Implications for Launching a Microbrewery Service
student JZ:
Question 1: Implications for Launching a Microbrewery Service
The highly competitive alcoholic market implies that the business owner\’s idea of launching a microbrewery is an excellent strategy. The case study reveals that the new venture will be successful owing to the existing business\’ strength and expansion opportunities. For instance, the entrepreneur already operates in the industry, meaning that introducing another product to the target market will be easy, cost-effective, and less risky. The existing space is advantageous due to low “start-up” costs. In my view, the new venture will reinforce the current one and enable it to outshine rivals in the market. Additionally, it will make it arduous for competitors to continue holding significant market shares due to their lack of offering different options for consumers to enjoy. In this regard, the owner\’s plan on mixing both companies is judicious and prudent since the business can either succeed or fail. Therefore, even though the entrepreneur will integrate the new venture into the existing one, both products will operate independently to ensure that the former\’s failure will not adversely affect the latter.
Although launching a microbrewery in the market is feasible, the product’s success is not guaranteed. The owner will need to introduce the drinks to the existing customers\’ first through numerous methods, such as offering free samples when they make their normal purchases. With time, the entrepreneur can gather the consumers\’ feedback before selling it to other customers. Moreover, the business owner will require the right marketing technique to sell the product. For instance, direct distribution is an ideal method where the business contacts the consumers directly. According to Rani, direct selling involves marketing products to customers without utilizing various third parties, such as retailers, advertisers, and wholesalers (57). Therefore, with the right plan, the entrepreneur can successfully launch the microbrewery and generate profits.
Work Cited
Rani, Gupta Swaroopa. “Direct Selling and Its Benefits to the Market Place.” International Research Journal of Science & Engineering, vol. 2, no. 2, 2016, pp. 57-64. Available at http://oaji.net/articles/2016/731-1473267843.pdf
STUDENT RE:
When a business wants to innovate and change its brand essence (the way people identify/relate to the brand) Marketing plays such an important role to achieve this goal successfully.
In this business case, one of the main objectives of the company is to increase its competitiveness by investing in a new system (in-house draft beer infrastructure). Through Marketing strategies, the company will be able to position its innovation and eventually become the best draft beer restaurant in the area.
The restaurant needs to design a promotion strategy considering the application of the Marketing Mix Strategy (4Ps – product, place, price, and promotion). This will help the company to know how to develop and offer a new concept to the market. Once the company has clearness of the product they want to offer, they have to go through the analysis of the 4Ps and finally challenge their offer to the market by asking why or what-if questions. For example: why our target audience needs this particular product? What if we increase prices? etc.
On the other hand, it is very important that they identify their potential customers and know their interests, behaviors in order to recognize the best channels for advertising (social media, T.V, spectaculars, among others). Moreover, the message they send to the targeted audience must be strong and full of confidence. The company needs to position as an expert in the beer industry and gain customers\’ confidence by showing customer stories or photos that proof the place is full of happy customers enjoying beer.
Finally, we have to achieve a unique and desirable product to be competitive in the market.
Answer preview to implications for Launching a Microbrewery Service
APA
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