Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.
UGo Tour
Client Report
By: Mariah Fleming, Terrence Green & Grant
Withrow
UGo Tour 2
Table of Contents
EXECUTIVE SUMMARY ..............................................................................
UGo Tour 3
Executive Summary
UGo Tour is a tour guide app based in the Western North Carolina and Great Smokey Mountain ar...
UGo Tour 4
Client Profile
UGo Tour
The goal of the platform is to present small businesses and municipalities
with a venue...
UGo Tour 5
Table of Contents
COMPANY OVERVIEW………………………………………………………………………………..……….6
KEY FACTS ................................
UGo Tour 6
Company Overview:
E-Commerce Business Solutions (eCBiz Solutions) is a web development and consulting company. ...
UGo Tour 7
GOAL: Determine total cost to develop each individual tour
Line Item
Talent
Required?
Total
Hours
Hourly
Cost T...
UGo Tour 8
Key Facts
Company: E-Commerce Business Solutions
UGo Tour App and Website
Location: 15 W. Walnut Street #202
Ph...
UGo Tour 9
localized content accessible through a consistent mobile interface”. This will be accomplished by
combining ric...
UGo Tour 10
Major Products and Services:
UGo Tour: This app is the major focal point for Mr. Hedgecock and his partner Mr....
UGo Tour 11
Personalization: Users of the app will be given the opportunity to load or add their own stops on tours.
Users...
UGo Tour 12
Reward System: In the app there will be a sort of point system that will reward users with trophies at
the end...
UGo Tour 13
Customers:
The main customers for this app would be the locals of Western Carolina area or anybody who is new ...
UGo Tour 14
Situational Analysis
Table of Contents
SUMMARY...................................................................
UGo Tour 15
Summary
The Situational Analysis for the UGo Tour app compiled by the members of Team 9 consists of
market res...
UGo Tour 16
Environmental Factors
This section is used to discuss the economic, social, political and technological factor...
UGo Tour 17
Political
The Federal Trade Commission (FTC) has regulations regarding the making and marketing of
apps. Truth...
UGo Tour 18
Industry Analysis
The graph below shows the correlation between resident’s income and the trips that those
res...
UGo Tour 19
6
Products and Services Segmentation
This graph above illustrates how most people go on tours. The data from t...
UGo Tour 20
7
Major market segmentation
The data in the above graph indicates that the majority of those that are travelin...
UGo Tour 21
Tourism's	
  	
  
Economic	
  Impact	
  on	
  Western	
  North	
  Carolina,	
  
2012	
  	
  
This shows all th...
UGo Tour 22
Swain	
  Co.	
  	
   $293.06	
  	
   4.5%	
  	
   $79.75	
  	
   3,340	
  	
   $16.73	
  	
   $6.12	
  	
  
Tr...
UGo Tour 23
Market Analysis
Porter’s Five
Porter’s 5 Forces is a scale that is used to determine the favorability and comp...
UGo Tour 24
potential customers that may be in the near or surrounding areas. Although UGo Tour only has a 5.5
average, th...
UGo Tour 25
Strengths
1. App is free
2. Can share with friends and family
3. Easy to navigate
Weakness
1. Difficult to man...
UGo Tour 26
COMPETITIVE BENCHMARKING
Critical
Success9
1. COMPANY
NAME:
2. COMPANY
NAME:
3. COMPANY
NAME:
4. COMPANY
NAME:...
UGo Tour 27
Chimani Great Smokey Mountains National Parks
This was among the weakest out of all the competitors. Their mai...
UGo Tour 28
Key Success Factors
IBIS World identifies 250 Key Success Factors for a business. The most important for this ...
UGo Tour 29
Value Chain Analysis
A value chain analysis is used to determine what a company does that makes their product ...
UGo Tour 30
where they’re going. By UGo Tour having this capability, users will be more likely to pick the app over
other ...
UGo Tour 31
Recommendations
Social Media
There is no one specific form of social media that can be defined as the “best” p...
UGo Tour 32
Form of Social
Media
Who Uses It What to Share Post Frequency Useful Tools
Twitter Everyone Start, join and le...
UGo Tour 33
Facebook
In terms of reaching out to the greatest number of customers at once, Facebook and Twitter are
the tw...
UGo Tour 34
Social Adoption
People get on social media at different times of day. This is something that could be very ben...
UGo Tour 35
UGo Tour 36
App Adoption
The following chart shows how people come about an app and how that influences consumers to
purch...
UGo Tour 37
Though the data is from a survey given in 2012 the information is still relevant in that today people are
stil...
UGo Tour 38
of those surveyed visit the Great Smokey Mountain area in the Spring/Summer months or in the Fall.
Marketing t...
UGo Tour 39
Appendix A: Sources
European Technographics Consumer Technology Online Survey, Q4 2012.
Froment, Etienne. "Why...
UGo Tour 40
Appendix B: Survey and Results
1. How often do you travel to areas in and around the Great Smokey Mountains?
#...
UGo Tour 41
5. Would you want to be able to share your travels on the app with social media?
# Answer Response %
1 Yes 48 ...
UGo Tour 42
10. What places do you visit the most in the area?
# Answer Response %
1
Outdoors
(waterfalls,
rafting, hiking...
UGo Tour 43
Appendix C: IBIS World Reports
Upcoming SlideShare
Loading in …5
×

