Opportunity- Residents of South Florida in Broward County have this need. They are my target market segment. Hurricane season is impactful each year in South Florida and everyone knows how important it is to prepare the exterior of their homes. I believe I have many people that are my potential customers whether they live in a house or apartment. Demographically speaking, my customers come from a variety of backgrounds and differ greatly in age. The nature of the need is urgent and somewhat hidden. We are still in the midst of the Corona Virus pandemic that began in March. Countless Americans have been laid off and are facing tight budgets. Thousands of people are still being affected and that is the only thing we hear on the daily news. Due to the whole country being preoccupied with the virus, I believe many people are forgetting that hurricane season is beginning. I think people will seek my service instead of competitors because of my extremely low prices. People will be looking to save as much money as possible. There are already some tropical storms forming in the ocean so I definitely think it is time for people to start preparing. Customers will satisfy this need by enlisting the help of services like mine to install their hurricane shutters. As previously stated in earlier assignments, this is only something my friends and I do when home for the summer each year. Therefore, the "window of opportunity" will be open for roughly three months.
Innovation- My innovation is a creative service that may be applied in the marketplace to address customer needs of protection and saving money. My innovation is hurricane shutter installations. My customers provide my crew with the shutters and we put them on each window of the home. This ensures maximum safety from dangerous hurricanes. There are different types of shutters but my employees are experienced with all of them. Homes with 7 or less windows will be charged $125. Homes with 8-15 windows will be charged $150. If the home is two stories, an additional $25 will be added to the total. Competitors usually charge anywhere from $300-500 for hurricane shutter installations. There is no doubt that putting up shutters is grueling work. However, I think the prices some people are charge are very unreasonable. As a result, I think many customers will seek out my service upon hearing my prices. I envision making a lot of money from this venture because I believe everyone will be trying to save money.
Venture Concept- The venture concept write-up guide defined one as the application of a specific innovation to address a specific opportunity. The main innovation my service incorporates is low prices and the opportunity for people to save as much money as possible. This pandemic has put countless people on a tight budget and I understand that. That is why the prices I am offering are so low. People want to be well-protected from hurricanes and will be more than willing to pay for it. On top of my attractive prices, customers will buy my innovation because my team has more than 5 years of experience. We do our jobs efficiently and effectively. Additionally, we are all South Florida natives. We understand how chaotic hurricane season can be and have experienced them firsthand each year. This will help us relate with our customers, form a real connection and ensure them that they are in good hands. I do not think it will be hard to get customers to switch contractors for this service because of the price they usually pay. I am offering the same service for more than half off what they normally pay. There are many competitors and their main weaknesses are not having enough employees and over-charging their customers. Essentially, I am saying that they "rip-off" their customers. The location is set in stone since I live in South Florida in a big county called Broward. My pricing plays a huge role in defining my business concept. We also send our customers a survey to rate the service upon completion of the job. I currently have 12 employees and that is more than enough. We are able to split up and work on multiple houses at once. I am the main communicator, set up the appointments and assign the crews to the homes.
The three minor elements- I think my most important resource will be my unbeatable low prices. This is my venture's "secret sauce" or "unfair advantage". Besides my actual innovative service, I have authentic employees who are born and raised in South Florida. This gives us firsthand expertise on top of our 5 years of experience installing shutters. This will make it hard for competitors to copy my success. The next step for the venture is potentially launching a shutter removal service. This is difficult though because all of employees are college students and sometimes go back to school before hurricane season is over. However, I definitely see a need for this service because my customers know that my prices will be the best. In five years, I want to be one of the most sought after people for hurricane shutter installations in the summer. I do not anticipate on this being my main focus or job. This is only something I would participate in on the side each hurricane season. This is exactly how I have been operating for the last 5 years. I am still a college student and have bigger aspirations. Lastly, I do not have any desire to be an entrepreneur in the next decade. All in all, I think I will continue to grow my business each year and attract more customers. I want to help as many people in Broward County stay safe and save money.
