, the vast majority (70%) of regular craft beer
drinkers are men. However, this gender skew will shift as craft
brewers seek to broaden craft beer consumption occasions –
particularly during meals. The flavor-focused appeal of craft
beer, in addition to the growing number of female craft
brewers, will also attract more women to the segment.
Looking
ahead...
Innovation in craft beer will be increasingly geared towards the distinct needs of millennial drinkers.
Additionally, females will account for a greater proportion of craft beer consumers.

6. Sessionable Beer
Craft brewers are more explicitly targeting flavor-focused session drinkers
Source: Datamonitor analysis; [1] Star Tribune, July 20136
Insight On-trend innovation Case study Take-outs
Named for its session-
suitability
Founders Brewing
Company All Day IPA,
US
• This IPA has an ABV
of 4.7% and is
described as having
a light body with
floral and citrusy
notes.
• It is marketed as a
beer that "keeps your
taste satisfied while
keeping your senses
sharp."
A session-worthy
stout
Carton Brewing
Carton of Milk, US
• The heaviness of
stouts or dark beers
typically makes them
unsuitable for
session drinking.
• However, Carton
Brewing developed a
low alcohol (4%
ABV) stout that
incorporates the
sweetness of milk to
prevent the flavor
from being too heavy
or dominant.
Comparable to
mainstream session
beers
Shot beer, US
• The Shot brand
outsources the brewing
of its lager to a craft
brewery; however, it
does not leverage its
craft status.
• In an effort to reinforce
the beer's drinkability
and appeal to a wider
segment of consumers,
Shot positions itself as a
"brand to replace a Bud
or a Miller."1
Looking
ahead...
More craft brewers will develop variants that are suitable for session drinking, and the claim "sessionable"
will increasingly be used as a selling point in the marketing of craft beers.

7. Cross-Border Collaboration
Craft brewers will look beyond local and national borders for brewing inspiration
Source: Datamonitor analysis7
Collaborative craft beers
• Craft breweries will increasingly
collaborate with brewers from other
countries to create unique brews.
• The beers are typically special-edition,
one-off releases that showcase both
breweries' capabilities.
Explore collaboration opportunities
• Craft beer drinkers appreciate a good
story, and cross-border collaborations
can spark intrigue and discussion.
• Working with international brewers is
also a valuable way of gaining exposure
and distribution in other countries.
Fosters creativity and innovation
• Collaboration beers benefit from the
expertise of different brewers at once,
which broadens innovation possibilities.
• Smaller craft brewers also have shared
interests and goals that make
collaboration a natural fit.
One of the leading craft brewers in China, Boxing Cat
Brewery, teamed up with Danish brewer Mikkeller to produce
Bruce ChiLee IPA, which infuses Chinese green chili
peppers, rye malt, and American simcoe hops.
Australian brewery Mountain Goat collaborated with
Brooklyn Brewery from the US to create Cross Breed
Hopfweizenbock, which merges a weizenbock and an
Australian pale ale.