The craft beer industry is being crushed by the coronavirus pandemic. Already ailing from changing consumer preferences, small breweries are at a make-or-break point that could see the character of the entire industry altered.
As winter approaches and states impose new lockdown orders, the local brewery scene that spawned a revolution in adult beverages may be no more.
Wave upon wave
Although the COVID-19 outbreak won’t bankrupt the major beer producers, even Anheuser-Busch InBev and Molson Coors are feeling the impact of lower sales. With bars and restaurants first closed, and now only allowed to operate at significantly reduced capacities, the craft-brewing industry is on the brink with thousands of breweries potentially about to go out of business.
Many craft brewers only survived the first round of lockdowns because their taprooms were able to utilize outdoor seating. Yet just as restaurants are facing a similar crisis, brewers will soon find that option closed off as winter sets in. States including New Mexico and Oregon have banned outdoor dining now, and L.A. County in California just joined them.
With curfews also being imposed because compliance with social distancing protocols may diminish as the night wears on, craft brewers are growing increasingly pessimistic about their ability to survive.