Feedback- I received very good feedback from my peers. They all think that offering a shutter removal package would be convenient for my existing customers and a great way to grow my venture. They understand that this is only a service my friends would be providing on the side as we all live busy lives as college students. Additionally, they agreed with me that having a strong online presence will allow me to reach many customers. Social media consumes a huge portion of our daily lives. The key for my business to grow is definitely marketing. I also received some constructive criticism feedback. They mentioned that some customers might not be able to afford shutters. Therefore, they suggested that my company purchases the shutters for them to give to them at a discount. I am not sure if that is feasible, but it is definitely something to consider. I did not really change my venture concept much because I believe I have a strong plan in place. However, I am now strongly considering doing the shutter removal package.
Hello James,
ReplyDeleteI always pay attention to your post and I think this is the most detailed description (analysis) of your business. You explanied the demand and the comparing advantages of your business--low price. It is good for you to have 12 employees currently and I do believe you will hire more if you want to expense the business. Whether to continue the shutter business is not important because the experience really makes you better.
James,
ReplyDeleteI think it is important that you defined this opportunity as a seasonal venture with a three month window of opportunity because that is when you and your team will be home for summer. Do you plan on expanding your offered services so that your venture can be a year-round venture? For instance, in the winter months could you possibly offer a service to cover/clean pools in the off season for those living in South Florida? During the spring could you offer a lawn mowing service? These are all just ideas for how your business could have a larger window of opportunity.
Hi James,
ReplyDeleteI am glad to see that you defined this as a seasonal side job versus a primary source of income. I think that was very smart to do on your part. I also agree that you have a solid plan in my place. I do not think that you should purchase the shutters unless you can buy them in bulk for your clients and receive a discount from the supplier. I am sure this pandemic has been hard for you as well and you need to make a profit. I wish you success in this venture! Although, I do hope we do not get hit with a hurricane this year. But is better to be safe than sorry.
Hey James.
ReplyDeleteYou did a good job of incorporating the feedback you got around offering a removal service. I agree that buying shutters to resell at a discount to your customers would likely not be feasible because you'd likely lose money just reselling them, but down the line once business is established, you could entertain leasing shutters. That way you always own them and could write amortize those assets over time. You roll it up into the cost of doing business and you could probably be in a better spot to help those cash strapped customers. Just brainstorming.
Hey James, great post. I appreciate you incorporating the feedback from your peers as it now seems very well thought out as well as well put. It is great that you're including the shutter package because, after reading a bit of your previous posts, I also think that the shutter removal services is what drove your idea home to me.
ReplyDeleteHello James,
ReplyDeleteI think the shutter removal package is fantastic idea and it would be another great service in your lineup. I also have to agree that having a strong social media presence is a significant benefit to any upcoming business and it allows others to rate and suggest your services to their friends and families. Maybe a potential next step could be to expand your services to other parts of the state as I am sure people on the coastlines of Florida would benefit greatly from your idea. Great post!
Hey James,
ReplyDeleteGood job on considering any suggestions that people gave you because listening to potential consumers is a major factor in business success. I agree that a shutter removal service would be more appealing and convenient for your already existing customers and potential new ones. Considering providing shutters for your consumers is a major added expense and something you would need to analyze to make sure you don't end up losing money. Overall, good job!
Hi james,
ReplyDeleteI think you mentioned a lot of great ideas when it comes to your business that will make you stand out. I really like your venture concept and think you made some brilliant points to become successful. I think it is also a great idea to work with suggestions people make because it can benefit you in the long run.
Hi James,
ReplyDeleteThis is a good idea for most eastern coastal residents. One suggestion I would make is to position yourself with builders and contractors. This would allow for the construction to be done when a home is being built, thus allowing the customer to roll the cost of both the shutters and installation into their home mortgage. This may be a more affordable way to attract more customers while reducing the objection of costs. Food for thought 😊
Good luck
Edwin
Hello James,
ReplyDeleteI am glad that you listen to feedback. I agree that your bussiness depends a lot on the marketing strategies and as you said is important that you create a strong presence over social media because people are using these tools more than ever to get a service or a product. I think the idea of the package is attractive. Usually, a lot of families do not know about the installation or removal of this product and they feel more comfortable getting a package where other people will help them. My family and I do not know anything about how to install or remove these products, so I consider this package will help people like us.