Periodic Reporting for period 1 - BrewiePro (The first fully automated brewing machine for the bar and restaurant industry) Reporting period: 2018-06-01 to 2018-09-30 Summary of the context and overall objectives of the project The business of Newity Kft. is creating new, innovative products based on original R&D targeting underserved niches in the international beer market. The company’s main product and brand is “Brewie”, an automated brewing machine that allows anyone to produce high-quality, own beer at home. The main advantage of our technology over the competitors is full automation and small size. Brewie was the world's first fully automated beer brewing device, the only machine on the market that takes care of every single step of the brewing process and follows exactly the traditional way of brewing. While our current machines are intended for home use, they attracted interest from bars and restaurants as well.Considering the interest in Brewie from this segment, we decided to validate the idea of developing and commercialising a professional Brewie machine and related products and services specifically for the bar and restaurant industry (also called HoReCa sector). We have realised that there is considerable interest from a large number of bars and restaurants to brew their own beer as long as it does not require significant investment in expertise and infrastructure. Additionally, consistent quality is far more important for bars and restaurants than for home brewers. Our fully automated technology is able to serve precisely these needs. However, the requirements to successfully serve businesses are quite different from the requirements of our current consumer market. Therefore, in the current Phase 1 project our goal was to better understand the specific needs and requirements of this segment. The findings of the project inform our subsequent product development and commercialisation strategy. Work performed from the beginning of the project to the end of the period covered by the report and main results achieved so far We have carried out a comprehensive market study. Based on the sectorial analysis and reports the economic viability and feasibility of introducing BrewiePro in the bar and restaurant sector has been assessed. We also prepared B2B interviews and a survey campaign within the targeted sector to confirm the market and user needs for a BrewiePro release. Our objective regarding the market study was to create a valid basis for our forecasts regarding the market introduction of BrewiePro, by analysing the market environment and identifying the interests and preferences of different stakeholders of market introduction, in particular with regard to prospective customers. This necessitated a thorough assessment of the market dynamics, the end-user preferences and interests of manufacturers and other key stakeholders in each relevant market segment. Our stakeholder assessment was carried out using two major methods. First, we carried out a comprehensive secondary research to gather the most detailed analyses about our targeted market segments in terms of the “big picture”, i.e. the overall size, the most important players and the high-level dynamics of each market segment. Second, we have carried out surveys among two key customer segments ourselves, to gather specific insights “from the field”. Based on the updated market information, we were able to refine our business plan.In our technology assessment we analysed the technological requirements of a successful product and prepared plans to upscale and improve our current technology. Our general objective is to create a system based on our existing technology to matching the needs of the sector and the requirements of heavier use. In the course of the project, we have developed comprehensive design plans for concept testing: functional block diagram, initial design plan; assembly plan and preliminary BOMBased on the results of the technology assessment, we created a work plan and risk and contingency plans for the Phase2 project. Progress beyond the state of the art and expected potential impact (including the socio-economic impact and the wider societal implications of the project so far) With BrewiePro, we aim to further improve our technology and develop the world’s first “grain to glass” fully automated brewing system. This means that compared to our current models, the new machine will include the fermentation step of the beermaking process as well. This is a highly significant step forward as it means that the entire process is covered by a single system: to put it in simple terms, the user just have to put the ingredients on one end of the system and will be able to pour the beer from the tap on the other end. This logistical simplicity will be an extremely important added value to our prospective customers in the HoReCa sector, greatly reducing personnel need compared to any currently available solution. An extremely important feature of our concept and our design is the modularity of the system. Customers will be able to select, in a “LEGO-like” fashion, certain elements of the system according to their specific requirements. The system will be completely functional with our without the fermentation unit; it can accommodate multiple brewing units to increase capacity, etc.Since our product is fully automatic it makes it possible for any pub, bar or restaurant owner to make their own beer at a low price without having any prior knowledge to the beer brewing process – making it an extremely good investment.