Vee Park Long Presentation


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Initial Research on P2P commercialized Parking solution.

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Vee Park Long Presentation

  1. 1. VEEPARK Solving the parking problem one driveway at a time
  2. 2. I need a space 99 % of parking in the US is FREE. So, why is it that at least twice a week many of us find ourselves cruising for a spot free or paid, on-street or off-street? When commuters were asked to rank the least pleasant part of the parking experience they said: 1. Difficulty finding a space 2. Chance of getting a ticket 3. Need to carry change Notice that price doesn’t even make the top 3. In 2010, despite seeing some revenue decline due to the recession, the US parking industry saw $7.9 billion in revenue and 4.9 percent growth.
  3. 3. It’s all about location Cruising for Parking: When commuters come to an area and cannot find parking they end up cruising in search. This is a recurring experience for drivers in central business districts (CBD) and mixed use districts (MUD) like Midtown Atlanta and Hollywood District (Portland, OR) UCLA Professor Donald Shoup the widely-regarded expert in the economics and availability of parking estimates that as much as 30% of traffic in these areas may be due to the inefficient search for a parking space. Collisions from cruising: Transportation researchers have found 15% to 20 % of all vehicle collisions (and 40% of mid block collision) are associated with on-street parking movements. )a.k.a. looking for or getting in or out of a parking spot).
  4. 4. The VeePark Solution  Fringe parking is an area for parking usually located just outside CBD or in the residential side of MUD, most often used by suburban residents who work, shop or play in these hotspot urban areas.  VeePark is a revolutionary new way to solve the parking problem in major cities. Our services are beneficial to both drivers and non-drivers.  The idea is this: If you have a space that can be used for parking, share it with other drivers when you're not using it, and make some extra cash as a result.
  5. 5. US PARKING INDUSTRY US Parking is a mature marketplace that is trending toward industry consolidation, privatization and digital automation. VeePark is an e- commerce startup seeking to disrupt the parking industry incumbents. We are strategically positioning ourselves as the premiere substitute parking solution of choice by capitalizing on fringe parking behavior of commuters. Utilizing our site which can be accessed via computer and mobile device we will provide our customers with convenient hassle free solution to the most frustrating part of the commute besides traffic, finding the right spot. – $7.9 billion revenue (2010) – 4 million + parking spaces – 16,922 establishments – 8,750 public and private enterprises – 250 million motor vehicles served on an hourly, daily or monthly basis – Primarily operates via management contracts, lease agreements or property ownership
  6. 6. Service Offering VeePark streamlines and commercializes upon the entire fringe parking culture that everyone of us engages in each. No longer will you have search for a spot simply log into either our dedicated site or mobile site search and reserve a spot near your final destination. Whether you’re going to work, a game at the arena or out on the town at night. Keys to Success Ease of Use. A website should be formatted to be easy to use whether view on ones phone or on ones pc. Furthermore the payment solution should not only be familiar but immediate. Why wait for your money when you can get it the moment the transaction is facilitated. –No need to wait for you account balance to reach a certain point for transfer –Proven dispute resolution system –Attracts the attention of our target acquire once we’ve reached stage 2 goal 10,0000 average daily transactions.
  7. 7. Edward Irby Business Development LinkedIn Profile Brennan Novak Platform Development LinkedIn Profile VeePark Founders
  8. 8. Objective The ultimate benefit of the VeePark is that it provides the consumer and the resident with a convenient, secure, financial solution to the parking congestion in high density areas. Our service reduces time spent cruising for parking and the rate of accident in CBD and MUD areas. Business that opt into our Business service will benefit from increased automation of after hours parking management coupled with lower overhead.
  9. 9. Start-Up Summary VeePark is currently looking for early stage funding to complete development and launch its Minimum Viable Product (MVP). The company plans to raise between $2500 and $5000 in the next month. This will allow us to hire on an additional developer to ensure launch of the VeePark service by the end of March. Based on conservative financial projections, the company should become profitable within six months of launch. Completion of the MVP will allow VeePark to use revenue and user input for Rapid Application Development (RAD). In conjunction with our Rapid Organic Development (ROD) growth strategy, the company hopes to eliminate inefficiencies and reduce risks.
