Friday, 31 March 2017

Tesco are selling craft beer

Good or Bad?

Tesco have significantly increased the range of craft beers available in all their stores from the big Tesco Extras right down to the small Tesco Expresses. This has coincided with a rejection of an attempted price increase from Heineken and the subsequent removal of several Heineken brands from the shelves. Consequently customers can now find products from UK craft brewers such as Brewdog, Vocation and Redwell, plus American imports from the likes of Sierra Nevada or Goose Island amongst the more traditional lagers and ales. The newly available craft beers are mostly available in 330ml cans and are priced from £1.75 each, or three for £5. This expansion of availability has caused some consternation in the craft beer community largely based around the assertion that Tesco's prices are too cheap and will threaten the existence of independent bottle shops. Some people have even tweeted that Tesco are selling below cost! The reality is that breweries are investing and expanding, thus reducing costs and increasing output. Tesco's listings are simply a reflection of this growing business sector. 

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