UGo Tour Client Report Final

1,340 views

Published on

  • If only we knew about this 10 years ago! I wasted a ton of money on garbage 'stop snoring' products like mouth guards, throat sprays, lozenges and nasal strips, to name just a few! None of them worked. My doctor explained to me that the only way I was going to fix my snoring was with an operation, although he did say it was a last resort. I am so glad I didn't risk it because after finding your program my snoring has considerably decreased! If only I knew about this 10 years ago! ★★★ http://t.cn/AigiN2V1
       Reply 
    Are you sure you want to  Yes  No
    Your message goes here
  • Increasing Sex Drive And Getting Harder Erections, Naturally ◆◆◆ https://bit.ly/30G1ZO1
       Reply 
    Are you sure you want to  Yes  No
    Your message goes here
  • Be the first to like this

UGo Tour Client Report Final

  1. 1. UGo Tour Client Report By: Mariah Fleming, Terrence Green & Grant Withrow
  2. 2. UGo Tour 2 Table of Contents EXECUTIVE SUMMARY ........................................................................................................................3 CLIENT PROFILE ...................................................................................................................................4 SITUATIONAL ANALYSIS....................................................................................................................14 MARKET ANALYSIS.............................................................................................................................23 RECOMMENDATIONS .........................................................................................................................31 SOCIAL MEDIA.....................................................................................................................................31 SOCIAL ADOPTION..............................................................................................................................34 APP ADOPTION.....................................................................................................................................36 SURVEY RESULTS...............................................................................................................................................37 APPENDIX A (SOURCES)...................................................................................................................................39 APPENDIX B (SURVEY)......................................................................................................................................40 APPENDIX C (IBIS WORLD REPORTS)..........................................................................................................43
  3. 3. UGo Tour 3 Executive Summary UGo Tour is a tour guide app based in the Western North Carolina and Great Smokey Mountain areas. UGo Tour works with the Department of Transportation and National Park Services to create the unique and personalized tours that are offered within the app. Through this 2.0 version of UGo Tour, the owner has done extensive research and our team has added to the pool of information by conducting survey’s and by adding our millennial knowledge of the app world and social media tendencies. UGo Tour is affected by technological, political, economic and social factors. Our team investigated these factors and described exactly how these factors will impact the success of UGo Tour. UGo Tour was also compared to competitors identified by both the creator and our team. The Porter’s Five exhibited a favorable outlook for the new launch of UGo Tour. To assure the success of UGo Tour 2.0, the marketing plan consists of four parts, the social media recommendation, social adoption, app adoption and survey results. The social media portions discuss how and when users view, tweet, and upload data onto Facebook, Instagram, and Twitter. This will help those at UGo Tour to know when the app will get the most attention and publicity on other social outlets. Finally, at the end of the report our team has included the survey conducted, along with the results in their entirety. The IBIS World Report for Sightseeing Transportation in the United States is included as is the IBIS World Report for Tour Operators. Our team saw fit to include both so as to better encompass what UGo Tour is all about.
  4. 4. UGo Tour 4 Client Profile UGo Tour The goal of the platform is to present small businesses and municipalities with a venue to tell stories of their history and heritage in an interactive and engaging manner.
  5. 5. UGo Tour 5 Table of Contents COMPANY OVERVIEW………………………………………………………………………………..……….6 KEY FACTS .............................................................................................................................................8 BUSINESS DESCRIPTION.......................................................................................................................8 HISTORY .................................................................................................................................................9 KEY EMPLOYEES...................................................................................................................................9 MAJOR PRODUCTS & SERVICES .......................................................................................................10 CUSTOMERS .........................................................................................................................................13 COMPETITION .....................................................................................................................................13
