29A - Venture Concept No. 2
Opportunity
My unmet need is the ability to try on clothing when online shopping to avoid the inconvenience of wrong fit or size. Virtual Shopping is a service that benefits both men and women. The target customer is a young millennial who enjoys shopping but is too busy to make trips to the mall. As they are currently unsatisfied with the online shopping experience, they use Virtual Shopping to virtually try on the clothing they pick out online, and no longer have to worry about incorrect fit or size. As mentioned above, both men and women can benefit from this service. Research proves there is a huge market of male online shoppers because of the convenience and ease. About 40% of men aged 18-33 would prefer to buy everything possible online, including clothing. Originally, I had intended this product to be marketed towards plus-size women who have a difficulty online shopping due to fit issues or unavailable size guides. However, after discovering the market for this service could extend to many other customers, I expanded my target market. Among my customer demographics are:
➢ Millennials
➢ Students (18-28)
➢ Busy parents (26-40)
➢ Shoppers who are plus-size, petite, or not considered average sized
➢ Men (18-34)
This opportunity is huge. It can totally revolutionize the online shopping experience, as well as become the prototypical shopping norm. I believe the window of opportunity will be open as long as virtual reality technology is still underutilized. Once this technology becomes more standard, it’s only a matter of time before someone else develops this opportunity.
Innovation
This service I offer will be radically innovative to the shopping experience. As it stands, there is no like service available. Therefore, online shoppers are just making due with the current outcomes. About 49% of all current shoppers are disappointed with the online shopping experience. That statistic takes into count men and women, as well as a large demographic of ages. This means that just under half of all online shoppers are not happy with how online shopping is being handled today. Virtual Shopping would eliminate the worry and uncertainty of online shopping, through the utilization of virtual reality to try clothes on before purchasing. Users will create a life-like avatar with their exact measurements. Their avatars will be able to virtually try on clothing, which intrigues the users from brands they love. The idea is that if the clothing fits the avatar in the virtual world, it will fit the user in the physical world. With more and more users joining Virtual Shopping, users will be able to link up with friends and loved ones to give advice and critique about a clothing selection in the virtual world. This will create a virtual shopping world, where you could go shopping virtually with friends and family all over the world just by using your smart phone.
Virtual Shopping will be offered as an app through the Apple App Store, where users will pay a monthly subscription fee of $9.99 a month to utilize the virtual shopping world. Members will also be given the option to upgrade to the $19.99 a month subscription where they will receive free 2-day shipping on all orders bought through the app. Many shoppers who browse clothing online hesitate going through with the purchase because of the shipping fee and wait time. Those who wish to front a little more a month would have the luxury of 2-day shipping on all orders, regardless of price or quantity. I believe this will aid in the success of user joining rates. The services will also be compensated through advertising agreements from brands to display throughout the app. This type of payment method will be similar to clothing services available today, including Shoe Dazzle, Fabletics, and Stitch Fit.
Venture Concept
Users will want to switch to this new service, not only because there is nothing else like it available, but also because it will help alleviate their online shopping grievances. Our world is becoming more and more technological, which can mostly ease our services. It only seems natural that we can utilize this technology to make the online shopping experience more efficient and effective. Currently there are no other competitors in this particular market. However, I anticipate that with the introduction of Virtual Shopping many other companies will develop similar app services. I believe that a potential threat could be the possibility of individual brands offering a virtual reality shopping experience specific to their clothing. Most clothing companies already have apps where customers can browse, shop, buy, and receive rewards through. It is naïve to believe that after my service enters the market that they may not try to cut the costs associated with joining my virtual shopping mall experience to utilize the technology themselves. However, they would be isolating themselves, which I believe would hurt them in the long run. Just as malls contain more than one clothing brand, a virtual shopping mall would drive more traffic than individual brand apps. My business concept does not require any packaging, distribution, or storefront. What it will require is an office location to aid in customer support, customer experience, technological issues, and app development. For this I anticipate employing around 15-20 employees to fulfill these departments.
Three minor elements
The unfair advantage of my service is that it will be the first of its kind. With proper marketing, brand association, and overall design aesthetic my app Virtual Shopping will be able to make a huge impact when entering the market.
Up next for the venture would be to utilize similar technology into a computer mirror, where users will no longer require a VR headset to use the app. Instead these mirror-like computers will allow users to stand in front of their avatar reflections while trying on clothing. In real-time, users will be able to move and interact with their reflections without the restrictions of a headset.
