Over the past 30 years, and particularly in the last decade, craft brewing has exploded in popularity across the United States. There are now 13,000 beer labels in the marketplace, catering to an ever more discerning beer drinker.
Wisconsin had 70 craft breweries that produced more than 388,000 craft barrels last year, according to the Brewers Association, a national trade group based in Boulder, Colo. That puts it at number seven in the country in terms of total craft breweries.
“A shift has occurred in beer. I call it the localization of beer,” said Julia Herz, craft beer program director at the Brewers Association. “The diversity that’s in the marketplace today is unprecedented. There’s also trade across going on from spirits and wine lovers to also now be dabbling in craft.”
Consumers like always having new styles of beer to try, which has driven a more bar-like atmosphere in many craft breweries than in years past, said Jeff Hamilton, president of the Wisconsin Brewers Guild.
“Two of the things I think are most contributing to the craft beer popularity not only in Wisconsin, but everywhere, is people’s affinity for food and flavors,” Hamilton said. “(And) people are really getting thoughtful about where they make their purchases and who they’re purchasing from.”
Randy Sprecher was one of the first craft brewers in the Midwest when he opened Sprecher Brewing Company at 730 W. Oregon St. in Milwaukee in 1985. He had been laid off from his brewing supervisor job at Pabst Brewing Company and noticed distressed dairies were auctioning off stainless steel equipment that he could convert to brewing kettles.
“We didn’t have special equipment, we made up things as we went,” Sprecher said. “One thing was really interesting early on, which is really different now – when I first started, nobody wanted to have an ale.”
Sprecher sold 10,000 bottles in 1987, the first year the beer was sold in bottles. At the start, there was just Winter Brew. Then Sprecher added its flagship beer, Special Amber.
“We kept pretty busy all the years, growing all the time, then about ’88 I had so many people stopping in to see what I was doing…I had to get organized,” Sprecher said.
Eventually, the company outgrew its location and moved to 701 W. Glendale Ave. in Glendale. Sprecher now makes about 25 beers and about eight sodas, as well as barbecue sauce, beer flavored kettle chips and other products.
Sprecher has about 50 employees and 45,000 paid tour guests per year.
Russ Klisch founded Lakefront Brewery shortly after Sprecher, in 1987, in Milwaukee’s Riverwest neighborhood.
“My brother (Jim) and myself started homebrewing in his kitchen, and we started winning some awards, brewed more beer, won more awards,” Klisch said.
In its first full year, 1988, Lakefront brewed 72 barrels. Later the company moved to a larger facility on Commerce Street in Milwaukee and today it puts out about 32,000 barrels per year that are distributed to 35 states.
“There was always a big interest (in craft beers) back then, but now it’s a lot larger,” Klisch said. “Back then, it was kind of a novelty.”
More microbreweries followed in the early ’90s, and the number has grown again in the last two years, he said. While it’s competitive, Klisch is glad to see more brewers entering the industry and catering to a city of beer drinkers.
“People like to drink better, and are probably drinking less (beer) and drinking better,” he said. “What drives the growth is great education. Back in the early ’90s, the problem was people didn’t understand the taste and flavors you got from the ingredients.”
Also in 1987, Water Street Brewery in Milwaukee introduced a fairly new concept to the brewing community – a brewpub. Both brews and food were served at the establishment, which brewed beer on site to be consumed only at its Water Street restaurant in Milwaukee.
“We wanted a captive audience, so to speak – people to come in, enjoy the beer and hang around,” said George Bluvas, brewmaster at Water Street.
The brewpub grew in popularity over the years and added a Delafield location in 2000 and a Grafton location in 2010. Beer is brewed at all three sites, totaling about 20,000 barrels per year.
At first, it was a novel concept that beer could be so different, Bluvas said. Now, customers are looking for a craft, unique taste in everything from cheese and sausage to beer.
“I think definitely, in everything in this country, people are seeking out better and more diverse tastes,” he said. “The rise of craft everything.”
A new generation of breweries is capitalizing on the popularity of the craft frenzy.
Horny Goat Brewing Co. was opened in November 2009 in Milwaukee’s Bay View neighborhood. The restaurant/brewery makes some beer on site and contracts some production to Stevens Point Brewery.
“There’s opportunity within the craft beer market,” said Jim Sorenson, CEO and co-owner of Horny Goat. “The craft beer segment is growing every year – 6 to 8 percent every year over the last about 20 years.”
Horny Goat’s popularity is also increasing – Sorenson predicts 75 percent growth this year and plans to expand the brewery in the next six to 12 months.
“We do plan on being a national brand, and we feel we fit a niche that no one else has paid attention to in the Milwaukee market,” he said. “We’re not a brewery, brewpub or restaurant – we’re entertainment.”
Like Horny Goat, Milwaukee-based Buffalo Water Beer Company contracts its production. The company has offices at the intersection of Buffalo and Water streets in Milwaukee’s Historic Third Ward, but doesn’t have a physical brewery, said owner Craig Peterson.
The company’s aim was to make a great beer to pair with Buffalo wings.
“We contract brew, so we can literally brew wherever we want throughout the country,” Peterson said. “The quality of the ingredients going in and the consistency of the recipe, those are the most important ingredients in brewing.”
As a result, Buffalo Water has a national presence and can cut down on shipping costs by brewing closer to customers.
Grant Pauly also saw an opportunity in the craft beer market and a big hole in his region. He started 3 Sheeps Brewing Company in Sheboygan in December.
“Before we came to town, Sheboygan was the largest area in the state without a craft brewery,” Pauly said. “We’re slowly getting statewide with (the beers).”
While it’s a competitive state in which to brew, the tremendous growth of the craft segment means there’s room for everyone, he said.
“In Wisconsin, less than 5 percent of all beer consumed is craft beer; that number is going up consistently year after year,” Pauly said. “There’s an experience you can have with craft beer that you can’t have with light beer.”
Scott Acker, owner of Quaker Steak & Lube in New Berlin, is helping customers have that craft experience by installing 13 more craft taps in the restaurant. When he’s finished, 24 of Quaker’s 33 tap beers will be craft varieties, many of them from Wisconsin.
“Customers are asking for IPAs, double IPAs, scotch ales, cast small batch barrels, different flavor profiles, stronger alcohol content – just really good, exciting, great tasting beer,” Acker said.
He plans to start hosting beer dinners at the restaurant in the next several months to talk about food and brew pairings.
“These brewers are available. They come to the beer dinners and explain how they make it,” Acker said. “They’re fun to try and people, they’re not drinking as much as they used to when they go out to eat and when they’re picking something, they want to pick something they’ve never had before.”
