VENTURE CONCEPT
OPPORTUNITY
The major need of customers
is one that promotes energy saving and also is an affordable
convenience.
If the word “environment”
is taken literally, the fact that energy is constantly being wasted
helps create this opportunity. Generally speaking, however, the fact
that the current market has not changed in such a long time also
generates potential opportunities.
The market for this product
would be those with access to electricity. The product could be sold
to people of almost all ages that are able to make conscious
purchases for themselves, from young adult to elderly people. All
age groups could use the product for its energy saving potential.
Customers are currently
satisfying this need through getting up to make sure that every
electric object is turned off whenever not in use. Based on the
interviews from random customers, they seem to be pretty loyal to
this process. Because of this, realistically speaking, this
opportunity is moderately sized. This is because although it caters
to almost every age group and demographic, it can easily be replaced
by something that already exists (other conveniently located and
accessible objects) or through people sticking with what they already
do. Nonetheless, this “window of opportunity” will be open
indefinitely until someone, whether it be a large company or a small
business, decides to cater to the need of being a convenience to
people while being energy efficient.
INNOVATION
My product is a
battery-powered, infrared remote-controlled attachment that would
adhere to the wall around a light switch. When activated via the
remote, the attachment would either press the light switch in the on
or off position. The light switch would still be able to be used
manually, but with this attachment, one could turn off the light from
a distance without having to leave their comfortable position.
This product will make
money via selling the attachment for more than it costs to make it.
The price would range from $25 to $35, varying by light switch type,
the amount purchased, and whether or not batteries are included in
the package. As demand increases, the price would definitely drop.
The product would be available online via Amazon.
VENTURE CONCEPT
My innovation will solve
the aforementioned opportunity by enabling people to remain in their
comfortable positions while giving them the potential to save energy
with ease. They will buy my innovation purely for those reasons.
People love products that make their lives easier. Customers would
switch to this new product because not only does it help prolong the
users comfort, it also has safety bonuses, especially for older
customers. Through the use of the light switch attachment, there is
a decreased chance of falling down and injury. However, it would be
difficult for consumers to switch from their current methods because
they would not have to spend any money to continue to get up and
manually turn on and off lights. There are not any major
competitors, but the existence of desk lamps and overhead lights that
are already remote-controlled may sway consumers from purchasing my
product. However, since not everyone has lamps on their bedside
table or can afford built in remote-controlled lights, customers
would be more inclined to buy my innovation.
Since the product would be
distributed through Amazon, the shipping costs would follow their
standard (the product would be prime eligible). Business location
and packaging would not have any influence on my business concept for
this reason too. As any online purchase goes, there would be a
review system that would allow the business to address any concerns
of any customer (Amazon also supports this) to ensure the best
possible customer experience. The price may be a slight deterrent,
thus making the growing process somewhat slow until lots of units are
purchased. Nonetheless, the product would be affordable.
I would organize the
business to have the attachments assembled in a factory by machines
to eliminate the possibility of human error. They would then be
transported to the Amazon distribution centers. The business would
need employees to communicate with consumers online via the business'
website, Amazon, and social media outlets. It would also need
employees to transport the product from the factory to the
distribution centers.
THREE MINOR ELEMENTS
I believe that my most
important resource is a tie between the good network I currently
possess and my knowledge of electronics. The former because every
entrepreneur needs a good network to accomplish anything and the
latter because it is the fundamental reason as to why the product
would exist in the first place. The unique and genuine designs of
the product would make it difficult for other companies to copy.
Once this venture conquers
the initial opportunities, I would want to adapt the wall attachment
to work with objects other than switches and buttons. As for specific
ways I would apply the product, I am not sure yet.
If I were to launch this
business, in five years I would want this product to be one of many
successful creations that promote convenience and energy saving.
However, within a decade of running this business (and hopefully
several patents later), I would step down and let someone else within
my company run it for me. I would still have partial ownership, but
I would not be in control. Although this first venture made me see
that I would not want to run my own business for too long, it also
would have given me the irreplaceable experience of being an
entrepreneur.
Hey Nika,
ReplyDeleteI’m glad you pointed out the fact that you don’t want to run your business for a long time. I don’t think many people think about the feasibility of owning their business for many years. I think your business can truly help others save energy, and hopefully you can venture into other attachments that control switches. It seems difficult to choose which products are next. I didn’t do this assignment, but you can check out my blog at http://entrepreneurshipblogs.blogspot.com/
Nika,
ReplyDeleteI think motion activated lights are worth considering. These are already out there and I'm not sure how your product would be different from them, though I think they could both be just as useful for someone looking to save electricity. I would also as you if you have considered when you would want to launch this product. Though it might not help you save on gas, launching during a season where people feel like they are paying too much for energy as it is may be worth considering. Do you think that this would help you drive some of your revenue? Read about my post here: http://williamwright94.blogspot.com/2016/03/venture-concept-1.html
Hey, Nika,
ReplyDeleteThis is a very interesting concept. I like how you focused on a product that would produce a more beneficial outcome for the environment. It is important to sometimes realize the need, instead of the "want." I think you planned this out really well, and I love how you took your time in answering the questions for the blog post. I think you did really well. William did make a good point. How "would" you differentiate your product from the rest?
Overall, nice job. Check out mine: http://laurenent3003.blogspot.com/2016/03/venture-concept-no-1.html
Hello Nika,
ReplyDeleteWell, you are speaking my language. I actually work for an energy company in the state of Florida. Energy conservation is one of the hottest topics from local municipalities to states and all the way up to the president’s initiatives. I wonder if you could try to make a few connections with the utility companies in your area and possible offer your potential customers energy conservation rebates maybe even paid for by the utility companies or even state sponsored. Just something for you to think about as you move forward with your venture. If you would like to see my idea, check it out at; http://9to5isoverrated.blogspot.com/2016/03/venture-concept-no-1.html