Guava suites columbia univ jan 2014

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A chain of "refresher" stops in big cities - a service that offers professionals to stop over during the day and fix their appearance.

Looks DeluxeTeam 27Day

1Day

2Day

3Day

4Total

Customers 23 9 21 19 72

Key partners

3 16 3 2 24

Total 26 25 24 21 96

Cumulative total: 96

BUSINESS MODEL CANVAS (DAY 1)KP

• Conference Organizers

• Spa Product Brands

• Luxury Bathroom Stores

KA

• Implementation• Running the

Service• Selling• Marketing

VP

Current Need: “looking good” is a basic human need which on-the-go professionals struggle to fulfill

Primary Service:High-quality and accessible bathrooms, showers and changing rooms distributed around big cities

New York Midtown

Secondary Service:Manicure/Pedicuring, Express Massage, Ironing/Steaming

CR

Customers should trust in us to make their lives easier while always offering a high quality service

Word-of-mouth popularity

CS

B2CProfessionals without a 9-to-5 desk job who are on the go • Bankers• Consultants• Entrepreneurs• Real-estate

Agents• Journalists/

Reporters• Models/Actors

Salaries>$50k

B2B• SMEs

KR

• Space• Human –

assistants, spa professionals, receptionists, custodial staff

• Products – shampoos/soaps/hair-driers/ironing boards etc

CH

Physical Service (on location)

Website/Email/Phone/Facebook/Twitter

C$

Facility Space RentStaff & ProductsUtilitiesWasteInstallation/Renovation MaintenanceMarketing & Customer Acquisition

R$

Subscription Fee (Parallel to a Gym Membership Fee)

Day 1

Day 2

Day 3

Day 4

Day 5

Private shower facilities

TESTING OUR HYPOTHESES – DAY 1

Would customers

pay a subscription fee in order

to guarantee quality?

Interviewed customers in Grand Central

Station, targeting professionals

Customers preferred to pay by use

Would students

interviewing for jobs use this service?


Station and Union Square

Students were not

interested in paying for the service





• Small fitness centers (such as yoga studios)

KA



VP


Secondary Primary Service:Manicure/Pedicure, Express Massage, Ironing/Steaming,Shaving, Make Up, Feminine Care

CR

Get – Word of mouth, advertisement through key partners, general advertisement, brandingKeep – Online booking, perks for frequent customers or package deal,Grow – Expand to multiple locations within New York, expand nationwide/internationally, word of mouth, popularity

CS

KR



• Products – shampoos/soaps/hair-driers/ironing boards etc

CH



C$

Facility Space RentStaff & ProductsUtilitiesWasteInstallation/Renovation MaintenanceMarketing & Customer Acquisition

R$

B2CProfessionals without a 9-to-5 desk job who are on the go

• Age range 23-50

• Bankers• Consultants• Entrepreneurs• Real-estate



Salaries>$50k

B2B• SME’s

Pay-per-Usage (range of willingness to pay is $20 - $40)Subscription Fee (Parallel to a Gym Membership Fee)

Subscription Fee for package deals

Offering these services to SME’s without their own facilities

MARKET SIZE (CUSTOMERS)

Total Available Market: 2,3M

Served Available Market: 500K Target

Market: 24K

Available Market

Workers in Manhattan

Served Market

Women, salary >50K, commute to NY or travel more than 30 min to work

Target Market

5% of served market

Source: U.S. Census Bureau, 2011 American Community Survey

COMPETITIVE ANALYSIS

Gym

s / F

itne

ss

Cen

ters

“Publicly”

Accessibl

e

Restroom

s

Salons

Corporate

Facilities

GuavaSuites

19.1% of people in New York have a

health club membership

Day 1

Day 2

Day 3

Day 4

Day 5


Yoga/fitness studios lacking shower facilities


Would clients of small

yoga/fitness studios without

their own showers use our service?

We interviewed managers and employees at

small yoga studios around Union Square

Managers would

endorse the idea

Would customers want full services

(manicures, hair stylists, etc.) to be provided?


Station and Union Square, as

well as young professionals in

London and Paris

There was greater demand

for products being provided and a personal, private space rather than services.






KA



VP


Primary Service:Products/Amenities Offered:Manicure/Pedicure, Express Massage, Ironing/Steaming,Shaving, Make Up, Feminine Care, Showers, Coffee

CR

Get – Word of mouth, advertisement through key partners, general advertisement, brandingKeep – Online booking, perks for frequent customers or package deals,Grow – Expand to multiple locations within New York, expand nationwide/internationally, word of mouth, popularity

CS

KR



• Products – shampoos/soaps/hair-driers/ironing boards/feminine care, etc.

CH



C$

FC – Installation/RenovationVC – Facility space rent, staff & products, utilities & waste, maintenance, marketing & customer acquisition

R$


• Age range 23-55

• Bankers• Consultants• Entrepreneurs• Real-estate



Salaries>$50k> $75 k

B2B• SME’s

Pay-per-Usage (range of willingness to pay is $20 - $40)Subscription Fee (Parallel to a Gym Membership Fee)



Day 1

Day 2

Day 3

Day 4

Day 5



Services and male customer base


How difficult is it to access restrooms in

New York City?

Talked to managers and employees at

eight cafes/shops/hotels in Union Square

Many restrooms are made

accessible to the public

Would customers at

small yoga/fitness

studios without showers use our service?

