Temecula craft beer industry output reaches $35 million in 2018


TEMECULA – The Temecula Valley Craft Brewers Guild, in partnership with California State University San Marcos, released a report revealing the city’s 10 craft breweries produced an economic output of approximately $35 million last year. The research shows that Temecula Valley’s brewers increased barrel production by 55% since 2016 and anticipate continued growth over the next 12 months. In 2018, Temecula craft brewers also made a significant impact on the local community, donating over $80,000 to various local organizations and employing more than 130 people. See the full report at university’s College of Business Administration website.

To put this impact in perspective, The Temecula Valley Balloon and Wine Festival had an economic output of about $2.8 million in 2018. Excluding hotel and restaurant revenue from the assessment, independent craft breweries in Temecula had an economic output of more than 10 times that of the Temecula Valley Balloon and Wine Festival in 2018.

In comparison to Riverside’s wine industry in Temecula, Temecula craft breweries had approximately $27 million in revenue in 2018, while the wine industry had approximately $65 million in revenue in 2016. This amount is significant considering that Riverside’s wine industry has more than 40 wineries and saw its first open in 1974 with Callaway Vineyard, while the craft beer industry currently has 10 breweries and only saw its first microbrewery open in 1994 with Blind Pig Brewing.

“Our key objective with this economic impact report is to help drive awareness that the Temecula craft brewing community has a significant, positive and growing impact on the local economy in terms of economic output, job creation and financial support for local nonprofit organizations,” Todd Colburn, the university’s craft brewing industry adviser, San Diego Brewers Guild board member and founder of Higher Gravity Brand Advocates, said. “Our hope is that this information ultimately helps consumers understand the importance of consciously choosing local, independent craft beer and supporting Temecula breweries.”

The report found that 70% of Temecula brewers predict an increase in barrelage production over the next year and 60% of Temecula brewers plan to hire more employees over the next year.

The Temecula Valley Craft Brewers Guild, in partnership with the city of Temecula, was created in 2017 in response to the craft beer industry emerging in Temecula. The guild offers an opportunity for local craft brewers to get involved and help shape city zoning regulations that affect this industry.

Since inception, the guild and the city have met on a regular basis and have created numerous marketing campaigns to promote the breweries including the Ale Trail Guide and Visit Temecula Valley’s Craft Beer Month.

Building on an innovative 28-year history, California State University San Marcos is a forward-focused institution, dedicated to preparing future leaders, building great communities and solving critical issues. Located on a 304-acre hillside overlooking the city of San Marcos, it is the only public four-year comprehensive university serving north San Diego, southwest Riverside and south Orange counties.

The university enrolls 17,000 students. With approximately 2,000 employees, the institution is a Great College to Work For according to The Chronicle of Higher Education. As a recipient of the annual HEED Award since 2014 – a national honor recognizing U.S. colleges and universities that demonstrate an outstanding commitment to diversity and inclusion – California State University San Marcos is committed to creating a diverse and inclusive environment. For more information, visit www.csusm.edu.

The College of Business Administration, in conjunction with the University Library and the College of Humanities, Arts, Behavioral and Social Sciences, is offering a suite of research services for a fee to benefit small businesses and nonprofit organizations. The Office of Business Research and Analysis unites faculty expertise with student researchers to produce business plans, economic impact analyses, econometric analyses, geographic information systems studies, industry sector forecasts, marketing analyses and more. For more information, visit www.csusm.edu/coba/obra.

Submitted by California State University San Marcos.