Philadelphia, PA Early February

Beer stores begin distribution Beer store posters are up (through early March)

Early March
Philly Craft Beer Festival

Early/Mid June
Banner Ad is up Philly Beer Week Bars & Restaurants begin distribution Beer store posters are up Launch Party at Grace Tavern Promo Events at remaining bars & restaurants.

Early July
Sales promotion contest begins

Business Mission
C.E. Card Brewing Company is a microbrewery1 located in Mount Wolf, Pennsylvania. The company is the sole producer of Willies Dog House Ale, a product line of craft beer2 . Founder and brew master, Charlie Card, began brewing Willies with the idea of producing a high quality craft beer and selling it at the lowest possible price. C.E. Card Brewing Company currently has no definite plans for developing a secondary product line in future; however, does plan on continually creating new brews for the Willies product line. By 2016, C.E. Card Brewing Company hopes to be renowned for its ability to meet consumer standards of loyalty to the art of craft brewing, and standards of product quality, variety, and affordable pricing. The company also strives to become available and demanded throughout the Northeastern region of the United States.

Washington, DC Early June

Beer stores begin distribution Beer store posters are up (through early July) Savor: An American Craft Beer & Food Experience

Objectives
Mid July
Brew at the Zoo

Late August
Banner Ad is up DC Beer Week Bars & Restaurants begin distribution Beer store posters are up Launch Party at The Black Squirrel Promo Events at remaining bars & restaurants.

Early September
Sales promotion contest begins

As Willies Dog House Ale is a new brand, and currently only available for purchase directly to the consumer from the brewery, the major focus of this marketing campaign is to generate brand awareness and increase consumer demand. 1. Generate brand awareness. 2. Increase demand from consumers. 3. Reach or exceed $1.5 million in revenue by the end of 2011 (December 31) .

Situation Analysis
Internal Strengths
1. As a craft brewer, C.E. Card Brewing Company has the ability to supply its products to the consumer when products are at the peak of freshness. Early October
Early October Brewtopia Sales promotion contest begins
1 Microbrewery: A brewery that produces less than 15,000 barrels (17,600 hectoliters) of beer per year with 75% or more of its beer sold off site. Microbreweries sell to the public by one or more of the following methods: the traditional three-tier system (brewer to wholesaler to retailer to consumer); the two tier system (brewer acting as a wholesaler to retailer to consumer); and, directly to the consumer through carryouts and/or on-site tap-room or restaurant sales. Market Segments. Brewers Association | Market Segments. Brewers Association. Web. Fall 2010. http://www.brewersassociation.org/pages/business-tools/craft-brewing-statistics/market-segments 2 Craft Beer: The hallmark of craft beer and craft brewers is innovation. Craft brewers interpret historic styles with unique twists and develop new styles that have no precedent. Craft Brewer Defined. Brewers Association | American Craft Brewer Defined. Brewers Association. Web. Fall 2010. http://www.brewersassociation.org/pages/business-tools/ craft-brewing-statistics/craft-brewer-defined

New York, NY Early September

Beer stores begin distribution Beer store posters are up (through early October) Banner Ad is up (through end of the month)

Late September
New York Craft Beer Week Bars & Restaurants begin distribution Beer store posters are up Launch Party at Rattle N Hum Promo Events at remaining bars & restaurants

2. All of the Willies Dog House Ale products are made with the highest quality ingredients, including malted barley, hops, and yeast, versus cheaper adjuncts such as corn and rice (and chemicals for preservation) used by many large-scale breweries to cut costs.

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3. C.E. Card Brewing Company prides itself on selling Willies products at the lowest possible prices This can encourage consumers who are accustomed to paying more for craft brews. 4. The Willies product line ranges from highly full bodied ales to light ales. Many non-craft brew drinkers stray away from craft brews, as they are typically heavier or bolder in flavor and contain more calories than beverages like Coors Light. This width in product line could overcome the stigma that craft brewers dont cater to light beer drinkers. Very few craft brewers make a mild flavored and relatively low calorie beer, which could give Willies the opportunity to appeal to a broader audience.

