Chicago.com
Six days ago Goose Island sold the majority control of its company to Anheuser-Busch. For the past week both companies have been silent on the matter aside from a press release. Then yesterday Goose Island CEO John Hall responded to many of his customers’ concerns in the Tribune’s Business section. His argument for the sale is just: the craft beer market is rapidly growing and becoming increasingly competitive. If his company did not make a drastic move it risked failure. That’s fair enough. No one wants to see their business collapse. I have two concerns with Hall’s response to his customers and critics: He seems oblivious to Anheuser-Busch’s true intentions; and he acts as if Goose Island would be bankrupt without this cash infusion.
The day that this sale was announced, I wrote an op-ed on why this is a terrible setback for microbrewies. In that piece, I argued that Anheuser-Busch will demand a return on its investment. Goose Island’s best craft beers (i.e. Night Stalker, Pere Jacques, Sofie, etc) do not appeal to mainstream American tastes. Most Americans prefer beer with muted flavors. Goose Island has two products that fit this need: 312 and Honkers (some people may add Matilda to this list). In order for Anbheuser-Busch to see a reasonable rate of return on its investment, Goose Island will have to mass produce its muted flavor beer, which means it will invest less in its more distinctive beers. And over time Goose Island will fall out of the craft beer market and become yet another crappy beer company.
Hall responds to that criticism by saying, “But Anheuser-Busch didn’t buy us to change us. It bought us because we can do things its people can’t. They’re megabig, so it’s harder to get people who sell huge brands to really push new products.”
That brings me to my first concern. Hall seems oblivious to Anheuser-Busch’s true intentions. I sincerely hope that Hall does not believe what he wrote. He should know that Big Beer in the America (Anheuser-Busch, Miller, and Coors) are in this business to make money, whereas small breweries are in this business to make good beer. He honestly cannot believe that Anheuser-Busch will allow him to mass produce beer that does not appeal to mainstream taste.
The second point Hall made that concerns me is this: “I’m not alone in believing that craft beer is going to, at minimum, double its overall sales in the next five-plus years. I’d like Goose Island to be part of that: for craft-beer drinkers, for what we’ve created and for Chicago. We now sell about 1 percent of the beer sold in Chicago. If we don’t continue to grow, we disappear.”
Hall completely ignores all markets outside of Chicago. Take my hometown for example. It’s a small farming community in the middle of nowhere Illinois. There is one bar in the town that has tap beer. Take a guess what’s on tap. It switches between 312 and Goose Island seasonal. In a small town where Big Beer has conditioned its customers to accept sub par beer as the pinnacle of alcoholic ingenuity, Goose Island still makes a place for itself using something as simple as a keg as its proposition value. There has to be thousands of examples like this across the country where Goose Island and other small breweries have crafted a market for themselves. So why does Hall act like none of this exists?
In addition, Hall operates two Goose Island brewpubs in Chicago. Has he ever been to them on a Saturday night? Or even a Tuesday night? One stop inside of either brewpub during peak hours is proof enough that Hall is understating his position in the market.
I have had a week to think this situation over, and I have come to the following conclusion. Anheuser-Busch has masterful sales tactics. It has been able to position its terrible products better than anyone else in America. The company functions because it is somehow able to convince us that something as repulsive as Bud Light is wonderful. Likewise, Anheuser-Busch has taught Goose Island how to sell this terrible deal to the public as if it is the best thing that has ever happened to to craft beer. Unfortunately for Hall, some of us aren’t that gullible. Goose Island selling out to Big Beer is a detrimental setback to microbrewing and craft beer in America. The history books will write this story akin to the destruction of the electric car. Don’t you get it, America? This is why we cannot have nice things!
With that said, I will end this op-ed the same way I ended the last one:
Enjoy your millions of dollars, Goose Island stakeholders. You have just been added to the list of beers I boycott. Luckily there are still plenty of microbreweries left in Chicago, including Metropolitian Brewing, Rock Bottom Brewing, Revolution Brewing, and Piece Brewery.
Goose Island, Chicago’s most famous and successful brewery, announced today that it will be acquired by Anheuser Busch, which controls half of the beer market in the United States.
