Venture Concept No. 1

The opportunity I have identified is for a sport-specific training company that employs superior trainers. In the South Jersey area, there is a multitude of athletes who are looking to be trained and parents with the funds to pay for it. These potential customers are looking for a training service that will help give them any edge over their competition. This is a service-related need and most customers are price-elastic because they understand the immense value being offered. A big change in the environment that is opening this opportunity is the amount of athletes (and parents) who want college scholarships to play sports. A lot of families see sports a way for their children to get the best education at a low price and are therefore willing to spend a lot of money to potentially save even more. Geographically almost all of my clients will be from South Jersey, as it is the only place I am focusing marketing efforts and the location of all training. Demographically, my customers will be middle to upper class athletes and their families. The average customer will be a very dedicated athlete. There are other training companies that athletes are using to satisfy their needs. However, I do not think many athletes are overly loyal to their current trainers and would be enticed to switch if offered something that no other company can provide. This opportunity is not huge in terms of potential scope or size. This market is also not rapidly expanding or new. However, this opportunity could be very profitable and successful if run correctly. The window of opportunity is open only as long as the athletes are in college playing sports and not working full time. Since most of them are currently freshmen, that gives me three years.

            This innovation is a training company that employs D1 athletes to train youth athletes in their respective sports. They will work on sport-specific skills and techniques as well as overall athleticism. Customers will also receive invaluable recruiting advice. This innovation works with me handling the marketing and scheduling while I allow the D1 athletes to do what they do best, play sports. I will set up hour long sessions that can be one-on-one and will also offer group and team rates. I will charge $25 an hour for a one-on-one sessions and then create a scale that offers more value for group rates. An example of possible group prices would look like this: $45 for 2, $60 for 3, $75 for 4, $90 for 5-6.  Team prices would vary based on team size. I would earn approximately 30% of the revenue per session and the trainer would earn the rest.

            The specific innovation that fills this opportunity is the superior quality of my trainers. What customers will be paying for is the unique opportunity to work with athletes who have had access to the best coaching and training in the world and have incredibly valuable knowledge. They will be able to relate better to the young athletes and their names and schools will be a major draw. If I offer a free first session, I think I would able to get customers who are looking for that extra advantage to switch. It wouldn’t be hard to convince them once they got on the field with my trainers. My competitors are other small training companies in the area. What sets me apart from them is that I offer sport-specific training across multiple sports. My trainers are also current college athletes, something no other company can claim. My price points are lower than the average training company because I have almost no overhead cost or monthly expenses. My customers will feel more like the mentee of their trainers and will develop a personal connection which will foster loyalty. I am looking to originally hire about 5 trainers. I don’t what to get started too big but would eventually like to expand to as many as 20. The only employees I will hire are trainers and they will hold no other responsibilities than to train customers. I will handle marketing, sales, scheduling and payroll.

One of my company’s big advantages is that the trainers are local sports stars who lots of young athletes looked up to. This will drive demand and create a loyalty no other training service could replicate. What’s next for my company is moving from the concept stage to actually become a reality. I am ready to (and in some cases already have) reach out to the athletes and begin to advertise. In 5 years I am hoping this venture becomes a nice secondary source of income and something that I can use to make a positive impact on local youth. As an entrepreneur, I would like to have grown and continued to come up with new ventures. This venture will give me experience and help me continue to get my feet wet in the field of entrepreneurship.

Amazon Whisperer

1. I make money through training sessions. I offer both 1 on 1 and group sessions. The group sessions are more profitable.
2. I think the next thing customers will want is "full team training". That is, entire youth, middle school, or high school teams can sign up for weekly training sessions.
3. This will expand my market to coaches and organizations too. Teams who are getting a lot out of the training will become my most loyal, consistent customers. This will also substantially lower hourly rates per person and athletes who couldn't afford it previously will now be able to.
4. Amazon is not a platform for the selling of athletic training services and I have not found websites for multiple training services that function like Amazon does.
5. Because this product is not on Amazon, there are no reviews.
6. If I were training teams, I'd add in a team-building component to training sessions in order to make it more appealing to coaches. I'd also have to include more than one trainer so athletes would still be able to get more personal attention.
7. This product would allow me to expand my market exponentially. More people would have access to it and they would also be able to get it at a more affordable price. This would also be a positive for my business because it would be the most profitable of the options I offer.

My Unfair Advantage

Resources:
1. Social media presence
V: Both my trainers and I have a large presence on social media. This will help spread the word to athletes and parents about this service as efficiently as possible.
R: A large social media presence is rare for a training company because most don't have popular Facebook/Twitter/Instagram pages and most trainers are older and not as active on social media.
I: This would be hard to copy because my company will already start out with a large reach on social media. Other training services would have to work for years to reach where we already are, while we'd continue to grow.
N: The only resource that could provide this benefit would be a large scale advertising campaign but your average training company doesn't have the money for something of that nature.