2. Public Relations April 1st marks the beginning of Prevention of Cruelty to Animals Month. During this month (in 2012), a set amount of profit from Willies Dog House Ale products will be donated to ASPCA. In addition, the company will sell t-shirts with both the Willies logo and the ASPCA logo, also of which a set amount of proceeds will go to the organization. The company will host fundraising events at the locations of the 2011 launch parties. The event will cost approximately $30 per patron. Patrons will be able to drink available Willies brews during the entire event (approximately two hours), at no additional cost, and raffle drawings and games will be lead by brew master Charlie Card. The company will also attend Brew at the Zoo in Washington, DC. This event supports wildlife conservation, and is in close proximity to selected distributors. 3. Personal Selling Because Willies Dog House Ale will primarily be sold at freestanding establishments, there will be little control over how or if an establishment employee sells the Willies Dog House Ale product line. However, a contest will be held for bar and restaurant employees. The one employee from each establishment to sell the most (minimum qualifying amount yet to be determined) Willies Dog House Ale brews will be awarded a Willies t-shirt and two tickets to a sports event or concert of their choice (options will be listed in the contest details and rules document provided to the establishment). This contest will take place in the month following the last event (see events) per city. 4. Sales Promotion During the initial distribution of Willies Dog House Ale product line to the selected bars and retaurant, a team of promoters will pass out Willies chips to establishment patrons. Promoters will wear a Willies Dog House Ale t-shirt, and speak to patrons about the Willies Dog House Ale product line. They must be knowledgeable about the products, and share their knowledge with the patrons. The chips (cardboard coins with the Willies original logo) must be handed over to a server or bartender to receive a complimentary Willies brew of the consumers choice. This will give patrons the opportunity to try Willies at no risk. Launch parties will utilize the same strategy, but the brew master must be present, and raffle and games will also occur.

Internal Weaknesses
1. The Willies Dog House Ale product line is a brand new product line, and is the first and only product line to come from C.E. Card Brewing Company (founded in 2009). Therefore, there is currently limited brand awareness. 2. Retail and distributor channels are yet to be established. 3. C.E. Card Brewing Company has a very limited budget for advertising until the company is able to turn a higher profit. 4. The company currently has limited distribution resources, preventing them from distributing Willies Dog House Ale products to locations outside of a 200-mile radius from the headquarters in Mount Wolf, PA or beyond the Northeastern/ East Coast region of the United States.

External Opportunities
1. Craft breweries are continuing to experience growth even during an overall drop in total U.S. beer sales. a. Growth of the craft brewing industry in 2009 was 7.2% by volume and 10.3% by dollars compared to growth in 2008 of 5.9% by volume and 10.1% by dollars. Growth of the craft brewing industry in the first half of 2010 was 9% by volume and 12% by retail dollars. b. Imported beer sales were down 9.8% in 2009 c. Overall U.S. beer sales were down 2.2% in 2009, and down an estimated 2.7% by volume in the first half of 2010. 2. Out of 10 of the breweries with the largest market share for craft breweries, 6 of them have had a decrease in share in 2009. This information, combined with statistics showing that the overall craft beer sales have consistently grown, could be a sign that consumers may choosing other craft brews over the larger craft brewers. See Exhibit 1.

Price, Implementation & Evaluation

Prior to distribution, craft beer prices will be analyzed to determine the initial price of Willies products. Though products will be sold at the lowest possible price considering the quality and ingredients, it will be important that the products are not priced so low that consumers doubt its quality. The product should be priced only slightly lower than the leading craft breweries prices for ales. The schedule on page 16 illustrates a tentative schedule of activities covered in this marketing plan. The success of marketing efforts will be determined by monthly evaluation of sales per geographic location, distributors demand of product, and by online interaction measured by clicks on banner ads and visits to the Willies website.

