Chicago Business has a lengthy, but interesting, article online about the beer market in the windy city. It’s entitled Pay-to-play infects Chicago beer market, Crain’s investigation finds, and was written by a trio of reporters: James Ylisela Jr., David Sterrett and Kate MacArthur.
Corruption, of course, infects virtually all business everywhere and while Chicago has an elevated reputation because of its history, it seems to me what is exposed here is happening in many places. When it comes to the smaller breweries, most just understand that they can either go along with it or not, based on their own individual company philosophy. I don’t think it makes any one of them good or bad, it’s just different responses to the markets in which they’re trying to sell their products. In a sense, there’s a trade off with the three-tier system. It has advantages and disadvantages that manifest themselves in different ways in different states. That’s what the film Beer Wars tried to expose, which is simply the uneasy way in which the beer industry actually works.
But give it a read and let me know what you think. Oh, and be sure to read all the comments, too.
Interesting article, though one on-the-record source in the industry would really have strengthened it. Greg Koch obviously got twisted by the editing of the story, but one thing missing in Tony’s defense was any evidence – even anecdotal – that the article was wrong.
As one commenter pointed out, this stuff is standard practice in grocery stores, so the fact that we’re outraged about beer is a little strange, but the reality is that the current system has insulated and protected craft beer as much as it has limited it. While the three-tier system probably does make it so that no craft brew can get huge overnight, it does ensure that there’s a hole in the market for distributors like Ebel’s and bars that want the best product, regardless of graft (of which Chicago has a few, I’m told).
We craft beer drinkers believe that, if everyone could just get introduced to craft beer, they’d like it and drink it all the time. However, I’m afraid that plenty of people are never going to switch, no matter how much exposure they get to Metropolitan. Of course, corruption is bad and unfair and we should fix it if we can. But I wonder how many bars that will ask for bribes would really be destinations for craft beer drinkers, anyway. People who care about craft beer are already by definition going to places with better stuff on tap, so I wonder how much enforcement would really change business, anyway.
Must be that good beer is pay-to-play in San Jose, too. And you can’t pay enough. Because unless you like German-style beers from a certain brewery, San Jose is pretty much a hop-free zone. Tenth largest city in the USA and no IPA.
The article & comments bring to mind a song from “The Fantastiks” (longest-running off-Broadway musical ever) entitled “It Depends on What You Pay”. What’s implied in that article is that craft (brew) & gorruption don’t mix well in IL’s 3-tier system. CA allows self-distribution, which has helped many small breweries. When, a la Anchor & SN they get popular, they make the economic choice as to when/how to hook into the 3-tiers in the areas (primarily major metropolitan areas loaded with beer geeks) where they think they can make a profit.
I spent a 4 nites in Chi-town in August (on both sides of “The Great Taste of the Midwest”), but never went beer-shopping in any stores. Save for one night, I ate & drank only at brew pubs (both Goose Islands, Rock Bottom, & Revolution). The place I dined at in Arlington Heights w/my friend & his sis’ family had great pizza, but its tap beer selection pretty much sucked; ditto for Arlington Park race track (most taps were Miller/Coors, so best I could get was Leinenkugel Red). I had Goose Island Honkers I bought at the original pub for the motel rooms before WI, New Glarus after. BTW:
1) Revolution, a relative newbie in Chicago, is well worth a visit! Excellent brews (especially the dark/strong ones!) & desserts to die for (I had one for late “breakfast”). I’ll return there nextime I visit (assuming it survives) It struck me as a bit “high-end” for its ‘hood, which isn’t nearly as gentrified as Wrigleyville, BUT, it’s only a 1/2-block walk to the Blue Line CTA train, which is good, as they have no parking lot.
2) Post “Great Taste”, my buddy & I chilled out in our nearby hotel for an hour, then cabbed it to the Old Fashioned, a popular restaurant in downtown Madison. WISCONSIN-MADE brew only- 30+ craft brews on tap (there’s a nightly special for $2.50/pint); maybe Miller/Schlitz/PBR for the cretins, but I’m not sure. That approach in Chicago would be impossible outside the brewpub world, & even then probably chancy, depending on whether BP proprietors legally can trade keg for keg to use as “guest” brews.