USA: The prices of low-cost beers are rising

A recent study has found that the price of low- and mid-range beers has been climbing at U.S. bars and restaurants, Los Angeles Times reported on May, 24.

The study claims that this is due primarily to the popularity of such beers as Pabst Blue Ribbon.

“While all the attention has been on craft beers, the price of mainstay brands in the mid-price tier have risen more dramatically,” Chuck Ellis, President of Research Sciences, a Massachusetts-based research firm, said.

Pabst Blue Ribbon, a low-cost beer, which gained popularity, is a key reason the price of sub-premium beers has climbed 6.8% in the last seven months, Ellis said.

"I believe the single biggest driver in sub-premium beer price increases is indeed specifically PBR," Ellis said. "It has become quite fashionable."

Ellis reached that conclusion after his researchers tracked beer prices at 500 bars and restaurants. While the price of expensive craft beers also climbed, they did so at half the rate of beers like PBR, Research Sciences reported.

"Traditionally, lower-priced beers such as Pabst Blue Ribbon have seen sizable double-digit price increases in both restaurants and bars and nightclubs," Ellis said.

24 May, 2013