Lonesome Pine TrailsLonesome Pine Trails

By: Justin DunleaBy: Justin Dunlea

MissionMission

• Lonesome Pine Trail's mission is to provide a fun and enjoyable skiing, snowboarding, and tubing experience to the residents and college students of the St. John Valley community at a reasonable and affordable price keeping a high level of quality in the services provided.

Company DescriptionCompany Description

• The ski resort business is family entertainment

• This is a sport that all ages can participate in and enjoy as individuals or in groups.

• It is where adults take their kids not only to have fun but at the same time to get some family time and or bonding time together

Company Description (cont)Company Description (cont)

• The mountain has 6 trails with 2 T-bars

• This isn't your typical mountain; especially in Maine when there is Sunday River and Sugarloaf downstate who probably rank in the top 15 mountains in the entire Nation with each having well over 100 trails and at least 8 chairlifts to offer

S.W.O.T. AnalysisS.W.O.T. Analysis

Strengths Strengths

• Strategically located behind college and can be seen from miles away including Canada

• Starts snowing in November and ends in April meaning about 90% of all snow on the mountain will be natural

• Wide range of activities to offer including skiing, tubing, paintballing, and mountain biking

Strengths (cont)Strengths (cont)

• Tubing parks really don't exist in Northern Maine so not only will you have to ski but you will have the option of tubing as well

• In the summer we plan on offering mountain biking as well as we is going to make a paintball course on one side of the mountain

WeaknessesWeaknesses

• January and February the temperatures drop twenty and thirty below zero and there is no possible way anyone can ski in those conditions so the whether is probably one of our biggest threats

• When it rains in the summer, there will be no paintballing or mountain biking so sales revenue will decrease

OpportunitiesOpportunities

• Word of mouth

• Mountain will basically be selling itself depending on how well the conditions stay

• Plans of adding a tubing park for the mothers and toddlers that don’t ski

• Mont Farlagne’s prices are almost double ours so we have a chance to take some of their business

ThreatsThreats

Small staff Some of the equipment on the mountain is

old

• Mountain has access to a limited amount of cash so initial financing won’t be difficult but ongoing financing will.

• No experience in negotiating with contractors

Threats (cont)Threats (cont)

• No control over the weather

• Sales are hard to forecast

• St. John Valley isn’t large so fluxuating ticket prices will be ongoing

• Mont Farlargne is over the border and that will be a big competition

Strategic PlanningStrategic Planning

The market for a great affordable ski area in this location is on high demand

• The mountain provides employment opportunities to the County not only for teenagers but adults as well

• Our main strategy is to focus on each customers needs. Some will be there to ski, some to tube, some hike, some to bike.

Geographic'sGeographic's

• 50 mile radius is being served

• Estimated population in Aroostook County is 75,000 people

Demographic’sDemographic’s

• 96.8% Caucasian 22.6% under the age of 18

• 67.8% are homeowners Average household income is $29,815.00

Behavioral FactorsBehavioral Factors

• Low household incomes

• Families prefer not to travel long distance’s due to gas prices

• At least 1 family has 1 big size pick up truck; sometimes 2 or 3

BudgetBudget

• Once mountain is bought, maintain steady sales growth

• Sales will decrease the first year due to the addition of the tubing park which cost between $15,000 and $20,000 to open

• After profits decrease first year, plan on increasing by 5% the 2nd year

Budget (cont)Budget (cont)

• Increasing customer satisfaction by 50% with the added 2 T-bars

• Adding a daycare for the parents who want to ski but can’t because of young ones

• Increase ski school program by 100%

• Tubing Park=$15,000• Ski School= 10

instructors @ $10.00/hr = $100 extra an hour X 200 hours (est) = $20,000 extra

• 2 new T-bars = $4,000

• = $39,000

Budget (cont)Budget (cont)

• $39,000 in added features

• Price of mountain undetermined

• Taking a large chance that the business will flop if sales are off

• Goal is to achieve sales of roughly $120,000 before expenses

Budget (cont)Budget (cont)

• Lift ticket prices: Under 6 Free• Ages 7-17 $8/daily• 18+ $10/daily• Senior citizens $5/daily

MarketingMarketing

• Obtain market research by passing out questionnaires to the targeted market population in the area

• In-store customer comment cards

• Chamber of Commerce

CommunicationsCommunications

• Lonesome Pines will have it’s own internet site where lift ticket prices, trails open, conditions, weather, etc. will all be available and will be updated on the hour daily by the webmaster.

• The website will also include a link to hotel reservations through Northern Door

Communications (cont)Communications (cont)

• Advertisements will be displayed on local radio stations as well as St. John Valley Times

EvaluationEvaluation

• Lonesome Pine Trails is providing its customers with a wide selection of entertainment activities

• Main goals include affordable prices, wide range of services, and convenient location

EvaluationEvaluation

• An accountant will be keeping track of all expenses as well as sales from lift tickets

• Lastly, the main focus during the prime months of the mountain from December until March will be to keep the skiing conditions in tip top shape and try to open the mountain more this year for increased sales