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Banner Ads Banner ads will be used in the month of each geographic locations beer week. C.E. Card Brewing Company will sponsor the Beer Advocates beer guide page for each selected city. Banner ads will use a maximum of one sentence, and be similar in style to the specifics listed for poster ads. Once clicked, the consumer will be linked to the Willies Dog House Ale website. View an example of these pages: http://beeradvocate.com/beerfly/city/12 Events Listings C.E. Card Brewing Company will use Beer Advocate to list all events that they will be involved in. This is a free service, and will be continuous. Users are provided with a list of events based on the city and date theyve provided in their search. View an example of Beer Advocates Beer Calendar: http://beeradvocate.com/events/calendar/2010/12 Videos Videos will be posted to the Willies website and to youtube. The Willies animated series will be illustrated in vintage style of the 1930s-1950s. Each episode will be a humorous 60 second short based on a quote from a famous person in history, or represent a specific moment in history. This will allow viewers to see Willies appreciation for the art of brewing, and to learn about the history of beer. Ideally, viewers will share these videos, which can allow people to become aware of Willies Dog House Ale. Videos will be posted during periods relevant to the video topic, and archived over time. The Brewing with the Brew Master videos will be no longer than 20 minutes in length. Brew master Charlie Card will explain the brewing process and ingredients for each Willies Dog House Ale, then finalize the video with a meal selection for the showcased beer. A video will be made for each Willies Dog House Ale product, and will be available on the website beginning in the month of initial product distribution. Website The Willies Dog House Ale website must be updated to include the following sections: A. Age Verification B. History: The story behind Willies Dog House Ale C. Brews: Available brews with detailed descriptions (available in the product section of this document) D. Events: Full list of events, updated regulary. E. Videos: Animated shorts & Brewing with the Brew Master F. Where to Buy: List of distributing bars and beer stores. Form to request distribution. G. Contact & Newsletter signup

3. Though craft breweries have continued to grow, with sales increasing by a total of 50% over the last five years, they still only account for 4.5% by volume of U.S. beer consumption. Rather than compete against each other as many large-scale breweries often do, craft brewers tend to support each other and collaborate for the benefit of the entire craft beer industry. 4. Beer publications, online communities, blogs, and events are well established. These resources allow access, and pave a road of communication, to craft brew enthusiasts. Exhibit 1 BREWERY
BOSTON BEER CO. SIERRA NEVADA BREWING CO. NEW BELGIUM BREWING CO. SPOETZI BREWERY

HEADQUARTERS
BOSTON, MASSACHUSETTS CHICO, CALIFORNIA FORT COLLINS, COLORADO SHINER, TEXAS

ANNUAL SALES 1,841,348 BARRELS 723,880 BARRELS 583,160 BARRELS 409,000 BARRELS 192,199 BARRELS 186,783 BARRELS 171,700 BARRELS 154,236 BARRELS 138,954 BARRELS 130,516 BARRELS

SHARE OF SEGMENT CHANGE IN SHARE 20.20& 7.94% 6.40% 4.49% 2.11% 2.05% 1.88% 1.69% 1.52% 1.43% -1.21% +0.06% +0.60% -0.14% -0.34% -0.07% -0.02% +0.20% -0.10% +0.05%

PYRAMID BREWERIES SEATTLE, WASHINGTON INC. DESCHUTES BREWERY MATT BREWING CO. MAGIC HAT BREWING CO. BEND, OREGON UTICA, NEW YORK SOUTH BURLINGTON, VERMONT

BOULEVARD BREWING KANSAS CITY, MISSOURI CO. HARPOON BREWERY BOSTON, MASSACHUSETTS

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External Threats
1. Willies Dog House Ale and other craft beer products are competing with large-scale breweries that account for the majority of the beer industry. Exhibit 2 is a snapshot of the 2008 US Market Shares for Brewers. Craft brewers are part of the other segment. 2. In 2009, craft breweries sold approximately 9.12 million barrels of beer. 4.5 million of those barrels came from only 10 out of 1542 craft breweries operating during that time. These companies are the biggest competition, even more so than the large-scale brewers (i.e. Miller, Coors, Anheuser-Busch). See Exhibit 3 for a pie chart based on market share (based on Exhibit 1). 3. There is a continuing growth of operating breweries in the United States. Though craft breweries have also been growing in sales as a total industry (opportunity), the number of competitors (both craft breweries and non-craft breweries) increases each year. Exhibit 4 illustrates this growth. 4. The Brewers Associations Marketing & Advertising Code must be reviewed prior to all marketing and advertising efforts. Exhibit 2 2008 US Market Shares for Brewers
(Based on shipments from brewers to wholesalers, 2008)