2. Cheap physical capital (only need small items like cones and a few sports balls)
V: While some ventures require expensive equipment if they are to be successful, my company only needs what most people could find in their garage.
R: Cheap physical capital is not rare in the training world.
I: The cheap physical capital that I will be using is easy to copy.
N: No other resources can replace the sports equipment I will be using.

3. Superior trainers
V: Superior trainers means customers are getting the most value out of their money. Athletes will flock when they hear about the opportunity to be trained by D1 athletes.
R: Having D1 athletes as trainers is very rare, I have yet to see another company offer this.
I: You can't clone D1 athletes and it is hard to reach out to these athletes for a business like this unless you already have a relationship with them.
N: All other substitutes (D2 athletes, high school athletes, your average gym trainer) are of lesser quality.

4. Relationships with local sports teams
V: This will make marketing more efficient and also help drum up more customers and group training sessions, which are more profitable.
R: Training companies having relationships with sports teams is rather common.
I: It would be hard to replicate the closeness of the relationships I have built with some local sports teams.
N: There is nothing that can substitute close relationships with organizations that have hundreds of athletes.

5. Enough financial capital to cover all start-up costs
V: Won't be starting out in debt.
R: In general, it is very rare for a company to be able to cover all its costs up-front.
I: For this specific idea, it would not be hard to cover start-up costs.
N: Nothing can substitute for the ability to start a business venture without accruing debt.

6. Prior experience running a company
V: I've learned from some of the challenges I faced and can put that knowledge to good use when starting this company.
R: Most entrepreneurs have started more than one venture.
I: You can't copy experience, you must earn it.
N: Nothing can substitute for experience.

7. Most attractive work opportunity for college athletes
V: I will be able to get the top athletes to work with me because I offer the most flexibility and earning potential.
R: Being the top option for your labor market is rare.
I: My business idea could be copied, but by then I would have already hired the athletes I wanted.
N: Once I have the top athletes, there will be no comparable substitute for the quality of training.

8. Flexible and laid back culture
V: Makes working with my company more desirable.
R: My flexibility (basically setting your own schedule) is rare but laid back office cultures are becoming increasingly popular.
I: This resource could be copied relatively easily (sans setting one's own schedule).
N: There are other factors that may be more important to potential employees than flexibility and company culture so substitutes are possible.

9. Low cost advertising
V: Low cost advertising increases my profit margin.
R: Low cost advertising is becoming increasingly popular.
I: A training company could easily copy my social media and word of mouth advertising strategy.
N: Other methods, such as fliers, could be substitutes for low cost advertising.

10. Broader customer base than competitors
V: More potential customers means more actual business.
R: This is rare, most sport-specific training companies focus on one sport while I would have a wide range of sports available.
I: This could be copied but I have yet so see anyone attempt to do it in my research.
N: There is no substitute for being able to cater to more customers than your competition.

My top resource is the fact that I will have superior trainers. I've know this from the start and the whole business premise is that my trainers will be able to offer something that was previously unavailable to athletes. This resource is what will draw customers to my company. When running a training company, the quality of your trainers is by far the most important aspect to focus on.

Week 10 Reading Reflection

Learning about the NPV method was pretty surprising to me. I've always thought long term and would assume that making financial sacrifices in the present for the future typically pay off. However, I do understand that general economic theory says a dollar today is more valuable than a dollar in a year. I was a little confused about the Contribution Margin Approach. I'm not sure how it works or why it's so necessary and I thought the author could do a better job explaining those things. One question I'd ask the author is, what is the maximum amount of debt a start-up can take on in the first year without failing? I think this is important to know because we live in a society that tends to over-borrow. I'd also ask what the best method is in order to budget capital objectives. I feel like a start up faces so many pending projects that it would be hard to decide which ones are most important. I didn't think the author was wrong about anything but, as I mentioned before, I wish he'd explained the Contribution Margin Approach more thoroughly.

Growing My Social Capital

Contact 1: Luke Bonus
1. Luke went to my high school about a decade before me. He starred in football and played safety in college at Hofstra. He now works for my high school football team as our strength and conditioning coach. He has experience in personal training as well.
2. Luke is my domain expert because he has done training similar to what I am looking to do in the past. He also worked in the exact same area I will be targeting. He knows a lot about putting together training programs and how to coach young athletes.
3. Finding Luke wasn't hard because I'd previously known him and the type of knowledge he possesses. I have his number so I just shot him a text and then called him later that day.
4. Luke and I decided to sit down once I get back to my hometown so he could give me some pointers and advice on the nature of this business. We'll talk about training tips and possibly pricing and marketing as well. Luke didn't ask for anything in return but I'll buy him lunch.