  6. 6. UGo Tour 6 Company Overview: E-Commerce Business Solutions (eCBiz Solutions) is a web development and consulting company. Paul Hedgecock is the President and Founder of E-Commerce Solutions, which is established as an LLC S- Corporation and operates out of Asheville, North Carolina. E-Commerce offers a variety of services including gaining visibility to retailers such as eBay and Amazon as well as web development services such as web design and software applications. Currently the company is redesigning the UGo Tour application. This product is for visitors to the Western North Carolina Region. It allows users to download a custom hike or trail. Completing the application is the primary goal of E-Commerce Business Solutions as opposed to other services that are provided. This application is still in the late alpha and early beta stages. The company plans to launch the application in March on the iOS and Android markets. However before this is accomplished, Mr. Hedgecock wants to emphasize smaller and less renowned areas as well as small businesses. UGo Tour cost for tour development is approximately $11, 400 and it takes 165 hours to complete. Below is a chart detailing the expenses incurred in creating UGo Tour tours.
  7. 7. UGo Tour 7 GOAL: Determine total cost to develop each individual tour Line Item Talent Required? Total Hours Hourly Cost Total Cost BUILD: Tour Curation (adapting from existing material) Writing 24 $25.00 $600.00 BUILD: Tour Curation (create tour from scratch) Writing 36 $25.00 $900.00 BUILD: Curation Approval Project Management 10 $100.00 $1,000.00 BUILD: OnSite Visit #1 Tour Curator 10 $30.00 $300.00 BUILD: OnSite Visit #2 Tour Curator 10 $30.00 $300.00 BUILD: OnSite Visit #3 Tour Curator 10 $30.00 $300.00 BUILD: Photography / asset development Photography 12 $75.00 $900.00 BUILD: Narration Voice Talent 3 $400.00 $1,200.00 BUILD: Data Entry Tour Curator 6 $30.00 $180.00 PLATFORM: Costs related to platform development Web Development Fixed N/A $2,000.00 MARKETING: Tour Promotion Kit Creative direction, etc. Fixed N/A $1,000.00 SALES COST ALLOCATION: Sales Team 20 $100.00 $2,000.00 MAINTENANCE: Updates and tour content adjustments Tour Curator 24 $30.00 $720.00 TOTAL COST FOR TOUR DEVELOPMENT 165 $11,400.00 Talent By Hour Writing 60 Tour Curator 60 Project Management 10 Photography 12 Voice Talent 3 Sales Team 20 TOTAL HOURS 165 Balance Checks Out? TRUE
  8. 8. UGo Tour 8 Key Facts Company: E-Commerce Business Solutions UGo Tour App and Website Location: 15 W. Walnut Street #202 Phone: (828) 390-3751 Website: Facebook: http://ecbizsolutions.com https://www.facebook.com/ecbizsolutions?ref=hl Email: paul@ecbizsolutions.com paul@ugotour.com Hours of Operation: Monday to Friday 9:00 AM-5:00 PM Industry: Electronic Commerce, Web Development, Tourism Legal Structure: LLC S-Corp Business Description: E-Commerce Solutions is located on 15 W. Walnut Street #202 in Asheville NC in downtown. The company was established in 2014. Paul Hedgecock is the President and Founder of the company. The company has two partners, Paul Hedgecock and Andrew Cerillo. Mr. Cerillo was a former Vice President of Goldman Sachs who left in order to become a partner with Mr. Hedgecock to work on this business. The company has many primary areas of focus that they focus the business on. Some of the services the company specializes in include increasing a company’s presence over the Internet especially to large online retailers such as eBay and Amazon, and increase market share. The development side of the business includes website design, eCommerce, eBay solutions, custom web applications, SEO/SEM/Social Media Marketing, network security, and software application development. The signature product that E-Commerce Business Solutions offers is the UGo Tour application. The purpose of this product is to “redefine the tourism experience by making professionally generated,
  9. 9. UGo Tour 9 localized content accessible through a consistent mobile interface”. This will be accomplished by combining rich content with consistent functionally during the course of a trip through the Smokey Mountains of North Carolina. History: The UGo Tour app first started up about two years ago. Mr. Hedgecock and his team purchased the app to provide planned out tour guides for the Western North Carolina Mountain Region. Due to unexpected problems during the onset of the project, the first run at the UGo Tour app failed. Mr. Hedgecock and his team were confident in their purchase and are now revamping the UGo Tour app 2.0, which is currently in the final stages of development. To be able to fund this project, Mr. Hedgecock and his business partner received donations from several sponsors. Sponsors donated anywhere from $5,000 to $50,000 individually. Key Employees: Paul Hedgecock: President and CEO of UGo Tour. Mr. Paul Hedgecock lives and works out of Asheville, NC. Paul is an entrepreneur who has worked in several places across the United States Mr. Hedgecock is also the President and founder of E-Commerce Business Solutions. Andrew Cerillo: CEO of E-Commerce Business Solutions. Mr. Cerillo comes from a financial background where he worked for 13 years prior to joining Mr. Hedgecock in Asheville. Mr. Cerillo previously worked at Goldman Sachs serving as the Vice President. Daniel Hensley: Mr. Hensley is the software engineer at E-Commerce Business Solutions as the lead software developer. Mr. Hensley manages the cloud infrastructure and Linux machines at the company.
