What It Really Costs to Make a Can of Beer
Let’s be real — brewing great beer is an art, but selling it profitably? That’s a whole different game.
If you run a brewery, manage the books, or make the big calls on what gets canned and what doesn’t, this one’s for you. You already know that margins are razor-thin. But how thin, exactly? Let’s crack open the true cost behind every 473ml can of craft beer — and why pricing it right could mean the difference between thriving and barely staying afloat.
From Idea to Shelf: How a New Product Comes to Life
It starts with a hunch. Maybe it’s an updated hop profile West Coast IPA . Maybe your team’s got a creative itch, exploring Low-Carb and Low-Alcohol Options Or maybe you're just chasing a gut feeling.
Some breweries run ideas through a proper checklist:
Does this fit our brand and consumer demand?
Do we have the production capability?
Can we get the packaging dialed in without breaking the bank?
Others move fast and loose — and sometimes, that works too.
Once greenlit, the journey begins:
🍺 Recipe tweaking
🎨 Packaging design
📈 Sales & marketing plans
📦 Securing space with provincial and private liquor stores
From idea to shelf? You're looking at least 6 months.
Let's take a look at what makes up the cost of your favorite 473ml can
On average, it costs a craft brewery about $2 to produce a 473ml can of your favorite Craft Beer.
📏 Time for a Beer Brain Teaser!
If a brewery produced 15,000 hectoliters of beer, how many 473ml cans would they need to put it all in?
Chose the Answer
1) That's, like, basic beer math. Hold on, let me text my niece. She's in grade 12 and probably aced this in "Units of Deliciousness"
2) Forget about cans. That’s enough beer to fill Rice Lake… the phrase "gone fishing" would take on a whole new meaning. Anglers would be reeling in... well, probably just slightly tipsy fish. And the lake's colour might change to a lovely shade of amber
3) The secret to unlocking the answer lies not in grand calculations alone, Some might say it's hidden in plain sight... others might need another sip of their favorite brew to help them focus. Happy reading!
1. Taxes – $0.34/can (17% of cost)
Beer is one of the most heavily taxed consumer goods. Both federal and provincial governments take a slice. In BC, for example:
The markup starts at $0.40/litre or $0.20 per 473ml can for small breweries (under 15,000hl/year)
It increases up to $1.08/litre or $0.51 per 473ml can if you’re making over 350,000hl
2. Packaging – ~$0.85/can (38% of cost)
Blank aluminum can + lid: $0.25 - $0.35
Labels, wraps, mumms, trays, and pallets all add up to another $0.30-$0.60
“Fancy” 4-pack boxes? They look awesome but can tack on another $0.20+ per can
Packaging is where many brewers lose margin in the name of shelf appeal.
3. Sales – $0.40 to $0.60/can
Someone’s gotta sell the beer. Whether it’s your in-house team or a 3rd-party sales agency, you’re paying to:
Secure shelf space
Set up displays
Train staff at bars & stores
Sales isn’t optional — it’s oxygen for your SKUs.
4. Logistics – $0.20+/can
Trucking cold, fragile, perishable product across provinces isn’t cheap. Winter shipping? Even worse.
“Frozen beer = dumped beer”.
Insulated transport costs more, but it’s non-negotiable for quality control.
5. Ingredients – $0.30+/can
Raw material prices are climbing:
Malt: +200% in some cases due to crop issues
Cleaning chemicals: up +30%
Specialty flavours and hops (fruit, coffee, candy) = higher COGS
6. Labour – $0.10+/can
Brew crew, packaging team. A good team keeps the lines running, but you’ve got to factor every shift into your margin.
The Math: Can You Actually Make Money?
A 4x473 pack costs you around $9 dollars to produce. You want a 30% margin? You need to sell it to the LDB for around $13 bucks.
Wholesaler marks it up 25%–35%
Retailer sells it for $15.99
Add taxes and deposit — the customer pays almost $19 bucks
Your profit? Less than $2.00 per 4-pack, or ~30% margin.
But Don’t Forget Overhead
These aren’t included in the per-can cost, but they matter:
Rent
Equipment leases
Insurance
Admin staff
Utilities
You still have to cover those out of your margin.
One Last Thought Before You Crack Another
Here’s the hard truth: consumers always want what’s new, but new costs time and money. From concept to shelf, each beer is a team effort with dozens of hands — and decisions — shaping what you see on that can.
Still, we’re seeing more craft beer drinkers want to understand the why behind the price. They’re learning that paying almost $20 for a 4-pack isn’t just supporting a product — it’s supporting your people, your craft, and their local economy 🍁.
Let’s Talk – I’d Love to Hear from You
If this sparked ideas or made you rethink your cost structure, just imagine what we could do over a pint.
Whether it’s dialing in margins, refining pricing, or just bouncing around ideas — I’m here for it.
Written by Sean Wang, Founder | Beer Lover | Mountain Biker
Updated Apr 11, 2025
🍻 First round’s on me.
🍺 brain teaser:
If a brewery produced 15,000 hectoliters of beer, how many 473ml cans would they need to put it all in?
Answer: over 3.1 million 473ml cans
**Step-by-Step Calculation:**
First things first! We need to talk milliliters (ml): 1 hectoliter (HL) = 100,000 ml * So, 15,000 HL × 100,000 ml = 1,500,000,000ml
Now for the can count! Each of those handy 473ml cans holds a perfect serving: 1,500,000,000 ml ÷ 473 ml = 3,171,247.36 cans
