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Market Research Portfolio

Total Wine & More is the largest alcohol retailer in the US, with over 170 stores and $3 billion in annual revenue. They offer a wide selection of over 13,500 wine, beer, and spirits products. Total Wine & More employs over 600 wine professionals to provide knowledgeable recommendations to customers. The company also offers online shopping and product delivery. Their website includes a product finder to help customers search for specific types of alcohol within certain price ranges. The extensive product selection and emphasis on customer recommendations could provide a model for how an in-store kiosk system might guide customers.

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0% found this document useful (0 votes)
434 views29 pages

Market Research Portfolio

Total Wine & More is the largest alcohol retailer in the US, with over 170 stores and $3 billion in annual revenue. They offer a wide selection of over 13,500 wine, beer, and spirits products. Total Wine & More employs over 600 wine professionals to provide knowledgeable recommendations to customers. The company also offers online shopping and product delivery. Their website includes a product finder to help customers search for specific types of alcohol within certain price ranges. The extensive product selection and emphasis on customer recommendations could provide a model for how an in-store kiosk system might guide customers.

Uploaded by

api-384772145
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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You are on page 1/ 29

October 26, 2017

Professor Placky
English 202D
Fall 2017

Lillia Walls
Marcel Dolegiewicz
Kimberly Riegel
Lucas Buseck
Valerie Shreffler
Connor Nodell

Table of Contents
Section I : Introduction ...2
Section 2: Survey Predictions .....2
Section 3: Methods..3
Section 4: Results and Outcomes ...3
Section 5: Company Profiles ..8
Section 6: Annotated Bibliographies ....21
Section 7: Conclusion ...25
Section 8: Appendix .26

Introduction

Choose your Booze is a software system to be installed onto kiosk devices that could be put into
any beer, wine, and/or liquor distributors. By asking a user questions in regards to their taste and
price preferences, the software system will be able to make purchasing recommendations to the
user and direct them to where those items are in the store.

The purpose of the kiosk is to offer consumers a quicker and more efficient way to shop for their
alcohol. This could eliminate customers wandering around liquor stores searching for an
unknown product and could also allow customers to try new products, which in turn has the
potential to create repeat customers for distributors with the kiosk and software system.

Our group has conducted a market research survey to gauge the interest of using a device like
this and the types of questions and characteristics that would be most beneficial for this system.
The launch market location is State College, PA.

The predictions pertaining to the survey conducted as well as its results are discussed and
displayed visually. Company profiles and annotated bibliographies follow. The company
profiles are of companies in the beer, wine, and spirits distribution industry, the interactive kiosk
industry, and the convenience store/restaurant industry.

These profiles and specific sources that are detailed in the annotated bibliography were utilized
to gain a better understanding of what may make our product successful. This was done by
applying what these companies do and what industry reports and relevant articles showed to be
successful business practice in similar companies/products to our product and strategy.

Survey Predictions
According to IBIS World, the younger generation of consumers has entirely different tastes and
preferences than older generations when it comes to alcohol. This has resulted in many new and
different types of alcohols for consumers to purchase and decide between. Due to all the new
beers (mainly from craft distributors, and micro-breweries), wines from all over the world
(Europe, California, Australia, Chile, South Africa, etc.), and many different types of spirits, we
predict that customers could benefit from a device that expedites the process of alcohol
purchases. A device that does this and also introduces customers to new products they may like
based on their specific preferences could be useful to first time buyers and those who have been
purchasing for many years.

We hypothesize that, although older generations may know what they want when they get to a
distributor, younger generations may enjoy an interactive screen experience when searching for
what beer, wine, or spirit to purchase. Older generations too could benefit from an interactive
device that introduces them to new products they may like based off their preferences.

Method

Using a google forum survey, we compiled a list of 15 survey questions to determine the interest
consumers may have in our product. The form was sent via google docs and was distributed
over email and Facebook. The questions gaged customers purchasing tendencies in order to
determine if our kiosks would be impactful within the beer, wine, and liquor industry and what
specifics questions the software system should include in order to be most effective.

The survey responses were compiled via the google forum and displayed visually in pie charts.
In some cases, results were extrapolated from the pie charts and put into bar charts, at times with
multiple response categories combined into one category. For example, the responses of most
of the time, sometimes, and rarely were combined into a not always category in
displaying results to the question When you visit a beer distributor or liquor store, how often do
you know what you are going to buy?

Results
Figure 1: Age of Survey Responders

Of those who took our survey, 79 respondents (73.8%) were above the age of 21. This will be
the sample size when looking at results pertaining to visits to distributors. The other 28
responses will still be used when determining important category preferences pertaining to
alcohol purchase choices and preferences.