  10. 10. UGo Tour 10 Major Products and Services: UGo Tour: This app is the major focal point for Mr. Hedgecock and his partner Mr. Cerillo. The app will provide a free and engaging experience for its users. By partnering with the North Carolina Department of Transportation (NCDOT) as well as the NC Scenic Byways Division of the NCDOT, UGo Tour has an exclusive advantage in possessing the most scenic and interactive tours. Using rich content, HD video, and GPS integration, all these components are integrated to take travelers and tourists on adventure throughout the Western North Carolina Region. UGo Tour is already the Official and Travel and Tour Guide app for Western North Carolina Blue Ridge Mountains. Sponsors included for UGo Tour are the Blue Ridge National Heritage Area and Smoky Mountain Host. The solution that UGo Tour has developed is to become Platform-based (many tours, one experience), make localized content accessible (enhance and engage, not dominate or distract), and elevate the tourism experience by using Flex Tours, where one would be able to start a tour either at the beginning, middle, or somewhere near the end and Tour-hopping where a user could move from tour to tour based on where they want to go, allowing for spontaneity.
  11. 11. UGo Tour 11 Personalization: Users of the app will be given the opportunity to load or add their own stops on tours. Users can choose from different locales when they get to certain stops along the way. In Dillsboro they could choose between the Chocolate Factory and the Christmas Shop or both!
  12. 12. UGo Tour 12 Reward System: In the app there will be a sort of point system that will reward users with trophies at the end of their tours. This will give incentive to those competitive and acclamation seeking tour junkies. Sharing: The app also allows for the user to share their experience and tours on several social media outlets. Sharing on Facebook, Twitter and Instagram will be options for users upon completion of a tour.
  13. 13. UGo Tour 13 Customers: The main customers for this app would be the locals of Western Carolina area or anybody who is new to the area and trying to find tourism. With this app customers would be able to find the different historical and tourist locations in the Great Smokey Mountain area. This app would also help local shops and restaurants around this area to bring in more customers to their business by advertising locations in that area. With a local business not getting much advertisement, the UGoTour app will help them with that. Competition: UGoTour competitors consist of other mobile tour guides. The competitors of UGoTour however are not based on one or two local areas and there apps are spread out around the world. Listed are 5 different mobile tour guide apps. The apps are broken down into categories of price, service, and location. Competitors Price Service Location Quality TourPal Free app Users pay, worldwide footprint, audio tour without navigation Asheville, NC 1 of 5 stars on the App Store. Poor. Stray Boots Free app users pay, North America footprint, crowd-sourced content New York, New York 4.5 of 5 stars on the App Store. Great. Pocket Guide Free app Users pay, worldwide footprint, local sourced content, 1 app for 1 city Hungary No reviews found. MyTours 1495/year or 145 per month Users pays, offers licensing of the app as stand alone product.use New Zealand No reviews found. Field Trip Free app Information feed based on location, push notifications, free app Everywhere 3 of 5 stars on the App Store. Moderate.
  14. 14. UGo Tour 14 Situational Analysis Table of Contents SUMMARY.............................................................................................................................................................15 ENVIRONMENTAL FACTORS..........................................................................................................................16 INDUSTRY ANALYSIS ........................................................................................................................................18 MARKET ANALYSIS ..........................................................................................................................................23 COMPETITIVE BENCHMARKING..................................................................................................................26 VALUE CHAIN ANALYSIS.................................................................................................................................29
  15. 15. UGo Tour 15 Summary The Situational Analysis for the UGo Tour app compiled by the members of Team 9 consists of market research conducted on tourism in the form of mobile apps. The information following includes environmental factors; a Porter’s Five, a value chain analysis, and a S.W.O.T. analysis as well as market trends. The goal of this situational analysis is to gauge the potential success of UGo Tour in the tour app industry.
  16. 16. UGo Tour 16 Environmental Factors This section is used to discuss the economic, social, political and technological factors affecting the UGo Tour app and how the creators will have to adapt to those factors. Within the following text is data and information on the growth and impact these factors have had on applications similar to the UGo Tour app. Economic With the US economy on an upward slope, people will be returning to old habits and doing more traveling than they have in recent years. During the peak travel months last year, between 3 and 4 million people traveled throughout the United States.1 With gas prices on the low, people will again be more willing to jump in the car and go on a road trip. From 2013 to 2014 travel to attractions statewide increased by over 16%. Travel to State Parks increased by over 13% 2 . With these trends, the economy looks good for the UGo Tour to launch in the near future. Social Ever since the development of the smart phone, more and more apps have been added to the app store at a quick rate. The problem seems to be in their staying power. Research shows that only 20% of the apps submitted to the app store are considered to be successful.3 This means only 299,390 apps out of 1,601,413 last and bring in revenue. With this second step into the market, UGo Tour is more prepared and ready for the challenges it will face in the marketing of the app. 1 “Monthly Departures to International Destinations.” Monthly Departures to International Destinations. U.S. Department of Commerce, 20 Feb. 2015. Web. 16 Mar. 2015. 2 “Travel Tracker.” Travel Tracker. North Carolina Department of Commerce. 2015. Web. 16 Mar. 2015. 3 P. Hedgecock, personal communication, February 3, 2015.
