1. Crafty Beer Shop
National and International Craft Beer
November 6, 2016
Prepared By:
Reid Harris
Jonathan Calcagne
Forrest Williford
Robert Geiger
BUS 360 - Marketing Methods
SECTION - 001

2. Team Project - BUS 360 Craft Beer
​Table of Contents
(exclude cover page)
TABLE OF CONTENTS………………………...………………………...………………………..…...1
COMPANY OFFERING PRODUCT AND SERVICE.....................................................................2
Company Description 2
Company Location(s) 2
Other Products Offered 2
Market Areas Sells To 2
PRODUCT AND SERVICE BEING MARKETED..........................................................................3
Description of Product 3
Features and Capabilities 3
Product Life Cycle 3
MARKET OF PRODUCT AND SERVICE.....................................................................................4
Customers for Product 4
Why Product Needed 4
How Product Used 4
When Product Bought 4
PRODUCT AND SERVICE POSITION.........................................................................................5
Competitors Offering Products 5
Competing Products Features/Capabilities 5
How Competing Products Different 5
Competing Products Evaluations 5
All Products Market Share 5
PRODUCT AND SERVICE MARKETING CHANNELS................................................................6
Current Product Marketing Channels 6
Competitor(s) Marketing Channels 6
Advantages/disadvantages of Current Channels 6
Possible Alternative Channels 6
PRODUCT/SERVICE MARKETING PROGRAM..........................................................................7
Overall Marketing Program 7
Program Changes Made 7
Product/Service Demand Generation Programs (including social media) 7
Product/Service Branding 8
Product/Service Marketing Success
Samples of Marketing Communications 8
Recommendations 8
INFORMATION SOURCES...........................................................................................................9
Individuals 9
Web Sites 9
Other 9
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3. Team Project - BUS 360 Craft Beer
Crafty Beer Shop​ - Company Offering Product and Service
Company Description
Crafty Beer Shop, opened by Wendy Harris and her fiancé, Glenn Carr, in 2014, is a beer shop
that sells domestic and imported drafts as well as bottled beers with a focus on unique and
hard-to-find craft beers. Crafty is dog-friendly, supports local artists and musicians, and offers
free wifi at both locations. Crafty Beer Shop is a great spot to catch a ball game on TV, come
together with friends, have a meeting, or relax after work.
Company Location(s)
Crafty Beer shop has two locations in Raleigh, North Carolina.
1 Five Points Location
2005 Fairview Road
Raleigh, NC 27608
2 Lafayette Village Location
8450 Honeycutt Road; Suite 108
Raleigh, NC 27615
Other Products and Services Offered
Besides offering a wide variety of the finest quality local, national, and international craft beers
both on the tap and in bottles, Crafty Beer Shop offers hand-selected wines, various snacks
from locally based companies, food trucks for special occasions, and card games such as Cards
Against Humanity.
Market Areas Sells To
Though anyone can go to Crafty Beer Shop and purchase alcohol if they are of age, Crafty Beer
Shop generally caters to a more mature audience, usually consisting of people aged 30 to 60.
According to the owner, Ms. Wendy Harris, the shop also caters to a local customer base; she
estimates that around 70 percent of all sales are made to people who live within two miles of the
store. Wendy also says the customers are not “beer nerds,” but that many of them are
knowledgeable about the craft beers being offered.
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4. Team Project - BUS 360 Craft Beer
Craft Beers - Product and Service Being Marketed
Description of Product and Service
The variety of craft beers served at Crafty Beer Shop is the product and service being marketed.
Since there our company is considered a shop and resembles the service of a restaurant, it is
important to note that the craft beers fall near the middle between products and services in the
spectrum, and therefore they must be described as both. Owner Wendy Harris strongly noted
that service is her biggest concern, and she focuses most of her attention listening to what
customers want in order to maximize the success of their experience. She believes that Crafty
Beer Shop’s service will sell the craft beer products itself; if people come in, enjoy the
atmosphere, and receive good service, then people will come back more often and stay longer,
therefore buying more craft beer.
Features and Capabilities
At any given time, there are anywhere from eight to sixteen different craft beers on tap, and
more than 700 available in bottles that customers can take home or consume at the bar. The
craft beers on tap are always the best tasting and highest quality brews from across North
Carolina, the United States, and other countries around the world. Wendy Harris listens to her
customers’ input, focuses on the most popular available options, gets them on tap, and also
implements seasonal favorites. For example, Crafty Beer Shop currently offers a couple
pumpkin flavored brews on tap and in the bottle. Companies including Mother Earth Brewing
(Kinston, NC), Destihl Restaurant and Brew Works (Champaign, IL), and Triple C Brewing
Company (Charlotte, NC) are just a few of the suppliers for the craft beer the shop uses.