Events & Festivals A. Savor: An American Craft Beer & Food Experience| June 3-4, 2011 National Building Museum 401 F Street Northwest Washington, DC 20001 http://www.savorcraftbeer.com/ B. Brew at the Zoo | July 15, 2011 The National Zoo 3001 Connecticut Avenue Northwest Washington, DC 20008 http://www.nationalzoo.si.edu.com/ C. DC Beer Week | August 20-28, 2011 Launch Party @ The Black Squirrel http://www.dcbeerweek.com/

Promotion
1. Advertising
PABST: 3% HEINEKEN USA: 4% CROWN: 5% OTHER: 9% COORS: 11% MILLER: 18% ANHEUSER-BUSCH: 50%

During this time, C.E. Card Brewing Company does not have the budget for large scale advertising. However, C.E. Card Brewing Company will create posters for the distribution locations, banner ads on select websites, and use their own website and the Beer Advocate online community to list Willies Dog House Ale events. They will also create animated videos based on the history of beer and celebrating historical icons and quotes, and videos with the brew master. These videos will be available on the Willies Dog House Ale website, and on youtube. Because of the small target market and distribution in limited geographical areas, using national or even regional beer publications or other media may be wasteful of the companys budget. The media that has been selected will minimize the amount of waste. In addition, using banner ads will allow the company to evaluate the success of their advertising efforts by analyzing the number of times their banner ads have been clicked on. Posters Posters will be used during the first month of distribution for each bar and beer store. They will be placed only in distributor establishments. Ads will be illustrated, and similar in style to 1930s-1950s beer ads, using humor to describe the attributes of Willies Dog House Ale. Description must mention quality and affordability. Separate posters will be used during Prevention to Animal Cruelty Month in April 2012, announcing the companies support of the ASPCA (American Society for the Prevention of Cruelty to Animals.
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Beer Stores A. Mulberrys Market | 19106 http://www.mulberrysmarket.com/ B. Latimer Deli & Restaurant | 19102 http://www.philadelphia.menupages.com/restaurants/latimer-deli/ Festivals & Events A. Philly Craft Beer Festival | March 5, 2011 Philadelphia Cruise Terminal @ Navy Yard 5100 South Broad Street Philadelphia, PA 19112 http://www.phillycraftbeerfest.com/ B. Philly Beer Week| June 4-15, 2011 Launch party @ Grace Tavern http://www.phillybeerweek.net/

Exhibit 3

OTHER: 50.29% HARPOON: 1.43% BOULEVARD: 1.52% MAGIC HAT: 1.69% MATT BREWING: 1.88% DESCHUTES: 2.05%

Washington, DC Bars & Restaurants A. The Black Squirrel | 20009 (Adams Morgan) http://www.blacksquirreldc.com/ Beer Stores A. Cleveland Park Wine & Liquors | 10008 (Cleveland Park) http://www.clevelandparkwine.com/ B. Connecticut Avenue Wine & Liquor Deli| 20036 (Dupont Circle) C. DeVinos Wine Shop | 20009 (Columbia Heights) http://www.de-vinos.com/ D. Whole Foods | 20007 (Georgetown) http://www.wholefoodsmarket.com/ E. Whole Foods | 20005 (Logan Circle) http://www.wholefoodsmarket.com/
12 5

PYRAMID: 2.11% SPOETZL: 4.49% NEW BELGIUM: 6.4% SIERRA NEVADA: 7.94 BOSTON BEER: 20.2%

Exhibit 4

Beer Stores A. Whole Foods | 10019 (Chelsea Clinton) http://www.wholefoodsmarket.com/ B. Whole Foods | 10001 (Chelsea Clinton) http://www.wholefoodsmarket.com/ C. Whole Foods | 10007 (Lower Manhattan) http://www.wholefoodsmarket.com/

2000

1625 1525 1474

D. Whole Foods | 10003 (Union Square Lower East Side) http://www.wholefoodsmarket.com/ E. Whole Foods | 10025 (Upper West Side) http://www.wholefoodsmarket.com/ Festivals & Events A. New York Craft Beer Week | September 24-October 3, 2011 Launch Party @ Rattle N Hum http://www.nycbeerweek.com/events/ B. Brewtopia: Great World Beer Festival | October 1-2, 2011 Governors Island 548 West 22nd Street

1500
1370

1424

1000

2006

2007

2008

2009

2010

New York, NY 10011 http://www.brewtopiafest.com/ Philadelphia, PA Bars & Restaurants A. Grace Tavern | 19102 http://www.gracetavern.com/ B. Race Street Caf | 19106 http://www.racestreetcafe.net/

