Venture Concept No. 1

Venture Concept No. 1

Chomp N' Run - A drug store on campus! 

Opportunity.

Here on the University of Florida’s campus, I have found a large unmet need. Students do not have access to purchase the daily products they need. UF’s campus is unique in the sense that there are stores within a close vicinity to some stores, there are few places to purchase daily needs. It is also a unique opportunity because there are over 8100 students who live on UF’s campus, and many of those do not have cars to travel to off-campus stores for daily needs. This market is a unique group people because they are willing to spend more money on convenience than the average consumer. This 18-25 year old group is known for doing thing last minute and needing things on the go. What happens when someone drops their toothbrush on the ground and needs a replacement? How about when one comes down with a cold and pulls the last tissue out of the box? Customers are currently satisfying their needs in multiple ways. Some are leaving campus to shop by taking long bus rides or losing their coveted parking spots. Others are finding substitutes for what they need at POD markets, but they do not have a lot of options. Some desperate students order items through amazon prime and would rather wait two days for the item to ship than take the time to find it off campus. This opportunity could be huge. The only downfall is that the project would need to get started fast. In the time that I started formulating this proposal, a CVS was opened on 13^th street at the Social 28 apartment complex. However, if UF acts fast and opens a drug store soon, they could use effective product promotion and advertising to make loyal customers.

Innovation.  

The drug store would be called Chomp N’ Run. The connection to the Gators would make students interested and want to come in. The store could advertise in UF libraries and on busses that travel through campus. It would be located behind the HUB and Marston science library, where many students congregate on campus on a daily basis. The biggest and most obvious perk to Chomp n’ Run is its level of convenience. Due to the restrictions of UF campus, it will be the closest drug store possible. Competitors will always have a lower level of convenience. It will have a larger and wider inventory than places such as POD Market or the Reitz Bookstore. By simply offering products that these places do not, competition will be lessened. The prices of this store would be reasonable. Prices would be cheaper than those of the convenient POD markets located only steps away from where students live; however, the prices would be slightly higher of those than a regular drug store because people are paying for the convenience of being able to grab a new toothbrush, nail clipper, or printed personal photos in between or after class.  

Venture Concept.

My newest venture concept concerning this project is the creation of a mobile rewards app for Chomp N’ Run. This app would offer rewards points on purchases that could be traded in for discounts and provide coupons and promotional items to anyone who actively uses the app. I believe that these features would create customer loyalty, improve user experience, and connect with the target market of young people through technology. My app would have three “sections.” One for coupons and general promotions, one for rewards, and one for general item search! This would solve that problem and make it easy for people to search if their desired item is available at our store! I believe that the combination of convenience, large inventory, and perks for returning customers will not only make UF students interested in Chomp N’ Run, but I think that they will really love it and use it as a regular stop for their needs. A loyal customer base will continue on as new students are continually funneled through the system. 

Week 11 Reading Reflection

Reading Reflection Week 11

“You Need an Innovation Strategy” Gary Pisano

1.       Surprising – I found it surprising that even huge companies such as Hewlett Packard or Yahoo really struggle with innovation. Pisano says that many companies fail to create and follow a plan.  Even companies that are pros at executing tasks can struggle if they do not have an effective innovation strategy. This strategy is a commitment to policies aimed at achieving a specific goal.  

2.       Confusing – Pisano says that companies are able to go through many well-thought processes such as dividing research and development into decentralized teams, pursuing external alliances, embracing open innovation and crowdsourcing. However, he says that sometimes even these intricate processes aren’t enough. I would think that they would be able to create fruitful innovation.

3.       Questions – I would ask Pisano, “What kind of specific changes are best for adopting a new innovation system?” “Does a change in an innovation affect all departments of a company?” “Because one size does not fit all, what is the best method to planning a custom made innovation plan?”

4.       Incorrect – As I am very unfamiliar with this topic, I did not find anything in this article that seemed incorrect. If anything, I would be interested in learning more about innovation, particularly how it affects the consumer. I find it fascinating how many consumers are caught up on having the next new thing and being willing to pay for it. 

Amazon Whisperer

Because my product is essentially a service (Chomp N’ Run, a drug store), coming up with an amazon product is difficult. However, I was able to align this product with my business.

As an on-campus UF drug store, we are going to need many ways to pull in new customers. We plan on making money by selling inventory, but how are we going to do that?

I have decided that what I need to do next is create a rewards app for Chomp N’ Run. This app would offer rewards points on purchases that could be traded in for discounts and provide coupons and promotional items to anyone who actively uses the app. I believe that these features would create customer loyalty, improve user experience, and connect with the target market through technology.

The product that I found to be an equivalent of this is Target’s Cartwheel App. I read reviews for the app on the Google Play Store because the app is not offered from Amazon. The app is rated four out of five stars; for the most part, people love the savings that the app offers them and the ease of use right at their hands. Some people complained that there is no way to search for specific product sales and that they have to scroll through anything. My app would have three “sections.” One for coupons and general promotions, one for rewards, and one for general item search! This would solve that problem and make it easy for people to search if their desired item is available at our store!