Product and Service Life Cycle
The craft beer available at Crafty Beer Shop have various life cycles, depending on different
characteristics. According to Wendy, every beer has its unique qualities such as taste, flavor,
and alcohol content, that dictate the life cycle of the product. Most seasonal beers fly through
the introduction and growth stage and peak with just a few weeks left in the season before they
go into decline. On the contrary, generic beers that are not seasonal have a slow growth and
introduction stage, but stay in the maturity stage for a long time before declining. Because the
patrons of Crafty Beer Shop are such loyal customers and beer lovers are sometimes picky
about the beers they like, many customers have favorites with which they continue purchasing.
This makes for a leveled off maturity stage that, in some cases, Wendy says there is never an
obvious decline stage. If and when this occurs, Crafty Beer Shop implements the beer into their
permanent craft beer supply.
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5. Team Project - BUS 360 Craft Beer
MARKET OF PRODUCT AND SERVICE
Customers for Product/Service
Crafty Beer Shop aims to provide a unique experience for a wide target audience. They attract
a diverse crowd of beer lovers who are passionate about the different kinds of brews available
and interested in trying local craft beers. Crafty Beer Shop’s customers are typically educated
and familiar with craft beers, but they are not considered “crazy” or “obsessive” beer lovers.
These customers range in age from thirty to sixty years old, and they are repeat customers: the
majority of the customers Ms. Wendy Harris sees at her shop come on a regular basis.
Why Product/Service Needed
Crafty Beer Shop is unique in the fact that it identified the need in the craft beer market, and
then set out to satisfy it. There is no other bar or craft beer shop in Raleigh that offers an
environment comparable to what Crafty Beer Shop sets out to provide. Arguably, the overall
environment at Crafty Beer Shop is just as important as the brews it provides. Although they
have a bar setting, Ms. Wendy Harris chose to call her business a “shop” rather than a bar
because it incorporates so much more than one might think a bar has to offer. Customers that
go to the shop love the experience they receive: their favorite drinks are remembered, they’re
provided with free internet, and they’re even encouraged to bring in their dogs with them. They
have a run club, and it’s very family friendly. They even host potlucks on Sundays. This shop
caters to the needs of those beer enthusiasts looking for a unique, relaxed experience with high
quality, local craft beers.
How Product/Service Used
Crafty Beer Shop has a variety of beers on tap for customers to purchase and consume.
Customers are offered anywhere from 8-16 craft beers on tap that rotate depending on
popularity, availability, and the season. Crafty Beer Shop also provides an enormous offering of
more than 700 bottled beers and they have a wine shop at their Five Points location for wine
lovers as well.
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6. Team Project - BUS 360 Craft Beer
When Product/Service Bought
Crafty Beer Shop is open from 2:00 PM to 11:00 PM Monday through Thursday, 2:00 PM to 12
AM on Friday, and from 12:00 PM to 12:00 AM on Sundays. The shop does not stay open past
midnight and this emphasizes the “shop” nature of the business, as opposed to a bar that would
stay open until 2:00 AM or later. Crafty Beer Shop receives much of its business after 5:00 PM,
when people begin getting off work. They also see a spike in traffic on the weekends, which is
reflected in their longer hours on Fridays, Saturdays, and Sundays. From a seasonal
perspective, sales tend to dip during the summer months, as customers vacation or are involved
with other summer activities. Crafty Beer Shop sees the majority of its customers in the fall and
winter months, and they actually see an uptick in customers when there is poor weather.
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7. Team Project - BUS 360 Craft Beer
Product/Service Position
Competitors Offering Products/Services
Crafty Beer Shop faces a number of different competitors in and around the Raleigh area. First,
they deal with direct competitors, which are those competitors that aim to provide a similar
product or service to the audience Crafty Beer Shop targets. These direct competitors include
Wine Authorities (a new wine franchise), Tasty Beverage Company (offers beers on bottle and
tap similar to Crafty Beer), and Bottle Revolutions (another franchise). There have been
another 10-15 bottle shops to open near Crafty Beer Shop as well. In addition to these direct
competitors, there are a number of indirect competitors nearby. Bars like The Point, Churchill’s,
and Proof all offer beer and liquor, and customers who are simply looking for a drink or a more
traditional bar experience often choose one of these options over Crafty Beer Shop.