Figure 2: Frequency of Distributor Visits


A large percentage of our survey respondents indicated that they visit distribution stores at least
once a month (81%). Many of them visit more frequently. This is in line with the IBIS world
industry outlook indicating that sales and visits to stores are up.

Figure 3: Time Spent in Distributor

Of our survey respondents, 49 spend up to 10 minutes in distributors, 27 spend up to 15 minutes,


and six spend up to 20 minutes. This indicates that a device that has time saving potential for
customers in distributors could be helpful.
Figure 4: Do you know what you will buy?

Of our survey responders who are of age and visit distributors, only 15 indicated they always
visit distributors knowing what they want to buy. A device to help customers decide what to buy
based on preferences could be helpful to most customers.

Figure 5: Difficulty finding what you want to buy

More (of age) survey responders (49) indicated they at least sometimes have difficulty finding
what they are looking for when they visit a distributor than those who indicated they rarely have
trouble finding what they are looking for (40). No one indicated they never have trouble finding
what they are looking for. Including a specific location in a store on product descriptions within
our product finder to help customers locate a specific product could be useful.
Figure 6: Purchasing Priorities

When deciding which alcohol to buy, the two most important factors were price (82 respondents)
and flavor (73 respondents). Over fifty percent of respondents (52) also indicated quality was
important. There are many factors that people may consider when purchasing alcohol, and hence
many factors that could be utilized in a software system that introduces customers to new
products and helps them decide what to buy.

Figure 7: Respondents Who have used an Interactive Kiosk System

Many responders have used an interactive kiosk or at least would be willing to try (84.3%).
Only 15.7%of responders are opposed to using an interactive kiosk.

Company Profiles
Total Wine & More
Author: Lucas Buseck
Company: Choose your Booze

Total Wine & More is the largest alcohol retailer in the country, making up 4.7% of the market
of Beer, Wine, and Liquor stores (most beer, wine, and liquor distributors are mom and pop
stores that do not expand beyond one location). The company was founded in 1991 as a small
store in Delaware by brothers David and Robert Trone. Since then, the brothers company has
experienced profound growth. With headquarters in Bethesda, Maryland, Total Wine & More
has 172 superstores in 22 states and Canada. The company now reports revenues of three
billion dollars and is beginning to invest in e-commerce/online shopping to stay ahead of what
co-founder David Trone sees as an indefinite forthcoming evolution of retail.

The company allows customers to order online, have their purchases delivered, and to buy in
store. Giving customers these three options is something the company sees as necessary to stay
competitive. Total Wine & More make up approximately 50% of their revenue from wine sales.
Total Wine & More offers 8,000 wines from every wine producing region of the world,
including over 2,000 wines not sold in other stores. In addition to this, the company also sells
2,500 types of beers (from American staples such as Bud Light to hard to find craft and
microbrews) and 3,000 kinds of spirits. On average, each store has about 22,000 square feet of
retail space. The company claims that the relationships they have with their suppliers allows
them to offer some of the lowest prices on the market.

To better serve their customers and cater to specific preferences, Total Wine & More staff 600
wine service team members and 50 wine professionals. These people partake in wine training
programs and tastings to be able to make the best recommendations to customers.

Additionally, the companys website contains information on all the different styles and types of
products that they carry. Product descriptions, price, and wine enthusiast reviews exist for each
product in the online store. As well as all of this, the company website also offers a product
finder for wine, beer, and spirits. In this product finder, consumers enter what they are looking
for (wine, spirits, beer), the type of that product they are looking for (red wine, white wine, etc.),
and if they have a price preference. The search engine then displays what is available in stores
and what is available for purchase online.

Takeaways:

The store offers a very extensive range of products (about 13,500). A product finder in
stores could be very helpful to a customer who may be uncertain of what he or she wants.
The company also claims to offer around 2,000 wines that are not available in other
stores. Even for someone who may be considered a sommelier, there are bound to be
wines in the store that he or she has never heard of. A product finder that offers a
description of the product could be very helpful to anyone from an expert to a first time
buyer.
The average store size is very large (22,000 feet). Even if a customer knows what he or
she wants, it may be helpful to have a machine on hand to direct the customer towards
what they are looking for.
The online store does offer a product finder. However, this product finder could be
improved as there are only three search criteria involved. After using the product finder
to locate beer, over 1000 results are displayed. In addition, this product finder is only
available in the online store and not at specific store locations.
Each individual product in the finder comes with customers ratings and reviews.
Shoppers may be interested to know what the average five star rating is of an individual
product. They may also like to see other products that shoppers with similar tastes
bought.
The Total Wine & More product finder also includes a wine spectator rating. Having
some expert rating or review may be a good idea, as this could allow for an easier,
more timely process of making a selection for some customers.
When an individual item is selected on the product finder that the Total Wine & More
online store offers, the three things that stand out are an image of the product, the product
name, and the product price. These probably would be the most important things to
someone deciding what to buy.
The location of the origin of the product is not listed on the Total Wine & More product
finder. Some customers may make purchases based on the location of their product,
especially when they are travelling and they want to try regional specialities they dont
have at home. If our company were to sell our product to a store like Total Wine &
More, one feature could be a section of locally made and produced items. As there are
stores throughout many different states people may be inclined to visit different stores as
they travel knowing they will be able to quickly find locally produced items.
Sheetz
Author: Connor Nodell
Company: Choose your Booze