Within the next 5-10 years I anticipate launching more app features, possibly utilizing Google Glass to use the app service while on the move. I further anticipate creating a complete virtual shopping mall, with every brand sold online participating that can be utilized on a global standard. With the proceeds from Virtual Shopping, I will create a charity for underprivileged children globally to deliver proper clothing and footwear.
Feedback
I actually received a lot of feedback from my peers on this assignment, all of it was helpful and informative. They agreed that an advantage of mine is that currently there isn't any other product on the market like mine, therefore Virtual Shopping will be the first of its kind. This does make me slightly weary, however, as sometimes being the first of a kind makes it more difficult to pave the way for your endeavor. My 5-10 year plan not only shows how I want to contribute to my company, but also how my company will contribute globally. My peers agreed that my unfair advantage will only stay an advantage if I market hard from the start and sign as many brand partnerships as possible. This will eliminate the threat of individual brands recreating this technology to use for their products solely. Another way to keep my advantage will be to further develop the idea of the full-sized mirror tool. This will allow customers to have a life-size view of the clothing and help target older demographics, as many of them don't like the idea of VR headsets.
What's changed
From the feedback I've received, I have reconsidered my timeline. I feel that I will need to focus on the technology needed to create the VR mirror to offer my services through. I see it as not only a game-changer for my app appeal, but also a second form of income as I can mass produce this tool and sell it to my customers who would prefer to not use a headset. I have also included some of the insights I have gained from my older demographics, which I interviewed in 25A. The app will begin with a survey asking customers to describe themselves and what they hope to gain out of the service through a series of questions. This will help generate the appropriate brand suggestions to individual customers and to help meet their shopping needs. Finally, I will incorporate a reward system where customers can earn points when they make purchases through the app. Points will accumulate to equal discounts on future purchases.
My unmet need is the ability to try on clothing when online shopping to avoid the inconvenience of wrong fit or size. Virtual Shopping is a service that benefits both men and women. The target customer is a young millennial who enjoys shopping but is too busy to make trips to the mall. As they are currently unsatisfied with the online shopping experience, they use Virtual Shopping to virtually try on the clothing they pick out online, and no longer have to worry about incorrect fit or size. As mentioned above, both men and women can benefit from this service. Research proves there is a huge market of male online shoppers because of the convenience and ease. About 40% of men aged 18-33 would prefer to buy everything possible online, including clothing. Originally, I had intended this product to be marketed towards plus-size women who have a difficulty online shopping due to fit issues or unavailable size guides. However, after discovering the market for this service could extend to many other customers, I expanded my target market. Among my customer demographics are:
➢ Millennials
➢ Students (18-28)
➢ Busy parents (26-40)
➢ Shoppers who are plus-size, petite, or not considered average sized
➢ Men (18-34)
This opportunity is huge. It can totally revolutionize the online shopping experience, as well as become the prototypical shopping norm. I believe the window of opportunity will be open as long as virtual reality technology is still underutilized. Once this technology becomes more standard, it’s only a matter of time before someone else develops this opportunity.
Innovation
This service I offer will be radically innovative to the shopping experience. As it stands, there is no like service available. Therefore, online shoppers are just making due with the current outcomes. About 49% of all current shoppers are disappointed with the online shopping experience. That statistic takes into count men and women, as well as a large demographic of ages. This means that just under half of all online shoppers are not happy with how online shopping is being handled today. Virtual Shopping would eliminate the worry and uncertainty of online shopping, through the utilization of virtual reality to try clothes on before purchasing. Users will create a life-like avatar with their exact measurements. Their avatars will be able to virtually try on clothing, which intrigues the users from brands they love. The idea is that if the clothing fits the avatar in the virtual world, it will fit the user in the physical world. With more and more users joining Virtual Shopping, users will be able to link up with friends and loved ones to give advice and critique about a clothing selection in the virtual world. This will create a virtual shopping world, where you could go shopping virtually with friends and family all over the world just by using your smart phone.
