The Brewery & Craft Beer Industry in North America

A Guide for Brewery Owners, Marketers, and Decision-Makers
BeerSoft works exclusively within the brewery and craft beverage industry – microbreweries, brewpubs, taproom breweries, regional craft breweries, cideries, and every other beverage business serving beer lovers. This page provides a plain-language overview of the industry: what it includes, how it is structured, who regulates it, and where it is headed. Whether you are new to the sector or a seasoned operator evaluating your marketing position, this resource from BeerSoft is designed to provide the foundational context that informs better decisions.
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What Types of Breweries and Beverage Businesses Exist?

The North American brewery sector encompasses a wide range of business models, production volumes, and customer experiences. BeerSoft serves operators across every brewery type listed below. Understanding these categories matters for marketing because each model attracts a different audience, faces different competitive pressures, and requires a different positioning strategy.

Microbreweries

Microbreweries produce up to 15,000 barrels of beer annually and sell at least 75% of their output through distribution to retailers, bars, and restaurants. This category has experienced the steepest recent decline, with the Brewers Association reporting a 3% drop in microbrewery count by mid-2025. Marketing for microbreweries focuses on brand differentiation in a crowded distribution landscape, where shelf space is shrinking and distributor interest is tightening.

Brewpubs

Brewpubs are restaurant-brewery hybrids that sell at least 25% of their beer on-site alongside food. This model combines the brewing operation with a full hospitality experience. Brewpub counts remained relatively flat through 2025, and the model has shown resilience by generating revenue from both food and beer sales. Marketing for brewpubs emphasizes the dining experience, local community engagement, and the connection between food and house-brewed beer.

Taproom Breweries

Taproom breweries sell the majority of their beer directly to consumers on-site, with limited or no distribution. This is the most common brewery model in the US, with 3,695 taproom breweries in operation at the end of 2024. Taprooms rely heavily on local foot traffic, events, and repeat visits. Marketing for taproom breweries centers on community building, social media presence, local search visibility, and creating a destination experience that brings customers back.

Regional Craft Breweries

Regional craft breweries produce between 15,000 and 6 million barrels annually while maintaining independence. These are larger operations with established distribution networks that often span multiple states or provinces. With 266 regional craft breweries in the US as of 2024, marketing at this scale involves brand management across wider territories, retail relationships, and maintaining relevance against both macro competitors and hyper-local taproom favorites.

Large and Macro Breweries

Major brewing corporations like Anheuser-Busch InBev, Molson Coors, and Heineken control approximately 46% of global beer sales. In Canada, Molson Coors alone generates more than half of total industry revenue. While BeerSoft focuses on small and independent breweries, understanding the macro competitive landscape is essential for positioning. Craft breweries compete with macro brands on shelf space, tap handles, and consumer attention – and the marketing strategies required to compete effectively are fundamentally different.

Non-Alcoholic Breweries

Non-alcoholic brewing has emerged as one of the fastest-growing segments in the industry. Athletic Brewing Company climbed to the eighth-largest craft brewery in the US by 2024. Consumer surveys indicate that 61% of drinkers would choose a non-alcoholic version of their favorite beer, and 57% say they would stay longer at bars with solid non-alcoholic options. Marketing for non-alcoholic breweries targets health-conscious consumers, the “sober curious” movement, and younger demographics who drink less but still seek brewery experiences.

Contract Brewing and Alternating Proprietorships

Contract breweries hire other breweries to produce their beer, while alternating proprietorships share physical brewing space under separate licenses. These models reduce the capital requirements of launching a beer brand and allow companies to enter the market without building their own production facilities. Marketing for contract and alternating proprietorship brands focuses on brand story and identity rather than the brewing facility itself.

Cideries and Adjacent Beverage Producers

Cideries, meaderies, hard seltzer producers, and kombucha brewers operate alongside traditional breweries in the craft beverage landscape. Many compete for the same customers, tap handles, and event spaces. In national competitions, cider now competes alongside beer. Marketing for these adjacent beverage categories often follows similar strategies to craft beer, with an emphasis on local sourcing, artisanal production, and distinctive flavor profiles.

U.S. Craft Brewery Breakdown by Type (2024)

Every one of these business types has unique marketing challenges – different audiences, different decision timelines, different competitive landscapes. BeerSoft builds tailored digital strategies for each model, ensuring your brewery is visible where families, craft beer enthusiasts, and referral sources are searching.
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How Is Brewing Regulated in the US and Canada?

Brewery regulation in North America operates at multiple levels, meaning requirements vary significantly depending on where you operate. Breweries must navigate a layered regulatory framework that includes federal, state or provincial, and local requirements.

In the United States, breweries are regulated at the federal level by the Alcohol and Tobacco Tax and Trade Bureau (TTB), which falls under the US Department of the Treasury. Every brewery must obtain a Brewer’s Notice from the TTB before commercially producing beer. The TTB oversees federal excise taxes on alcohol, label approval through the Certificate of Label Approval (COLA) system, and compliance with production reporting requirements. Beyond the TTB, breweries must also comply with FDA food safety regulations and any applicable labeling requirements. In January 2025, the TTB proposed sweeping new rules that would mandate alcohol content, allergen, and nutritional information on beer labels – a significant regulatory change still under review.