  10. 10. Future Financial Predictions-RENAME Predicted Quarterly Benchmarks Year 1 Within 1 Month of Launch 100 Avg. Daily Transactions Within 3 Months of Launch 250 Avg. Daily Transactions Within 6 Months of Launch 1000 Avg. Daily Transactions Within 9 Months of Launch 3500 Avg. Daily Transactions Within 12 Months of Launch 10000 Avg. Daily Transactions In order to reach the company’s MVP March launch date, we will need to raise $5,000. Seed funding allocation:  2500 for final development of – VeePark Website, – Mobile Website, – SMS support  2500 for development of dedicate business services Founder Brennan Novak spent the month prior to Thanksgiving doing the initial development of VeePark. The company’s current business model and growth strategy has been under development since November 12th, with the addition of co-founder Edward Irby. The company has estimated adoption of its parking solution substitute to follow the pattern illustrated below.
  11. 11. Activities Edward Irby Customer Acquisition – PR campaign: Seed 34 by using social networks, event venues and organizers, nightlife promotion companies, independent newspapers and public radio. Service Provisioning – Customer Support Point of Contact Implement B2B Strategic Partnership plan begin creating interet in a new after hourse parking mangment solution for businesses and property owners whose primary business activites are not in parking management using the VeePark busines service we crate a digital triangle bewteen the veepark service businesses and towing companies. Our database gives business a way to track use of their lots without having to man them afterhours and in turn towing companies with acces to our database can police said lots removing offenders. Increasing their bottom line . Brennan Novak Site mangement Sever Maintenance Service Provisioning – Customer Support Technical – Platform Maintenance and Updates
  12. 12. Expected Year One Growth y = 71.035e0.4222x R² = 0.997 0 2000 4000 6000 8000 10000 12000 0 3 6 9 12 Avg.DailyTransactionCount Month Year 1
  13. 13. VeePark acts as a venue to allow its users, who comply with VeePark's policies, to offer, let/sell and rent parking space. Do’s • VeePark uses the PayPal's X API to facilitate the financial transactions between drivers and driveway owners. • VeePark’s platform provides convenience and automation of facilitating the peer-to-peer parking transaction. • VeePark estimates the average transaction price to be $5.00. Don’ts • VeePark does not transfer legal ownership of items from the seller to the buyer. • VeePark is not directly involved in the transaction between buyers and sellers • VeePark will not charge a listing fee, nor will we charge for the use of our s and website.
  14. 14. Just Seed Funding • VeePark is an e-commerce service but one riding the waves of Web 2.0’s. user generated content, social networking, and a new virulent culture of “publicy” replacing privacy. • We are not dependent on advertising revenue, and rounds of funding to forward development like traditional e- commerce start ups i.e. Tumblr. • Our solution for the online community was envisioned to generate revenue the moment the very first P2P transaction takes place. • VeePark’s business model and plans revolve around a rapid organic growth development strategy. • This will enable the company to avoid any future stock dilutions of potential investors. • Until the average daily transaction count tops 100,000 VeeParks current server is capable of handling current traffic.
  15. 15. Return on Investment • VeePark has lost the first mover advantage. • An exit strategy for potential investors is essential. VeePark is considering the following for its initial investors: – Trade sale or acquisition, – Sale to third parties – Sale of shares to other shareholders. • Potential Investors can expect to see dividends within one year, according to financial statements. • VeePark has no immediate plans for acquisitions. Neither has it a preferred list of potential acquirers. • All reasonable offers will be considered. • VeePark plans to utilize the first-mover advantage to establish itself as the market leader in a new Peer-to-Peer transaction sector.
  16. 16. Service Guarantee The service offered by VeePark simplifies the entire peer-to-peer parking transaction. By accessing VeePark's website, or mobile site users can list, search, and rent parking spaces in a simple and easy to use experience. The only necessary data required from potential drivers is email, mobile number, car make, model, color, license plate.  For people listing their driveway, they need only enter their email, mobile number and the address of available parking space.  VeePark serves as a venue, facilitating the peer-to-peer parking space rental process- we match seekers of a parking space with providers who, in turn, are able to generate supplementary income.  It is important to note that during the interaction process with users, VeePark does not ask for or obtain consumer's credit card numbers. By doing this, our barrier to entry for users is lowered and also helps us avoid security concerns while also substantially limiting possible liabilities.
