How Much is too Much to Spend on Beer
November 25, 2009
I read a lot of other beer blogs on a day-to-day basis, many of my favorites are over in our “Friends” list (AKA Blogroll). Many times I’ll be reading a post about home brewing or an interesting beer review, but occasionally I’ll come across a post that gets me thinking in different ways. Still beer, but different.
Case in point. How much is too much to spend on a bottle of beer? Do you have a limit? If you have a spending limit, do you know what that limit is, and furthermore, why you have it? Is it purely economic, or is it a psychological barrier to spending more than X amount on beer? Perhaps its a blend of several reasons?
I found an interesting discussion about this very topic on an older post over at Hedonist Beer Jive. The expensive beer in question was the Russian River Consecration which is supposedly a very good Belgian Style ale (I’ve not had it), but it typically sells on the better side of $20 for the 22 oz. bottle.
During the post, Jay (of Hedonist Beer Jive) made an interesting personal observation. He did not think that there was 3 times the value in the Russian River beer over other beers that were a third of the price. This makes a lot of sense actually.
He went on to say he recognized that there is a difference between his own spending point that he would not cross, and the price point at which the beer is set by what the market will bear. So Jay had clearly defined for himself and his readers that $24 is not something he is willing to spend on any beer for any reason.
So, that got me thinking (this seldom happens). What’s my spending limit when it comes to beer? I remember buying the Sam Adams Chocolate Bock for $12 and really had to stop and think it through. “$12 for a Bottle of Beer? How do I rationalize buying this?” So, I thought some more (ever rarer) and came up with a couple of reasons. From a quantity standpoint, its more like a few regular bottles of beer in one big bottle, right? (Someone do the math please) That makes it a better value right? To me, it was more like buying a half of a six pack for $12 in one easy package!
On top of that, I had read several glowing reviews about the Sam Adams Chocolate Bock. So, I also had fairly good intelligence that the beer was going to be good, AND if I broke it down, its like a half of a six-pack and not just one bottle of beer.
So, I bought it, and was really happy that I did! It was a good beer!
This brings me back to the first point. What is my single-item beer spending limit? I know I’d buy an $12 bottle of beer, and looking back, I spent $4 on one little bottle of Japanese Sweet Stout just to try. But would I buy a $24 bottle of beer? I think, based on the glowing reviews of the Russian River Consecration that I probably would. Probably.
Now, what if a beer was $35, $45, $100? Would I buy it even if I knew it was going to be an amazing beer? Like Jay, I’m thinking there is a point of diminishing returns regarding beer. I’m not sure a $50 beer would be twice as good as a $25 beer. What about if its a limited supply? For $350, would you buy one of 600 bottles of one of the world’s most expensive beers, Carlsberg Jacobsen Vintage No. 1? For me, that’s a no-brainer.
NO! But, I guess someone is buying it, right?
If $350 is within your buying range for a bottle of beer, what about $1,000? Would you drop a grand on a bottle of beer? Supposedly there is a $1,000 beer called Vielle Bon Secours that is only available in London (maybe Bob the Brit will pick up a couple for review) but it seems a bit hard to actually verify that this is indeed true. Still, its quite audacious. For $1,000, this beer aught to deliver more pleasure than an hours worth or orgasms. (How crazy would that be?)
Over at Thank Heaven for Beer, the guys have a good post on some of the reasons why some beers are more expensive than others. Its worth the trip and gets you thinking about some of the reasons why beers cost crazy amounts sometimes.
The very positive side of all this, is that a market exists for brewers to try crazy and expensive stuff, ask a premium and get it! If there was no profit in it, there would be no such thing as $25 beer, right? Personal choice of the consumer to spend $100 on a beer or not. If they do, Mr. Brewer keeps making it and hopefully a profit – if they don’t, well the beer won’t be made anymore. Capitalism at its best!
So that’s it. I figure my spending limit is around $25 once in a while, for something that I know is going to be good based on trusted sources. Higher than that, I don’t think I would entertain buying the beer unless of course there’s that orgasm thing – then I might think about it. I think everyone has their price, maybe they just haven’t thought about it yet. I hadn’t.
So, do you have a psychological price point that you will not cross regardless of quality, scarcity or orgasmic-producing goodness a beer may have? Have you ever bought a beer that was $25 or more? Did you regret the decision or did you find that the beer was really worth it compared to less expensive beers?