US Breweries Operating in 2009

68 486 998 1,552 20 23 1,595 6 Regional Craft Breweries Microbreweries Brewpubs Total Craft Breweries Large Breweries (Non-Craft) Other Non-Craft Breweries Total US Breweries

US Breweries Operating in 2008

62 447 995 1,504 20 23 1,547 Regional Craft Breweries Microbreweries Brewpubs Total Craft Breweries Large Breweries Other Non-Craft Breweries Total US Breweries 11

Distribution
The following bars and beer stores have been selected from the Beer Advocate Directory to distribute the Willies Dog House Ale product line. Bars were selected using the bulleted guidelines. Beer stores were selected the presence of both Bohemian Mixers and Young Digerati in the establishments zip code, and C+ or higher Beer Advocate ratings. Establishment must hold a Beer Advocate rating of A- or higher. The establishments zip code must include both the Bohemian Mix and Young Digerati demographic segments. All bars must have a website that includes a full beer menu. The bar must mostly or primarily sell craft beers. The bar must offer a food menu. The bar must provide frequent entertainment beyond drinking and dining, be it billiards, live music, trivia, sports, or other events. Overall, the bar must have a fun and inviting atmosphere.

Target Market Strategy

Target Audience
Segments: Bohemian Mixers/Young Digerati Age: 25-44 Urbanicity: Urban Medium Income: $55,665+

Geographic Details
Access to Willies Dog House Ale will be available in the following major US cities. Weve selected these cities based on lower breweries per capita rank, high concentration of nightlife activities/bars and access to our target market, availability of specialty beer and wine retailers, and proximity to C.E. Card Brewing Company. 1. New York, New York 2. Philadelphia, Pennsylvania 3. Washington, District of Columbia

Both bars and beer stores were limited to one distributor per zip code; however, a bar and a beer store may be located within the same zip code. The selected locations are pilot locations, and will allow C.E. Card Brewing Company to evaluate its success and determine its market share before expanding distribution in the future. New York, NY Bars & Restaurants A. Rattle N Hum | 10016 (Gramercy Park Murray Hill) http://www.rattlenhumbarnyc.com/ B. Blind Tiger | 10014 (Greenwich Village Soho) http://www.blindtigeralehouse.com/ C. The Half Pint | 10012 (Greenwich Village Soho) http://www.thehalfpint.com/ D. East Village Tavern | 10009 (Union Square: Lower East Side) http://www.evtnyc.com/about.html E. David Copperfields House of Beer | 10021(Upper East Side) http://www.davidcopperfields.com/ F. Shortys | 10036 (Chelsea Clinton) http://www.shortysnyc.com/

Psychographic Details
The consumer is educated, and is constantly interested in learning more. He/she enjoys visiting bars, restaurants, nightclubs, and drinking microbrews. Though the consumer follows up on trends, he/she also maintains the desire to be unique and individualistic, enjoys trying new things and possesses the income to do so. 1. Bohemian Mix A collection of mobile urbanites, Bohemian Mix represents the nations most liberal lifestyles. Its residents are an ethnically diverse, progressive mix of young singles, couples, and families ranging from students to professionals. In their funky row houses and apartments, Bohemian Mixers are the early adopters who are quick to check out the latest movie, nightclub, laptop, and microbrew. Bohemian Mixers shop at Express, rent/buy foreign videos, read Details, watch soccer, and drive Volkswagen Rabbits. 2. Young Digerati Young Digerati are tech-savvy and live in fashionable neighborhoods on the urban fringe. Affluent, highly educated, and ethnically mixed, Young Digerati communities are typically filled with trendy apartments and condos, fitness clubs and clothing boutiques, casual restaurants and all types of barsfrom juice to coffee to microbrew. Young Digerati order from expedia.com, goes snowboarding, read the Economist, watch the Independent Film Channel, and drive Audi A4s.

