Massachusetts Breweries Weather Downturn

Photo: Chaiel Schaffel/WBZ NewsRadio

MARLBOROUGH, Mass. (WBZ NewsRadio) — It's a weird time for breweries around Massachusetts.

"I've seen wrestling happening at a couple breweries, which is very cool," said J.P. Gallagher, co-owner of Lost Shoe Brewing and Roasting in Marlborough.

Many breweries are expanding their businesses away from beer to combat a downturn in beverage sales. Lost Shoe has been able to survive by doubling as a coffee bar, but some breweries have not had the same success over the past few years.

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According to the Brewers Association, a non-profit organization of brewers from across the country, Massachusetts saw a craft brewery boom in the 2010s. By 2023, 224 breweries were operating around the state. Brewery openings continue to trend upward, but the rate of growth started to taper off around 2019.

Several Boston-area breweries have either shut down or been absorbed by other companies in recent weeks, including Distraction Brewing in Roslindale Square and Cambridge Brewing Co. in Kendall Square.

"It's a bummer because we're friends with a lot of these breweries," Gallagher said.

Gallagher blames shifts in social trends and spending habits for the slowdown.

"People just aren't either going out as much or they're not spending as much," Gallagher said, "especially the younger generation. The younger generation coming in is not really drinking at all."

The U.S. alcohol market shrank in the first seven months of 2024, according to industry analysis firm IWSR. Months later, the U.S. surgeon general warned that alcohol is the third-leading preventable cause of cancer in the country and called for producers to add warning labels to their packaging.

Despite these blows to the industry, Gallagher remains optimistic.

"Beer has been around for thousands of years, so I don't think it's going anywhere anytime soon," he said.

WBZ’s Chaiel Schaffel (@CSchaffelWBZ) reports.

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