Goose Island founder John Hall said, “The transaction is good for our stakeholders, employees and customers.” This is undoubtedly good for stakeholders, but whether or not this is good for everyone else is debatable. And what Hall does not say is that this is devastating news for the microbrewery segment of the beer market.
It is important to note that due to the amount of beer it sells, Goose Island is technically no longer a microbrewery. It is now classified as a regional brewery, but from the perspective of Anheuser Busch all of these small breweries pose the same threat.
To understand why this is detrimental to everyone everywhere we must take a look at three forces in the beer market in the United States:
Microbreweries are becoming more popular
Microbreweries have surged in popularity in the past 20 years. This year they are expected to make up 11% of all beer sales. And in a market where Anheuser Busch controls half of all sales, microbreweries are on Anheuser Busch’s hit list.
Anheuser Busch has a bad habit of crushing vulnerable microbreweries
Anheuser Busch usually deals with microbreweries by attempting to bankrupt them through lawsuits. It sued Dogfish Head, one of America’s most distinguished microbreweries, for using the terms Punk’in Ale and Chickory Stout, saying that these terms were too generic. In reality Anheuser Busch wanted to run Dogfish Head out of business with a frivolous lawsuit.
Anheuser Busch has gained a virtual monopoly on beer sales by taking advantage of antiquated post-prohibition era laws
Anheuser Busch benefits from the three tier system of alcohol distribution in the United States. Set up after the repeal of prohibition, this system separates brewers, distributors, and retailers. As a result brewers must sell alcohol to the distributors, who then resell the alcohol to retailers. Anheuser Busch monopolizes this system by buying out inventory in the distribution trucks, so there is conveniently no room left for the small brewers to sell beer.
Microbreweries, like Goose Island, got around the three tier system by opening brewpubs, which allows them to sell alcohol directly to customers. Goose Island’s brewpubs in Chicago are exempt from this takeover.
Given all of these facts how is this takeover bad for everyone everywhere? Anhesuer Busch’s takeover will allow Goose Island to expand its operations and produce more beer. Unfortunately, Goose Island will not use its expanded facilities to produce its more distinctive beers such as Pere Jacques, Sofie, and Night Stalker (my personal favorite).
Instead Goose Island will now emphasize the production of bland beer that has wider appeal, such as Honkers and 312. Right now you can walk into any liquor store in Chicago and find it stocked with at least a half dozen different kinds of Goose Island beer. But a year from now do not be surprised if you have to travel to one of Goose Island’s brewpubs to find the same beer as Honkers and 312 begin overtaking the shelf space of the company’s less popular beers.
Anheuser Busch became popular by creating ultra light beer with muted taste, and selling it at astoundingly low prices. Beers like Night Stalker do not fit in with the rest of Anheuser Busch’s products, so it and many other Goose Island beers will fall to the wayside. Who knows what kind of specialty craft beers will never be produced because of this?
Goose Island has influenced microbreweries across the country. Its small beginnings and booming popularity in the 90s and early 2000s proved that there was a market of beer drinkers who wanted more than what Anheuser Busch was willing to offer its customers. Despite hostile market conditions created by post-prohibition hysteria, and strengthened by big beer lobbyists in the following years, Goose Island created a niche for itself. Today Goose Island betrayed its humble beginnings and gave up on the microbrew segment altogether by selling out to a corporate behemoth.
Enjoy your millions of dollars, Goose Island stakeholders. You have just been added to the list of beers I boycott. Luckily there are still plenty of microbreweries left in Chicago, including Metropolitian Brewing, Rock Bottom Brewing, Revolution Brewing, and Piece Brewery.
The newest music festival in Chicago, the North Coast Music Festival, is on Labor Day weekend!
All weekend long (Friday Sept. 3rd – Sunday Sept. 5th) see hot acts such as: The Chemical Brothers, Nas & Damian Marley, Umphrey’s McGee, Disco Biscuits, Moby (DJ set), Pretty Lights, Van Ghost, De La Soul, and Lupe Fiasco.
