The byproduct of sericulture in different industries.pptx
Save Big by Filling Empty Restaurant Seats
1. Contacts
Day 1: 9
Day 2: 17 (restart)
Day 3: 62
Day 4: 47
Total: 135
Les Envies: 126
Team U
Save Big
Not your parent’s reservation – helping restaurants fill empty seats, users save
and feeding those in need
Patrick Chang Rodulfo Prieto Fangyuan Wang
2. Day 1 - What we thought
Idea: Save Big
Provide low income families with tools that allow them to
purchase larger-size consumer goods and generate savings
through economies of scale
3. Day 1 - Canvas
- Finance Dedicated
- Retailers platform personal
- Consumer - Education Access to: assistance Mothers of
Brands - Credit (card) low income
- Banks - Education families
- Government - Savings
- Insurance account
- Financial Retail +
- Human Word of
- Physical Mouth
- Credit cost & risk
- Education staff Royalties from consumer brands
- Systems and brokerage (credit card) fees
- Advertisement
4. Day 1 - What we did & what we found
After “getting out of the building” (9 interviews) we found
that:
• The problem does not exist in the US --- though we did
confirm it exists in Latin America (and possible other
developing markets)
• Our solution would generate “more problems” as credit
could fuel consumption in non-productive goods
Need to perform a Randomized Control Trial (A/B
test) to test customer behavior reaction to credit
5. Day 2 – Research new idea
Platform to Mothers of low
• Finance
save by Microfinance income
platform
• Retailers having institution families in
• Education
• Consumer access to customer base country X
Brands credit, educat (below poverty
• Micro- ion and line and
finance banking working in the
Banks resources informal
- Governme New revenue economy)
nt stream
- Insurance • Financial Retail + Word
• Human Exclusivity – of Mouth Microfinance
• Physical more market
Banks
share
Consumer
Goods Brands
• Education staff
• Systems Royalties from consumer brands and
• Advertisement brokerage (credit card) fees
6. Day 2 – New Idea
Platform that offers daily discount deals
when booking on-line reservations at high-
end restaurants
7. Market Size
Total Available
Market
8.3bn transactions/yr
Served Available
Market
1.7bn transactions
(20% of transactions would
entail reservation)
Target Market
83m transactions
(5% offer discount)
$250m (@ 3$/transaction)
8. How it works diagram
Dinning
User fills empty seats (3pm -6.30pm )
and pays dinner (net w/discount)
Restaurants Inform restaurant
about reservation
30%-50%
discount
User Platform
Make on-line reservation:
User pays:
Donation:
• $10 per reservation, or
• $0.25 - $0.5
• A discounted rate of $5
($1 = 2 meals)
if promotes site and
restaurant in social
media Non-Profit
9. Day 2 – What we thought and learned
Hypothesis Discovered To do
• Restaurants need help filling • Confirmed • Validate our discovery with a
empty seats larger one to one interview
sample size
• Consumers want a discrete way • Interview more channels
• Overwhelming positive
to save and partners
• Online survey for a broader
• Consumers are willing to pay to • A limit to how much they are sample
save willing to pay
• Test new hypothesis based on
• Various options - possibly consumer feedback such as the
• Consumers want to support subscription based or subscription model
monthly fee rather than per
social responsibility causes reservation
• Social responsibility is polarizing
• Consumers are willing to use – there are people who did not
social media channels to care, hated it, or loved it
promote in order so save more
17
• Most likely – they already share
without any benefits Interviews
13. Day 3 – Canvas
•Continually building a Users Users Users
list of restaurant •Save on overall bill •Ensure they have a •Young professionals
partners (including food and great experience who like fine dining
•Mid to Higher – end •Improve data collection alcohol) •High end service for but are price
Restaurants and marketing for •Discrete saving (no high end restaurants sensitive
restaurants
coupons) •Possible special •Middle income who
•Grow customers
• Charity partner – •Supporting social events want to experience
•Intuitive/creative
TBD cause as you dine fine dining but at a
design
reasonable cost
•Indepth concept Restaurants
• Benefit companies •Active social media
•Help fill empty seats users
for corporations
•Increase social • Interested in social
media awareness Restaurants responsibility causes
and users sharing •Other restaurants
•Restaurant partners •New avenue of
willing to provide a marketing Users Restaurants
discount •Social Media •Partners who offer
Nonprofits •Word of mouth reservations
•Another source of •Benefit sites
income •Food Blogs Non-profits
•Website build
•Customer acquisition
•Potential kick backs for premium
•Users pay for the reservation
restaurants to attract other restaurants
•Exploring an unlimited monthly membership
initially
fee (subscription)
•Content creation (blog / marketing)
•Search revenue stream – featured restaurant
•Talent to expand
•Advertising
14. Day 3 – What we did
More customer contacts (62)
Use some form of discount websites Do you feel cheap or think people who If you are offered a flat rate discount
use discounts websites are cheap? such as 30% or 50% off, do you tend to
50
50 46 consume/spend more on dining?