Contact 2: Erica Gayton
1. Mrs. Gayton is a middle school health and PE teacher. She is the mother of 3 serious athletes and a basketball coach for her middle school and also for the town travel team. She played basketball and lacrosse in college.
2. Mrs. Gayton is my market expert. She works with the type of kids I'd be looking to train on multiple levels and is also someone who could be a potential customer. She's been around other trainers and training services before and knows what is appealing to customers as well as what doesn't work.
3. Mrs. Gayton is the mom of one of my best friends and is well known for being a sports fanatic. I also texted and then called her in order to arrange a sit down to talk about some of the things my potential customers will be looking for and expect.
4. Mrs. Gayton will be giving me some pointers on the things I mentioned above when I'm back in town. In return I'll offer to work with her two younger athletes at a discount or for free.

Contact 3: Eric Hawkinson
1. Eric plays left tackle at Lehigh. He has played football for ten years and was an all-state selection his senior year of high school. He has worked with multiple personal trainers in the past.
2. Eric is an important supplier in this industry. He is the trainer, the athlete that makes kids and parents want to pay for this service. His knowledge of the game, status as a D1 athlete and experience in recruiting makes him the perfect "supplier" of labor.
3. Eric is my best friend so reaching out to him wasn't hard. I've talked to him several times about my idea and we've worked to overcome some of the possible challenges I'd face.
4. Eric and I have been talking about how to work around the schedule of a D1 athlete and also been mapping out some of a possible football training regimen. In return, I'll hire him and do all the marketing and scheduling for him.

Reflection: I've learned that the best way to start networking is through people you already know. One of the hardest parts of networking is developing a relationship and this step is skipped if you already have one established. By reaching out to people you know, you gain access to their networks as well. For example, Eric has teammates that are also interested in training with me. Through networking with Eric, I've gained more capital that will help make my company successful. Networking through people I know is what I've done in the past as well so not much has changed. I find it to be the most efficient way to network but understand that I will have to branch out at times as well.

Elevator Pitch No. 3

1.
2. The feedback I received was centered around the delivery of my pitch. I was advised to be more lively and less monotone. I am struggling with this part of the pitch because it just feels weird to be talking to a camera and I find it hard to show that type of emotion unless I'm actually talking to a person. One commenter also suggested that I include a hook in my pitch.
3. When trying to incorporate my feedback, I attempted to be more lively in front of the camera, but I'm not sure if I improved that much to be honest. I also added a hook, which I believe makes my pitch more appealing from the start.

My Secret Sauce

1.
a. Prior experience. My experience in running a company, I started a landscaping service two years ago, sets me apart from many my age. I also have interned with a wealth management company and learned a lot about how to successfully mange the finances of a company.
b. Empathy. My ability to relate to and understand many different types of people will be key if I am to succeed. I will be interacting with people of various ages and needs so being able to connect with customers and employees is huge.
c. Ability to grow. I think one of the more underrated aspects of human capital is potential. One of the biggest positives I have going for me is the position I am in. I am young and attending a top university. In the next couple years I will be offered opportunities to learn and grow as an entrepreneur that few have access to.
d. Drive. My unwillingness to just quit will be an asset to me when starting this venture. When faced with obstacles, I won't back down, but will actively seek creative solutions. The passion I have for my ideas will give me an advantage because I am willing to put in the extra work necessary to succeed.
e. Delegate. One of my strong suits is the ability to delegate. I have been able to successfully delegate responsibilities in the most efficient manner in past ventures and see that skill carrying over.

Beth talked about how my leadership and people skills would make me a successful entrepreneur. She also mentioned that my determination will allow me to persevere through challenges that an entrepreneur might face.  

Chris said I was outgoing and very personable. In addition, he said my work ethic and organization will allow me to meet deadlines.

Nick said I was level-headed and perform well under pressure which will help me make tough decisions. Then, he said my ability to delegate will be an asset for me. Finally, he said I can connect with a wide variety of people which allow me to develop relationships with them on a more personal level.

My dad said the three things that set me apart as an entrepreneur are my initiative, ingenuity and critical thinking skills.

My mom said my drive will set me apart as an entrepreneur. She also said that my open-mindedness and thirst for knowledge would make me a good entrepreneur and problem solver. 

3.  From my interviews, I saw that others also viewed me as someone with great empathy/people skills, strong drive and the ability to delegate well. My ability to grow is tied in with my thirst for knowledge, which was also mentioned. The one thing on my list that wasn't mentioned was prior experience. My interviewees tended to only speak to qualities and skill, not knowledge or experience, which may have been a result of the way I phrased my question. If I were revising my list, I'd focus on the first three interviews because one must take what parents think about their child with a grain of salt. I'd change empathy to people skills because while similar, empathy was less emphasized by my interviewees. Although it wasn't mentioned, I think I'd keep prior experience because I've already found some of the lessons I've learned useful in this class and the real world. 

