Business Proposal:
Short- and long- term goals: Short- and long-term business goals are attainable and time- bound.
Target market: Clearly identified by demographics and product/service meets needs/wants of target group
Strategies and Action Plan:
Product: Clearly evident what product/service is being provided
Price: Includes the pricing structure and explains why/how these prices were determined
Place: Location is very convenient for target market
Promotion: Promotional material makes target market clearly aware of what the product/service is, what it does and where it is available
Position : Unique selling position (USP) in the market clearly determined
Budget (income statement, costs, returns, accuracy):
Income statement is complete and demonstrates a reasonable return on investment (ROI); all calculations are accurate and accurately categorized.
Terre Haute Brewing Company Marketing Strategy
Terre Haute Brewing Company (THBC) is the second oldest brewery that operates in America. The brewery is more than one hundred years old and still boasts of quality local beer. THBC was founded in 1837 by two men, Chauncey Warren and Demas Deming Sr. (History). The Indiana-based company has managed to stay afloat despite many challenges experienced along the way. This paper discusses THBC’s marketing strategy that includes its goals and target market.
Short- term and long-term goals
The long-term goals of THBC include to keep their heritage within the community alive and to have its microbrewery. Short term goals include appealing to the younger population of the city and having a venue for events. Being a brewery, they understand that they have to appeal to their clientele. Hence, the goal is to offer unique and exemplary service pertaining to alcohol and related beverages.
Target market
The company majorly targets young people in Indiana. The goal is to have a large cesspool of the young people drinking their high-quality beer. They target young people because they believe they are the largest part of the population and the highest consumers of their beverages, especially the beer. Other population members above the legal age of drinking also form part of the regular clientele, though they do not bear as much weight as the young people. The company also targets families and corporates and hence the establishment of events venue within the brewery. This way, as others have their fun drinking, others engage in activities within the big spaces available. In essence, the organization targets all members of the population (Monroe). Part of the goals includes keeping their heritage within the community. This means they must engage all members of the community to create a sense of belonging among all.
Strategies and action plan
The company majors in producing a craft beer that is brewed locally and has a unique appeal. The signature recipe used in being the beer is the major contributor to the success of the brand. However the company has diversified its operations to meet the needs of all its customers (Bennett). Apart from brewing, which is their core business, they also provide venues for events like corporate parties. This way, they benefit from both sales of beer and the provision of the platform. The company also has other entities like a restaurant and taproom. Consequentially, the company successfully contains all the customers within the vicinity and, as a result, boosts sales for the company. As a group people some can take beer while others indulge in other fun activities.
Pricing
A pint of THBC beer is more expensive than the other standard beers by about a dollar. The high pricing is based on the uniqueness of the product and the atmosphere provided by the brewery. This may be their unique selling point; it is strenuous for most Indiana residents who cannot afford to drink a THBC beer regularly because of low income.
Location
The location of THBC is its biggest strength. It is the only microbrewery in the area, with the next one being found in Bloomington, Indiana. This means that THBC enjoys clientele locally and from neighboring counties.
Promotion
While THBC has many promotion opportunities, it is unfortunate that they rarely take advantage of it. For example, they can take advantage of events like beer tasting, try merchandising, blogs, social media, or other random events to create awareness. The company seems to be riding on the brand name started years ago, and making minimal marketing effort. Some people do not take their beer for lack of awareness, and this is clear evidence that promotion and marketing could yield great results for the company. This, coupled with the already excellent brand name, should push the brewery to greater heights never achieved before.
Position
The unique selling point of the brewery is its quality (Old is in). This is what has powered their freedom of pricing so far. Compared to other breweries in Indiana, the company has gained a competitive advantage as its quality is unmatched, and therefore, their clientele is assured. Another unique selling point is the breweries ability to venture into the entertainment industry. Customers coming in for beer can also have their food at the same venue; hence no need to move around looking for food. Another unique selling point is the taproom where those who wish for privacy from the drinking and eating crowds can quietly enjoy their drink. Here, there is also an educated bartender who enlightens the patrons on the products available.
Budget
Annual revenue for THBC in 2020 is $947,866. The company boasts of regular profits mostly because of higher pricing as well as a large clientele. The company also has various products, thereby increasing the income pool. Following the company has amassed ernomous profits for the organization. Also, the low cost of operation is a factor since the building that houses the brewery is their own. This exempts them from extra expenditures like rent, and hence more profits can be realized.
Works Cited
Bennett, Mark. “Mark Bennett: Cans Latest Twist in Terre Hate’s Brewing History.” Star, 17 Mar. 2019, www.tribstar.com/news/news_columns/mark-bennett-cans-latest-twist-in-terre-hautes-brewing-history/article_bc679f52-9b29-50fb-afd5-6ddba53a13f3.html.
“History.” Terre Haute Brewing Co., 31 July 2019, terrehautebrewingcompany.com/history/
Monroe, Howard. “Terre Haute Brewing Co. Reopening in Time for Bicentennial – WISH-TV: Indianapolis News: Indiana Weather: Indiana Traffic.” WISH, 2 Mar. 2016, www.wishtv.com/news/terre-haute-brewing-co-reopening-in-time-for-bicentennial/
“Old Is In! Long-Standing Breweries & Their Legacies: Hillenbrand.” Hillenbrand Beer, 28 Feb. 2019, www.slg.com/blog/old-is-the-new-new/