Spoke to fitness class goers,

receptionists, and managers

There was no need for our service; most

people traveled home directly

after their classes


Would men contribute to our customer

base?

Spoke to potential

customers in Grand Central

Station & Union Square, as well

as young professionals in

London/Paris

The male archetype

was younger than what we hypothesized

Customers were not

interested in paying a

subscription fee.

Interviewed potential

customers in Grand Station

and Union Square

Some customers

would be willing to pay a

subscription fee for permanent

services such as lockers






• Retail Beauty Stores (Sephora)

KA



VP

Primary Service:High-quality and accessible bathrooms, and changing rooms distributed around big cities

Products/Amenities Offered:Manicure/Pedicure, Ironing/Steaming,Shaving, Make Up, Feminine Care, Showers, Coffee, lockers

CR

Get – Word of mouth, advertisement through key partners, general advertisement, branding, capture large customer groups through B2B dealsKeep – Online booking, perks for frequent customers or package deals, Mobile appGrow – Expand to multiple locations, services base on demand

CS

KR


assistants, receptionists, custodial staff

• Products – shampoos/soaps/hair-driers/ironing boards/feminine care, etc.

CH



C$


R$


• Age range 23-55

• Age range:• Female 23-55• Male :23-35• Bankers• Consultants• Entrepreneurs• Real-estate

Agents• Journalists• Models/Actors

Salaries> $75 kB2B• SME’s

Pay-per-Usage (range of willingness to pay is $20 - $40):

Pricing tactic: Volume base Subscription Fee (offers a locker)



HTTP://GUAVASUITES.WEEBLY.COM/

Day 1

Day 2

Day 3

Day 4

Day 5



Profitability

Services and male customer base

COST ANALYSIS

Initial Investment:

• Remodeling• Installation• Supplies• Etc.

Total: $572,300.00

Operational Costs:

• Space• Utilities• Human resources• Supplies• Etc.

Total: $43,300.00

Based on a model with 12 suites and charging a pay-per-use fee of $20…

We would require a turn-over rate of approximately 100 customers per day.

CONCLUSION

CAN’T EVEN BREAK EVEN,

HAD TO PIVOT ON LAST DAY


• Retail Beauty Stores




KA

• Find Key Partners (B2B)

• Branding• Implementation• Running the


VP CR CS

KR


assistants, receptionists, custodial staff

• Products

CH

C$


R$

Professionals without a 9-to-5 desk job who are on the go

Age range:Female 23-55Male :23-35EntrepreneursReal-estate AgentsJournalistsModels/ActorsSales persons

Salaries> $75 k

Primary Service:High-quality and accessible bathrooms, and changing rooms distributed around big cities

Products/Amenities Offered:Manicure/Pedicure, Ironing/Steaming,Shaving, Make Up, Feminine Care, Showers, Coffee, lockers

Pay-per-Usage (range of willingness to pay is $20 - $40):

Pricing tactic: Volume base Subscription Fee (offers a locker)

Retail Beauty Stores New to the US Market (e.g. Space.NK)

Competitive edge for well-established US brands to enter the US market

Pay fee for being their premises

TBD

Get – Advertisement, Word of mouth, brandingKeep – Online booking, package deals, Mobile appGrow – Expand to multiple locations Get – direct salesKeep - increase customer traffic + hassle free operations

Physical Service (on location)Website/Email/Phone/Facebook/TwitterDirect Sales Force

B2B

B2C

Day 1

Day 2

Day 3

Day 4

Day 5



Profitability

Services and Male customer base

Next step: Partnership

NEXT STEPS

Determine what well-established foreign beauty retailer brands are looking into entering the US market

Talk to Decision Makers (TBD) at Space.NK– see if they have considered central locations and test the barriers to entry they have faced

Decide on ways to cut costs while preserving the Luxury Brand

Find a way to solve the customer need and make this business profitable

APPEN

DIX

CUSTOMER-VALUE CANVAS (B2C)

Value Proposition Customer Segment

Products and Services:• Convenient, high-end

bathrooms and changing areas

• More convenient than returning to your home or office

• More luxurious than using a Starbucks’ restroom

Jobs to be Done:• Have a convenient, clean,

private place to touch-up appearance

Gain Creators:• Multiple locations• High-end facilities

Pain Relievers:• Reduces the uncertainty of

finding a clean restroom• The moment of peace

after/before a day at work

Gains:• Feeling more confident in

your appearance• Remove the stress of

rushing around with no place to rejuvenate

Pains:• The rush, the stress,

the mess• Lack of clean public

restrooms• Hassle of carrying around

daily necessary products such as razors, make-up, etc.

CUSTOMER SEGMENT (B2C)

• On-The-Go Professionals:

• Female: 23-55•Male: 23-35• Accessible salary: > $75,000•Who commute more than 30 minutes to work

Cares about their appearance – attaches a value of at least 7/10

Has a client-facing job and travels to meet their clients

Goes out for dinners at least twice a week

Does not have excellent facilities at work or at their gym

Willing to use cabs as a form of transport in place of public transportValues privacy, convenience/efficiency, cleanliness and luxury

ARCHETYPES (B2C)

Rebecca (27)

Real estate broker

Salary 91K

Needs to refresh before going to

see a client

Johanna (44)

Hedge Fund Manager

Salary 300K

Goes to benefit events after work

Thomas (30)

Product Designer

Salary 80K

Single and Dating…

Business

Guava suites columbia univ jan 2014