I believe that this free product would drastically improve sales at Chomp N’ Run and create a loyal customer base on campus. 

Your Venture's Unfair Advantage

Your Venture’s Unfair Advantage

What makes your business so special? What advantages do you have?

                Chomp N’ Run – an on campus drug store

1.       Location

a.       Valuable - Without being affiliated with the university, it would be virtually impossible to purchase their land.

b.      Rare – There aren’t many areas as great as the University of Florida for locations in Gainesville.

c.       Imitable – You cannot recreate the atmosphere and benefits of being located in UF.

d.      Non-substitutable – You simply can’t find a better location than behind Marston and the Hub.

2.       Convenience

a.       Valuable – People can easily walk or take the bus to get to the store.

b.      Rare – There is not currently a place to buy items such as toothbrushes or varieties of shampoo on campus.

c.       Imitable – UF would want to only open one of these places on campus to generate the most revenue.

d.      Non-substitutable – no one else can beat the convenience of being located on campus.

3.       Consistent foot traffic

a.       Valuable – People are always walking past the Hub or take the bus there; people will see it and go in.

b.      Rare – There is nothing comparable on campus. It would be the only place to grab quick personal items.

c.       Imitable – There are very few places that get more traffic than campus does in Gainesville. In fact, Turlington gets more daily foot traffic than the gates to magic kingdom!

d.      Non-substitutable – You could not simply create a similar place in Gainesville.

4.       Large base of customers

a.       Valuable – There are 50,000 students at UF circling around.

b.      Rare – Some may prefer to shop off campus, but there are at least 8100 students living on campus who would see this as an only or best shopping option.

c.       Imitable – There is no similar situation in Gainesville.

d.      Non-substitutable – No one can create that kind of customer base.

5.       Theme

a.       Valuable – People in Gainesville will flock to anything with a Gator themed name or logo.

b.      Rare – There will be no other Gator drug store.

c.       Imitable – People would have to pay licensing fees to try to create a similar thing off campus.

d.      Non-substitutable – A gator is the most loves symbol in Gainesville.

6.       Bus routes

a.       Valuable – The Hub location is the most frequently used bus stop on campus.

b.      Rare – People will be dropped off by it every day.

c.       Imitable – Other busses will take other people to other places, so it can be imitable.

d.      Non-substitutable – This will be one place that people will take the bus to regardless.

7.       Start-up funds (probably)

a.       Valuable – UF could find funds in an account they have or take advantage of the huge alumni/donor base they already have.

b.       Rare – Not many organizations have this much financial resources or connections.

c.       Imitable – This cannot be recreated.

d.      Non-substitutable – There would be few similar financial situations in Gainesville.

8.       New customers annually

a.       Valuable – A new 6,000+ students join the university each year. There is a constant influx of growth.

b.       Rare – Few cities or areas grow by this much.

c.       Imitable – Only other universities could pull off the same thing.

d.      Non-substitutable – Could be done elsewhere in Gainesville, but would not reach most freshman students.

9.       An easy target market

a.        Valuable – Students are all around and interested. They share a common interest – the gators.

b.      Rare – Everyone loves gators and would be around to check it out.

c.       Imitable – College towns are the only places that have such a specific target group – 18-25 year olds.

d.      Non-substitutable – Can only be seen in other college towns.

10.   Easy advertising

a.       Valuable – can easily partner with other UF entities and advertise in libraries and busses.

b.      Rare – There aren’t many other places with so many advertising opportunities where the exact target market will view them.

c.       Imitable – Cannot be easily done anywhere else.

d.      Non-substitutable – This place is unique for easy ads.

My top resource: I think the best resource I have available for my business idea is location. It encompasses a lot of the other advantages I have, and is the factor that is going to make Chomp N’ Run so successful. 

Week 10 Reading Reflection

Week 10 Reading Reflection

Chapter 11 – Financial Preparation for Entrepreneurial Ventures

1.       Surprise – I found this reading interesting because I am currently taking Financial Accounting and am very familiar with many of the topics. Though I have been learning these topics for the past three months, I still find it incredible that this complex system was developed so perfectly. Somehow, the accounting equation always balances perfectly, and the system is very seldom flawed.

2.       Confusing – When talking about accounts receivables, I found it crazy that business often let so many accounts go unpaid for such a length of time. If a business isn’t receiving cash right away, how is it supposed to run efficiently? I was able to find a portion of my confusion to be answered by the “in practice” segment on page 318. This page offered great advice for businesses suffering from this issue. It was recommended to develop a process, make some noise, demand to get paid up front, find an advocate, and know when to walk away. I thought the last point was very interesting – at times, it can be too expensive to track people down and better to just let the debts go unpaid. For me, that seems incredibly tough because I have such a strong desire to profit. However, it is smart if trying to get that money back is unlikely, expensive, and time consuming.

