29A- Venture Concept No. 2

Venture Concept 2

1)    Opportunity: My venture’s opportunity exists in the fishing community. Fishermen/fisherwomen need to transport their fishing rods, which usually requires a vehicle. Fishing rods are not very durable, and their lines will often get tangled or they might break in certain areas when bouncing around or rubbing against a surface in a car/ truck. To solve this problem, people use fishing rod vehicle racks that safely store fishing rods for easy transportation. However, current fishing rod vehicle racks are extremely expensive, especially for younger people who enjoy fishing, so that’s where the need for my product comes in. There have been no innovations to solve this problem in the last few years.

     This need is held by anyone who enjoys fishing and does not want to pay a premium for current products. Nearly everyone who fishes (multiple times per year) will need to transport their fishing rods at some point. However, this opportunity can be narrowed down to a smaller target market. This need is more suited toward younger, less established people who are concerned about finances. Current available products can cost upward of $150, and a lot of younger people do not want to spend that much on an item that may only be used a few times per year. Going further into demographics, there is no race my product is geared toward, but potential customers are more likely to be men based solely on the fact that there are more dedicated fishermen than fisherwomen. Demographically, my product can be sold nearly anywhere in the world that has some sort of fishing availability nearby. However, coastal areas are more likely to contain more of my customers because of close proximity to waterways.

                Based on my research, there are two ways customers are satisfying this need. First, there are some customers who are sucking it up and purchasing the more expensive products available on the market. They are not happy with this outcome, but they feel like they would rather spend the money on a quality product than spend it later fixing fishing rods. Secondly, there are other people who refuse to purchase these expensive products and are instead resorting to makeshift techniques. I spoke to people who have attempted to make their own temporary fishing rod racks because of the price of ones you can buy, and there are some others who are taking the risk because they cannot afford these products. Overall, these customers are not loyal to their current methods and would prefer another way to solve this problem.

                Finally, I believe this is a major opportunity. This specific market in the fishing industry is unsaturated and dominated by a few large companies. Based on my research, people are not happy with how things are and would love another solution. Unfortunately, I do not think this window of opportunity will be open for very long. There are some simple solutions to this problem, so it is only a matter of time before some company realizes this and steps in.

Innovation: My innovation is very simple, but effective. Overall, my product does not stray far from current designs on the market, but I do not feel it needs to. My product, the Fish-rack Pro, is a vehicle fishing rod rack similar to those major brands currently being produced. It will be used to transport fishing rods in my customers’ vehicles while keeping them from being damaged. It will fit in the rear of a car/truck and extend outward allowing it to attach to any sized vehicle. Since it is nearly at roof level, it will not take up a large amount of space and will allow for luggage or any other items to still be stowed away. In the rare instance that it is needed for a 2-door vehicle where the space may not be enough, it has bottom latches that will allow it to be latched on to the top of the vehicle if necessary. In this case, additional ropes (provided with the product) will be needed to make sure the rack is secure on top of the vehicle.

                However, there is one major difference that sets my product apart. Where current models are made from metal and other more expensive materials, mine will be made from wood cellulose fibers. This material is much cheaper than metals, and it boasts the strength near the level of steel. This allows my product to have the same function as current market products while keeping its price much lower. I will be selling this product for $60 per unit.

Venture Concept: My innovation will solve the need, because it fixes the one problem customers have, the price point. My product provides the same functions as current products while cutting the price in half, so I think it will be an easy choice for many customers to switch. There are only a few major competitors, and their vulnerability is their pricing and technology. My company will be ahead of the game technologically with our use of cellulose fibers, something no other major competitors are currently invested in, and we hope to get a patent on this technological use in fishing rods before others can get in. This will nearly shut out other companies from competing with our prices which should secure us a spot in the market for many years to come.

                I think my pricing is the major seller, while distribution, location, customer support, etc. are minor details that will match that of competitors, but not supersede them.

                My business will require several manufacturing facilities to produce my product. Managerial-wise, I will only need regional managers and a few marketing/finance employees. To start with one manufacturing facility, I would need around 10 office employees plus a few manufacturing employees.

-My most important resource will be my human capital. My team consists of people who are experienced in the fishing craft, in touch with the market and will be able to assess product effectiveness.

-In the future, my venture could expand to other products in the fishing market. Since my team has several years of fishing experience, it will not be difficult to expand to other similar products.

-It would be amazing to have success within 5 years of my venture being launched. However, I am not extremely attached to this idea, and I overall just want to be successful in whatever path I choose. I hope to start at least one successful business, and this one, if successful, could definitely help me to get on my way.

2)      From my previous venture concept, I received only positive feedback. My classmates complimented my innovation section of the venture concept because of its uniqueness and practicality. They said my innovation is my biggest asset and that the product alone should carry my business pretty far. However, this is the only area I was complimented for which makes me think I may need to strengthen other areas of my concept.

3)      Based on the feedback, I did make some changes to the venture concept. I decided to strengthen my third section, the venture concept section, by elaborating on the weaknesses of my competitors and how I have a competitive advantage over them. I added that my product is technologically advanced compared to the current market, and that are pending patent would ensure our price advantage for years to come.

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