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White Claw sales have skyrocketed over the past year, into numbers near Budweiser sales, according to the company, which is struggling to keep up with demand. In response, White Claw is limiting its supplies to ensure it can continue serving each of its markets.
That distribution practice, which is called allocation, has reportedly been in place for a year, the company announced. Stores will continue getting a steady flow of the products, but they will not be increasing shipments to any stores that run out of the product.
Allocation is expected to possibly last through 2020. Sales of spiked seltzer products surpassed a billion dollars in August, up nearly 200 percent from a year ago. The surge in popularity has reportedly led Anheuser-Busch to expand its business into spiked seltzers of its own.
"While not completely eliminating intermittent stock-outs, we believe this strategy has helped us be in the best position possible on the shelf," Phil Rosse, White Claw's president, said in a statement. "But with the tremendous response we have had from consumers, understandably, our supply chain has tightened."
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