39
40 50
40 40
30 40
30
19 30
20 20 18
12 20
10 10 10
0 0 0
Yes No Yes No Yes No
Willing to Support Social Causes Would you be willing to share your When you make a reservation, how
50
experience or plans on your social media likely are you to commit to the
43 (facebook, twitter, etc) channels for reservation?
50 42
40 additional discount at restaurants?
40
30 40 34 30
30 24 20 13
20 15
20 10 2 1 0
10 0
10
0 0
Yes No Yes No
15. Day 3 – What we found
From end-users
• Low awareness about competition (Savored)
• Channel: app preferred over web page
• MUST be high-end restaurants
• They LOVE social responsibility cause. Would enjoy a social good counter
• Some skepticism over sharing on social media sites
• Disliked subscription fees
From Restaurants
• Have been approached by Savored but did not want to use Savored.
• Hard time keeping reservations if they are done for free
• Some LOVE the social media, but main driver of interest is filing empty seats
• Waitresses and waiters are supportive
• Providing analytics to restaurants would be extremely interesting and helpful
16. Day 4 - Canvas
Users
•Continually building a Users •Social Media Users
Users
list of restaurant •Save on overall bill •Email marketing •Young professionals
(including food and •PR from food who like fine dining
partners
alcohol) organizations, blogs and
but are price sensitive
•Mid to Higher – end •Improve data collection •Discrete saving (no Nonprofit partners
Restaurants and marketing for coupons) •Customer surveys •Middle income who
restaurants •Supporting social cause •Loyalty Programs want to experience
•Grow customers •Gamification fine dining but at a
• Charity partner – as you dine
•Referrals to grow and build
•Intuitive/creative credits reasonable cost
TBD Restaurants
design Restaurants
•Cold calling, emails, visits
•Active social media
•Indepth concept • New avenue of •Sales force users
• Benefit companies marketing • Interested in social
for corporations •Increase social media
awareness and users
responsibility causes
sharing Users
•Restaurant analytics •App and web page
•Restaurant partners •Help fill empty seats •Partnerships that
(restaurants believe this is generate traffic Restaurants
willing to provide a •Partners who offer
a value proposition) •Social Media
discount •Word of mouth reservations
•Benefit sites
Nonprofits
•Food Blogs
• Additional income
Restaurants Non-profit
•Other restaurants
•Website build
•Customer acquisition
•Potential kick backs for premium •Users pay for the reservation
restaurants to attract other restaurants •Exploring an unlimited monthly membership fee/ (subscription)
initially •Search revenue stream – featured restaurant
•Content creation (blog / marketing) •Advertising
•Talent to expand
17. Day 4 - What we did & what we found
• More Customer Contacts: 45
• Meeting with non-profit entity with food social responsibility cause
o Money is their primary need
o $1 donation = 2 meals
o Open to promote lesenvies.com as long as it’s done in an “elegant fashion”
o Suggested local partnership (more meaningful to help your own community)
o Social media advertisement is a GREAT plus
• Cost experiment (Google Ad)
• Referral experiment
• Experiment lasted 15 hours: 3:00pm – 6:00AM
• Interview with a famous Chef/restaurateur
• He personally checks his social media every day and has his assistant monitor it
constantly. They use it for feedback and love the buzz
• Supports multiple food related cause in the city and would love to participate in a
corporation that supported a cause as a main objective
• Has never done a flash sale but would consider discounting for the sole reason of
supporting a great cause
18. Day 4 – What we did 100
Would you prefer discrete dining at a
fine dining restaurant?