  17. 17. UGo Tour 17 Political The Federal Trade Commission (FTC) has regulations regarding the making and marketing of apps. Truthful Advertising and Privacy are the main issues to consider. Things such as disclosing key information and keeping your user data secure are some of the points highlighted by the FTC.4 Making sure that the apps are properly licensed and keeping up with the regulations set forth are the most pressing political factors. Technological Advances in technology will factor in to the capabilities and marketability of the app. Technology has and continues to make advances which will impact the way that the app is used and will need to be updated as the Apple and Android phones update. The thousands of apps that are created and put in the app stores make for stiff competition and difficulty for the UGo Tour app. After years in development, the UGo Tour creators are now prepared and have solutions to the past problems. 4 “Marketing Your Mobile App: Get It Right from the Start.” Marketing Your Mobile App: Get it Right from the Start. Federal Trade Commission, Apr. 2013. Web. 16 Mar. 2015.
  18. 18. UGo Tour 18 Industry Analysis The graph below shows the correlation between resident’s income and the trips that those residents take. The graph displays that the more money people make the more they are willing to travel. This spike in travel will continue to increase every year as long as the economy continues to improve, which will help to make the app successful both when it debuts and in the future. x 5 5 "Industry Reports." Market Research Reports. IBIS World, n.d. Web. 09 Apr. 2015.
  19. 19. UGo Tour 19 6 Products and Services Segmentation This graph above illustrates how most people go on tours. The data from the graph shows that most people travel in a vehicle when they travel on tours, leading to the believe that UGO Tour should focus on tours where travelers can experience the Great Smokey Mountains from the seat of a car. 6 "Industry Reports." Market Research Reports. IBIS World, n.d. Web. 09 Apr. 2015.
  20. 20. UGo Tour 20 7 Major market segmentation The data in the above graph indicates that the majority of those that are traveling are between 18 and 50, followed by the group of adults ages 50 to 65. UGo Tour will need to focus on those two segments of travelers and the things those individuals look for in a tour experience.         7 "Industry Reports." Market Research Reports. IBIS World, n.d. Web. 09 Apr. 2015.
  21. 21. UGo Tour 21 Tourism's     Economic  Impact  on  Western  North  Carolina,   2012     This shows all the counties in Western Carolina and how much tourists spent in them in 2012. This is very helpful for the company because it shows the counties that had the most profit from tourists and how much taxes were generated from the tourist’s spending. With this chart the company can target the counties that spend the most. County  in   Western  NC     Tourist   Spending  in   the  County   ($  Millions)     %  Change  in   tourist   spending   2012  over   2011     Worker   Paychecks   Generated   by  Tourism   ($  Millions)     Direct  Jobs   Generated   by  Tourism     NC  State   Taxes   Generated   by  Tourism   ($  Millions)     Local   County   Taxes   Generated   by  Tourism   ($  Millions     Alleghany   Co.     $21.94     1.5%     $3.78     180     $1.02     $1.42     Ashe  Co.     $46.55     2.7%     $6.58     370     $2.34     $2.45     Avery  Co.     $103.73     5.4%     $22.78     1,190     $5.08     $4.46     Buncombe   Co.     $834.24     6.5%     $174.71     9,360     $41.59     $27.41     Burke  Co.     $80.46     2.5%     $11.21     620     $4.36     $2.26     Caldwell  Co.     $46.54     3.8%     $6.72     330     $2.47     $1.40     Cherokee   Co.     $35.33     4.2%     $5.17     290     $1.64     $2.07     Clay  Co.     $12.29     5.5%     $1.29     60     $0.50     $1.32     Cleveland   Co.     $92.44     4.8%     $12.81     650     $5.28     $1.57     Graham  Co.     $24.84     4.7%     $4.12     260     $1.14     $1.59     Haywood   Co.     $126.35     4.9%     $23.71     1,310     $6.35     $5.04     Henderson   Co.     $218.44     4.3%     $37.81     1,960     $9.72     $9.42     Jackson  Co.     $69.55     4.1%     $11.04     580     $3.07     $5.31     Macon  Co.     $135.76     7.6%     $22.63     1,150     $5.97     $10.72     Madison   Co.     $32.22     5.3%     $6.01     310     $1.62     $1.44     McDowell   Co.     $49.06     3.2%     $7.05     390     $2.52     $1.73     Mitchell  Co.     $20.96     2.3%     $3.06     160     $0.90     $0.88     Polk  Co.     $22.63     4.0%     $3.11     170     $1.15     $1.24     Rutherford   Co.     $149.69     5.6%     $20.39     1,150     $8.66     $4.36     Surry  Co.     $107.06     4.4%     $14.92     770     $5.78     $2.23    
  22. 22. UGo Tour 22 Swain  Co.     $293.06     4.5%     $79.75     3,340     $16.73     $6.12     Transylvani a  Co.     $80.92     4.7%     $14.08     720     $3.07     $3.63     Watauga   Co.     $210.99     6.8%     $44.71     2,490     $10.33     $8.08     Wilkes  Co.     $63.55     2.0%     $8.95     490     $3.06     $1.51     Yadkin  Co.     $32.38     3.4%     $5.34     320     $1.70     $0.77     Yancey  Co.     $31.69     2.1%     $4.94     230     $1.39     $2.20     8 8 “The Economic Impact of Travel on North Carolina Counties, 2012.” This study was prepared for the North Carolina Division of Tourism, Film, and Sports Development by the U.S. Travel Assosication.
