27 / 28
overwhelmingly dominated by local players.
While a number of big beer acquisitions
have certainly proven successful, some
craft breweries have actually faced
negative backlash from their core
consumers after being acquired by larger
conglomerates. Such backlash has occurred
despite any commitment from those larger
players to community involvement. It
also reflects one of the potential pitfalls
larger corporations face when dealing with
millennials and their preference not just
for authenticity but for local concepts over
chains.
As the craft brewing industry continues
to evolve and meet the demand of its
core customers, the winners will likely be
those operators that produce excellent
products with a wide variety of brands and
flavors for curious and thirsty millennials.
But authenticity, experience and sense of
community are not mere buzzwords—they
are core Millennial Generation values. The
most successful craft brewers will be those
that embrace those values.
Meanwhile, as more and more markets
continue to see growth from this sector, the
issue of quality real estate becomes even
greater. This isn’t just from a locational
perspective, but from a design perspective
as well. The most successful concepts will
be those that create a true sense of place
wherever they are situated, whether they
are a standalone destination, an industrial
redevelopment, historic rehabs or even in
traditional retail space.
One wouldn’t think that a funky, out-
of-the-way, low-roller casino with a
largely local clientele would be ranked
as the top brewpub in Sin City, much less
Nevada. But Ellis Island is ranked top in the
state (by the National Brewer’s Association)
and we think that the largely local clientele
might have a lot to do with that. The place also
has the best BBQ in town and a charmingly
bizarre karaoke bar where patrons can take a break
in between playing $3 Craps.
ELLIS ISLAND
CASINO & BREWERY
LAS VEGAS , NV
27
Craft Brew Retail Services Report