State-level regulation adds another layer. Each of the 50 states maintains its own alcohol control board or commission with distinct licensing requirements, distribution laws, taproom sales rules, and self-distribution policies. Some states operate under a three-tier system that strictly separates brewing, distribution, and retail. Others allow various forms of self-distribution. The patchwork of state regulations means that a brewery’s ability to sell directly to consumers, ship beer across state lines, or operate a taproom varies dramatically by location.

In Canada, brewing regulation is primarily provincial. Each province maintains its own liquor control board or commission – such as the LCBO in Ontario, the BCLDB in British Columbia, or the SAQ in Quebec – that governs licensing, distribution, pricing, and retail access. Federal oversight comes from the Canada Revenue Agency for excise duties and Health Canada for food safety and labeling standards. Canadian breweries face one of the highest commodity tax rates on beer in the developed world: approximately 47% of the retail price of beer in Canada goes to government taxes, a rate five times higher than in the US.

Beyond licensing, breweries in both countries must comply with advertising regulations, health and safety codes, environmental requirements for wastewater and discharge, and accessibility standards for their taproom facilities. BeerSoft builds compliance awareness into every marketing program we deliver – ensuring your digital presence meets both legal requirements and family expectations.
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What Is Happening in the North American Brewery Market?

The North American brewery sector has entered a period of significant transition after a decade of rapid growth. Several trends are shaping the market that brewery operators and their marketing teams need to understand.

U.S. Craft Brewery Breakdown by Type (2024)

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Market Maturation and Consolidation

The craft brewery boom that added thousands of new breweries between 2010 and 2023 has shifted into a consolidation phase. In 2024, for the first time since 2005, more US craft breweries closed than opened – 501 closures against 434 openings. By mid-2025, the operating count dropped 1% to 9,269. Craft beer production volume declined approximately 5% year-over-year. At the same time, retail dollar sales continued to grow, reaching $28.9 billion – a 3% increase – indicating that surviving breweries are capturing more value per barrel. In Canada, the number of breweries declined 2.9% in 2025 following a 3.4% decline in 2024. BeerSoft helps operators capitalize on this consolidation by ensuring their digital presence captures the demand that closing competitors leave behind.

Consumer Behavior Shifts

Drinking habits across North America are changing. Per capita beer consumption in Canada has declined 27% since 2008, dropping to approximately 65 litres per person. In the US, the broader beer market shrank 1.2% by volume in 2024. Consumers are drinking less but spending more on premium and craft options. The “sober curious” movement, health-conscious choices, and competition from ready-to-drink beverages and spirits are reshaping how people choose what to drink. Taproom and brewpub models have shown greater resilience, outperforming distribution-focused breweries by 1–2 percentage points in the first half of 2025. Marketing that emphasizes experience, community, and quality over volume is increasingly important.

Non-Alcoholic Beer Growth

Non-alcoholic beer is the standout growth category in an otherwise contracting market. Beer Institute data shows NA beer up 22.2% year-to-date through mid-2025, with on-premise sales surging 26.4%. The summer months are peak season, with July 2024 seeing a 30.8% year-over-year increase. Younger consumers are driving demand: Gen Z and Millennials increasingly expect NA options wherever they drink. Athletic Brewing Company’s rise to the eighth-largest craft brewery in the US by production volume demonstrates the scale of this opportunity. For craft breweries, adding a non-alcoholic line offers a low-risk way to expand reach, innovate seasonally, and win shelf space in a shifting market.

Digital and AI Search Transformation

Consumers are no longer relying solely on Google to research breweries and taprooms. AI platforms like ChatGPT, Perplexity, and Google AI Overviews are increasingly part of the decision journey. A search for “best breweries near me” or “craft beer recommendations” now often surfaces AI-generated answers before traditional search results. Breweries that have not optimized for AI search are invisible to a growing share of potential customers. BeerSoft leads with AI search optimization (GEO) alongside traditional SEO because this is where the industry’s marketing is headed.

United States vs. Canada: Market Comparison

Consumers are no longer relying solely on Google to research breweries and taprooms. AI platforms like ChatGPT, Perplexity, and Google AI Overviews are increasingly part of the decision journey. A search for “best breweries near me” or “craft beer recommendations” now often surfaces AI-generated answers before traditional search results. Breweries that have not optimized for AI search are invisible to a growing share of potential customers. BeerSoft leads with AI search optimization (GEO) alongside traditional SEO because this is where the industry’s marketing is headed.
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Why Does Digital Marketing Matter for Breweries?

The brewery customer journey is increasingly digital, multi-channel, and influenced by search, social media, and AI interactions. The majority of customers begin their search for a new brewery, taproom, or beer brand online, and that number only grows when you account for AI search, social media, and email interactions.

Operators who rely on referrals and word-of-mouth alone are leaving revenue on the table. A coordinated digital strategy – website, search and AI visibility, paid advertising, content, email automation, and social media – ensures your brewery is present at every stage of the customer journey. BeerSoft builds integrated programs that connect these channels for brewery operators across the US and Canada.

Whether you operate a single taproom, a multi-location brewpub group, a regional craft brewery, or an emerging beverage brand, effective digital marketing is no longer optional – it is the difference between full taprooms and empty seats. For operators who want to go deeper on any of these topics, our Thoughts blog covers each area in detail, and our Glossary provides clear definitions of the industry and marketing terms you will encount
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