10 year E-Marketing Plan
ELC 310

• Partnership
Tom Stanley – Master Brewer
Chris Debussey – Marketing Executive
David Roy – Business Executive
• Craft beer Market
Micro brewery / Brewpub Restaurant

• Large College base
• Large tourism base
• Low density of previously established breweries
• Generation X and Y

• Chapman University
Masters in Marketing
• Glacier Brewing Co.,
AK
• Siebel Institute of
Technology
• University of Maine

• An American owned beer pioneer since
2007, our passion at the Mountain Hall
Brewing Co. is to quench the thirst of the natural thrill seeking outdoor enthusiast with our quality beer at a great value. Rock climbers, mountain bikers, skiers and snowboarders all enjoy finishing their day with our specialty craft beer.

- not your sitting on the couch kind of beer

• Craft breweries, contract breweries, micro breweries and brewpubs
• Domestic beer market (Anheuser- Busch,
Coors and Miller”
• The big three account for 86% of the total beer accounted for in the US, including imports.

• Craft brew market is 7.1% of beer market
• 7.2% growth in 2004
• 6,590,000 million barrels produced in 2004
• Retail sales value of $3.5 billion
• Craft beer is the fastest growing segment of the alcohol beverage industry in the
U.S.
•
Craft Brewing Industry Statistics

• Anheuser-Busch
• Domestic network of more than 500 wholesale distributors
• Efficient product delivery

• Red Bull
• All events that Red Bull sponsors
• Extreme sporting events
• X-games
• Our beer will fill the void. Red Bull is the official beverage before and during events.
• Mountain Hall brew is the official beer for the days end relaxation.

•

Opportunities
1.Alliance with Anheuser-Busch would cover all distribution.
2.Automated Brewing = Less
Labor
3.Advertising Alliance with Red
Bull
Strengths
Threats
1.Domestic brewers with full bodied beers and low prices.
2.Distilleries – both malt beverages and increase sales in mixed drinks.
3.Investors pull funding.
Weaknesses
1.A probable location of success for both business and play.
2.Management team has previously worked closely together
3.Strong understanding of targeted consumers desires.
4.Clean water source
1.Newcomer to craft beer market.
2.Joining location with previously establish micro-breweries.
3.Lack of business experience
4.Lack of partnership experience

• Current most appealing location
• Population 204,000
• International Airport
• 5 colleges and universities with the city
• Four other major
Universities within
100 miles
Only four breweries currently in operation in northern VT
Five major ski resorts within the same radius
Lake Champlain

• Burlington proves to be a substantial candidate for the population of beer drinkers that we are looking for.

• The most important factor within the craft beer market.
• Consistency
• Sensory Method
– Sight and flavor
• Instrumental Methods
– Original gravity, hydrometer readings, pH levels etc.
• Following Specifications
• Keeping Records

• Email (college students, ski resort pass holders, sponsored event participators)
• Keyword searches
• Search Engine optimization
• Pop-up ads (only on event sponsored websites)

• ASSUME: Total Investment $600,000.00
• Desired ROI %30% Desired ROI $$180,000.00
• ASSUME: Overhead $50,000.00/month $600,000.00
• Total Overhead and Profit $780,000.00
• Food Cost / Labor 20% Food 35% TOTAL55%
• Food Contribution Margin 45%
• Beer Cost - Labor, Material, Taxes 15%
• Beer Contribution Margin 87.8%
• ASSUME: 50% Food Sales
• Food Contribution Margin45% X 50%= 22.5%
• Beer Contribution Margin87.8%X50%= 43.90%
• Weighted Average Contribution Margin 66.40%

SPACE REQUIRED:
BREWERY SIZE
10 BBL System
SQ. FT. REQUIRED
600 - 1,000 sq. ft.
PRODUCTION RANGES:
SYSTEM SIZE
10 BBL System
ANNUAL BBLS / YEAR
800 - 2,500 BBLs/year
BREWERY SIZE
10 BBL System
BUILDING SIZE
5,000 - 7,500 sq. ft

COST OF GOODS SOLD
Malt: 500 lbs.
Yeast:
Hops: 5 lbs.
20 Filter sheets:
Water: 1,000 gallons
Sewer Charges:
Electrical: 193 kWh
11 Therms Natural Gas:
CO2
Cleaning
Chemicals
@ $.30/lb
@ $2.00/lb
@ $1.00/sheet
@ $.005/gallon
@ $.018/gallon
@ $.062/kWh
@ $. 64/Therm
12.42
12.00
7.00
3.00
15.00
150.00
1.50
10.00
20.00
5.00

Taxes:
Labor
Federal $7.00/BBL X 10 BBLS
State $6.50/BBL X 10 BBLS
TOTAL COST OF GOODS SOLD
CONTRIBUTION TOWARD PROFIT
AND OVERHEAD (GROSS MARGIN)
70.00
65.00
400.00
770.92
-
5429.08
12.4%
-
87.6%

KEGS
Selling Price per BBL
(To
Distributor)
-
$135.
00
Variable Costs per Barrel
Malt $17.5
0
Hops 2.00
-
100
%
Yeast
Filter Media
Carbon
Dioxide
.15
.50
.30
Water
Electricity
Natural Gas
Cleaning Chemicals
Sewer Charges
Hourly Labor
Federal Tax
State Tax
Misc.
-
TOTAL
Contribution Margin
.50
2.00
.70
1.50
1.56
1.25
7.00
6.51
0.25
$41.71
30.8%
69.2%

CASE (24) 12 oz. Bottles
Selling Price
(To Distributor)
Case Costs
Beer Cost per
Case
-
Bottles
-
$16.50
$3.02
3.75
-
100%
Carriers .96
Crowns .16
Labels
Glue
Wrap
Misc.
-
Total Packaging
Cost/Case
-
Total Cost per Case
.60
.15
.03
.25
5.90
8.92
54%
Contribution Margin 46%

• www.mtnhallbrew.com
• World of Beer
– History
– History
– About Beer
– Home brewing
• Mountain Hall Brews
– About
– History of
– Characteristics
• Seasonal Brew
• Brewery Tour
• Company
- History
- Community Involvement
- Careers
- Donations to organizations
- Sponsored Events
• Awards & News
• E-Store
- Clothing
- Glassware
- Stickers

• The Mountain Hall Brewing Co. website meets the image that we are portraying, the image of a lifestyle full of fun and outdoor enjoyment. The names of our beers fall into the same path, reminding consumers of the winter and summer activities that they enjoy along with the feelings they get through these activities such as desire, on-theedge, adrenalin, exhaustion and finally, satisfaction.

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•
•
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•
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•
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2005 - David Roy and Chris Debussey currently attending
University with plans to graduate spring of 07’.
2006 - Partners continue to research demographic areas for brewery start up location, on both the east and west coast
(including AK).
• Find necessary investors including the current Mr. Jerry McGuire
• Anika Altman.
2007 – Purchase land and begin ground breaking at the start of the year with building completion by the end of the year.
2008 – Build brewery with first batch ready for market by June.
• Producing 2,500 barrels per year
2010 – Market coverage of a five state…becoming a regional specialty brewery.
2012 – 2 million dollar brewery expansion, producing 250,000+ barrels per year = %100 growth
2013 - Development plans for second brewery on opposing side of
US
2017 – 5 million dollar brewery built in Bellingham, WA.