Business Plan Preparation Value Proposition

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Business Plan Preparation Value Proposition

• Frank MoyesLeeds School of BusinessUniversity
  of ColoradoBoulder, Colorado

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Tonights Agenda

• Topics
• Value Proposition
• Is This a Real Business
• Presentation
• In the Fire
• Team meetings

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Next Week

• Topics
• PRODUCT/SERVICE DESCRIPTION
• Margins
• Elevator pitch
• Assignment read BP pp 6-7
• Hand-in
• 3 Alternative Value Propositions
• Model Company description
• F2F Step 3 Sniff Test
• Activity In the Fire

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Value Proposition

• Product/service features
• Target market
• Benefits

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Product/Services

• Description of attributes
• Key features environment
• What is unique?

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Target Customer

• Who uses?
• Consumer - demographics psychographics
• Business - industry/sector, size, characteristics
• Who pays?

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Benefits

• Emotional ambition, power, independence,
  achievement, ambition, pride of ownership,
  comfort, love, friendship, security, style, self
  improvement, etc.
• Social status, image, popularity with friends or
  family members, reputation of brand, personal
  relationships, style, fashionable, etc.
• Health stress, fitness, mental capacity,
  strength, sex life, quality of life, muse, etc.
• Financial revenue, costs, savings, productivity,
  pricing, profitability, market share, save time,
  productivity, etc.

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Simple Value PropositionSST Corporation
0
SST is a stainless steel toothbrush company. By
its one bristle brush made of high tensile
stainless steel, it provides an exhilarating
tooth cleaning experience to thrill-seeking X-gen
consumers
http//gizmodo.com/gadgets/gadgets/tifinity-titani
um-toothbrush-like-a-metal-scouring-pad-for-your-t
eeth-235314.php
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Simple Value PropositionDell Computer
Dell Computer sells personal computers to
consumers. Our build-to-order manufacturing and
customer-direct sales enable us to offer custom
built computers at very competitive prices. Our
customers get the computer that they have always
imagined and save money.
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Clothing Store
I want to supply boat owners with high quality
boat names, registration numbers, and graphics by
using our website.  My site is unique in the fact
that it allows the end user to have a hand in the
design process and by allowing the customer to
preview the image before submitting the order.
EVERY boat owner is a potential customer of ours
due to the fact that EVERY boat MUST display its
registration numbers on the bow of the boat.
I want to supply boat owners with high quality
boat names, registration numbers, and graphics by
using our website.  My site is unique in the fact
that it allows the end user to have a hand in the
design process and by allowing the customer to
preview the image before submitting the order.
EVERY boat owner is a potential customer of ours
due to the fact that EVERY boat MUST display its
registration numbers on the bow of the boat.
Help people dress better.
Source Marketing Experiments
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Recycling Company
I want to supply boat owners with high quality
boat names, registration numbers, and graphics by
using our website.  My site is unique in the fact
that it allows the end user to have a hand in the
design process and by allowing the customer to
preview the image before submitting the order.
EVERY boat owner is a potential customer of ours
due to the fact that EVERY boat MUST display its
registration numbers on the bow of the boat.
I want to supply boat owners with high quality
boat names, registration numbers, and graphics by
using our website.  My site is unique in the fact
that it allows the end user to have a hand in the
design process and by allowing the customer to
preview the image before submitting the order.
EVERY boat owner is a potential customer of ours
due to the fact that EVERY boat MUST display its
registration numbers on the bow of the boat.
Recycling of plastics and paper. Then, producing
environmental friendly products.
Source Marketing Experiments
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Basics Body Care
100 natural body care products company.  We
sell handmade soap, lip balm, hand balm, belly
balm (for pregnant moms), and spa gift baskets. 
We personalize our soap labels for baby and
bridal showers.
Source Marketing Experiments
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Boat Names
I want to supply boat owners with high quality
boat names, registration numbers, and graphics by
using our website.  My site is unique in the fact
that it allows the end user to have a hand in the
design process and by allowing the customer to
preview the image before submitting the order.
EVERY boat owner is a potential customer of ours
due to the fact that EVERY boat MUST display its
registration numbers on the bow of the boat.
I want to supply boat owners with high quality
boat names, registration numbers, and graphics by
using our website.  My site is unique in the fact
that it allows the end user to have a hand in the
design process and by allowing the customer to
preview the image before submitting the order.
EVERY boat owner is a potential customer of ours
due to the fact that EVERY boat MUST display its
registration numbers on the bow of the boat.
I want to supply boat owners with high quality
boat names, registration numbers, and graphics by
using our website.  My site is unique in the fact
that it allows the end user to have a hand in the
design process and by allowing the customer to
preview the image before submitting the order.
EVERY boat owner is a potential customer of ours
due to the fact that EVERY boat MUST display its
registration numbers on the bow of the boat.
Source Marketing Experiments
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Value Proposition

• Why segmentation is important
• Unique Value Proposition - differentiation is
  essential
• Home work for next week
• 3 alternatives value propositions
• So what! Why should your customer should care?

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Is This a Real Business? Objective
Prove the viability of your venture set the
stage for writing the business plan.
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Is This a Real Business? Assignment

• Present Oct 15 PowerPoint 10 minutes, max 10
  slides
• Market Analysis
• Industry Analysis
• Product/Service
• Profitability

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Is This a Real Business? Assignment (cont)

• Hand-in 3 ring binder
• MARKET draft of the business plan section in
  DECK format
• INDUSTRY draft of the business plan section in
  DECK format
• PRODUCT/SERVICE draft of the business plan
  section in DECK format
• Profitability
• Revenue Model variables
• Financial COMPs
• Gross Margin preliminary estimate
• Competitive Matrix
• F2F-R Step 4 Reality Test II

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What Is a DECK?