1. I am currently a 3rd year pre-dental student with a major in Business Management. Needless to say, I aspire to become a dentist; however, I'd like to own and manage my own practice, which is where the business management comes in. Obviously, I could not open a dental practice at the moment because I lack the skill set to. I had a different idea. It is one that would require an incredible amount of dedication and time, but that is typically how opening a business goes!
2. The service I would be offering is a third party delivery service for many different restaurants that do not actually deliver; however, to beat out the competition like Doorstep Delivery or Go Waiter, I would be offering free delivery. The large delivery fee usually tagged onto the price by these delivery service is a huge reason why they are not as popular as they could be. The way that these companies make money, is by taking a percentage of the order that is being delivered (25-30% for example). Our free delivery service and convenience would beat that of the competition and would serve as a huge incentive to try our service instead. We would simply charge the restaurant slightly more (~5%) to cover the cost of delivery. This way, we can help the restaurants by hitting new markets that they could not previously reach and increase their sales due to this new delivery service capability.
3. This service would be offered to the customers of the restaurants that do not deliver. Take Bagels and Noodles as an example.
4. As aforementioned, customers of these restaurants would have a huge incentive to order from us because, instead of actually going to the restaurant, they can order from their homes or work and have the food conveniently delivered to them for free.
5. The difference between my competitors and I is my pricing. Every other company charges $2-4 for their delivery whereas mine will be free.
I think this is an idea that has a ton of potential. Most students do not use these third party delivery services because it makes the food more expensive. In a college town like Gainesville, it would thrive. The market does not just stop at students, though. It can easily reach everyone within a 2-3 mile radius, including families. Aside from that, there is no other delivery service that gives free delivery. From the restaurants' point of view, they would be able to access markets that they previously were not able to, not to mention their name would be included in all of our advertising, giving them, essentially, a free marketing campaign. As a result, I would say that the elements of my business plan fit quite well.
When it comes to the feedback I received last time, it was entirely about the percentage that I would take from the restaurant (25-30%). In my Idea Napkin No. 1 post, I was not clear when explaining how I would make money. I simply stated that I would take a percentage from the order that is being delivered without mentioning that other companies do the same thing. It made it sound like I would be the only one doing this and that, for example, Doorstep Delivery did not do this.
2. The service I would be offering is a third party delivery service for many different restaurants that do not actually deliver; however, to beat out the competition like Doorstep Delivery or Go Waiter, I would be offering free delivery. The large delivery fee usually tagged onto the price by these delivery service is a huge reason why they are not as popular as they could be. The way that these companies make money, is by taking a percentage of the order that is being delivered (25-30% for example). Our free delivery service and convenience would beat that of the competition and would serve as a huge incentive to try our service instead. We would simply charge the restaurant slightly more (~5%) to cover the cost of delivery. This way, we can help the restaurants by hitting new markets that they could not previously reach and increase their sales due to this new delivery service capability.
3. This service would be offered to the customers of the restaurants that do not deliver. Take Bagels and Noodles as an example.
4. As aforementioned, customers of these restaurants would have a huge incentive to order from us because, instead of actually going to the restaurant, they can order from their homes or work and have the food conveniently delivered to them for free.
5. The difference between my competitors and I is my pricing. Every other company charges $2-4 for their delivery whereas mine will be free.
I think this is an idea that has a ton of potential. Most students do not use these third party delivery services because it makes the food more expensive. In a college town like Gainesville, it would thrive. The market does not just stop at students, though. It can easily reach everyone within a 2-3 mile radius, including families. Aside from that, there is no other delivery service that gives free delivery. From the restaurants' point of view, they would be able to access markets that they previously were not able to, not to mention their name would be included in all of our advertising, giving them, essentially, a free marketing campaign. As a result, I would say that the elements of my business plan fit quite well.
When it comes to the feedback I received last time, it was entirely about the percentage that I would take from the restaurant (25-30%). In my Idea Napkin No. 1 post, I was not clear when explaining how I would make money. I simply stated that I would take a percentage from the order that is being delivered without mentioning that other companies do the same thing. It made it sound like I would be the only one doing this and that, for example, Doorstep Delivery did not do this.
Abraham, I think that this is a very interesting idea that has a good amount of potential if you're able to find restaurants that are willing to reduce their profit margins in exchange for some extra business. Perhaps you should do some research regarding your idea to see if there are any other similar companies and see what percentage they take from the restaurants. Feel free to check out my idea napkin here: http://jakesmithent3003.blogspot.com/2016/03/idea-napkin-no-2.html
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