The Friday Beer Co has delivered over 30% annual sales growth in their first 3 years of trading, they aim to exceed £1m turnover by 2020.
They sell Premium Bottle Ales to 55+ outlets including Harrods with a vision to sell to international markets, and see “Friday” branded city based bars! The team of 3 research scientists look to expand brewing operations in order to hit economies of scale.
There have been a few craft beer companies in recent months hit the crowd funding market and questions are raised about the number of these breweries being sustainable in the long term, however this has been an industry with a long history of consolidation and that has continued to include Camden Town Brewery’s recent acquisition by AB InBev for £85 million and also a Crowdcube fund raiser.
The challenge in this craft beer market will be getting scale for many of these breweries with so much competition opportunities outside of local retailers and bars will be difficult and gaining presence in major retailers (if that is what they want to achieve) will be limited to only a select few.
Personally I fear that too many of these craft breweries are overlapping with similar products and positioning and the ones that place themselves away from the crowd will delivery success and appeal to the bigger breweries as a great extension of their portfolio.
That said the Friday Beer Co has delivered some great wins in their first 3 years and securing a listing in Harrods is a good achievement. There is a strong clamour for British beers from international markets, although competition both from home and developing craft beer markets around the world is on the increase meaning successful brands will need to play on their British credentials heavily.
At the time of writing (13th Jan 2016) there was another 25 days to go on funding with 28% of the total £150,000 raised so far. Their pitch can be found here.
Disclaimer: This article is for information purposes only and should not be taken as investment advice. As with any investment your capital is at risk and investments in early stage companies comes with a much higher level of risk.