Beer buyers believe the category will still be king for this year’s July 4 holiday, according to the latest Beer Purchasers’ Index (BPI) from the National Beer Wholesalers Association (NBWA).
The BPI for total beer in June was 58, the highest June reading since 2021. June marked the “fourth straight month in expansion (>50 territory),” according to NBWA chief economist and VP of analytics Lester Jones. However, the latest BPI was below May’s reading of 63, which was the highest reading, and first above 60, since December 2021.
A reading above 50 indicates category or segment expansion, while a reading below 50 indicates contraction.
“At-risk inventory measured at 42, reflecting a decrease in the amount of product in distributor facilities that is within one month of expiration date,” Jones wrote. “Together, these readings indicate a positive outlook for the beer industry’s pivotal summer season.”
At-risk inventory was also below May’s reading of 47, and below the June 2023 at-risk inventory reading of 51.
Five of the seven beer segments monitored by the NBWA recorded a flat or increased BPI reading year-over-year (YoY), with imports continuing to lead expansion. The segment posted a reading of 70, above its June 2023 reading of 68, and slightly below its May 2024 reading of 72.
The next largest BPI reading came from below premiums (54, up from 53 in June 2023), followed by premium lights (flat at 52).
Other segments with increased readings YoY include flavored malt beverages/hard seltzer (38, up from 31) and hard cider (31, up from 28).
Craft continues to contract, with a reading of 27 – 11 points below its June 2023 reading of 38, and five points below its May 2024 reading of 32. June marks the 28th straight month of contraction for craft.
Premium regular was the only other segment to decline YoY, from 53 in June 2023, to 49 in June 2024. The segment enters contraction after recording a +10 point YoY increase in May, from 43 to 53.