89
80
60
40
More customer contacts (45) 20
18
0
Yes No
Use some form of discount websites Do you feel cheap or think people who If you are offered a flat rate discount
use discounts websites are cheap? such as 30% or 50% off, do you tend to
35
29 40
consume/spend more on dining?
30 35
40 37
25
20 30
20 30
15 20
13 20
10 12
10 10
5
0 0 0
Yes No Yes No Yes No
Willing to Support Social Causes Would you be willing to share your When you make a reservation, how
40
experience or plans on your social media likely are you to commit to the
36
35
(facebook, twitter, etc) channels for reservation? 23
25 22
30
additional discount at restaurants?
20
25 40 15
29
20 30 10
15 13 20 3
20 5 0 1
10 0
5 10
0 0
Yes No Yes No
19. Day 4 - What We Found in Experiment #1
(Google ad words)
Google Ad Range Clicks Impress Clickthr Avg Cost Convers Cost/Co Convers
words ions ough Cost ion nversio ion rate
Metrics
rate per n per
Click click
181 $0.60 - 116 46,191 0.25% $0.70 $81.45 5 $16.29 4.31%
variations $1.10
Sample words included NY Reservations, NYC Restaurant Reservation, Fine Dining NYC, and NYC
Reservation Nonprofit
Experiment lasted 15 hours: 3:00pm – 6:00AM
GOOGLE IS EXPENSIVE!!!!!!
20. Day 4 – Referral Program (Experiment #2)
Offered $10
dollar credit
for every 5
referrals
that sign up
690 clicked
the unique
URL
39 Signed
up
Conclusion:
Cheapest
and Fastest
21. Day 4 – Traffic and Conversion
Channels Avg Website % Clickthough Clickthrough % Conversion Conversions
Traffic rates rates Per Month
Local Nonprofit 10,000 15% 1,500 3% 45
Partner (City
Harvest, FBNY, or
Etc)
Nationwide 100,000 20% 2,000 3% 60
Nonprofit (United
Way, Share our
Strength)
Employee Benefit 500,000 1% 5,000 5% 250
Portals*
Google Ad Words 116 4.31% 5
Mailing list from Mailing list size 5% 750 1% 7
food partners average in NYC
(yelp, opentable) metro area:
15,000
Referral Program 690 on first day of Assuming pace Hits per month 5.5% 341
experiment x 30 dies down by 70% 6,210
TOTAL: 630,700 15,576 4.5% 708
Excludes mailing list
Assumptions based on industry average
*Employee benefit portal does not account for one time joining notification
Does not account for word of mouth or family and friends
22. Day 4 – Revenue and Cost per Month
Total
Revenue Sign ups: 708 Average Reservations Average Price per $4,248
per Month: 2 Reservation: $3
Website Hosting $50
Sales Force $1,000
Premium Restaurant $100
Partnerships
Partnerships* $1,000
(employee benefit
sites)
Marketing (Google $200
adwords, Guerilla
Marketing, etc)
Other Administrative $100
Cost
Bottom line $1,798 (42%)
Donations $0.50 per 708*2 = 1,416 -$708
reservation =$1,090 (26%)
*Partnership is an estimate
Average Reservation per month is low but the number of users using it is high
23. Day 5 - Canvas
Users
•Continually building a Users •Ambassador Program
Users
list of restaurant •Save on overall bill •Social Media Users •Young professionals
(including food and •Email marketing who like fine dining
partners
alcohol) •PR from food organizations,
•Mid to Higher – end •Improve data collection but are price sensitive
•Discrete saving (no blogs and Nonprofit partners
Restaurants and marketing for coupons) •Customer surveys (See following slide)
restaurants •Supporting social cause •Loyalty Programs •Middle income who
•Grow customers •Gamification want to experience
• Charity partner – as you dine
•Referrals to grow and build
•Intuitive/creative credits fine dining but at a
TBD design Restaurants reasonable cost
Restaurants
•Indepth concept • New avenue of
•Cold calling, emails, visits •Active social media
• Benefit companies marketing •Sales force users
for corporations •Increase social media
awareness and users