It all kicks off on Friday from 4pm-10pm and continues on Saturday & Sunday from noon-10pm in Union Park. The festival features a full lineup of popular rock, hip-hop, and electronic bands. Famous national acts as well as local favorites will perform on four stages. Single day tickets are still available for $40 each.
Bags will be searched upon entry, there is no re-entry to the festival. ATMs will be available throughout the park. Alcoholic beverages will be purchasable inside the event for those over 21 (bring a valid photo I.D. to obtain a wristband). There will be limited parking, so we suggest taking public transportation (the green line Ashland stop and #9 Ashland bus at Ashland and Lake St. let you off steps from the event).
The full lineup:
FRIDAY, SEPTEMBER 3, 2010
North Stage
8:30pm-10:00pm >> The Chemical Brothers
6:30pm-7:30pm >> Paul Van Dyk
4:30pm-5:30pm >> Orchard Lounge
Groupon: What’s a Music? Stage
7:30pm-8:30pm >> Pretty Lights
5:30pm-6:30pm >> Paul Kalkbrenner
Red Bull Local Stage
9:00pm-10:00pm >> m.sylvia & DJ Kibo
8:00pm-9:00pm >> Mettle
7:00pm-8:00pm >> Wyllys
6:00pm-7:00pm >> Paul Universe
5:00pm-6:00pm >> XPOSUR vs Clark Kent
SATURDAY, SEPTEMBER 4, 2010
North Stage
8:30pm-10:00pm >> Umphrey’s McGee
6:30pm-7:30pm >> Jay Electronica
4:30pm-5:30pm >> Grace Potter & the Nocturnals
2:30pm-3:30pm >> New Mastersounds
12:30pm-1:30pm >> “Toast of the Coast” Band Winner
Groupon: What’s a Music? Stage
7:30pm-8:30pm >> De La Soul
5:30pm-6:30pm >> The New Deal
3:30pm-4:30pm >> Van Ghost
1:30pm-2:30pm >> Alabaster Brown
Coast Stage
9:00pm-10:00pm >> Moby (DJ)
8:00pm-9:00pm >> Boys Noize
6:30pm-7:30pm >> Future Rock
5:00pm-6:00pm >> Benga
3:45pm-4:45pm >> Laidback Luke
2:30pm-3:30pm >> Two Fresh
1:00pm-2:00pm >> “Toast of the Coast” MC Winner
Red Bull Local Stage
9:00pm-10:00pm >> Hey Champ
7:30pm-8:30pm >> Family Groove Company
6:30pm-7:30pm >> Midnight Conspiracy
6:00pm-6:30pm >> Rukus
5:00pm-6:00pm >> The Comeups
4:00pm-5:00pm >> Tima Fei & Phat!van
3:00pm-4:00pm >> Strange Arrangement
2:00pm-3:00pm >> Great Divide
1:00pm-2:00pm >> Land of Atlantis
12:00pm-1:00pm >> Save the Clocktower
SUNDAY, SEPTEMBER 5, 2010
North Stage
8:30pm-10:00pm >> Nas & Damian “Jr. Gong” Marley
6:30pm-7:30pm >> Flying Lotus
4:30pm-5:30pm >> Holy Ghost!
2:30pm-3:30pm >> Phantogram
1:00pm-1:45pm >> The Coop
Groupon: What’s a Music? Stage
7:30pm-8:30pm >> Lupe Fiasco
5:30pm-6:30pm >> Mayer Hawthorne & The County
3:30pm-4:30pm >> Dirty Dozen Brass Band
1:45pm-2:30pm >> Loyal Divide
Coast Stage
8:30pm-10:00pm >> The Disco Biscuits
7:00pm-8:00pm >> Green Velvet (Live)
5:30pm-6:30pm >> Claude VonStroke
4:15pm-5:15pm >> Benny Benassi
3:00pm-4:00pm >> Maps and Atlases
2:00pm-3:00pm >> Skeet Skeet
1:00pm-2:00pm >> “Toast of the Coast” DJ Winner
Red Bull Local Stage
9:00pm-10:00pm >> Gemini Club
8:00pm-9:00pm >> Gabe Real
7:00pm-8:00pm >> Papa G
6:00pm-7:00pm >> Stephen Paul Smoker
5:00pm-6:00pm >> Trew
4:00pm-5:00pm >> The Right Now
3:00pm-4:00pm >> Mario Florek
2:15pm-3:00pm >> Bobby De Maria & Tsunami
1:30pm-2:15pm >> DJ Lips
1:00pm-1:30pm >> D.E.E.
