Reporting by Naomi Kaplan
According to recent Nielsen findings, terminology used to describe craft beer has a strong impact on sales, with words such as “balanced, juicy, floral or sour” often leaving consumers confused and uninterested.
A Nielsen CGA on-premise survey revealed that craft beer consumers predominantly choose craft beer based on: unique flavours (48%), high-quality ingredients (48%) and not being mass-produced (33%).
However, despite the patent desire for ‘unique’ flavours, the phrases used to describe them have a huge impact on sales.
Nielsen found that when it comes to buzzwords, nothing is more important than knowing which ones consumers recognise and respond to.
Across the consumer spectrum, craft beer terminology such as “drinkable,” “independently owned”, “hoppy” and “traditional” are over 70% more likely to influence purchase decisions, while “sour,” “funky,” “piney” and “hazy” are far less likely to influence purchases.
The tables below indicate the correlation between buzzwords and sales:
Source: Harris Poll Craft Buzzwords Survey, May 19-23 2017.
Lastly Nielsen notes that educating consumers on terminology is also important for sales.
“Retailers and brewers should remember that not every craft beer drinker is a connoisseur. It’s important to educate consumers and broaden their awareness rather than add to the growing list of new buzzwords out there for them to decipher.”
Australian’s shift towards premium products: great for craft beer market.
According to Beverage Trade Network, craft beer is resilient in the Australian beer market due to shifting consumer preferences towards premium goods.
“Craft beer continues to see exceptional year on year double digit growth in liquor stores with 24.2% for local craft and 12.1% for imported craft value growth from premiumisation, with more consumers becoming more discerning with their choices and spend on beer”, the website noted.
Beer & Brewer also emphasise the significant market shift to ‘premium beer’, such as craft beer.
“The palettes of Australians are changing with premiumisation being a key trend driving the growth of craft beer.
“Local consumers have developed high expectations about how a craft beer should taste and manufacturers have been keen to reflect this consumer sentiment”, Beer & Brewer stated.
Craft beer is all the rage, but if described ‘sour’ or ‘funky’, consumers may turn their noses up.
The Stone and Wood Brewing Co was voted the favourite Aussie craft beer earlier this year by the Daily Telegraph. Source: @stoneandwood.