C’mon now, speak up – don’t be shy!
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November 25th, 2009 at 11:24 am
Well, it depends on the relative quality associated with said beer. If it falls into the light lager category, then no money shall be exchanged, unless it involves paying me a decent sum of money to drink it.
For the 750mL singles, I’ll usually go up to $15. They tend to range from $8 to $12, but $15 is an acceptable limit. Depending on the mystique surrounding said beer, I may jump to $20.
Now, I have spent $30 on a single bottle of beer before. It was a Magnum bottle (1.5L) of Chimay Grande Reserve (aged for a year or more). I’ve seen their Jeroboams (3L) between $75 and $100. This stuff is excellent when aged, and should be shared with friends.
November 25th, 2009 at 12:56 pm
The most I have spent on a beer was Rogue’s 2008 Brewers Ale at $26. It was a one time brew and in a special ceramic bottle that I just couldn’t say no to. But I have bought a few bottles that are between the $10 – $15 range.
I reserved a bottle of Sam Adams Utopias at my local store recently but it looks like I won’t be getting that now because the store has upped the price from $150 to $250.
Some times you just want to treat yourself to something nice. And you just have to say “when in Rome.”
Mike – MikeLovesBeer.com´s last blog ..Tis the Season?
November 25th, 2009 at 12:56 pm
I start to get cheap at $20 for a 750ml bottle and $8 for a single. Of course I’ll pile 10 or more $12 – $15 into my cart at the beer store, but those last a while.
I’d be willing to spend more for a really special beer, but my philosophy is that there is so much great stuff I haven’t tasted yet that is affordable, why spend an insane amount of dough on a beer?
Maybe in a couple of years when I’ve tried it all I’ll consider spending more.
November 25th, 2009 at 1:04 pm
The most I have ever spent on a beer so far is $13.50. That bottle of Chimay Grand Reserve I reviewed way back when. Here is the link. http://beerandwhiskeybros.com/2009/08/23/chimay-blue-the-novice-perspective/
I have seen bottles as high as about $20 in my local beer store, but I think I would have to pass on them, partly because of cost, and partly because of volume. I don’t want to drink 50 oz of 10% ABV beer in one sitting. That is like drinking about 6 shots of Everclear grain alcohol. No thanks. So I look in the $10 and under range. If I pay more than about $5 for a 12 ounce beer it makes me wince a little, and I’d say the same is true for the 22 oz bottles over $10.
Don´s last blog ..What Are You Having for Turkey Day?
November 25th, 2009 at 1:08 pm
BTW Scott, great post!
Don´s last blog ..What Are You Having for Turkey Day?
November 25th, 2009 at 3:13 pm
Good post. This is something I’ve thought about a lot and wish more of the beer community would think about and write about.
One common thing I see with people buying beer is that they think very much in terms of cost / benefit analysis. Ie, they think okay I’m getting 16oz of a 10% alcohol beer for $8 so that’s the same value as a 5% 16oz at $4. Or they think in terms of what you said – is a $16 beer twice as good as a $8 beer? I’m guilty of this too, but I’m trying to avoid thinking this way.
The reason I think it’s wrong is that beer is a craft, artisan beverage, not a mass produced undifferentiated product (unless you’re drinking Bud/Miller/Coors, which is probably not the people on this blog). In the wine world can you imagine a wine aficionado saying “well, this $30 wine isn’t twice as good as the $15 wine so I’m not going to buy it”? Or this $12 wine isn’t twice as good as the $6 boxed wine so I’ll just buy the boxed wine. Somehow the wine world has managed to be perceived as a luxury good and people usually are more willing to spend higher prices just based on the reputation or name-brand of the wine. We need to make beer more like that. Thinking about beer in terms of how can I get the most alcohol for the cheapest price is wrong – then we would all be Bud drinkers
November 25th, 2009 at 3:53 pm
I suppose I’m in the minority. If I want a bottle of beer I will pay for it. I have no problem paying 60 for a bottle of beer I want. In fact I just paid $120 for 2 bottles of Lost abbey’s Duck Duck Gooze. Some would find that insane, and I can completely see your side. But I will not pay that kind of money for a beer that I don’t want or can’t keep for a long time.
http://www.simplybeer.com/blog/the-beer-cellar/
Look at my beer cellar, not only do I drink a lot of beer but I also collect beer that I think still/will be spectacular in a couple of years. People collect lots of different things, I collect beer and don’t have a problem spending money on a beer I want.