Navy Pier is one of those places most Chicagoans only visit when friends and family are in town — When you want to show off the city and you need something tourist-y to do with your relatives. This summer, don’t put Navy Pier on the back burner. There are plenty of things to do even when you don’t need to entertain out-of-town guests (but it’s great for that too).
Navy Pier is home to the 15-story high Ferris Wheel, which is a staple for dates and a great way to shake-up a night out with friends. The Shakespare Theatre is a fantastic place to enjoy classic plays. Check the theater’s calendar for your favorites and treat yourself to a special experience. Now through August 29th, see the Emperor’s New Clothes — a silly classic tale for the whole family. Or see all the best 3D movies at the IMAX movie theater. The 60×80 foot screen makes both 2D and 3D movies come to life. Right now you can enjoy the Twilight Saga Eclipse in 3D, the Hubble 3D experience, and Inception in 3D.
For a more relaxing evening or daytime activity, take a cruise. There are many sightseeing cruises to choose from which are fun even for Chicago experts who think they’ve seen it all. Cruises occur on a day by day schedule and include architectural themes, skyline themes, historical themes, Chicago movie themes and even cruises specifically for dinning and enjoying the fireworks displays.
Speaking of fireworks — Wednesday and Saturday nights at 9:30pm enjoy spectacular displays from the pier. Watch the show while synchronized music fills the background from B96, Fresh FM and Jack FM.
For an equally sparkling experience don’t miss Cirque Shanghai’s Cloud 9. Now through September 6th, the Chinese performers amaze audiences with their acrobatics. It’s a great way to spice up a weekend when you’re tired of going out to the same bars, restaurants, music venues, and movie theaters.
August 24th – 29th you cannot miss the Tall Ships Chicago event. Over 20 historic ships from the U.S., Europe, and Canada will arrive at Navy Pier for a mile-long display. As a celebration of the history of Chicago and Navy Pier, the event will be a breathtaking experience. It all begins with a parade of ships across Lake Michigan as they enter Navy Pier. There will also be activities including: ship tours, sailing adventures, arts and crafts booths, entertainment, and fireworks displays every night.
And for when the relatives are in town, check out the Navy Pier All Day Fun Package. The package includes one Cirque Shanghai Gold Circle Ticket, one Ferris Wheel Voucher, one Shoreline Sightseeing Skyline Lake Tour Voucher, and one RIVA Restaurant Coupon Voucher for 20% off food purchase. All for the surprisingly cheap price of $35.75 — It’ll make every tourist and Chicagoan happy.
Navy Pier’s slogan “Go A Little Overboard” is quite fitting for a place with so much to indulge in. So next time, either when you’re entertaining guests or looking for a little entertainment yourself, check out Navy Pier and all it has to offer.
It was a gorgeous day at the kick-off of the Pitchfork Music Festival yesterday. Thousands of music fans packed Union Park to see the acts set for the day. The 3 stages were separate from the shopping area and food area, turning the park into an ideal festival venue. Stages B and C were set fairly close, while stage A was farther off from the other two. This set up was perfect for toggling between the two larger stages for the performances, and for relaxing in the shade by the smaller stage to listen to the comedians away from the loud music.
When not enjoying the musical acts, there was plenty of shopping to do. White tents covered vendors selling jewelry, accessories, t-shirts, and even vinyl records. More tents covered sponsors such as Greyhound who gave out free water bottles — which apparently were fill-able somewhere in the park, but I couldn’t find it. Another sponsor, Clif Bar was giving out samples of their energy-packed bars. Speaking of energy, Amp was also at the festival giving out samples of their new all-natural energy drinks. Nearby at the Toyota area you could enter to win a new Prius and screen print on a shirt or tote bag.