Virtual Shopping will be offered as an app through the Apple App Store, where users will pay a monthly subscription fee of $9.99 a month to utilize the virtual shopping world. Members will also be given the option to upgrade to the $19.99 a month subscription where they will receive free 2-day shipping on all orders bought through the app. Many shoppers who browse clothing online hesitate going through with the purchase because of the shipping fee and wait time. Those who wish to front a little more a month would have the luxury of 2-day shipping on all orders, regardless of price or quantity. I believe this will aid in the success of user joining rates. The services will also be compensated through advertising agreements from brands to display throughout the app. This type of payment method will be similar to clothing services available today, including Shoe Dazzle, Fabletics, and Stitch Fit.
Venture Concept
Users will want to switch to this new service, not only because there is nothing else like it available, but also because it will help alleviate their online shopping grievances. Our world is becoming more and more technological, which can mostly ease our services. It only seems natural that we can utilize this technology to make the online shopping experience more efficient and effective. Currently there are no other competitors in this particular market. However, I anticipate that with the introduction of Virtual Shopping many other companies will develop similar app services. I believe that a potential threat could be the possibility of individual brands offering a virtual reality shopping experience specific to their clothing. Most clothing companies already have apps where customers can browse, shop, buy, and receive rewards through. It is naïve to believe that after my service enters the market that they may not try to cut the costs associated with joining my virtual shopping mall experience to utilize the technology themselves. However, they would be isolating themselves, which I believe would hurt them in the long run. Just as malls contain more than one clothing brand, a virtual shopping mall would drive more traffic than individual brand apps. My business concept does not require any packaging, distribution, or storefront. What it will require is an office location to aid in customer support, customer experience, technological issues, and app development. For this I anticipate employing around 15-20 employees to fulfill these departments.
Three minor elements
The unfair advantage of my service is that it will be the first of its kind. With proper marketing, brand association, and overall design aesthetic my app Virtual Shopping will be able to make a huge impact when entering the market.
Up next for the venture would be to utilize similar technology into a computer mirror, where users will no longer require a VR headset to use the app. Instead these mirror-like computers will allow users to stand in front of their avatar reflections while trying on clothing. In real-time, users will be able to move and interact with their reflections without the restrictions of a headset.
Within the next 5-10 years I anticipate launching more app features, possibly utilizing Google Glass to use the app service while on the move. I further anticipate creating a complete virtual shopping mall, with every brand sold online participating that can be utilized on a global standard. With the proceeds from Virtual Shopping, I will create a charity for underprivileged children globally to deliver proper clothing and footwear.
Feedback
I actually received a lot of feedback from my peers on this assignment, all of it was helpful and informative. They agreed that an advantage of mine is that currently there isn't any other product on the market like mine, therefore Virtual Shopping will be the first of its kind. This does make me slightly weary, however, as sometimes being the first of a kind makes it more difficult to pave the way for your endeavor. My 5-10 year plan not only shows how I want to contribute to my company, but also how my company will contribute globally. My peers agreed that my unfair advantage will only stay an advantage if I market hard from the start and sign as many brand partnerships as possible. This will eliminate the threat of individual brands recreating this technology to use for their products solely. Another way to keep my advantage will be to further develop the idea of the full-sized mirror tool. This will allow customers to have a life-size view of the clothing and help target older demographics, as many of them don't like the idea of VR headsets.
What's changed
From the feedback I've received, I have reconsidered my timeline. I feel that I will need to focus on the technology needed to create the VR mirror to offer my services through. I see it as not only a game-changer for my app appeal, but also a second form of income as I can mass produce this tool and sell it to my customers who would prefer to not use a headset. I have also included some of the insights I have gained from my older demographics, which I interviewed in 25A. The app will begin with a survey asking customers to describe themselves and what they hope to gain out of the service through a series of questions. This will help generate the appropriate brand suggestions to individual customers and to help meet their shopping needs. Finally, I will incorporate a reward system where customers can earn points when they make purchases through the app. Points will accumulate to equal discounts on future purchases.
Hi Shannon,
ReplyDeleteI really like the features you added to your venture concept this time around. I like that you optimized on your full size mirror idea because that was one of my favorite parts in your original venture concept. Also, I would choose the full size mirror over a VR headset any day. So, if you're short on venture capital I'd go with that one. Lastly, love the point system. I also added that to my venture concept this time around!
Dear Shannon, your image is fabulous! It embodies the "venture concept" idea perfectly!! I am just as impressed with your second venture concept as I was your first. Your enthusiasm and care most definitely shows in your work. Incorporating a rewards system was great feedback. So many companies are doing that. -Lauren
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