Founded in 1952 by Bob Sheetz, Sheetz has become a staple convenience store on part of the
mid atlantic with locations in Pennsylvania, Maryland, Ohio, West Virginia, North Carolina, and
Virginia. Sheetz has always been at the forefront of the gas and convenience store revolution
specializing in Made-To-Order (MTO) sandwiches, drinks, and other snacks accessible via touch
screen kiosk. Eliminating the need to wait in a line to order a specific food item.

Along with this technology introduced in 1996, Sheetz remains up to date with the latest market
trends. For example, Sheetz now is beginning to offer Tesla supercharging stations as well as
offering to match in store hurricane relief donations. These up to date changes are what keeps
Sheetz on top of the convenience store industry and is why we are looking into adapting the
successful Made-To-Order Kiosk stations into wine and spirit stores. Commented [1]: I feel like market trends isn't the
correct word for these..maybe social platforms etc.

The push to become an innovator in gas station food stops came at the heels of the concept that
nobody wanted to eat a gas station sandwich or any food for that matter due to the negative
stigma associated with gas stations. Focusing on providing fresher food of higher quality at a
faster rate these kiosk stations are picture based allowing for easy interpretation and quick
access. Starting with basic customizable sandwich options and toppings, Sheetz has since moved
into more niche snack foods such as jalapeno poppers, mac n cheese bites, and mozzarella sticks.
Along with these items they have also added an in depth coffee menu to attract some of the
starbucks audience with more intricate drinks. Being open 24/7 and offering such a variety of
food options from breakfast to dessert has shown its significance as Sheetz has soared to the top
of the convenience store market along with competitors like 7-Eleven.

Takeaways
Sheetz ended the gas station food stigma by providing fresher food with more quality
ingredients. Commented [2]: The takeaways should be focused to
how they help your company
The made to order kiosks increased efficiency and sales.
Sheetz is constantly updating to stay relevant with topical issues and trends such as
adding more gourmet coffee options at kiosks.
There is value in creating a self service and customizable experience in purchasing food
and beverage.
Wawa
Author: Lillia Walls
Company: Choose Your Booze
Commented [3]: This is really good!

Wawa first opened their first store in 1964, but their roots go way back to 1803 where the Wood
family started it all. Richard D. Wood Jr. is now the chairman of Wawa. They currently own and
operate 700 Wawa Food Markets in Delaware, Maryland, New Jersey, Pennsylvania, Virginia,
and now in Central Florida. Wawa headquarters are located in Media, Pennsylvania. This food
market is famous for their fresh coffee, built-to-order hoagie sandwiches, and gas. Not every
Wawa sells gas, but about 425 stores do sell gas. Wawa is acknowledged for their quality food
and thats what makes Wawa a great place to grab something to eat. The cost of the food and
drink is extremely reasonable and thats what customers love. They are also known for boosting
their own dairy, not only just for them but also for about 1000 hospitals, schools, and other
institutions. Many people know Wawa for a quick and easy store to get a great meal and fill up
on gas. Customers fell in love with the name brand and now are loyal customers. Wawas core
purpose is Fulfilling Lives, Everyday. Wawas has multiple competitors but their top three are
7-Eleven, Sheetz, and Cumberland Farms. Since their competitors are a very similar company
they need to make their company stand out to consumers to come to Wawa instead of those
places.

The best way to stand out, is to market your company. Wawa does an excellent job with creating
an image that people will notice. This company advertises on newspapers, magazines, and
billboards. This is considered to be offline marketing. Getting the company name out there for
people to see is the most important thing. Wawa also markets to their consumers online. They
advertise on social media and all over the internet. They have their own website with all the
information you want to know about them. They have the food/drink menu, company info,
locations, online shopping, exc.

