From «App for searching cheapest places for lunch»

to «Universal App for choosing best places nearby with mobile communication platform»

Our initial idea

Initial idea descriptionOur initial idea was an «App for searching cheapest places for lunch».

JUST IMAGINE:

You have an app on your smartphone. After lunch you (and other users) add to app some details: price for complex «business-lunch» (or separate dishes), place where it was and personal assessment.

All user-generated information accumulates on server.

On the other side, when you (or other app users) haven’t defined preferences on place for lunch, you can go to app. It will show what the nearest places are and which is cheapest / more preferred by others.

Initial idea Business ModelValue PropositionsFor customers of cafes and restaurants1. Location based information about nearest cheapest places for lunch2. Possibility to share own impressions about price and quality of lunch you have3. Special occasions from nearest cafes and restaurants For owners of cafes and restaurants1. Crowd-sourced references about owned cafe / restaurant2. Possibility to attract new or previous customers with special offers

Customer Segments1. Customers of cafes and restaurants (smartphone users)2. Owners of independent or chained cafes and restaurants

Initial idea Business ModelChannels1. Mobile application (iOS, Android, WM7)2. Web-service (portal or browser application)

Customer Relationships1. Through smartphone application or web-service2. Through social media and friends network3. Personalized e-mail marketing

Revenue StreamsIn-App advertisement of cafes and restaurants (and other businesses with similar customers)

Key PartnershipRestaurants, cafe's and other similar places

Initial idea Business ModelKey Activities1. Design and development of smartphone app or web-based system2. Product marketing and PR3. Sales of In-App advertisement4. Analytics and curation of user-generated content Key Resources1. Engineers / designers and infrastructure to run the service2. Advertisement to create awareness3. Sales team 4. Analytics team Cost Structure1. Initial cost of development and making the system live2. Advertisement and PR costs3. Sales team payment 4. Constant cost to sustain the infrastructure

Hypothesys #1

We suppose that…• Project is suitable and needed all over the world• Project is one of a kind• Proposed functionality of the project is enough to customers

:))

TEST #1

What we have doneWe have made more than 80 face to face and chat discussions with potential customers from both sides (customers and owners of cafes / restaurants) in Russia, Ukraine, India, United States, United Kingdom, Ethiopia, Canada and Europe.

Also we have start several discussion in social networks and personal blogs.

What we have as a resultsOur project is suitable and needed all over the world As a result we understood that service in its current shape is very suitable in developing coutries (Russia, India, Ukraine, Ethiopia, etc.) and not competitive / needed in highly developed (United States, United Kingdom, etc.). Our project is one of a kindAs mentioned above, our current version of service is not unique. It has many competitors in highly developed countries, but on the other side is still bad presented in developing.

Proposed functionality of the project is enough to customersIn face to face discussions we find out that base functionality our service (nearest and cheapest places for lunch) is good but not enough for customers of cafes and restaurants.

Hypothesys #2

We suppose that…To go further we need to try to gain more information about services (mobile and web) with the same functionality. We assume that this will help us to find right way for further project development.

And there would be only two ways: 1. Make service with current idea in base and larger additional functionality but the same as highly developed countries services (focusing on developing countries market); 2. Find new idea for base and make something really different (focusing on highly developed and developing countries market).

Second is far more interesting :)

TEST #2

What we have doneIn several days our team have made a deep research regarding services (mobile and web) with the same functionality / customers. Both International and local.

All gained information was submitted to spreadsheet with such boxes as:•Type (web / app)•Area (international / local)•Main idea•Main functions•Additional functions•Interesting details•Possible ideas for us

What we have as a resultsWe have found numerous excellent projects in the same industry and even in the same country (Russia). Among them – such international leaders as Yelp, Urbanspoon, Foursquare and others. All discovered projects were much better than our initial idea in all possible directions.

Our next step was a closer look to every found service - its value propositions, customers segments and other parts of Business Model Canvas. Then work was done we have found several opportunities for the new BIG idea.

