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Niche Market Potential: The Case of the U.S. Craft Brewing Industry

Author

Listed:
  • Chris T. Bastian
  • Deborah M. Oakley-Simpson
  • Donald M. McLeod
  • Dale J. Menkhaus
  • Dan Alsup
  • Jeff Ogden
  • Glen D. Whipple

Abstract

This study examines craft brewers as a niche market for the malting industry. Results suggest that catering to craft brewers' needs and preferences offers potential opportunities for malt suppliers. Malt suppliers will have to increase services and provide differentiated malt products to increase demand from craft brewers. This may be a problem for a number of firms that have invested capital to supply large volumes of mass-produced malt inputs. Malt barley producers may also be able to exploit niche markets as input suppliers to malting facilities.

Suggested Citation

  • Chris T. Bastian & Deborah M. Oakley-Simpson & Donald M. McLeod & Dale J. Menkhaus & Dan Alsup & Jeff Ogden & Glen D. Whipple, 1999. "Niche Market Potential: The Case of the U.S. Craft Brewing Industry," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 21(2), pages 552-562.
    • Handle: RePEc:oup:revage:v:21:y:1999:i:2:p:552-562.
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    File URL: http://hdl.handle.net/10.2307/1349898
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    Cited by:

    1. Matthias Heyder & Ludwig Theuvsen, 2008. "Strategic management in the German brewing industry: Are there still differences between East and West," Journal of East European Management Studies, Nomos Verlagsgesellschaft mbH & Co. KG, vol. 13(1), pages 10-39.
    2. Phillips, Jon C. & Peterson, H. Christopher, 2004. "Product Differentiation and Target Marketing by Agricultural Producers," Journal of the ASFMRA, American Society of Farm Managers and Rural Appraisers, vol. 2004, pages 1-11.
    3. Loureiro, Maria L. & Hine, Susan, 2002. "Discovering Niche Markets: A Comparison of Consumer Willingness to Pay for Local (Colorado Grown), Organic, and GMO-Free Products," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 34(3), pages 477-487, December.
    4. Witham, Adam & Leite, Brian, 2023. "Business is Hopping: The Effects of Deregulation on Southern Craft Beer," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 53(1), January.
    5. Theuvsen, Ludwig & Heyder, Matthias & Niederhut-Bollmann, Christoph, 2010. "Does Strategic Group Membership Affect Firm Performance? An Analysis of the German Brewing Industry," German Journal of Agricultural Economics, Humboldt-Universitaet zu Berlin, Department for Agricultural Economics, vol. 59(02), pages 1-16, June.
    6. Phillips, Jon C. & Peterson, H. Christopher, 2001. "Segmentation And Differentiation Of Agri-Food Niche Markets: Examples From The Literature," Staff Paper Series 11481, Michigan State University, Department of Agricultural, Food, and Resource Economics.

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