3.       Questions – One topic that I have not learned very much about yet is the cash flow statement. The general concept is clear to me, but I would want to ask Kuratko, “How often does the average company make or use a statement of cash flows?” I am also not very familiar with the types of financial budgets. I would like to ask Kuratko, “Which financial budget method is found most popular by general businesses?” “Is there a method that you have personally used before or recommend?”

4.       Incorrect – There wasn’t really anything in this reading that stood out to me as being incorrect. I have been studying some of these topics over the duration of this semester and know that many of them follow the rules. There is no gray area when it comes to accounting; there is a black and white rule for everything. Kuratko gave a good overview of handling the financials of an entrepreneurial venture.

Elevator Pitch No. 3

1. The Pitch

2. Most of my feedback that I got on the 2nd elevator pitch was the same as the feedback that I had received on the 1st elevator pitch - people liked my ideas a lot but wanted me to recognize the competition of the CVS on 13th Street.

3. For this improved edition, I added in details about combatting the competition of CVS. I also gave a briefing on how I plan to advertise the business on campus. I think that I have done a good job of making my pitch short and sweet but informational.

Week 9 Reading Reflection

Week 9 Reading Reflection

Chapter 10: Marketing Challenges for Entrepreneurial Ventures

1.       Surprise – I found it very surprising when Kuratko mentioned that most entrepreneurs do not know their market very well. I would assume that someone who was interested in creating a product or service would automatically do research on their market before they even decide to move forward with an idea. Maybe I tend to analyze markets from the beginning because it is what I do as a marketing major. I guess other people with different outlooks like to focus on different aspects and forget to look into the target market.  

2.       Confusing – I found the segment on becoming a popular internet link very interesting. Though we had a guest speaker about this topic in class, I still find myself unsure of how becoming a popular link on the internet works. It is definitely a topic I need to look into and do some research on.

3.       Questions – One question that I’d like to ask Kuratko is “What is the most effective way to get a diverse population to actually respond to surveys?” To me, it seems almost impossible to get different kinds of individuals to all respond accurately to a survey. I would also want to ask Kuratko, “Which is more often used in real life – a production-driven philosophy or a sales-driven philosophy?” Do people prefer to focus on production or finding the key consumer? What types of products fit into each category?

4.       Incorrect statement – When talking about the internet, Kuratko says that a drawback to internet marketing is a limited target audience. While that may have been true when this book was written in 2009, I think there is a different story 7 years later. The internet is an incredibly effective method of marketing because almost everyone has access to it – from children to elderly. The smartphone has made the internet accessible to people wherever they are. 

Idea Napkin No. 2

1.       You - My name is Megan Vande Pol. I am a second year marketing student who loves being a gator. I have lived on campus for three and a half semesters to date without a car. If I could accomplish the goal of creating an on campus drug store, I would definitely plan on staying in Gainesville a lot longer than initially planned.

2.       What are you offering to customers? – My idea offers customers (UF students) access to a drug store on campus. Students who live on campus will be able to buy things they need without having to take the bus or lose their parking spot. Students who live off campus will be able to use their time effectively and grab the items they need between classes. This drug store, Chomp n’ Run, will offer the products students need at reasonable prices. I am also interested in creating an app where students can recommend products that they would like the store to carry. What better way is there to find out a customer’s needs than to ask them?

3.       Who are you offering it to? – This shopping opportunity will be available to mostly on campus students, followed by off campus students. On occasion, it may be useful for parents or families who are visiting or touring. The biggest target will be students who live within walking distance, mostly on campus students.

4.       Why do they care? – There is a need in the targeted market of on campus students. Students would be drawn in by the convenience and ease of use. Instead of having the inconvenience of traveling far to get items they need, students can have easy access.

5.       What are your core competencies? – The biggest and most obvious perk to Chomp n’ Run is it’s level of convenience. Due to the restrictions of UF campus, it will be the closest drug store possible. Competitors will always have a lower level of convenience. It will have a larger and wider inventory than places such as POD Market or the Reitz Bookstore. By simply offering products that these places do not, competition will be lessened.

I believe that these five items really work together and clarify my goal. Simply stated, I want an on campus drug store that will fit the needs of college students at reasonable prices. Each of these steps put together the pieces of my project.

Feedback memo:

I added in the advice of my peers to element #2. A peer gave me the idea of the mobile app to add customer input and inclusion. I think that it was a really great idea and would add to my business. I truly believe that these five elements work together to create a solid project. If there is one section that is weaker than the others, it would be the core competency, specifically the competition. The one issue that stands in the way of Chomp n’ Run being perfect is the new CVS that just opened on 13^th street. While students do love the UF name, they may be more inclined to walk a little bit further to be loyal to the CVs name. Besides that one CVS location, on campus students without cars would  be much more inclined to shop at Chomp n’ Run.