• Interested in social
sharing responsibility causes
•Restaurant analytics
•Restaurant partners •Help fill empty seats Users
(restaurants believe this is
willing to provide a •App and web page Restaurants
a value proposition)
discount • High-end
Restaurants
Nonprofits • 1:1 Non-profit
• Additional income
• Food related
•Website build
•Customer acquisition
•Potential kick backs for premium •Users pay for the reservation
restaurants to attract other restaurants •Exploring an unlimited monthly membership fee/ (subscription)
initially •Search revenue stream – featured restaurant
•Content creation (blog / marketing) •Advertising
•Talent to expand
24. Customer Segments (Archetype)
Users Restaurants Nonprofit
Young Working Higher end Fine Dining Food Related Nonprofit
Professionals • Range of price per • Attacks food issues
• Age: 22 – 39 main course $20 - $50 • Hunger
• Income: $60k - $200k • Takes reservation • Eating Healthy
• Price Conscious • Has a need to fill • TBD: National or Local
• Food Enthusiasts empty seats
• Dines out 1x-3x a Examples
week at a Fine Dining • City Harvest
• Slow Foods
Establishment Not our target
• Share our Strength
• Ultra high end and • Food bank of New York
Middle Income
popular restaurants • NY coalition against hunger
• Age: 22 – 39 •
• Eleven Madison City Meals on Wheels
• Income: $60k - $200k • Feeding America
Park
• Dines out at nice • TABLE FOR TWO USA
• Gramercy Tavern • United Way of New York City
places infrequently but
• Per Se • Wellness in the Schools
would like to splurge • New York Coalition for
for special occasions Healthy School Food
• Just Food (New York City)
• Plumpy’nuts
25. Customer Relations
• GET
• Ambassador / Referral program
• Social Media Marketing
• Word of Mouth
• Employee Benefit Partnership websites
• PR from Tech blogs, News Agencies, Food Bloggers, nonprofit organizations
• Guerilla Marketing
• Restaurants: Cold Calling, Restaurant Visits, Sales Force
• KEEP
• Loyalty Program
• Gamification
• Positive experience
• Restaurants: Positive Experience, demonstrate value add with customers and social media buzz
• GROW
• Referral Program
• Word of Mouth
• Social media buzz through the additional discount provided per social media share
• Restaurants: Word of Mouth, positive experience, demonstrate value add to other potential
restaurants
26. Marketing Plan – Halo Effect
invites you to
discover a delicious way you can
help feed those in need
By making your dinner reservations at lesenvies.com you not only get
valuable discounts to high-end restaurants in NYC, you also support United
Way’s Hunger Prevention & Nutrition Assistance Program
This method may not generate direct hits but it will hopefully create a halo
effect and positive word of mouth
27. Marketing Plan (cont.)
• Search for “earlyvangelists” in [United Way’s] member
database
• Advertise the lesenvies.com & United Way Partnership
(not lesenvies.com by itself!)
o Launch event hosted at a very high-end NYC
restaurant – media, press release, etc.
o Advertise partnership in top food blog site – e.g.101
cookbooks, 80 breakfast, etc.
o Food celebrity that already supports United Way
likes lesenvies.com & United Way partnership
28. Marketing Plan (cont.)
• Ambassador / Referral program: Users are given a unique URL
which they share and is tracked for each visit and sign up
conversion. We provide $10 credit for every 5 sign ups.
• Partner with benefit websites offered to large corporations
• Partner with Celebrity Chefs
• Social Media Campaigns on all channels
• Possibly one feature nonprofit that we partner with a month on top
of our main cause
• Special events such as tasting events
• Food / Online blog