Some sales strategies that Wawa incorporates into their business is something our company can
relate to and maybe get an idea on how to launch our product. To grab their customers attention,
they use promotions like National Coffee day and Hoagie Fest. On national coffee day Wawa
gives out any size coffee all day for free. This strategy is a great idea to help increase sales.
Consumers love free stuff, but the sales strategy behind it is that people will walk into the store
for free coffee, but most often never leave without something else in their hands. Wawa wants
you to walk into the store willing to buy something as well as get your free coffee. Hoagie fest is
another fantastic sales approach. Built-to-order fresh hoagies is a product Wawa wants to
promote to their customers. With their touch-screen kiosk, you can choose anything and
everything you want on your hoagie. Hoagiefest is any size freshly made hoagie for $4.99.
Consumers go crazy for this promotion and it brings in great sales. With Wawa having the
touchscreen kiosk to locate all their food and drink products, this allows customers to feel like
they can choose anything they want.

Takeaways:
Marketing offline in college towns can bring in a lot of sales. College towns have
multiple liquor stores, beer distributors, and bars. This is the perfect location where our
product should be.
Conducting a website for our product. On that website we could have multiple surveys
that can be very specific to what you're interested in.There can be a survey on liquor,
beer, and wine with multiple factors such as calories, taste, flavor, alcohol percentage,
and price.
Using promotion deals to drag the customers to use the Kiosk. An idea that we could
incorporate is that if they use the kiosk and take the survey they will get a coupon off
their alcohol purchase that day. This will drag the consumers into the store but to also use
our product.
Advertising on social media can grab consumers attention.
An App that allows users to take the survey before they go to the store to buy alcohol.
Drync
Author: Kimberly Riegel
Group: Choose Your Booze

Drync was founded in 2008 by Eric Sagalyn, Bill Kirtly, Jodi Goldstein, and Brad Rosen. Drync
is a wine social media app where customers can search and browse inventory, scan products, see
millions of reviews of products and track favorites. The customer can then purchase the alcohol
right from their phone, or save the item for future purchases in store. The app offers a way to
scan the wine bottle which then enables the customer to identify it, and then mark it as a
favorite. By scanning the picture of the wine bottle, the app is able to match it in its database
with over three million wines. Beverage alcohol retailers can now have their store built into the
app through a membership. Customers can then browse through a specific store located near
them to see what alcoholic beverages they have to offer. The store is then able to keep 100% of
the profits earned through the user that is going to their specific store, in the app, and ordering.
This enables the stores to be able to vastly market themselves to their customer base. In
December, Drync launched a new program Infinite Shelf which enabled consumers to pick up
online wine orders from local retailers within one to three days of purchase. This new program
had customers avoid shipping costs and had retailers gaining more foot traffic.

According to Crunchbase.com, Drync employes about 10 people and has raised a total funding
amount of $3.5 million. The company is currently privately held with no interest of going public
at the moment. Drync was able to differentiate itself from other similar apps by offering the user
a more individual experience. The app was designed for the user to have their favorites readily
available, rather than just browsing millions of different options like the competition was doing.

Drync has been using an online marketing strategy in the attempt to bring in more users. They
use other social media apps such as Facebook and Twitter, to grow their company. The company
has partnerships with Apple, Beverage Media Group, Wine Fetch, and Deliv. Their biggest
partnership recently was with Deliv. Deliv is a same day delivery service, which offers quick and
hassle free delivery for many different products. Dryncs partnership with Deliv allowed their
users to be able to get their wines delivered from their local beverage retailer that they bought
through the app, within the same day or a couple days. The partnerships have been attracting
more users, because it is expanding into different markets, which is making the alcohol buying
process virtually hassle free for customers.

Dryncs business strategy and company itself are relevant because it offers a way for consumers
to be able to specifically search through millions of different products to find one that they want.
The way the app is setup can help with our companys kiosk because it: shows the user's
favorite wines, what other people are liking, what wines are trending at the moment, and options
for choosing wines. This will help us because we are trying to design a kiosk that will help
customers in choosing alcohol based on favorites, what is trending, or help discover new items.

Takeaways:
Users of this app are now capable of easily finding all of their favorite wines for future
purchase.
Wine companies who advertise through the kiosk can increase their sales since their is
constant foot traffic through the stores.
The ability to browse other popular and trending items can bring customers new options
while shopping.
More people are using online or electronic services for their purchasing of alcoholic
beverages.
The convenience of easy access browsing of thousands of options generates more usage
and more purchasing because people arent wasting time searching. They are able to
quickly find everything they need, instead of spending unnecessary time looking for one
item.
Kiosk Information Systems
Author: Valerie Shreffler
Group: Choose Your Booze

Kiosk Information Systems is a non-public company that designs and manufactures self-service
kiosks. Key people include the CEO, Bill Butler and the President, Rick Malone. The company
has been in business for over 20 years and was founded in 1993. Kiosk Information Systems is a
US-based company, headquartered in Louisville, Colorado. It currently retains 135 employees
nationwide. Its annual sales are estimated to be 44.36 million dollars this year. Currently, the
company has over 200,000 units installed for customers.
The classification of the services/products are categorized under computer peripheral equipment.
Kiosks products can be applied to businesses that offer retail, bill payment, banking, vending,
smart locker, and border security services. Its customers are large companies that are business-
to-consumer, including AT&T, Pepsico, Amtrak, and Disney.