Competing Products/Services Features/Capabilities
As previously mentioned, the competition Crafty Beer Shop faces is two-fold. They face direct
competition for their customers from craft beer bottle shops and they also compete with the
more traditional bars in Five Points. Wine Authorities offers a wide selection of craft beer,
putting them in direct competition with Crafty. Bottle Revolutions sells bottled beer, draft beer,
and wine. Tasty Beverage also provides over 6 beers on tap and has dozens of bottled
varieties as well. The local bars also serve liquor drinks and beers to those seeking a traditional
bar experience, and they draw from Crafty Beer’s target market as well.
How Competing Products/Services Different
Crafty Beer Shop shares many similarities with their competitors in the product offerings they
make available to customers. However, Crafty Beer Shop sets themselves apart with their shop
itself, wide product mix, and superior customer service. For instance, Bottle Revolutions sells
both beer and wine to customers, but they do not have the expansive indoor space that Crafty
Beer Shop provides. They do not have a wine shop, either. Tasty Beverage Co. only offers craft
beers, while Crafty Beer Shop (along with several other craft beer shops) offers both beer and
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8. Team Project - BUS 360 Craft Beer
wine. Crafty further distinguishes itself with its relaxed indoor “non-bar” drinking setting, free
internet, dog and family friendly establishment, and opportunities to gather as a community with
their weekly potlucks and run club.
Competing Products/Services Evaluations
Overall, Crafty Beer Shop faces competition from a growing number of craft beer shops and
bars opening up in the the Raleigh area. However, due to their unique product mix and
customer-oriented service and establishment, Crafty Beer Shop sets itself apart from its
customers in a significant way. There is no other local shop that offers the experience that
Crafty Beer Shop can collectively offer. It would be important, though, for Crafty to continue to
monitor both Bottle Revolutions and Tasty Beverage as they offer similar product mixes and
target similar customer segments. The local bars (The Point, Churchill’s, Proof) attract
customers looking for a bar experience, and while some of these customers fit into Crafty Beer’s
target market, they do not pose the threat that the other craft brew shops do to Crafty’s success.
All Products/Services Market Share
In 2015, according to Brewers Association, craft beer had a 12.2% share in the overall beer
market. For the year, the growth in craft beer sales volume increased by 12.8%. The craft beer
industry production volume in 2015 comes from regional craft breweries (77.8%),
microbreweries (16%), brewpubs (5.2%), and contract brewing companies (1%).
Current trends in this marketing environment (identify minimum of 3-5)
Some of the current trends in this marketing environment include a lot of social media
advertisements, the idea of being unique and different when it comes to the customer
experience, word-of-mouth advertising, and the use of an open bar in addition to the sale of
many varieties of bottled beer on a shelf in the shop.
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9. Team Project - BUS 360 Craft Beer
PRODUCT/SERVICE MARKETING CHANNELS
Current Product/Service Marketing Channels
Crafty Beer Shop currently utilizes multiple marketing channels to promote and sell their craft
beer. The shop is 100% business-to-consumer sales, which prompts Wendy and Glenn to take
great consideration with regard to the experience they provide for customers. Wendy feels that
their largest channel for advertising is social media such as Facebook, Instagram, and Twitter.
For example, keg changes are tweeted out automatically and Crafty Beer Shop creates
Facebook events for special occasions like their 2nd Anniversary Party. Crafty Beer Shop also
has a website that is frequently updated to reflect tap changes and events at the shop. From
time to time, Wendy will post ads in local newsletters such as Hayes Barton Living, which is a
free publication offered to people in the area. Also, Crafty Beer Shop participates in charity
events like donating wine for Hops for Hope. The shop participates in NC Beer Month in April to
boost their reputation and recognition within the industry. Finally, Crafty Beer Shop has recently
established a Beer Club that is free to join and includes the benefits of receiving a newsletter
and access to specials and certain beers at the shop.
Competitor(s) Marketing Channels
Crafty Beer Shop’s competitors have marketing channels with aspects that are both similar and
different than Crafty’s channels. The Point has trivia on Wednesdays, live music every
Thursday, drink specials on every day of the week, and utilizes Facebook and their website to
communicate to customers. Churchill’s does not have a website and seems to operate their
marketing tactics using word of mouth. The bar operates a Facebook page, but it has not been
posted on since this past July. Proof has a web page that provides information on upcoming
events, the menu, and how to book a party at their location. Also, they have a Facebook,
Instagram, and Twitter accounts that is used to market.
Advantages/Disadvantages of Current Channels
The advantages and disadvantages of Crafty Beer Shop’s current marketing channels are
something that Wendy is constantly focused on in order to improve all aspects of their small
business. Wendy considers their most effective form of advertisement to be word of mouth.