  23. 23. UGo Tour 23 Market Analysis Porter’s Five Porter’s 5 Forces is a scale that is used to determine the favorability and competitiveness within a market. Based on eight different factors, there is a total score and an average that gives a sense of how the company stacks against the competition in its particular industry. The more favorable, the better the likelihood there is that it will stay afloat and prosper among its competition. Using the five factors, it was determined that the company has the potential, given they separate themselves through product differentiation, to prosper in the app industry. The chart provided below indicates how UGo Tour stands currently. Market Analysis Chart With a total score of 44 and an average of 5.5, it can be concluded that UGoTour is somewhat favorable in the market analysis. While there is room for potential and growth in this market, the largest threats to UGoTour are the amount of competitors (the amount of substitutes), and fragmented customers. Since UGoTour is only limited to the Western North Carolina Region, it excludes all PORTER'S FIVE MARKET ANAYLSIS Company Name: E-Commerce Business Solutions, LLC RATING 10-1 (FAVORABLE TO UNFAVORABLE) FEW COMPETITORS 7 PRICE-BASED COMPETITORS 3 LOW ENTRY BARRIERS 5 FEW NEW ENTRANTS 4 FEW SUBSTITUTES 8 MANY CUSTOMERS 7 FRAGEMENTED CUSTOMERS 9 FEW SUPPLIERS 4 TOTAL SCORE 44 AVERAGE 5.5
  24. 24. UGo Tour 24 potential customers that may be in the near or surrounding areas. Although UGo Tour only has a 5.5 average, the company will conduct a Quadratic Survey which will be provided in order to understand the market better. Barriers to Entry Checklist Level Competition High Concentration Low Life Style Stage Mature Capital Intensity Medium Technology Change Medium Regulation & Policy Medium Barriers to Entry Barriers to entry in the Sightseeing Industry are moderate with the exception of concentration, which is rated low, and competition which is rated high. Everything else scored either a medium or mature level. Competition is vast in this industry since sightseeing depends on the current location, which overall determines the relevance of the application being used by the consumer. The technology that is used to amplify the tourism experience is quite young. The company is still in the production stages of completing the UGo Tour app. This can been seen as an advantage, since the company can compare the current status of the product in relation to that of their competitors.
  25. 25. UGo Tour 25 Strengths 1. App is free 2. Can share with friends and family 3. Easy to navigate Weakness 1. Difficult to manage, market, and maintain app 2. High development cost 3. 20% of all apps are considered successful 4. High maintenance cost 5. Limited only in the Western Carolina area Opportunity 1. Not all apps are free 2. App could help get local business exposure 3. App could expand to be a worldwide app Threats 1. Other apps could become free 2. High development cost 3. High maintenance cost 4. Doesn’t get marketed well 5.Other apps could expand before our app
  26. 26. UGo Tour 26 COMPETITIVE BENCHMARKING Critical Success9 1. COMPANY NAME: 2. COMPANY NAME: 3. COMPANY NAME: 4. COMPANY NAME: Factors (1-5) UGo Tour Chimani Great Smokey Mountains National Park Official Great Smokey National Park Visit Gatlinburg Tennessee Profit 1 3 5 3 Labor 4 4 5 4 Purchases 3 1 5 4 Rent and Utilities 2 2 4 5 Depreciation 1 2 3 3 AVG 2.2 2.4 4.4 3.8 STRENGTH - Free app - Free app, already available - Doesn’t require a cellular signal to work - Works on all Apple devices WEAKNESS - Still in development stages - Requires internet connection (Wi- Fi or Cellular) - Too expansive, hard to navigate - Limited to only Gatlinburg Tennessee - - - - *Based on IBIS World or other databases; or, a survey of the client’s customers; or, from the client Competitive benching is another tool that evaluates the factors, strengths, and weaknesses of a company. They take the five most important factors that are the most common in the industry and are given a score between one through five, then averaged out. This is according to IBIS World, which include profit, labor, purchases, rent and utilities, and depreciation. The table above displays these factors, strengths, and weaknesses of each and how they compare to the competition.
  27. 27. UGo Tour 27 Chimani Great Smokey Mountains National Parks This was among the weakest out of all the competitors. Their main focus is just the Great Smokey Mountains. While the app is self sufficient, its lacks any sort of content of local attractions or tourism spots that UGo Tour wants to utilize in their tourism experience. It is very straightforward with little room for a customized experience for the user. Official Great Smokey National Park Similar to the Chimani Great Smokey National Pars app, they only focus on the Smokey Mountains as well. They are more diversified in the sense that you can actually donate, volunteer, or partner with the park. However their application is very dependent on having an internet connection to work, which if often impossible to have in the wilderness. Visit Gatlinburg Tennessee This competitor is the most similar to the UGo Tour app. However, it is limited to Gatlinburg, Tennessee instead of the entire Western North Carolina Region. It does not focus on tours necessarily, but rather the actual town itself instead of outdoor parks, trails etc. The app is difficult to navigate due to the expansive content and lack of variety that it could be potentially used for. That is the target market the UGo Tour app is trying to solve.