  17. 17. Service Disclaimers • VeePark acts as a venue to allow its users, who comply with VeePark’s policies to offer, to let/sell and rent parking space. • VeePark does not transfer legal ownership of parking space from the seller to the buyer. • VeePark is not directly involved in the transaction between buyers and sellers. As a result, VeePark has no control over the quality, safety, morality or legality of any aspect of parking spaces listed or the truth or accuracy of the listings. • VeePark does not pre-screen users or the content of information provided by users. • VeePark cannot ensure that a buyer or seller will actually complete a transaction. • VeePark will provide a social media feedback / rating forum (1 - 5 stars, comments) for both drivers and driveway providers. • VeePark cannot guarantee the true identity, age, and nationality of a user. VeePark encourages users to communicate directly with potential transaction partners through the tools available on the website, and mobile website (private masked email addresses and SMS numbers). • Users agree that VeePark is a venue and as such is not responsible or liable for any fraudulent information listed on in accordance with Section 230 of the Communications Decency Act. • In the event of a transaction dispute, users are instructed to use the PayPal dispute resolution system. If a refund is granted, users will receive a full refund of all transaction funds, including the 20% transaction fee charged by VeePark.
  18. 18. VeePark Registration Users will register with VeePark by providing the following: – PayPal account (email address) – Password To rent parking they will be asked to provide further details. Whether seeking or listing a parking space, users will be asked to input: – Check In Time – Date – Check Out Time
  19. 19. Step 2-Geographic Identifier Seeker – Zip code – Nearest cross street – Final destination address Provider – Physical address – Only off street parking on property leased or owned can be listed – Parking cannot block sidewalk Seeker – Will be asked to input the information indicated in the image to the right. – Body Style input will help match vehicle to an appropriately sized parking space . Provider – Size (Compact, Regular, or Large/SUV) – Space Count in the event there is room for 2 cars to be parked without double parking or blocking – Rate for time and date listed. – Additional details • Unique Parking instruction
  20. 20. Step 4-Selection & Confirmation Seeker is shown a map view populated by results near destination that match his or her vehicle size and time needs Seeker’s PayPal account is debited and Provider’s PayPal account is credited less the VeePark transaction fee via the PayPal X API. User’s receive notification by email and text if they are using the. It will contain: – Ticket number – Reservations details – Unique instructions on parking in driveway if provided by parking space provider.
  21. 21. Step 6- Check Out Notification 15 minutes before the end of the reservation the seeker and provider will be sent a message via email, text, and/or in reminding them time is almost up. Feedback and user input will be crucial to continued development of VeePark. So after each transaction we will request that users rate each other and provide comments on the P2P transaction which we will use to make improvement to the platform and blacklist users should repeated complaints and disputes arise.
  22. 22. Ticket Number The ticket number enables correct identification of all details relating to each P2P transaction. With it, the user can access via the mobile website, website or mobile details on the reserved space along with direction to said space by virtue of the Google maps API. With this information, it is possible for either seeker or provider to update the other to a change in status (time or car) that might affect the terms of the transaction. Hence, subsequent versions of mobile apps will allow for modification options based on user input gathered through the version 1.0 release.
  23. 23. Online Community •Since 1999 the P2P internet community has exploded. VeePark is applying global technology to a hyper local problem many commuters face. ••VeePark encourages continued peer production and critique. It challenges the status quo of a parking industry whose primary changes are focused on redemption of greater revenue from the consumer not satisfying the consumer needs for less hassle and greater simplicity. ••Through its activities, VeePark improves the image and scope of the online P2P economic system, empowering us as a community. At VeePark, we feel we provided a value-added service to our users  We provide match making services to providers and seekers of alternative parking solutions. Our service is delivered via our mobile site, website. With the VeePark platform, users experience a convenient and simple parking list, search and purchase process.
  24. 24. Benefits Provider •Increase supplementary Income. ••Convenience of a digital solution that removes the hassle of posting signage and sitting in one’s parking space, a common activity for those who live near event venues such as baseball parks. ••A familiar P2P experience and payment solution via PayPal X Seeker •A substitute that reflects the true demand and price of the parking industry consumer. ••The knowledge that their money is going to support another member of the community directly. ••Freedom from the fear of having to refill the meter every hour and half or pay exorbitant parking rates to attend events and local night life spots. •A familiar P2P experience and payment solution via PayPal X
  26. 26. 2010, the US parking Industry Industry saw $7.91 billion in revenue, accompanied by modest growth of 4.9 percent. This growth can generally be attributed to resilience of Central Business Districts (CBD), colleges and universities, and hospitals. All of these traditional parking industry hotspots have been protected from the recession.
  27. 27. CBD and Mixed Use Districts (MUD) In CBD and Mixed Use Districts (MUD) in particular, municipal run parking operations have seen rate hikes to the determent of the parking consumers given today’s economic climate. Such municipal run parking operations generally encompass street side parking which commuters place a premium on for short duration trips. Therefore, while 39% of private parking saw a decline in revenue last year, 46% of public parking saw an increase in revenue. Notable sources of revenue increase are Installation of new meters in locations previously not covered, like MUD (i.e. Midtown Atlanta), and smart meter technology that alerts traffic police when a vehicle has exceeded its allotted time. The most surprising thing about the industry, public and private, is that despite decreases in revenue and slowed growth due to the recession, only 7% of the industry decreased its rates. 66% kept rates the same and 27% actually increased their rates. Given the economic climate of today, VeePark has concluded that it is positioned to become the substitute of choice for our target market segment.
