How about this for an opening paragraph in today’s Beer Business Daily? (The underlining is my very own)
For the first time in my memory, several A-B distributors have told BBD that they have started refusing loads of beer from the brewery due to excess inventory. “I’m not only over my inventory line [of credit], but I’m starting to get old beer — even on some Bud Light packages,” says one. Another said that he still has Super Bowl packaging in his warehouse. A-B has made longer runs on smaller packages to increase efficiency, and Platinum’s success has made forecasting other brand-packs catterwanky. The increased distributor inventory has been a burning issue for A-B houses for over a year.
And that may not even be the most interesting thing in this edition of the always interesting and informative missive from Harry Schuhmacher and his crew. The second item is about how the keg-stealers have added to their targets. It turns out there is a hot second market for…pallets.
Yes, pallets. They too are disappearing into the night and one big wholesaler reported losing 10,000 of them last year. “At $10 to $15 deposit a pop, that adds up to quite a bit of money,” writes Harry in what can only be called an understatement. Apparently this sort of pilfering (talk about your understatements) is getting highly organized and, at those prices, you can see why.SHARE