Jul 24, 2021 - Economy

Hard Seltzer slump hits hard

Data: FactSet, Chart: Axios Visuals
Data: FactSet, Chart: Axios Visuals

Boston Beer is bearing the brunt of a peaking fad: hard seltzer. Wall Street took notice.

Driving the news: Demand for its Truly Hard Seltzer fell flat. Customers didn't buy nearly as much as the spirits giant anticipated. Now its inventory is piled high with it.

  • It hurt profits and forced executives to scale back estimates for how much money it will make this year.

The bottom line: Seltzer is everywhere. The customers who are buying have more options than ever to choose from.

  • "New hard seltzer brands at retail [stores] ... have resulted in a proliferation of choices and consumer confusion," founder Jim Koch told analysts.
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