Street food franchise - Opportunity Analysis Project (OAP)
26
My Cart.com
-
Upload
linkportnet -
Category
Education
-
view
1.294 -
download
1
description
Transcript of Street food franchise - Opportunity Analysis Project (OAP)
My Cart.com
Hypothesis – Value Proposition
My Cart.com
For people in Colombia between ages of 35 and
40,
who need an established business and has
entrepreneurial interest, the MyCart.com service is
a consumer service that provides franchises with a
constant teaching and supply in the street food
market.
Unlike other food franchises, our franchise serves
as a training space to learn entrepreneurship
principles.
Prototype - Cart
My Cart.com
Double umbrella for rain or sun.
Brand’s name.
Personalized banner. Big wheels for easy transportation.
Easy and simple accounting system.
Best kitchen tools.
Advertisement.
Lessons Learned from Customer Feedback
My Cart.com
Lessons LearnedFeedback Vs. Lesson
Feedback
“Is there enough margin for me and for you?.”
Review the business model and the commissions to each side.
Biggest Problems/Fears: Government permissions –
“Those guys don’t give us the opportunity to work”.
Police operations – “They confiscate our things and we never recover them”.
Health department – “They just have too much rules and specifications that we can’t afford”.
Obtain the necessary documents and permissions to be able to sell food street without worries.
My Cart.com
Lesson
Lessons LearnedFeedback Vs. Lesson
Feedback
About the entrepreneur classes: “It sounds too much theory”. “I don’t have money for private classes,
this is great”.
Create simple and effective classes with basic topics.
Aggregate values/Good comments: “That would save me time with suppliers”. “Wow! Nice cart.” “My kids would learn a lot from this”.
Time, image and family. Three important concepts to focus when selling the product.
My Cart.com
Lesson
Features NeededDemanded by target My
Cart.com
Cart easy to transport. Brand’s uniform.Government and public entities permissions.
Personalized cart banner.
Constant support.Simple, short and effective classes.
Actual SolutionsAsked and investigated in Colombia My
Cart.com
Our target are families or individuals that need cash. They establish their own food cart on the streets.
Their inputs come from cheap suppliers where they will be able to charge a very low price for their products and obtain a insignificant gross profit.
They don’t know how to expand their business, register their accountancy, or even a bit of marketing. The day by day profit keeps them alive.
In other words, there is NO complete solution in the market for this group of people.
OLD Hypothesis
My Cart.com
“For people in Colombia between ages of 35 and 40,
who need an established business and has entrepreneurial interest,
the MyCart.com service is a consumer service that provides
franchises with a constant teaching and supply in the street food market.
Unlike other food franchises, our franchise serves as a
training space to learn entrepreneurship principles.”
NEW Hypothesis
My Cart.com
“For people in Colombia between ages of 40 and 45,
who need an aggregate value for their food cart,
the MyCart.com service is a consumer service that provides
franchises with distinct features and benefits in the street food market.
Unlike other food franchises, our franchise serves as a
constant support and teaching for the specific target.”
Market Size
My Cart.com
Market SizeFast-food market in numbers My
Cart.com
COLOMBIA: FAST-FOOD CHAINS ARE REPRESENTING A MARKET SHARE OF
USD$ 10,000M PER YEAR
Source:“Colombia: cadenas de comidas se disputan mercado de US$10.000M anuales”. América Economia. 2010.http://www.americaeconomia.com/negocios-industrias/colombia-cadenas-locales-y-extranjeras-de-comida-disputan-mercado-de-us10000m-an
Market SizeFast-food market in numbers My
Cart.com
“According to a study, this is the market value of the fast-food restaurants in South America, which is expected to expand by 7% annually for the next few years.”
“Each Colombian spends an average of USD$150 annually on eating out at restaurants and fast food outlets.”
“A huge consumption potential, a significant competition between local and foreign brands and the ability to expand their businesses to mid-size cities in the country are the factors that
explain the appeal of the restaurant market in Colombia.”
