ABT Market Analysis

P.O. Box 267814, Chicago, IL 60626 U.S.A.
Tel: 1-773-465-7285 | Fax: 1-773-465-7387
E-Mail: abt@abtonline.com

MARKET ANALYSIS

Collegeville, Missouri, with a metro area population of approximately 80,000 is the county seat of Crockett County. It is the home of the University of Southern Missouri (USM), which currently enrolls 11,700 students and employees a staff of 10,500. An analysis of the student body (see chart below) shows that about half of the student population is of legal drinking age with over 6,000 enrolled in advanced professional or graduate degree programs.

(Insert chart showing age and class breakdown of student body. This chart can be obtained from the university admissions office.)

The Central Business District is a ten block wide area located between the County Courthouse area and the northern edge of the USM campus. This combination of business center and large campus makes for a high population density area with a large volume of foot traffic - ideal for a hospitality establishment.

As the competition analysis below shows there is room in the marketplace for a non-restaurant hospitality establishment that caters to the 24 - 45 age group. The "quarter draw" and "Greek" bars are oriented toward customers who are primarily concerned about consUSMing the most alcohol for the least amount of money. While some of the restaurants have fairly extensive beer selections, they are not oriented toward the customer who just wants to socialize with friends over a few beers.

The track record of brewpubs in such analogous "college town" markets as Iowa City, IA (Fitzgerald's Brewpub - 1,025 barrels sold in 1995), Champaign, IL (Joe's Brewery - 722 barrels sold in 1995) and Arcata, CA (Humbolt Brewing - 2,189 barrels sold in 1995) shows that brewpubs can be successful even in markets where there are long- established competitors. LBC will be going after the same customers as Weedman's, Gynn's Cafe and Hamlet's Pizza, but we will have a marketing edge. They serve good food in a casual atmosphere at reasonable prices - so will we. They offer a selection of better-quality beers - so will we. But our beer will be brewed right on the premises, not hundreds or thousands of miles away. SBG will have the most varied beer selection in town because we can literally brew any type of beer that we want. Our promotion will emphasize this marketing edge. If you want to have a better beer than Bud Light, there is a choice of several places in town. But if you want that beer to be fresh, the only place to go is the Schotz Brewery & Grill.

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