Pabst Blue Ribbon hikes its price and still sees 25% increase in sales this year

Headnote

Brand now costs $1.50 more than rival MillerCoors' Keystone

PABST BLUE RIBBON is a recession juggernaut, but not just because it's cheap.

Sales of PBR are up an astounding 25% this year, according to Information Resources Inc. And while cheaper beers - a group within which PBR has long been something of a mascot - are outperforming their more-expensive peers as consumers look for low-cost options these days, there's clearly more than pricing at work here.

So, what's driving consumers to choose PBR?

For starters, PBR isn't that cheap any more. The brand hiked prices this year, and a case of PBR now costs $1.50 more than MillerCoors' Keystone, $1 more than AnheuserBusch's Busch and Natural brands, and 50 cents more than Miller High Life.

And it's rising at a faster clip than all of the aforementioned brands - all of which are growing this year - despite...