Brewers Face Urgent Challenge as Taproom Visits Plummet

URGENT UPDATE: Breweries in Boulder, Colorado are grappling with a significant decline in taproom visits as changing social habits and economic pressures take their toll. Executives at Tuesday’s BizWest CEO Roundtable highlighted a noticeable drop in customer engagement, with many attributing it to a fundamental shift in the “going-out culture.”

Just announced by industry leaders, the brewing sector faces the dual challenges of rising operational costs and a cultural shift that sees fewer people venturing out to social venues. Jeffrey Green, co-owner of Very Nice Brewing Co., shared the stark reality: “People have stopped going out in general.”

The industry is experiencing a steady decline, with reports indicating that some breweries are down 40% to 50% in sales. “Overall, we’re down a little under 5% compared with last year, but last year we were also down about 3.5% from the year before,” said Davin Helden, owner of Liquid Mechanics Brewing Co.. This downward trend is troubling, especially following the devastating fire that forced Green’s Nederland location to close on October 8.

“The younger generation doesn’t seem to be engaging in the craft-beer world as much as people my age that are on the way out,”

remarked Steve Conrad, head brewer at Busey Brews Smokehouse and Brewery. Helden echoed this sentiment, noting that the generation that popularized craft beer—now aging—has shifted their drinking habits due to health concerns and lifestyle changes.

As health consciousness rises, many young adults prefer alternative forms of entertainment. “My daughter is 17, and she’s perfectly content to have contact with anybody she wants to, instantaneously, from the comfort of her own room,” Helden explained. This shift in socializing habits means fewer opportunities for breweries to capture the attention of younger customers.

Brewers agree that the impact of the COVID-19 pandemic still lingers, with many consumers now accustomed to home drinking rather than going out. “People didn’t go out. They got used to drinking alone at home,” Helden added. This has led to a significant cultural shift that demands breweries adapt quickly to survive.

To combat this decline, breweries are focusing on creating unique experiences to draw customers back in. “The places that have developed an environment or an ambiance, people want to go back there,” stated Matt Wiggins, associate vice president for economic vitality at the Boulder Chamber. Trivia nights and family-friendly events are among the strategies breweries are employing to attract patrons.

Bob Baile, owner of Twisted Pine Brewing, emphasized the importance of filling seats, stating, “Our prime mission is AIS: asses in seats.” Baile has repurposed his facility to host events, aiming to keep the brewery vibrant and community-oriented. “We’re seeing people in their 40s and 50s that are bringing in their kids and their grandkids,” he noted.

As the brewing industry grapples with these challenges, advertising and strategic marketing are becoming vital components of recovery. Kyle Busey, founder of Busey Brews, suggested innovative approaches to reach potential customers beyond traditional social media.

Location also plays a critical role in drawing customers. Hawthorne from Grimm Brothers discussed the struggle of relocating to a less visible site, emphasizing that community engagement is essential to increasing foot traffic.

Brewers are also adjusting their offerings to cater to health-conscious customers. Green mentioned that offering lower-alcohol options could attract those wary of heavy drinking. “We know our customers are driving down the canyon,” he said, underscoring the need for responsible drinking practices.

Despite the current challenges, some industry leaders remain optimistic about a resurgence in craft beer culture. “I think it will come back around with craft beer,” Green predicted. “Instead of a big bucket of macrobrew, they’re having two or three nice beers.”

As breweries navigate this evolving landscape, the focus remains on understanding consumer trends and creating experiences that resonate with today’s customers. The future of Boulder’s taprooms hinges on their ability to adapt to a new social dynamic, ensuring that craft beer remains a cherished part of the community.

Stay tuned for further updates as the situation develops and breweries continue to innovate in response to these challenges.