They offer a wide range of kiosks within the broader categories of standard and custom. These
include product offerings such as the Benchmark, featuring curved lines and familiar smart
phone aesthetics, used by Ikea Family. Another product offering is Stealth, featuring generous
LCD size, rugged keyboard and trackball options, used by Arizona State University. A portable
option, Terminals & Tablets, is perfect for small to medium sized retail businesses. The prices
are not listed but can vary based on the product.

Kiosk Information Systems markets using Google Ads through Search Engine Optimization so
that it is the first website that pops up when you search for kiosks. It also implements Facebook
posts to update its followers with recent news articles and relevant videos such as the partnership
with MoneyGram to advertise.

To differentiate itself from the competition, much of the emphasis of the company is on quality,
environmental responsibility, safety, and speed on their website.
Many businesses are now installing, and even relying on the kiosk business. One company,
Shake Shack, will be opening a cashless location in New York City where customers will order
and pay for their burgers and fries via kiosk and receive a text message when their order is ready.
They believe that this is the way of the future with many consumers decreasing cash use and
with self-service kiosks, more customers will be able to be served, especially at busy times.
The Movie Rental Kiosk industry is currently dominated by Redbox taking 90% of the market
share. There has been an overall decline in the demand for movie rental kiosks due to customers
choosing streaming services instead. Some kiosks continue to thrive as they offer movie
selections that are not found on Netflix or Hulu. The overall revenue of the industry is 1.7 billion
dollars.

Takeaways:
Many Kiosk customers believe that the way of the future is with more technology and
less human capital, so many are taking the plunge and investing in them.
While the movie rental kiosk industry is declining slightly, kiosks overall seem to be
increasing in volume.
A key factor in the movie rental kiosk industry decline is convenienceit is easier to
stream something from home than to drive somewhere to pick up a movie and then return
it later; this should not affect the market for alcohol kiosks as much since people will
usually drive to beer/wine/liquor stores and not order it online.
Part of the reason for the increase is peoples desire to eat on the go, and therefore move
faster and be more efficient with their time.
Kiosks eliminate the middle-man when you need to get what you want and get it fast
By offering this easy-to-use kiosk, it is believed that it will attract more customers and
increase the revenues of the alcohol stores that install them.
Chilis
Author: Marcel Dolegiewicz
Company: Choose your Booze

Chilis Grill and Bar is an American casual dining chain that serves Tex-Mex cuisine. The
company was founded by Larry Lavine, and it opened its first location in Dallas, Texas in 1975.
Chilis is currently owned and operated by Brinker International and currently serves as its
flagship brand. There are 1,580 Chilis locations worldwide in more than 50 countries, including
839 that are company-owned and 741 that are franchised. Currently, Doug Brooks serves as CEO
of Chilis holding company, Brinker International, and Chad Avarello serves as Chilis Director
of Operations.

The primary concept of Chilis is an informal, full-service dining restaurant. Chilis menu
features American food influenced by Tex-Mex cuisine, such as spicy shrimp tacos, bacon
burgers, and steak. Recently, in September 2017 Chilis dropped 40% of its menu to focus on
burgers, ribs, and fajitas (their most popular items). In addition to the regular menu, the
restaurant continues to offer a nutritional menu, an allergen menu, and vegetarian. Menu options
are meant to be in the low to medium range, as Chili attempts to take advantage of an affordable
casual dining atmosphere and experience. Entrees are priced at $5.99 to $16.99.

Chilis has a large consumer base and welcomes families of all ages to affordable dining in a
laid-back atmosphere. Overall, the target audience wants higher quality food than they would get
at a fast food restaurant, but at a more affordable price than a high end restaurant. The main
target audience bracket age is 25-34, with ages 18-24 coming in close second. Chili goers are
primarily white Americans living in the South and West.

