Venture Concept No. 2

Opportunity:

                My venture of a low cost kegerator will appeal to college students who enjoy parties and who host them occasionally. People who see a need for this product are those who host parties and are tired of the hand pump taps which are outdated and inefficient. The nature of the need is that it is great for a party setting because it works well and is easy to useThe environment that makes this venture a possibility I that hand pump taps have not been changed in years and this obsolete technology needs a re-vamp. My idea for a kegerator will be ideal in college towns like Gainesville, Florida and Athens, Georgia. My target market living in areas like these will see the merit in having a more advantageous way to dispense beer. This venture will be great for parties and other events where keeping the beer cold is the first priority. My market for the kegerator will be primarily in the south with warmer temperatures and in college towns with high population densities around the ages of 21 to 30 years old. Potential customers of my kegerator are tired of the keg tossed in a trash can surrounded by ice. They want a new way to dispense beer from kegs in a more dignified manner that is easy to use and cost efficient.

Innovation:

The innovation of my product is the new take on dispensing beer from a keg cheaply and efficiently. There are already kegerators that exist in the market place, but those are bulky and expensive. The kegerators out now are more for personal use, while my idea is more for pleasing the masses at parties and other events. The hand pump tap is outdated and requires a lot of effort for the user to get their beer from the keg. My idea for a kegerator will have a insulated interior that will keep the keg cold, a CO₂ tank and pump the get the beer out and a durable exterior so it can last many parties. I would be selling my kegerator for $65 and would also sell the extra tubes and CO₂ for maintenance if need be and to refill the tanks.

Venture Concept:

                People will want to buy my product because party goers are tired of trash can kegs and want something new that can be easily operated. I don’t believe that it will be hard to switch to this product because it will be an easy decision to dispense beer in a more dignified manner and also reducing messes caused by trash can kegs. My main competitors are companies that sell full kegerators, but thankfully we market to different target audiences. They are more focused on personal and small croup markets, while I am focusing on college students who enjoy large parties. My distribution will be run out of Gainesville, Florida in a small store so that customers will be able to come in see the products first hand and will have assistance nearby if necessary. It would be a small operation with 7 people working with me for sales, delivery and maintenance.

Minor Elements:

                My most important resource is my beer knowledge from home brewing and from working in a bar. This will give me insight into the business as well as insight into my potential customers. This knowledge will make it hard for people to compete with my product because few people have extensive knowledge of beer and brewing. My next venture will be to create more custom tap handles and other ways to customize my product so that the kegerator can be personalized to customers. And hopefully in 5 years I hope to have good home base in Gainesville with many customers and eventually reach out to Athens, Georgia for a second store.

Feedback from Venture Concept 1:

The comments I have received from other students confirm my original venture concept. The comments agree that the CO₂ dispenser is the best way to get beer to the party goers and will cut down on time and effort. Comments also show that my price of $65 would be manageable for the average college student. The ability that it can be reused multiple times makes the price even more affordable. I cut down on some of the extra information, but overall I did not have to change anything except I was given a couple extra places that might be better locations to start my business.