Week 9 Reading Reflection

I was surprised to read that the amount of promotion is such a major factor on pricing. This surprises me because I've seen heavily promoted products that are relatively cheap, although I guess the relationship between promotion and price is not linear. I'm a little confused about pricing strategy, is there some sort of formula to determine about where a price should fall or does an entrepreneur just evaluate all factors and decide on a price? One question I'd ask the author is how exactly promotion affects pricing. This is something I mentioned earlier and I'd like to learn a little more about how the relationship between price and promotion. The other question I would ask would be, what will be the next internet in terms of an emerging vehicle for marketing purposes. This question just popped into my head while reading because I began to realize that marketing on the internet isn't exactly cutting edge anymore. I had no disagreements with anything the author said in this chapter.

Idea Napkin No. 2

1. I am very organized and have a sales oriented mindset. I am good at connecting with adults, especially parents. I think I can use this skill to my advantage because it will mostly be parents paying for my service. I have experience with team building, scheduling, sports training, and accounting that I think will be useful. I see this business as a venture to make some money on the side while working with my friends and helping shape young kids lives. I love sports and think this is a good way to stay involved.

2. I am offering my customers a chance to work with current D1 athletes in their respective sports in order to improve their game. Since I am friends with many of these athletes and they are looking for ways to earn money with a flexible schedule, it won't be hard to get them on board. In fact, I have talked about this with several of them and they are already interested. Most kids want to be successful on the playing field and many even aspire for scholarships. I am offering a chance to work with athletes who are at the top of their game and have received exceptional coaching. While there are camps and clinics that offer this opportunity, I have not been able to find a business that provides a similar experience in a small group or one on one setting weekly.

3. This service is being offered to well-off athletes in South Jersey who are looking to improve their skills. I am offering it in this general area because it is where most of my trainers are located and I know the area well. Also, there is a high concentration of wealthy families in this area that would have the resources to pay. I'd charge about $25-30 an hour and pay the trainers $20 an hour. I'd also offer discounts for groups.  Ages may vary but I am marketing towards kids from age 10-17. A common factor among all my potential customers is the drive to improve and gain an edge as well as the money to pay for this service.

4. Customers will actually pay me for this service because of the competitive nature of youth sports. Kids are looking for any way to gain an advantage over their competition and I believe this is an opportunity that will stand out in their minds. Lots of parents with children in youth and high school sports have an eye towards potential scholarships and are willing to spend money now to save a fortune down the road.

5. What I have that no one else has is simple: talented, young athletes with great coaching who have ample time on their hands to train others in the summer. Gaining cooperation from these athletes will be easy because no other job will pay them nearly as well while also allowing them to create their own schedule. Not many training companies can offer not only athletes who are talented and know what they are doing, but also coaching points from several of the top coaches in the country. Also, the relative youth of the trainers will make it easier to relate to the young athletes and give them up to date advice on recruiting.

I believe these elements fit together quite well. I have ample demand, a large supply of athletes looking to make money and train as well as low overhead costs. My role would be marketing and scheduling, two things I have experience with from another business venture. My only concern about a weak point in this plan would be having to initially map out the schedules of those athletes who are interested and then figuring out when they would be available to train. I'd need to have several athletes working every day for a decent range of time as well. This could be tough to schedule but I'm confident that there would be enough interest among potential trainers to satisfy all demand.

Feedback Memo:
1. How will you make a profit? I incorporated this feedback in part 3. I've had this price scale in mind but had yet to be prompted to share it. 
2. Will there be a high cost to get D1 athletes to train? No, these athletes are just college kids looking to make money in the summer. $20 an hour is more than double the minimum wage and would motivate these players to train rather than work another job. This is mentioned in part 2 and 3 as well. 
3. Will this only be affordable for the wealthy? Yes and no. While the area I am targeting is very wealthy, $25-30 for an hour of training is the price you will find anywhere in my area. I believe middle and lower class families who decide to allocate some of their funds to training will find this service relatively affordable. My pricing is included in part 3. 
4. Why Philly/South Jersey? This is where I and most of my athlete friends are from. There is a high concentration of wealthy people in this area that are looking for training so this is the ideal spot for this business both because of convenience and opportunity. This too is included in part 3. 
5. Cooperation of athletes may be an issue. I address the availability of athletes issue in my final paragraph. The issue, of course is making sure these busy athletes can dedicate the time necessary to make this business successful. The early talks I've had with them make it seem possible, but I will need to spend a lot of time reaching out to athletes playing different sports at different levels to be sure of this.