There were also food tents located off to the side of the stage area. Vendors such as the Burghoff, Curry, The Rice Table, and Whole Foods had booths with items for sale. When I was hungry, I went over to the Whole Foods tent which was set up like a mini market. It was great — I got a banana and a veggie wrap for $5 total. As for beverages, water was $2 per bottle, but as it got hotter outside they lowered it to $1. Heineken had more than one beer tent, but the lines in front of each were continuously getting longer as the day went on.
Over at stage A Hannibal Burress, a comedian, entertained the audience with his stand-up. The shaded area in front of the stage was perfect for picnicking. Many people brought blankets to sit on while they enjoyed his set. Hannibal’s act was hilarious and the audience was very responsive to his performance. It was his first year performing at Pitchfork.
Meanwhile, Liars performed on one of the main stages. The singer was eccentric to say the least. He was very personable and interacted with the crowd between songs. His stage antics were priceless, a few times it seemed like he was about to swallow the microphone. Their performance was so much fun to watch and listen to. There was a great feeling of energy in the crowd throughout the whole act. Next up on the other main stage was Robyn, an adorable pop/hip-hop/reggae mix who lit up the whole park. There were very few people not dancing during her performance, it was almost impossible not to bob your head just a little. Robyn herself was dancing around on stage and clapping over her head while she performed. Her interesting outfit didn’t stop her from stretching between songs (she wore a short grey cut-out dress, lace tights, and a green baret). You could tell she was having a great time on stage. At one point she went over to the drums and played along with the drummer. Her bright blonde hair and charming Swedish accent won the hearts of the crowd.
After Robyn rocked the park it was time for Broken Social Scene. Of the 22 members, there were about 10 people on stage at a time. They would switch members depending on the song and what instruments were needed. The group opened with “World Sick” off their new album, which was a perfect start. As they played on, the sun started to go down which made the air slightly cooler. The audience clapped to the beat during much of their set, which made it interactive and extra fun. At one point, one of the speakers blew and they had to stop for a minute to turn it off, but that didn’t keep the band from delivering a fantastic performance. At one point in between songs the vocalist/guitarist in the middle stopped to say “We love this town and we love this country. So we wrote a song about it,” they then played “Texico Bitches”. People in the audience stood shoulder to shoulder, dancing and swaying even though there was barely enough room to do so. Next they played “Shoreline” and brought out a female vocalist, two saxophones and a trombone. It was a wonderful rendition of one of my favorite Broken Social Scene songs. “Fire Eyed Boy” was next and the audience loved it. Overall they played a great mix of old and new songs mixing in hits with obscure surprises.
Last to perform for the day was Modest Mouse. The whole park was packed in front of the stage, everyone in the crowd was dizzy with excitement. The sun was setting, which gave a perfect ambiance for their performance. They opened with “Tiny Cities Made of Ashes” a song from one of their most popular albums, The Moon and Antarctica. They put a new spin on the song, switching around the order of the lyrics and changing up the melody a little at the end. When they played the song “Devil’s Workday” as well as a few others, Isaac Brock played the banjo and switched mics for different vocal effects. They also had an accordion player for a few of the songs that feature an accordion on the album. During “Education” glowsticks were thrown around from the crowd — I couldn’t tell if this was planned or not, but either way it was awesome. During “Dashboard” the whole audience got into it, likely because it’s a popular song — so even people who weren’t serious Modest Mouse fans knew the lyrics. In between songs, Isaac would ramble about something or other, his distinct lisp-y voice echoing across the park. They put a unique spin on each song they played which made it a special experience, especially during “Satin in a Coffin”. They then toned it down with “Dramamine” and had crazy lights during the crescendo. Next was “Parting of the Sensory” which was performed with a lot of emotion. During this song there were more glowsticks being thrown around which looked like fireworks and gave a cool effect. Overall it was a perfect set list, the songs they played spread over several of their albums and the audience loved every minute of it.
Broken Social Scene
Modest Mouse
Leaving Union Park when P4K was over for the night