Sales of PLPs are quoted both in dollars and in unit sales. Since PLPs are less expensive many prefer to track sales by unit sales. Beer and ale products make up perhaps the smallest portion of the edible grocery category for grocery stores. Mass merchandisers reported no sales of store brand beer and ale products. Like the soft beverage industry, the beer industry is seasonal by nature.
Consumers purchase more beer during the hot summer months.
This leads to not only fluctuations in factory orders and production, but also the potential for stock outs at the both the retail and distributor levels. Since the summer season is shorter in for the northeast, Cold Harbor wants to ensure that they can meet the increased demand during this busy season. Because Cold Harbor is a small brewery, its resources are pushed to their limits during this time. While everyone is expected to pitch in during these busy times, overtime pay can become a problem and erode the extra income. Additionally, the machinery on the production line tends to breakdown more often when it becomes stress from continuous use.