This is a reaction to this article originally reported by the Akron Beacon Journal and expounded upon best (so far) by Food & Wine here.
The premise of the suit is that WalMart willfully deceived customers into believing that their private-label beer brand, Trouble Brewing (get it?!?), actually brewed by Genesee is a true “craft beer” brand justifying a higher price point than non-craft beers. The shock here is not that WalMart took this circuitous route around forthrightness but, rather, that it wasn’t presumed to be the case from everyone from the start. I believe that there is a huge measure of caveat emptor in play here.
Keep in mind, that private label beer, wine, and spirits have been made for Costco, 7-11, Total Wine, Walgreen’s, Trader Joe’s, and many huge or widespread domestic retailers selling any alcohol throughout the US. This is nothing new. There is a measure of subverting the truth with nearly all of them, generally lies of omission. Where is the line drawn for true deception, though?
If I were a craft beer drinker in Boise Idaho shopping the beer aisle at the Overland Road WalMart Supercenter the first thing that would come to my mind when seeing Trouble Brewing (made in 2,285 miles away in Rochester, NY) is economy of scale—that in order to feed WalMart’s massive empire, this beer can not likely be a true “craft beer” made in a small brewery run by a couple of bushy-bearded beer-lovers chasing a dream. I have accepted these products in in practice and, to some degree, in theory because the waters have been muddy for a long time now. “Craft beer styles” (read: non-American adjunct lagers) are produced by several large, otherwise uninteresting breweries—from SABMiller to Sam Adams—to under the guise of being truly “craft”. It is largely a semantic argument at that scale. These Trouble Brewing beers are, at this stage in the game, virtually no different from the relatively high-production stuff that their sister brands, Pyramid and Magic Hat, foist upon the public from neither a quality nor truth in marketing perspective. These beers are simply a product of economy of scale to feed the vast WalMart supply chain and, I am sure, everything about them speaks to that, from the sophomoric packaging and marketing to the reportedly uninspired flavor profiles.
Make no mistake, this suit was not brought forth by innocent consumers who were shocked into action when they discovered they were duped. Craft beer drinkers are largely one of the most discerning, self-informed, and vigilant consumer segments in the world and this suit was brought forth by a craft beer consumer bent on enforcing transparency. As anyone who has ever read this blog will attest, I am absolutely for fighting for transparency in marketing, but I don’t genuinely believe that the wool was really being pulled over anyone’s eyes in this instance.
The core consumer that may toss these beers into their cart along with small appliances, housewares, toys, diapers, cookies, and cleaning supplies is probably not largely the core craft consumer up-in-arms over this. Most consumers outside the craft beer enthusiast market likely don’t care if it’s really a “craft beer”, only that it provides a favorable experience for the price. The argument in the suit that Walmart inflated the prices for the beers to put them in line with other craft beers as a deceptive practice is spurious. Honestly, many large-scale “genuine” craft beers have inflated pricing. All that matters is what the market will bear. If consumers feel they are getting good QPR from this stuff, what does it matter how much profit WalMart makes on it? Profit margin is their business.
To the larger part of the claim—the deception of craft provenance —WalMart may be trying to emulate craft beer, but nowhere on the packaging do they directly claim “craft” or its similars in any way. The brewery is listed as Trouble Brewing with the same Rochester, NY address as many of Genesee’s other contract brewed products. This is all pretty easy to discern if you are a consumer who cares about that stuff. And that brings me back to my point that the vast majority of people inclined to even consider buying this stuff do not care about provenance as long as they don’t find out that it was made by poor children with a heavy metal-laden water source next to an electronic parts reclamation farm.
The clues of provenance, and scale, and, ultimately, honesty are all there in front of us with these beers and many other products that we just don’t care enough to be cognizant of and reactive to. No one can deceive you unless you are open and available to the deceit.
None of this is to suggest that I have grown less vigilant in my own pursuit of transparency in marketing. I strongly believe that there is a pervasive problem in marketing within an industry where the only regulations of import have to do with taxes and very little of substance to do with consumer protection. But this is another instance where we do not seem to take enough personal responsibility for our consuming habits. It is incumbent upon us to engage ourselves a bit more in our buying habits if we care about this stuff. Once we have made that commitment, the mere subterfuge becomes white noise and we can zero-in on the genuine deceit. Otherwise, all of the after-the-fact griping and class-action suits hold no water when real hard-core deception that actually hurts people comes along.