What makes Chilis unique and relevant to our current market and business research is the
installation of more than 45,000 tablets in its restaurant. The chain partnered with Ziosk, a
restaurant-targeted table tablet maker. The implementation of these tablets have led to a small-
scale dehumanization of the restaurant chain and industry. The tablets allow customers to
explore dining options based on preferences, and interact with the menu through customization,
animations, and graphics. These tablets have led to financial benefits, as not having to wait for
servers to come and take orders expedites the overall dining experience. Also, studies have
shown that the expedited process has led to more impulse purchases of appetizers and desserts.
The Chili's version of the Ziosk menus is programmed to have images of dessert (a molten
chocolate cake, say) pop up while customers are still eating their main courses. This has led,
Chili's says, to a 20-percent increase in dessert sales. (Ziosk claims a 30-percent dessert-sale
bump for its clients overall). This successful technology that Chilis has rolled out has the ability
to serve as an example of the positive aspects our kiosk system can utilize. Overall, the tablet
system leads to less time for customers at the table and more people in and out.

In terms of promotion and marketing strategies, Chilis tends to strategically place its
restaurants near shopping malls, movie theatres, etc. Since Chilis locations are placed near
highly populated areas and various attractions it is able to better compete with competitors. The
chain attempts to keep a fun and outgoing outlook on dining while being consistent with quality
and service. Online and offline ads often feature the unique exotic (when compared to
competitors) dining options. Chilis has also been utilizing and publicizing special events,
alcohol sales, and sporting events in order to attract more business. Our kiosk/tablet system
would benefit from using special events and promotions to attract customers.

Takeaways:
Chilis has implemented a tablet operating system which takes orders, and helps
customers select dining options.
In order to attract customers, Chilis places its locations in heavily populated and
entertainment oriented areas.
Chilis utilizes various promotional events and sales in order to increase business.
Studies have shown that tabletop tablets have significantly expedited customer time spent
inside the restaurant.
Tabletop tablets have helped customers select dining options by providing a user friendly
interface and have been shown to increase sales.
The tabletop tablet system has led to a small scale dehumanization of the restaurant
service industry which has led to reduced labor costs.
Chilis claims that the tabletop tablet has led to financial success, due to impulse
purchases of mainly appetizers and desserts.

Annotated Bibliography
Beer, Wine, and Liquor Stores Industry Outlook. (2017). Retrieved October 18, 2017, from
http://clients1.ibisworld.com.ezaccess.libraries.psu.edu/reports/us/industry/industryoutlook.aspx?
entid=1051

This is an industry outlook for the sale of beer, wine, and liquor. The outlook makes it seem like
smaller stores will have a harder time competing with larger stores as governments remove
regulations on the sale of alcohol, meaning Total Wine and More could gain even more market
share and could be a good customer for our product. In addition, younger generations have
different preferences than older generations, and an increase in average disposable income has
led to more products and a wider range of prices of products available, thus adding more
potential to our interactive kiosk device.

Bumsted, B. (2008, Jun 11). Wine kiosks' ID system detailed. McClatchy - Tribune Business
News Retrieved from http://ezaccess.libraries.psu.edu/login?url=https://search-proquest-
com.ezaccess.libraries.psu.edu/docview/464930977?accountid=13158

This is an article about a company who is proposing wine kiosk grocery and wholesale stores.
This kiosk would identify IDs, check blood alcohol level, and track consumer purchases. This
could also track if the person has a drinking problem or not. One problem they faced was that
people may think it is invasion of privacy. They discuss in depth if having wine kiosks in these
types of stores will be safe and resourceful.

High, P. (2017, June 12). Founder Of $3 Billion Total Wine & More Discusses His Career And
His Future In Politics. Retrieved October 12, 2017, from
https://www.forbes.com/sites/peterhigh/2017/06/12/founder-of-3-billion-total-wine-more-
discusses-his-career-and-his-future-in-politics/3/#3ecc5eb7b74c

This is an interview conducted by Forbes with David Trone, co-founder of Total Wine & More.
The interview does touch on the co-founders intent on entering into politics, but first expounds
upon his companys strategy to cater to a new generation of consumers with different purchasing
preferences. The company is committed to providing customers with online purchasing options
and aiding customers with their selection from their 13,000+ products.

Kiosk Information Systems Company Profile. (n.d.). Retrieved October 20, 2017, from
http://subscriber.hoovers.com/H/company360/overview.html?companyId=847057 023
This industry outlook provides basic information on Kiosk Information Systems from Hoovers.
It contains information including estimated annual sales, key people, employee number, and type
of industry. This will help out our company by giving us some key metrics to consider when
developing our business.
Lutz, A. (2015, February 04). McDonald's has a new competitor no one is talking about.
Retrieved October 24, 2017, from http://www.businessinsider.com/mcdonalds-has-a-new-
competitor-in-sheetz-2015-2

This article discusses the rising power of sheetz and its now competition with mcdonalds as a
food competitor. The article stresses the fact that consumers are seeking faster and more
convenient food options. Sheetz takes advantage of their services such as gas in order to drive
more food sales. In addition to using convenience, Sheetz has cut down on human labour and
installed ordering tablets in its locations. This allows customers in a rush to quickly place their
orders without dealing with a person.