  28. 28. Meeting true market needs VeePark providers of parking spaces are those fortunate enough to have found residence in and near CDB and MUD. They have sacrificed having a car often for the convenience of being close to work, event venues, and nightlife hot spots. VeePark seekers are those who are not so fortunate. They are seeking a simple solution to daily and specialty commuting needs via a device many carry more often than their wallet, purse or keys: their mobile phones. After adoption by the young we expect to see further adoption by those of older generations. This is current the trend with new technologies and applications.
  29. 29. Case Study: San Francisco • Transit Use and proximity to Work and home: In the bay area, people who both live and work within a half-mile of transit are 10 times more likely to use transit. • Vehicle ownership by proximity of home In the Bay Area, 30% of those who live within a half mile of transit do not own any cars. This about three times more zero-vehicle households than those living in urban areas further than a half mile from transit. • Vehicle Ownership and Density and Transit: In the Bay area, Household with seniors own 31% fewer cars than household with n seniors. • Bart and Parking Demand: Tods Reduce parking demand per household by 23% • Bart Neighborhood demographics: Among Bart Station residents, 40% choose to live near Bart Station du to location and commuter choices • Higher Income= More Driving: Higher income household own significantly more vehicles than lower income household. In the bay area, MTC quantifies the relationship between household income, travel behavior and vehicle trips based on results from the Bay Area Travel Survey. Household in the highest income quartile (earning >100K/yr) generate over 4 more vehicles trips per day (170% increase) than those in the lowest quartile(earning < 30k/yr). According to census 2000 data for the Bay Area, 15% of families making between 25k and 35K did not own any cars.
  30. 30. Competitors is capable of facilitating peer-to-peer transactions, it has positioned itself as a online solution for the parking industry incumbents. Is our closest competitor and has already released a native app. In order to overcome the first mover advantage they have VeePark will need create a pull in our primary customer segment in all 34 target cities by reaching them through their primary information sources independent newspapers, online social networks and the event and nightlife venues they patronize. Both of these services however have one flaw credit accounts. You have to store credit/money with the service provider and wait until you can withdraw.
  31. 31. 34 Largest Urban Markets  Each of the cities listed has a CBD population over 400,000.  In order to overtake competitors VeePark will launch a massive PR campaign targeting social network sites, College and Independent Newspapers, Event Venues, Event Organizers Stadiums, Sport Teams, Nightlife Promotion groups, and Nightlife venue owners. In areas with high walkability score within each of the 34 seed cities. Instead of reaching out to early tech adopters via tech blogs and tech-news sites we will instead go immediately after our targets ser segment. Atlanta Austin Baltimore Boston Charlotte Chicago Cincinnati Cleveland Columbus Dallas Denver Detroit Houston Indianapolis Kansas city Los Angeles Miami Milwaukee Minneapolis/St. Paul New Orleans New York Orlando Philadelphia Phoenix Pittsburgh Sacramento Salt Lake City San Antonio San Diego San Francisco San Jose Seattle St. Louis Washington DC.
  32. 32. THERE ARE 208 MILLION DRIVERS IN WE WANT TO REACH JOIN US? VEEPARK USERS • 16-34 • Some college education (20-34) • Not wealthy • Work for a living • Comprised of 90% adults in an identified age group who use the internet • The 51% of adults who meet the above criteria who access primarily online. • The 60% of adults who watch videos on sharing sites such as YouTube • The 35% of adults who watch television online on sites such as Hulu. • The 67% of drivers 20-34 who own cars • The 40% of drivers 16-19 who own cars. • Comfortable with P2P web services/clients such as eBay, LimeWire, and Skype OF THAT 208 MILLION DRIVERS IN THE U.S. VEEPARK’S POTENTIAL MARKET SIZE AFTER APPLYING THE ABOVE VARIABLES IS 18.3 MILLION. VEEPARK’S GOAL IS THAT 0.5% OF THOSE DRIVERS USE IT’S SERVICE EACH DAY. THAT’S ROUGHLY 100,000 DAILY TRANSACTIONS WITH AN EXPECTED TRANSACTION AMOUNT OF $5.