## Craft Beer Market Faces Headwinds Amid Non-Alc Growth
The U.S. craft beer industry navigated a challenging 2025 marked by stagnation and closures outpacing openings. By June 2025, the number of operating craft breweries stood at 9,269, down 1% from the prior year (Brewers Association, 2025). Changing consumer behaviors, retailer rationalization, inflation, tariffs, and heightened competition compounded difficulties for producers (Brewers Association, 2025).
Despite these pressures, pockets of optimism emerged. The Brewers Association’s **Year in Beer report** highlighted room for hope, countering narratives of industry collapse (Washington Beer Blog, 2025). In Colorado, new breweries made strong impacts even as fewer opened, with Wilding Brands acquiring Great Divide, Station 26, and Upslope Brewing (Westword, 2025).
## Non-Alcoholic Beers Surge in On-Premise Channels
**Non-alcoholic beer** posted explosive growth of 33.7% year-over-year on-premise, outpacing traditional beer sales (CGA by NIQ, 2025). Non-alcoholic IPAs and stouts saw sales jumps of over 170% and 130%, respectively, signaling strong demand for health-focused innovations (CGA by NIQ, 2025). A third of consumers plan healthier drink choices in 2025, with 25% moderating alcohol intake, creating opportunities for low- and no-ABV craft options (CGA by NIQ, 2025).
Craft beer employment rose over 23% from 2021 to 2022, adding nearly 6,000 jobs by 2025 and enhancing taproom experiences amid profit pressures (IBISWorld, 2025). Revenue is forecast to grow at a 1.6% CAGR through 2030, driven by direct-to-consumer channels like e-commerce and subscriptions (IBISWorld, 2025).
## Premiumization and Draft Beer Gain Traction
Premiumization trends saw 20% of consumers opting for higher-quality beverages, favoring unique craft brews (CGA by NIQ, 2025). Draft beer share hit 52.3% of on-premise volumes in 2024, with an 8.1% rise in distribution points—over triple packaged beer’s growth (CGA by NIQ, 2025; Hop Culture, 2025). The Brewers Association views draft expansion as a key positive indicator (Hop Culture, 2025).
Ales, including **IPAs** at 33.8% of revenue, dominated but faced slowdowns due to IPA fatigue and shifts to lighter styles (IBISWorld, 2025). In St. Louis, local expansions like Perennial Artisan Ales’ new Kirkwood space offset some closures (Daily Kos, 2025).
## Consolidation and Regional Dynamics
Craft breweries experienced high unused capacity as demand stagnated, with average sales down 15% per brewery insights (Westword, 2025). Distributors trimmed offerings, accelerating consolidation as larger players acquired smaller operations (Ohio Beverage, 2025). Yet, innovations like Bruz Beers’ brewpub expansions into ciders and wines yielded synergies (Westword, 2025).
The global beer market, valued at $804.65 billion in 2025, eyes $998.98 billion by 2030 through premium products (Beer Connoisseur, 2025). U.S. craft production grew at a 1.8% CAGR from 2020-2025 (IBISWorld, 2025).