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Marketing Mix
Product
Willies Dog House Ale is currently in the introduction stage of the Product Life Cycle. Before the product line can move into the growth stage, market and product awareness must be created; however, branding and quality standards are well established. Products added to the product line in the future must also follow the stated packaging and warranty standards. 1. Brews To many craft brew consumers, drinking a beer is an experience. These drinkers (beer connoisseurs) enjoy analyzing the aroma, appearance, palate, much like one would do at a wine tasting. Some other drinkers simply decide immediately if they like or dislike a beer, with little consideration. Perhaps the beer is too hoppy, or perhaps the beer is too sweet for ones taste. Variety in the Willies product line will allow the connoisseurs to continue experimenting; in addition, give all beer drinkers the opportunity to find a Willies product that matches their preferences. A. Willies Original Dog House Ale Willies Original Dog House Ale is the first finalized recipe created by Willies founder and brew master Charlie Card. This ale has a rich, amber color. Its carefully brewed with caramel malted barley, providing a sweet malt character and dry-hopped with Cascade hops from the Pacific Northwest for a noticeably citrus aroma. Label color: Black, Calories: 160 (12oz.), Alcohol: 4.75% (ABV) B. Willies Amber Ale Willies Amber Ale is a rich and flavorful Amber thats smooth and easy to drink. It is fermented by American ale yeast to produce a clean flavor and fruity aroma. The velvet texture is from using Honey malt and a touch of milk sugar. Label color: Red, Calories: 162 (12oz.), Alcohol: 4.98% (ABV) C. Willies Skinny Ale Willies Skinny Ale is a light (lower calorie) beer. Unlike large-scale breweries, which often use rice or corn as a cheap sugar source to lighten flavor, Willies is made with water, yeast, hops, and malt. The malt is roasted to add color and flavor without adding calories. Noble hops balance the caramel flavor of the malt with a soft spiciness and hint of tropical fruit. Label color: Gray, Calories: 124 (12oz.), Alcohol: 4.05% (ABV) D. Willies Cream Ale Willies Cream Ale is a traditional, mild, sweet American-style cream ale made with corn and barley. It has a mild hop flavor, with just enough to balance the delicate pale malt and corn flavors. Orange blossom honey gives an added depth of flavor and complexity. Label color: Pale Yellow, Calories: 162 (12oz.), Alcohol: 5.1% (ABV) 2. Packaging C.E. Card Brewing Company currently has four different brews under the Willies Dog House Ale product line. The front label of the beer primarily consists of the original logo, with the logo placed over a different color for each individual beer. The back of the body logo is a quirky description of the beer. The bottleneck label is the same color of the designated beer, with no text. All brews, with the exclusion of kegs, come in 12oz. brown bottles, available as single bottles (select locations), in six packs, and twelve packs. Six packs come in a standard modeled package; however, made with recycled paper products and have a distressed wood design. The logo over the designated brew color is on one of the wide sides, and the product description is on the opposite side. The twelve pack comes in a standard twelve-pack thick cardboard box, and uses the same distressed pattern as the six-pack. The logo and designated brew color is on one of the short ends of the box, and the description is on the opposite end. Kegs only contain the frontal label and designated brew color. All kegs and bottles must be stamped with an expiration date. C.E. Card Brewing Company does not produce or sell canned beer.

3. Warranty & Customer Service C.E. Card Brewing Company strives to deliver the freshest and highest quality products to its consumers, and ensure customer satisfaction. If a customer receives an expired, unsatisfactory for any reason, or a damaged or faulty Willies product, they are able to contact customer service at the Mount Wolf, PA headquarters via telephone, mail, or email. To receive a full refund for one single bottle purchase, one six-pack purchase, or one twelve pack purchase, customers must send a receipt (original, scan, or photograph) to customer service. For a full refund on more than one single bottle purchase, one six pack purchase, or one twelve pack purchase, customers must return all unacceptable products to the location of purchase. Once customer service has confirmed the purchase (examined the receipt or confirmed with the retailer), a check with the full refund will be mailed to the customer. To regulate complaints, customer service will maintain a database containing the customers name, address, and reason for complaint. If a customer receives a spoiled or damaged product from a bar or restaurant serving Willies products, the establishment is expected to resolve the issue by providing the customer with a complimentary replacement. If a customer is dissatisfied with the customer service of the establishment, they may contact the C.E. Card Brewing Company customer service. The customer will receive a full refund (for single glass purchase only, up to 32oz.) after customer service has confirmed the validity of their receipt. All first time dissatisfied customers will also receive a complimentary Willies t-shirt.