Simply Beer´s last blog ..Simply Beer Club – Holiday Beer Tasting, Dec 2nd
November 25th, 2009 at 4:02 pm
let me add one more thing. I have a value inmy head of what a beer is worht in my head, i will never pay more then that. If I think a beer is worth $8 and it is listed at 12 I won’t by it. If I think a beer is worth $50, and it is is selling for 45, I’ll buy it. I makes sense to me, but probably not to most.
Simply Beer´s last blog ..Simply Beer Club – Holiday Beer Tasting, Dec 2nd
November 25th, 2009 at 4:12 pm
Thanks for the mention, Scott. I think I’m more on the side of paying more for sure. I see it like buying a fine bottle of wine to cellar. It is interesting how conflicted people are to pay good money for terrific beer and astronomical amounts for a good wine. Attitudes can be everything. Since I cellar, it’s like a investment for me. I’ve paid for a bottle of Utopias before, so I’m not afraid to get something unique that really costs. I’m also with on board with the idea of perceived deal. That is, I’ll pay $8.99 all day long for a bottle of Harvest Ale that is from 1998, 1999, 2000…especially since It’s already been aged for me.
Michael Reinhardt´s last blog ..Hit Me with Your Best Deschutes: Three Reserve Reviews
November 25th, 2009 at 5:25 pm
Wow, thanks for all the great comments! Its interesting to see the varied angles, but two things come to mind that I wanted to run with a bit.
Regarding the investment in a quality product to perhaps cellar for some day down the road like @Simply Beer and @Michael Reinhardt mentioned – that’s a whole different level that I had not considered when writing this. Thanks for mentioning it because I could definitely see spending more for that purpose, it makes sense to me.
To touch a little on what @Patrick mentioned – true, it is a mindset that you don’t see in the wine world. 2 things come to mind. A) We can get a hell of a good beer for the same price as a ’so-so’ wine. That’s good!
but… B) do we really want the beer world to become like the wine world?
Again, great comments everybody and Happy Thanksgiving!
Scott-TheBrewClub´s last blog ..5 Best Beers For Beginners
November 25th, 2009 at 6:07 pm
Scott good point. I definitely do not want the beer world to become like the wine world, but it is funny that I have used that exact same reasoning to justify buying a higher priced beer…”well if it were wine I was buying I wouldn’t wince so much”…so I go ahead and buy it. But really if I were buying a $120 bottle of beer, there are plenty of GREAT BOURBONS and WHISKEYS I could purchase for that same $$. I would never do it. We all have our limits.
Don´s last blog ..What Are You Having for Turkey Day?
November 25th, 2009 at 6:27 pm
@Thanks Don. That’s what I was interested in, what limits people had set for themselves and why. This is proving to be an interesting topic
For some, its budget. For others, its a value decision, and then we all have our different priorities as well as to where our $$$ gets spent.
I also find it interesting that Wine is so often used as a baseline justification for beer purchases. Its almost as if beer was called something other than beer, it would be easier to spend more on it! I think there is an indelible psychic impression macro beers have left on the population at large of what ‘beer’ is supposed to be. Its cheap stuff to get drunk on and the further we push that price point, the further we bang up against what ‘beer’ is supposed to be.
Heh. I wrote all that without drinking anything. Does it make any sense???
Scott-TheBrewClub´s last blog ..Weihenstephaner Hefeweissbier
November 25th, 2009 at 7:12 pm
Another great point Scott.
When you think about it, what is most people’s introduction to beer? In college. What is always emphasized in college? Cheap beer! I can remember once buying a case of Blatz for $2.99. The point is, beer was cheap and plentiful, and served a purpose, and the purpose was not to enjoy slowly sipping! That is the formative impression I would say 99% of beer drinkers get, and by the way, marketers at the macros spend Millions on promoting So the idea that you might spend $20 for a single bottle, when that same $ would have bought me 6 cases of Blatz in college becomes a tough hill to climb over.
