It appears that beer distributors are optimistic about the beer category’s upcoming spring/summer performance.
The category posted a Beer Purchasers’ Index (BPI) reading of 62 for the month of April, marking the highest BPI reading, and first reading above 60, since December 2021, according to the National Beer Wholesalers Association (NBWA), which publishes the monthly survey.
A reading above 50 indicates ordering expansion, while a reading below 50 indicates contraction.
April’s benchmark follows beer’s first 50+ reading of 2024 in March, which was also the highest March BPI since 2021.
All seven beer segments tracked in the report posted YoY growth in their BPI readings, with the largest improvements recorded by premium regular (+27 points, to 59) and premium lights (+20 points, to 63). April marks the first time since March 2021 that the overall BPI for beer and all the category’s segments were in expansion.
Imports continue to lead the group with a reading of 73, up from 66 in both April 2023 and March 2024. Below premium was also in expansion territory (+4 points YoY, to 53), recovering after being the only segment to decline YoY in the March report (-6 points, to 47).
While flavored malt beverages (FMB) and hard seltzers (measured together) were in contraction, with a reading of 40, the segment improved its April reading +16 points versus 2023. Similarly, cider improved from 36 in April 2023 to 39 in April 2024, and craft gained +3 points, to 36.
“Strong segment growth (including four expansionary readings) and contracting amounts of at-risk inventory (46, down from 47 in March) reflect an optimistic ordering environment as the industry heads into summer,” NBWA chief economist Lester Jones wrote.