Source:“Colombia: cadenas de comidas se disputan mercado de US$10.000M anuales”. América Economia. 2010.http://www.americaeconomia.com/negocios-industrias/colombia-cadenas-locales-y-extranjeras-de-comida-disputan-mercado-de-us10000m-an
Market SizeFast-food market in numbers My
Cart.com
“Regarding the participation of local brands in the market of Colombian restaurants, Euromonitor says that brands like El
Corral, Crepes & Waffles or Juan Valdez highest positions, and in fact could become serious competitors worldwide in the next
five years according to Portfolio.”
Source:“Colombia: cadenas de comidas se disputan mercado de US$10.000M anuales”. América Economia. 2010.http://www.americaeconomia.com/negocios-industrias/colombia-cadenas-locales-y-extranjeras-de-comida-disputan-mercado-de-us10000m-an
Surveys
My Cart.com
Surveys - What do final customers say?Description/Characteristics My
Cart.com
People in Colombia. Between ages of 20 and 35. Low-middle economic level. Employees and/or
students. Need fast and cheap
food.
Potential clients responds: 40
Surveys - What do final customers say?Information about target customers: Quantitative research My
Cart.com
100%
Are you a street food cart consumer?
YesNo
Notes: All of the survey participants are potential clients.
Choose your favorite fast food.
Hamburger
Hot Dog
Pizza
Arepa
Pies
Pastry
Tacos, burritos
Other
People may select more than one checkbox, so percentages may add up more than 100%.
Notes: Consumers have preferences. There is a trend with hamburgers and pizzas. We must focus in these type of food.
Surveys - What do final customers say?Information about target customers: Quantitative research My
Cart.com
Notes: 33% of the interviewed are high
frequent consumers = Opportunity! Constant cashflow.
When or with who do you consume fast food?
People may select more than one checkbox, so percentages may add up more than 100%.
Notes: Street food consumption is a group plan. People like to be accompanied = We must take
advantage of this!
What is your consumption frequency?
Once per week
Twice a week
More than three times a week
Twice a month
Once a month
With office teammates
With my girl/boy friend
With my family
With nobody
To have lunch
At night or weekends with friends
Other
My Cart.comInformation about target customers: Qualitative research
Surveys - What do final customers say?
Notes: Hygiene, quality, presentation and
image. The most important factors. These are important aspect to take into
account!
What is your perception of “Gourmet Street Food”?
Notes: Speed, quality, price and time. The most
important aspects in the “Gourmet Street Food” perception.
What can street food carts change to be your best option?
"Hygiene and better ingredients."
"Better quality."
"Presentation and cleanness."
"Healthy food."
"Better food brands."
Most popular answers:
"Fast, traditional, healthy food."
"Expensive food."
"Food made from fresh ingredients with higher quality".
"Delayed food".
Most popular answers:
Face to Face Interviews
My Cart.com
Past Face to Face InterviewsMade in the last assignment My
Cart.com
People in Colombia. Between ages of 35 and 40. Low economic level. Poor education quality. Who need an established business. Street workers. Already have a food business but with
the problems/bad image as the rest.
Potential clients interviewed: 12 Interviews completed (other didn’t
answer the whole questions): 10
NEW Face to FaceInterviews
F I N A L C O N S U M E R S
New Face to Face InterviewsNon-Direct Clients My
Cart.com
People in Colombia. Between ages of 20 and 35. Low-middle economic level. Employees and/or students. Need fast and cheap food.
Potential clients interviewed: 15
New Face to Face InterviewsNon-Direct Clients My
Cart.com
Notes:
Same perception of street food as the surveys.
Interesting aggregate values for the non-direct clients.
Startup comments: Simple differentiators with other street food carts = Opportunity!
Assignment Lessons
My Cart.com
K.I.S.S.Keep it simple to our target, direct and non-direct clients.
We can offer great value with simple changes/features in the market.
Big opportunity! Huge amount of money in the sector, we may take a significant percentage.
Bad perception of the non-direct clients. Our product has to change this perception by creating a solid brand, giving confidence, and modifying the market!
We have a new hypothesis and the first steps to continue our MVP.
Assignment LessonsMy Cart.com