So as adults who are becoming beer connoisseurs we still have much of that baggage blocking our perceptions of what might be reasonable. So what do you do? You look for justifications, Wine is an easy one. Great topic Scott!
Don´s last blog ..What Are You Having for Turkey Day?
November 26th, 2009 at 8:05 am
I’ve just sampled (for The Brewclub) Tokyo Stout which weighed in at the Brit equivalent of $16.50 for a 330ml bottle. The most I can recall spending on a beer was $21 for a 750ml bottle of Deus brut des flanders, but sip for sip the Tokyo is still the priciest.
Mind you I’m taking a day trip to France next week, so we shall see what’s on the shelves!
Bob the Brit´s last blog ..The Lord Mayor’s Show
November 27th, 2009 at 10:38 am
Just found out that Troegs Mad Elf is up to $60/case this year. It’s fun to serve these up during the holidays but that’s just nuts. We have a box from a few years ago marked $34.95 which is still on the high side but ok. I’d be more interested in seeing what else we can find for that kind of money.
Rachel´s last blog ..Roasted Root Vegetables
November 27th, 2009 at 9:39 pm
@Rachel – Wow, that is nuts! Mad Elf is a good beer but $60 for a case. Still, it would bring much merriment that you can’t put a price on!
Here’s our review from last year!
http://thebrewclub.com/2008/12/26/christmas-beer-review-troegs-mad-elf-ale/
Scott´s last blog ..Beer Review – Southern Tier Pumking
November 30th, 2009 at 10:48 am
I read a post recently in which the author brazenly asserted that he didn’t even look at price tags when he bought beer. It kind of bugged me.
One’s personal financial state MUST be a figure in the equation; that is, pricing is subjective. A bottle of Utopias “costs” more for me than it does to Bill Gates, even if the numbers on the price tag are the same.
Too many people spend more than they make, including our government, and end up in a dilemma. If the beer is worth $30 bucks, it is still too much for me if I am going to put the well being of my family at risk. But if the boss cuts me a Christmas bonus and all my personal expenses are taken care of, that thirty bucks may not be too much.
So, like everyone else, I think Quality and Scarcity are factors, but so is personal income…which is why the folks that came into the homeless shelter my wife worked/volunteered at always came in with bottle of Milwaukee’s Best and not Dogfish Head.
nate´s last blog ..Classic beers within the Styles: Intro
November 30th, 2009 at 1:28 pm
@Nate, that’s a great point and I think that everyone should have this concept rolling around in their heads as they buy anything – including beer.
Scott-TheBrewClub´s last blog ..Brew Your Own Beer From a Kit – Part 4 Brewing
November 30th, 2009 at 7:00 pm
Just picked up some Life and Limb the collaboration between Sierra Nevada and Dogfish Head. It pushed the limits of what I am willing to pay at $9.00 for a 24 oz bottle. Probably wouldn’t have thought twice about it, but I had to pick one up for Jim too. $20 after tax for 2 bottles of beer is more than I’m really interested in, but I’ve heard some pretty amazing things about this brew. I’m looking forward to it. Of course you’ll see our thoughts on the web site when we write it up.
-Don
Don´s last blog ..Aging Takes Care of Everything
December 2nd, 2009 at 12:22 am
Thanks Don – looking forward to reading about it. I just hope its not a beer that doesn’t live up to the hype!
Scott-TBC´s last blog ..Aecht Schlenkerla Rauchbier – German Smoke Beer
December 7th, 2009 at 3:46 pm
I think it’s all a matter of perspective.
For example, in comparison to those wine lovers out there beer, even the most expensive bottles, is a pure bargain. Additionally, being from British Columbia, I am subject to some of the worst liquor laws in North America. A bottle of Old Rasputin 12 currently retails for close to 25 dollars with taxes. That’s not even a world class mind blowing beer, and I bought two.
In the grand scheme of things being a hardcore beer lover can become expensive like any hobby. However, when you look at it next to some of the Whiskey and Wine lovers out there – we get off easy.
cbjerrisgaard´s last blog ..Alibi Room’s 100th Tap Rotation Update!
December 7th, 2009 at 10:23 pm
I’d agree – I think beer is a hell of a value compared to some of the other choice drinks available.
Scott-TheBrewClub´s last blog ..Brewdog Tokyo Stout