Venture Concept Write-Up

Venture Concept Write-Up

The opportunity for my idea of creating a dog-necessities subscription box service is relevant because nearly every dog owner in the United States can benefit from this service. The potential customers are those dog owners that seek to treat their dog in a way that can make them happy, while saving money, saving time, and ensuring their dogs are consuming the safest products. The nature of this need arises because people want to provide the best for their dogs but often do not know how to do this. The subscription services solves this need by doing that work for the subscriber. Also, as more people are getting more busy, they are looking for things that will save them time and a subscription service like this will ensure that dog owners do not have to waste time at retail dog stores. Finally, people are always looking to save money and because my subscription service will buy products in bulk quantities, the subscribers will be paying well below retail cost for the items they receive.

This market is defined geographically by country. An issue subscription services face is shipping costs, and that is why it would be difficult to compete with similar subscription services in far away countries because they have to pay more to get the products shipped to them. The United States has a great infrastructure set up and makes it cost-effective to ship items across the country. Demographically, there has been a larger shift to new pet owners being younger and younger. Many college students right now are beginning to get dogs and especially recent college graduates. This is a great demographic for the company because they are more receptive to new ideas like product subscriptions than older and more traditional consumers are. In addition, this will only apply to the demographics of those older than 18 because that is the age when people first start to get dogs, however, if children with families that have dogs see information about the service they may beg their parents to join the service.

Customers currently satisfy this need by going to retail stores to get products or by using other subscription services. From the people I have spoken with, the customers going to retail stores often feel unsure, intimidated, and confused about the items in the retail stores. These people often end up not getting the right products for their dogs and spend a lot of time and money doing this. The people that currently use do subscription services see it as a way to pamper their dogs and not a matter of convivence, piece of mind, and saving money. Typically, the users of these services see the boxes of a way to treat their dogs rather than the primary way to care for their dogs needs (other than providing food).

This opportunity is huge because there are so many new millennial dog owners and so many soon to be dog owners. Also, there are so many dog owners right now that are not using subscription services that could be greatly benefitting from them. If I am able to convince dog owners that our subscription service is the best way to care for their dogs then there are so many potential customers for the service. It is crucial that we explain that our abides by the fact that “you provide the food, and we will provide everything else your dog needs for the month to be happy”.

This window of opportunity should be open for a very long time because more and more people are getting dogs. Also, the service industry for products is beginning to explode with the use of digital marketing strategies on social media as a great way to acquire new customers. As long as consumer trends tend to move towards services, ecommerce, and more people continue to get dogs then this opportunity will be available for a very long time but it is crucial to enter now before the market gets too saturated.

The innovation aspect of this service is not that it is unique, but instead that the company will focus on educating customers the benefits and value of the service and explain how it can replace shopping for your dog. This service is uniquely aimed at being a replacement service for going to the store to buy treats for your dog and will not be advertised as a way to solely pamper your dog, although your dog will be pampered. The innovation lies in the approach to consumers and appealing to the benefits it will bring them to help them improve their lives and make their dogs happier.

This company will make money buy having customers subscribe monthly to the subscription service and paying a monthly fee. Fees will be lower each month based on if they sign up for longer plans. The company will also make money by offering the products that have been in pervious boxes online to be purchased in the future.

Customers will realize they should switch to this new product but it will be hard to educate them. Customers currently can go to Amazon to buy items for their dogs or even to retail stores. What the customers can realize, however, is that they often don’t spend the time to look after their dogs needs because they’re busy themselves and buy them no more than food. The subscription I propose will allow them to not have to think or worry about the items their dog needs each month.

Packaging and price point are huge for this company. The packaging should explain the simplicity and purpose of the items inside and be bright, vibrant, and recognizable colors to create an unique experience to come along with the box. Price point is important so customers can see the value of obtaining the box compared to retail and other subscription competitors.

The company’s most important resource will be feedback we get on the service. It is crucial to listen to what customers have to say about the box so we can understand how to deliver what dog owners need. Next for the venture would be to branch out into creating our own products to include in the boxes based on the customers wants and to make better margins and lower price points. In five years, I see this subscription being a success but also see a lot of competition entering the market and so it will be important to adapt to circumstances as they appear and be proactive rather than reactive.