Product IdeaEssay Preview: Product IdeaReport this essayDS 741.01Austin CoteSpencer Leman09/21/2016App/Business Idea:Our idea is an application that allows consumers to discover local deals in the form of one-of-a-kind coupons/discounts to local eateries, retail stores, grocery stores, events and more. The basic model consists of a free application (downloadable to apple and android users) that is comprised of three simple interfaces: (1) A main feed that shows all local deals in a selected radius, organized by newest or most popular. (2) This feed will allow users can refine their search results to different merchants, i.e. restaurant, retail, entertainment etc. (3) Your account/profile (linked with Facebook) feed – this is where your past purchases, payment information, as well as friends using the app will be displayed for the user’s convenience.The business model is very simple – We will host the deals on our platform at no cost to the company. However, we will take a percentage (these percentage thresholds are displayed below) from the consumer’s purchase. To better explain here is a simple example: DHOP advertises a deal -> $2.00 slice + get one free
The consumer will see this deal marked up to $2.50 + get one free and make the purchase DHOP makes $2.00 on the sale, and we make $0.50*The consumer does not see that $0.50 is added, but the business will be aware that the percentage is added once they make a submission to the app*The incentive for merchants to use our application to run their deals can be explained through the lack of risk. The deals that are present on the application are not extreme discounts or anything that the merchants wouldn’t run on their own, our app just offers a platform for them to advertise, effectively boosting marketing efforts and driving more traffic to their business in the process. Additionally, consumers are very likely to leave the venue with more than just the coupon they purchased through the app. To site the DHOP example, that consumer more than likely also bought a drink as well, and multiply that by however many deals the company wants to run and they’ve effectively increased their business.
A quick recap:
Our new app works in the way most of the other apps get out there. It uses our new customer data to get the best prices (by making use of the latest technologies), and the pricing of deals for the right customers is often based on a number and frequency of customers at the time they sign for the deal, not the type of product they already own. Our pricing isn’t limited to a single store or sub unit of an app, but does apply to orders placed at multiple stores and sub units on multiple business sites from different locations around the globe, so we keep this in mind.
If you’d like to see your favorite products delivered with our app, take a look at this promo code or my other blog post, here. Please go to your local ad agency to submit a promo code, or just check a website that offers coupons and other advertising solutions. We are a very small company, so don’t be shy.