  28. 28. UGo Tour 28 Key Success Factors IBIS World identifies 250 Key Success Factors for a business. The most important for this industry are: Proximity to key markets: Operators need to be located near sights of interest, arriving and departing from places that are convenient for customers. Ability to pass on cost increases: Fuel costs can be a volatile component of a company's cost structure, and operators need to adapt their prices in order to remain profitable during periods of high fuel costs. Having a good reputation: Operators in this industry often obtain customers via word of mouth. Additionally, the advent of the Internet as a research and booking tool for prospective customers has spawned websites that offer reviews of sightseeing services from past customers. Ability to effectively communicate: Operators require a strong knowledge of the geographical areas in which they operate, and the capacity to inform and entertain customers during trips.
  29. 29. UGo Tour 29 Value Chain Analysis A value chain analysis is used to determine what a company does that makes their product or service valuable in the eyes of their customers. The expertise and determination of the developers behind the UGo Tour app are what will make this app valuable to customers of the app. A valuable source for the UGo Tour app is the two men behind the app. Paul Hedgecock is the President and founder of E-Commerce Business Solutions, the company behind the UGo Tour app. Mr. Hedgecock has put in many hours fixing and fine tuning the intricacies in the app to assure that it will be a success with its users. The Chief Executive Officer of E-Commerce Business Solutions, Andrew Cerillo has the experience to in management consulting to help this project move along. Mr. Cerillo has previously worked with big names such as Goldman Sachs and Diamond Management & Technology. The biggest advantage that UGo Tour app has to help them be successful is the amount of research and development that has been put into the 2.0 version. Mr. Hedgecock has looked into the many different services and venues that will be able to make the app desirable. By partnering with the Department of Transportation the company has tapped into an unending amount of information and resources on the many possible routes and tour stops along the Great Smoky Mountains. With demographics on the success rate of apps among Apple and Android users as well as developments into new versions, the men behind UGo Tour are more prepared than ever. Finally, a great source of value for the UGo Tour app is the ability for users to share their adventures and outings on social media. The use of social media today is one of the most important parts of peoples lives. Whether its Facebook, Twitter, Instagram or all three, people want to share what they’re doing and
  30. 30. UGo Tour 30 where they’re going. By UGo Tour having this capability, users will be more likely to pick the app over other similar apps. General Administration: App development and consulting Human Resource Management: To be determined Systems Development: Platform-based, Flex tours, Tour Hopping Procurement: Invest in consistent user interface, make localized content accessible, elevate tourism experience Inbound Logistics: Reviews and rankings of tours. Operations: Updating and maintaining tours. Outbound Logistics: Adding or taking away stops on tours. Marketing and Sales: Paid components of the app. Quick response codes. Services: Providing quality tours and travel experiences.
  31. 31. UGo Tour 31 Recommendations Social Media There is no one specific form of social media that can be defined as the “best” platform for promoting the UGo Tour app because, the “best” platform depends on the demographic. The younger generations will be more inclined to post on Twitter and Instagram and though they will likely use Facebook it is the older generations that would use Facebook as a first and only form of social media. Also, no two social media sites are the same, therefore they can all be utilized differently in becoming effective marketing tools. According to Simply Measured, which is a social analytical site that projects and evaluates all of a company’s social activities. Some of the features included are audience insight, content and campaign performance, as well as brand and hashtag monitoring. Simply Measured also includes free guides, a demo, and a free trail to get this information. The chart below describes the top eight social media platforms and where they are each the most advantageous.
  32. 32. UGo Tour 32 Form of Social Media Who Uses It What to Share Post Frequency Useful Tools Twitter Everyone Start, join and lead conversations. Interact directly with brands and customers. Multiple times per day. Buffer. Instagram Lifestyle, food, fashion, personalities and luxury brands. Share visual content, including short videos (less than 15 seconds). One a day. Hashtag, Facebook, Tumblr, Twitter. LinkedIn Businesses; recruiters and job seekers. Job-postings, company descriptions, employer/employee research. Two to four times a week. Google search. Facebook Everyone. All types of online content, events, ads. Once or twice a day. Bitly. Google+ Brands already on the other major social networks;B2B network bloggers. More formal and professional than Facebook; Hashtags have major search value. Once or twice a day. Google Authorship. YouTube Brands with video content and ads, anyone giving explanations or sharing expertise. Short (less than 1.5 minutes) video content. Once or twice a week. Subscription Widget/Link. Pinterest Fashion, food, design, travel and anything DIY; audience skews female by 4:1. Creative, visual content. Multiple times per day. Attribute pins. Yelp/Foursquare B2C companies, brick-and-mortar outlets (especially stores, restaurants, and travel/tourism related), reviewers and bloggers. Location-based business search and review. Weekly. Blog or personal website.