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10. Team Project - BUS 360 Craft Beer
One major advantage of word-of-mouth advertising is that it does not cost Crafty anything.
Advantages of social media and their website include the ability to be connected to their
consumers at all times and to easily inform customers of their frequently changing beer taps. In
contrast to their competition, Crafty Beer Shop’s events, beer club, and other marketing tactics
create a community atmosphere that gives their customers a sense of belonging and fellowship.
The one major disadvantage to their current channels is the challenge to master the way they
market the shop on Facebook. The problems that they come across frequently are the inability
to dictate who sees the posts, finding the best way to become visible to consumers, and getting
their message out in an effective way. Crafty is in the process of trying to combat all of these
things without having to pay for “boosting” their posts, which means paying extra for their
advertisement to pop up more frequently on Facebook. Bottle Revolution has a great website
that features all of their locations, a list of beers on tap, information about their beer club, and
upcoming events. Additionally, Bottle Revolution has social media accounts on Facebook,
Instagram, and Twitter. Tasty Beverage Co. has a list of their current inventory on their website,
which lists the name of the beer, brewery name, ABV, and style of beer. They also have a
newsletter subscription that customers can subscribe to see stay up to date with all that is going
at Tasty Beverage. The company uses Instagram, Facebook, and Twitter to market their
activities and product.
Possible Alternative Channels
Crafty Beer Shop has done a great job by creating a plethora of marketing channels, but we
have discovered some possible alternatives. First, the shop could give out free merchandise
such as t-shirts, hats, koozies, and other items to promote the shop through its customers.
Second, on Crafty’s website is a blog, but the last post was from about a year ago. Our group
feels that the frequent update of the blog will bring customers to the website for a reason, and at
the same time they are informed of everything that is going on at Crafty. Finally, the shop could
benefit from creating a free loyalty program that rewards frequent customers for their business.
For example, every time a customer purchases an item from Crafty Beer Shop they receive
“Crafty” points, and once they obtain a certain amount of points they earn a reward. The reward
could be anything from a free six pack of craft beer to the customer picking their favorite beer
that the shop offers and it having featured that week on tap at the bar. This program would
increase the loyalty of the frequent customers as well as attract new people from the community
to get involved.
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11. Team Project - BUS 360 Craft Beer
PRODUCT/SERVICE MARKETING PROGRAM
Program Changes Made
Crafty Beer Shop abandoned their texting service to customer and has also shifted almost
completely to social media from radio and print ads.
Product/Service Demand Generation Programs (including Social Media)
TapHunter, Twitter, Facebook, Instagram, website, and special events.
Product/Service Branding Elements
Branding the logo is an important part of marketing for Crafty Beer Shop. Also, getting the idea
out there to potential consumers that it is a shop not a bar is important for Crafty Beer Shop.
Product/Service Marketing Success
Crafty Beer Shop has had substantial success with word-of-mouth marketing.
Social media, as previously mentioned, has been important to reaching out to potential
consumers from all over the state of North Carolina (Facebook, Twitter, Instagram, etc.)
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12. Team Project - BUS 360 Craft Beer
INFORMATION SOURCES
Individuals
Name: Ms. Wendy Harris
Title: Owner
Organization: Crafty Beer Shop
Address (includes city, state, zip):
Five Points Location
2005 Fairview Road
Raleigh, NC 27608
AND
Lafayette Village Location
8450 Honeycutt Road; Suite 108
Raleigh, NC 27615
Website: ​http://craftybeershop.com
E-mail address and Phone number:
Five Points Location: (919) 615-3008
Lafayette Village Location: (919) 703-0874
Wendy’s email - ​wendy@craftybeershop.com
Websites
Organization: Crafty Beer Shop
Website Address: ​http://craftybeershop.com
Information Obtained: Contact information to get in touch with Wendy Harris (eventually enabled
us to interview her), the visual format of their website (is it appealing and aesthetically pleasing
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13. Team Project - BUS 360 Craft Beer
to consumers), the technical format of their website (is it functional and easy to use), the type of
information it provides about the shop, and information on their offerings and events.
Organization: Brewers Association
Website Address:
https://www.brewersassociation.org/statistics/national-beer-sales-production-data/
Information Obtained: Statistics and information about the current market share of the craft beer
industry and the overall beer industry.
Other Sources
Name of Source: Hayes Barton Living neighborhood newsletter
How Obtained: Robert Geiger received it in the mail.
Information Obtained: How Crafty Beer Shop’s advertising is positioned/formatted in Hayes
Barton Living.
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