The new BIG idea

Opportunities for new BIG ideaTaking a closer look to our competitors we have found several general observations: 1. All great services like Yelp or Urbanspoon are working only with their own separate audiences (users can never see the «full picture»)2. Foursquare is great, but it is best for returning customers and building their loyalty, and not so good in attracting them 3. Photos of food, detailed reviews, stars, proposed coupons and special deals are very interesting, but you need to waste a lot of time to watch or read them before making final decision 4. Different reviews and proposed special deals are not always suitable for understanding that one place is better than others inside nearby area 5. Today’s customers have too much apps for searching and choosing nearby cafes and restaurants, but all of them are great only in one or two directions (some - in special deals, some in reviews, some in photos)

In summary we have an opportunity to make something like «universal» app for searching best places nearby.

New BIG idea descriptionOur new idea is a «Universal App for choosing best places nearby with mobile communication platform».

JUST IMAGINE:

Now you have no need to select one best service (web or app) for searching cafes and restaurants nearby (Yelp, Urbanspoon and others) from hundreds with the same functionality. Whatever service you have preferred, you have no need to read plenty of customers reviews to make well-founded decision. And you have no need to compare different places on unspecific indicators by oneself and waste valuable time.

All you need is to tap button «I want to eat», and choose the best nearby place using simple (but versatile in depth) indicators of popularity and summarized user-generated opinion. Also you still will have a possibility to place your own review to Urbanspoon / Yelp (or check-in in Foursquare) through the one app.

New BIG idea descriptionAnd that’s is not all..

If after looking on presented simple indicators your decision on preliminary preferred place is not clear, you could communicate with café / restaurant spokesman through the app. And receive personal offer not only with the same coupon as now in other apps, but special dish for today, dish most preferred by you, his favorite drink and so on (based on user history). Or ask some questions and receive quick answer.

We think this idea would be great not only for searching places to eat, but also for places to drink, dance, watch, etc.

New BIG idea mechanicsWe can aggregate user-generated information of our best competitors (Urbanspoon, Yelp, Foursquare, etc.), analyze it, compare and present to users in useful and simple way. For example, it could be done with two or three different diameter coloured rings / dots on map for every place. First would indicate popularity (more Foursquare check-ins – more diameter), second – user-generated opinion, summarized through Urbanspoon, Yelp, and other services.

Also we intend to give cafes and restaurants possibility to communicate with users of our app at the moment they search, and try to make personal offers to them (as now on web-sites). It could be shown as blinking on map ring / dot of café / restaurant that would mean “Hey! I have to say you something interesting!”. Inside the message user will find details of offer and make additional questions.

New BIG idea mechanicsAs a result we could make something like real dialog on the street then café owner invites walking around potential customers and persuade them to choose this place instead of another ones. For the first time we can implement simple programmed dialogs. Later it could be real communication between our app user and spokesman of café / restaurant, connected by Twitter or somehow else.

In this case our service could be expanded to platform. And it would be the next step in apps for searching best places nearby.

New BIG idea Business ModelNew Value Propositions

For customers of cafes and restaurants1. Location based information about best nearby place to eat / drink / dance / watch, etc. All data is and aggregated from popular services (Urbanspoon, Yelp, Foursquare, etc.), summarized and presented in very simple way2. Possibility to share own impressions to different services through one app3. Possibility to communicate with café / restaurant spokesman before making final decision

For owners of cafes and restaurants1. Possibility to have aggregated and summarized information about their own position against nearby competitors2. Possibility to communicate with potential nearby customers at the moment they make a final decision 3. Possibility to promote special offers and make personalized recommendations / offers on dishes, drinks and other

New BIG idea Business ModelNew Revenue StreamsAccess to communication platform and in-App advertisement of cafes and restaurants (and other businesses with similar customers)

Other parts of Business Model Canvas have not any revisions.

Next steps to new BIG ideaOur next moves are:•make new value proposition test on potential customers•discuss idea with potential mentors•go through others steps of Venture Class

Any assistance on this way would be very appreciated! :)

Great RED teamOleg ChumakovArchit PandeyBehailu ShiferawSachin RamjeAnton ZakharovAlexander PukhovYana BilynetsYaroslav AleksandrovSergey SmirnovBushra AlqaroutVadim NovitskiyAlexandr Bajenov

Mikhail Firsanov – team lead

http://venture-lab.org/teams/5214