Online Beer, Wine & Liquor Sales Industry Outlook. (2017). Retrieved October 23, 2017, from
http://clients1.ibisworld.com.ezaccess.libraries.psu.edu/reports/us/industry/industryoutlook.aspx?
entid=5087

This industry outlook focuses on the online purchasing of alcohol and the technology usage with
customers. The online buying industry is expected to keep growing by 2.5% in this year, with
millennials being the target market. In the next 5 years, millennials are going to make up 40% of
the drinking individuals, and they are the market to be more likely to use technology when
making purchases. It also talks about how social media lures new customers into purchasing new
products and how digital advertisements can be extremely persuasive to buyers.

Perkins, C. (2017, Sep). Make room for kiosks. Restaurant Development + Design., 5, 48-52.
Retrieved from http://ezaccess.libraries.psu.edu/login?url=https://search-proquest-
com.ezaccess.libraries.psu.edu/docview/1947019755?accountid=13158

This is an article written by Caroline Perkins who works in restaurant development and design.
She talks about introducing technology devices in restaurants and if it will be a good or bad
impact. Many believe that it will improve guest experience by providing the ability to easily
customize orders. Some may say they don't believe the footprint of restaurants increasing or
decreasing will necessarily a result of technology but more a result of value and building costs.
Throughout the article, it discusses the good and bad of technology devices in restaurants.

Phelps, S. (2016, August 19). Sheetz Redefined The Convenience Store Customer Experience
With MTO. Retrieved October 24, 2017, from
https://www.forbes.com/sites/stanphelps/2016/08/19/sheetz-redefined-the-convenience-store-
customer-experience-with-mto/#4e72c2512df9

This article details the history of Sheetz and how it came to be. It specifically addresses the
change in convenience store food and why it worked. It also dicussd the significance in using the
kiosk machines. The article places a strong focus on how much people value convenience. In
todays society people are often stressed for time and in a rush and technology is looking to
expedite customer service processes.

Rivera, Edward. (2016, November). IBISworld Industry Report: Movie Rental Kiosks.
Retrieved October 18, 2017, from
http://clients1.ibisworld.com/reports/us/industry/default.aspx?entid=4383
This industry report discusses the trends of the movie rental kiosk industry. It provides us with
insight on the decline of the movie rental kiosk and why, while also including what it needs to be
successful. This will help us understand why some consumers choose to use this kiosk and why
they choose other services instead.

The Cashless Burger Joint. (n.d.). Retrieved October 20, 2017, from
http://academic.mintel.com/trends/#/observation/859181?highlight#hit1
This industry article provides an information discussing the movement away from humans taking
orders and towards technology. It speaks on the decrease of physical cash use and more reliance
on technology for taking orders. This is helpful to our company because it confirms that we are
moving in the right direction with Kiosk installations for customers use.

Tice, C. (2012, December 07). How Restaurants Are Using Technology to Deliver Better
Customer Service. Retrieved October 20, 2017, from
https://www.forbes.com/sites/caroltice/2012/12/07/how-restaurants-are-using-technology-to-
deliver-better-customer-service/#7b8d10866b76

This website discusses the positive impacts technology have brought to customer service within
the restaurant industry. It focuses on tabletop and app programs that allow the customer to
conveniently browse menus, order, and interact with restaurant services more efficiently. The
article provides information on how diners time spent in the restaurant is reduced and what
customers find useful/enjoy about the new technology. We can use this information as a source
of inspiration for what our tablet should include.

Total Wine and More. (2017). Retrieved October 11, 2017, from
http://www.totalwine.com/

This is the home page of the Total Wine & More company. The history of the company was
found on this site as well as the range of products available and the distribution channels for the
products. The cites product finder was also explored.
Williams, S. (2014, January 05). Will This High-Tech Move Revolutionize or Wreck Applebee's
Future? Retrieved October 20, 2017, from
https://www.fool.com/investing/general/2014/01/05/will-this-high-tech-move-revolutionize-or-
wreck-ap.aspx

This website focuses on the financial side of the new tablet technology that is being installed in
casual restaurants. It provides scenarios in which the tablets can improve the business of
restaurants but also how it can negatively impact business. According to the article there is a fine
line of customer interaction with technology and humans. A balance of both is required in order
to provide the best experience. Technology can be very helpful, but too much of it can prove to
be detrimental as most people still value the human interaction that comes with the service
industry.
Wine & Spirits Wholesaling Industry Outlook. (2017). Retrieved October 23, 2017, from
http://clients1.ibisworld.com.ezaccess.libraries.psu.edu/reports/us/industry/industryoutlook.aspx?
entid=992

This industry outlook focuses on the continued boost of consumers purchases of wine and spirits.
Recently there has been a shift in the purchasing of beer to the increase in purchasing of wine
and liquor. The popularity of online purchasing and technology usage has created an increase in
alcohol sales also. There is a slight issue with the alcohol wholesale industry because of the
future possibility of increasing taxes, causing a less of a demand by the consumer since the
higher prices. Wholesalers could counteract this future problem with advertisements to boost
sales on our kiosks.
Conclusion

Figure 8: Would you use an interactive kiosk to aid you in purchasing beer, wine, or
liquor?

