What implications can be drawn for the launch of a microbrewery service?

The launch of microbrewery service will be an excellent strategy to help keep up with the competition in the alcoholic market. The business has a high chance of developing given the opportunities and strengths available. Since the owner is already in business, it will be a lot easier to convince the target market to purchase his new product. This new product will make the existing business stand out from the business competitors. I think it’s a good strategy that the owner plans on mixing the two types of companies due to the risks involved. They should be both be independent such that when one business fails to pick in the market, then the other one will not be affected by the negative results.

It is however not guaranteed that the product will do well in the market. The right marketing strategies need to be used to introduce the product to the market. The product, however, looks promising due to the presence of various investors which means that source of capital won’t be an issue. The presence of existing space for the business to be launched also cuts down on the costs.

What distribution strategy do you recommend for the new microbrewery unit?

The distribution strategy I would recommend for the new microbrewery unit is direct distribution. The drink is a new product on the market, and this means that you will need to contact your customer more directly. Through this, the company will be able to provide more customer support and get to collect the feedback of the customer concerning the new drink. Through direct distribution, customers will also get to acquire more knowledge about the new product. The company will even know how to act on the complaints brought forth by the customer. Since the main idea behind introducing a new product was to beat the competition in the market, the strategy will allow you to distinguish yourself from the competition out there.

Until the product picks up in the market, there will need to maximize on the profits that come from selling the drinks. Direct distribution ensures that you do not have to share profit with wholesalers and retailers. The strategy will also eliminate intermediary expenses such as shipping and training costs.