Small Scale Beverage Production

Описание: The main barrier to entry & highest risk factor when starting a beverage business is the enormous cost of your first production. It is not uncommon for a new brand to spend the majority of their capital on producing a new and untested product.

Likelihood of changing formula/packaging after 1st product to market 95%

Its extremely common to get feedback from the market that makes change that will enhance your product obvious and in some cases necessary.
 
Likelihood of not being able to sell 1st production before expiration 50%

It usually take around 3 to 6 months to get any real interest from retailers or distributors & to get an online program running smoothly. For these reasons we discourage large scale production as a startup option . Beverages have an “best before” date & when they get to close to this date retailers in general will not buy them or will demand a very large discount.Spending a relatively low small amount of money on a pilot (test) run to determine what retailer & consumer reaction is prior to mass production is by far the best practice.

Although the cost per unit for this type of execution is higher than a true mass production run, the capital required is a very small fraction of what is typical.

The exercise is not designed to create a profit stream i.e. it’s unlikely that you will be able to sell the very low quantities of product at a profit. This program is designed to minimize your risk by gathering invaluable information and data to ensure that you are in the best possible position when you do turn the key on mass production. You will get feedback from trade (retailers & distributors) & from consumers (price, flavors, branding) + true sales data.

Minimum runs vary from a couple of hundred units, enough to test your product in a dozen or so retail outlets and on Amazon, to several thousand units depending on your needs.