In conclusion, seeing that 47.7% of survey respondents said Yes to be willing to use a
technological device to aid them in deciding what beer/liquor to purchase, and 32.7% maybe,
we believe that our product has the potential to be extremely useful in the beer, wine, and liquor
distribution industry. Additionally, as about 50% of respondents answered that they are open to
trying different types of alcohol, but they do not know what kind to buy, our product can help
solve this problem by introducing users to something different. We will revise our business
model by using the data that we collected in our survey.

We strongly believe that implementing a kiosk systems into the alcohol industry, especially brick
and mortar locations, will benefit both the consumer and seller.

Overall Takeaways:
It is worth investing in our product/service as almost 50% of our survey participants
indicate they would use our product or may say they might.
IBIS World indicates that state governments are beginning to relax restrictions and
regulations on alcohol sales and purchases. This should lead to the sale of alcohol in
more convenience and grocery stores as well as a larger percentage of the market taken
up by warehouse stores like Total Wine & More. As larger warehouse-like retailers enter
the market of alcohol sales, our product will become increasingly useful.
The increase of use in technology in many of the company profiles (Chilis, Wawa,
Sheetz) shows an upward trend that will become more vital to corporations for efficiency
and improvement in customer service.
Marketing would be very beneficial for our company. This would increase awareness and
bring customers in to use the kiosk. The liquor stores would benefit from advertising as
well to let their customers know that they are a better store than stores without the kiosk.
Convenience is important! To make the kiosk worth it, the customer must reason in their
minds that it is worth it to use the kiosk to find what they like more easily than asking a
salesperson where something is located and researching what to buy. The kiosk must be
easy to use and quick to give the customer the knowledge they need.
Appendix
1) What is your age?
a) <18 years
b) 18-20
c) 21+
2) What is your gender?
a) Male
b) Female
c) Other
3) If applicable, how often do you go to a bottle shop, beer distributer, and/or wine & spirits
store? Choose the answer that best fits you.
a) Once a month
b) Every two weeks
c) Every week
d) More than once a week
e) I am 21 or older but do not go to any of these
f) I am under 21
4) On average, how much time do you spend in a beer distributor or liquor store?
a) <5 minutes
b) 5-10 minutes
c) 10-15 minutes
d) 15-20 minutes
e) 20+ minutes
5) When you visit a beer distributor or liquor store, how often do you know what you are
going to buy?
a) Always
b) Most of the Time
c) Sometimes
d) Seldom
e) Never
6) How often do you have difficulty finding what you are looking for in the beer/wine/liquor
store?
a) Always
b) Frequently
c) Sometimes
d) Rarely
e) Never
7) Do you ever spend more time in a beer distributor or liquor store than you would like
searching for what you are going to buy because you dont know what you are looking for?
a) Always
b) Most of the time
c) Not frequently
d) No, I enjoy browsing different selections

8) Are you open to trying different types of alcohol?


a) I always buy the same type of alcohol
b) I would like to, but do not know what kind to get
c) I always try new types of alcohol

9) How important is price to you when determining your alcohol selection compared to other
factors (brand names, flavors, quality)?
a) Very important
b) Somewhat important
c) Less important

10) What is the most important factor when choosing your alcohol selection? Rank in order of
preference (1 being highest preference, 6 being lowest preference).
__ Brand name
__ Flavor
__ Price
__ Alcohol content
__ Quality
__ Visual appeal/design

11) To what extent does price have an influence on your choice of beer?
a) Always
b) Most of the time
c) Sometimes
d) Seldom
e) Never

12)Have you ever used technology to find where specific goods/products are inside a store?

a) Yes, almost every time I shop


b) Yes, but very rarely
c) No, but I would be willing to try
d) No, and I do not want to
13) When purchasing beer, wine, or liquor, is nutritional information something you consider
a) Yes
b) No

14) Do you like to know where your alcohol is brewed/distilled


a) Yes
b) No

15) Would you use a technological device to aid you in deciding what beer to purchase
a) Yes
b) Maybe
c) No

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