Industry Analysis GROUP D: BYRON CARBAJALJENNY PARK NANCY FELIXFABIOLA PEREZ.

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Presentation transcript:

Industry Analysis GROUP D: BYRON CARBAJALJENNY PARK NANCY FELIXFABIOLA PEREZ

Business Idea WHO ARE WE? “D”-Lightful Designated Drivers Service WHO IS THIS SERVICE INTENDED FOR? (PTA) crowd High income market segment Night Club/ Bars WHY THIS INDUSTRY? Alcohol related accidents/fatalities Safer streets Limited benefits to taxi cabs Innovating Beneficial to society & customer

Industry Revenues (2007) NAICS code Description Establishments' Revenue ($1,000) Paid employees 4853 Taxi & limousine service 7,0705,861,09174, Taxi Service2,8301,828,08832,534 Source: Industry Growth Rate Firms competing in industry

Competition 156 Listings 120 Counties – 34 States Source: Arizona Maricopa Pinal California Los Angeles Oakland Orange San Bernardino San Diego San Francisco Colorado Denver D.C. Washington Florida Tampa Bay Georgia Atlanta Louisiana New Orleans Maryland Baltimore Missouri St. Louis z5LC8158CFQYXagodlCDUGQ

Consumers (2008)

Distribution Channels BARS/NIGHT CLUBS brochures, business cards, referrals Partnerships DIRECT Website (create accounts) College Campuses OUR SALES FORCE Street Teams on location Social Networks Twitter Updates AGENTS Our professional drivers on-site How will we sell our services?

Closest Substitute and How our prices compare Our Prices vs. Taxis Us $36 for the first 10 miles –$3/mile thereafter TAXI CAB $2.85 flag drop $2.70 per mile Drive Back To Your Car In Morning –Double the cost Factors that Provoke Use Availability of Service Brand Recognition –Brand Image $ Consideration Brand Awareness –Who are you? Distrust –“Let you drive my car!!” Reliable

Main Entry Barriers Consumer acceptance –Brand recognition Brand Awareness High marketing costs High capital costs Insurance Companies Training and skills Unique technology and patents –Di Blasi folding Motorbike (Zingo Trans. Inc owns distribution rights to sell in North America)

Porter’s Five Forces Model Customers –Repeat –One way taxi service is less expensive Threat of New Entrants –Stealth Competition –Penetrating Prices Suppliers –Dealerships –Bars/Clubs Substitute services –Taxis, Buses, Metro etc Competitive Rivalry –Other DD’s for hire –Taxi/Limousine Industry –Private Chauffeurs

Conclusion WHY IS THIS AN ATTRACTIVE INDUSTRY FOR OUR START-UP? Growing Market Undefined Industry Leaders Cost efficient marketing Partnerships can add credibility Breweries (drink responsibly campaign), LAPD, MADD organization Unmet need is pertinent DUI related accidents continue to kill THANK YOU