  33. 33. UGo Tour 33 Facebook In terms of reaching out to the greatest number of customers at once, Facebook and Twitter are the two strongest platforms to utilize at this point. Facebook has an estimated 1.2 billion users (more than any other social media website). Facebook is the best for sharing content such as events, ads, and promotional material. Also, when a user likes a Facebook page, others are more likely to see it while scrolling through news feeds. Using Facebook will allow UGo Tour to track where their heaviest traffic is coming from (age range, region, time of day etc.) 10 Twitter Twitter is the second best form of social media, next to Facebook. It estimates at 310 million active users. Anybody can use Twitter, and it has the best personal interaction with customers. With Twitter, UGo Tour can personally send private messages to users or reply to them in a public tweet if they desire. The single greatest advantage that Twitter has above over all social media is that, due to the high amount of traffic, it’s easiest to tweet multiple times a day and often times users will tweet several times within a 24 hour period.11 Instagram Instagram is becoming one of the most widely used social media platforms in the last couple of years. They fall right behind Twitter at 300 million active users. When somebody posts a picture or a video to Instagram, it can be shared on other social media platforms as well. Instagram is a great tool for users to upload their tour experience with a picture or video that lasts up to 15 seconds. In addition with the hashtag feature, similar to Twitter, Instagram users can also search for others who are using the UGo Tour app. A user can also link their social media accounts including Facebook, Twitter, and Tumblr. By posting a single picture or video, the post will be sent to all these forms of social media.12 10 “Top 15 Most Popular Social Networking Sites” March 2015. EBiz. Web. 20 Apr. 2015. 11 “Top 15 Most Popular Social Networking Sites” March 2015. EBiz. Web. 20 Apr. 2015. 12 "130+ Amazing Instagram Statistics (April 2015)." DMR. N.p., 06 Mar. 2014. Web. 20 Apr. 2015.
  34. 34. UGo Tour 34 Social Adoption People get on social media at different times of day. This is something that could be very beneficial to the UGo Tour app. You want to be able to promote the business when people are on social media the most. Studies have shown that people share the most on Facebook around 9AM-11AM and 12PM, Twitter was 10 AM-12PM, LinkedIn was 10AM and 2PM, and Pinterest was 3PM and 8PM. This shows that people usually share and post status/tweets in the morning when they are on their way to work or just getting up in the morning. People are more likely to get on Pinterest at night after work to share and post. Facebook Twitter LinkedIn Pinterest Shares 9AM-11AM, 12PM 10AM-12PM 10AM, 2PM 3PM, 8PM Clicks 3PM-5PM 3PM-5PM 1PM-2PM 8PM-10PM 13 Studies have also found that there are days of the week that people are more likely to share and post than others. Facebook users posted and shared more on Thursdays at 9AM-12PM than any other day. Twitter users posted and shared more on Fridays at 2PM-3PM than any other day. LinkedIn users posted and shared more on Tuesdays at 10AM-11AM than any other day. Pinterest users posted and shared more on Wednesdays at 1PM-2PM than any other day. This helps UGo Tour understand what days are best to share information about the app and what days people will be frequently using social media to share new ideas. 13 www.addthis.com
  35. 35. UGo Tour 35
  36. 36. UGo Tour 36 App Adoption The following chart shows how people come about an app and how that influences consumers to purchase or download the app for free. 14 14 European Technographics Consumer Technology Online Survey, Q4 2012.
  37. 37. UGo Tour 37 Though the data is from a survey given in 2012 the information is still relevant in that today people are still influenced by the same things. With the information from the data, it is likely that people are downloading these apps before they will ever use them. They see that someone whose opinion they value likes the app and the customer then downloads the app with the idea that one day it will be helpful to the customer. In the article this chart derived from, the author notes that advertisements and the media only influence less than 7% of those who download apps in what they download.15 They best an app can do is to have a positive and prominent presence on the App Store. The article listed the top four influencers of app downloads to be browsing, recommendations from friends, social networks and online browsing. This makes it ever more important for UGo Tour to be seen on Facebook, Twitter, Instagram and to be endorsed by other customers. Survey Results In a survey distributed to individuals between the ages of 21 and mid to early fifties, the findings were the following: When asked how often they travel to the Western North Carolina or Great Smokey Mountain area, half of the respondents said they visited the area two to three times a year or more. Fifty- seven of the sixty-three people surveyed said that they would use an app like the UGo Tour app. People surveyed however, were overwhelmingly unlikely to purchase items such as a QR scanner but they would use them if the option to use the add-on were free. Those surveyed would want to know more about a particular site if it were to have a historical significance, but again they wouldn’t want to pay for the extra information. If UGo Tour was to have additional features for purchase, surveyors valued them at no more than 99 cents. Most of the survey participants visit Asheville, Boone, or Cherokee and they spend their time doing some sort of outdoor activity and not in shops or restaurants. Finally, the majority 15 Froment, Etienne. "Why Do People Download Your App?" Apptweak. AppTweak, 24 May 2013. Web. 21 Apr. 2015. <https://www.apptweak.com/learn/why-do-people-download-your-app/>.
  38. 38. UGo Tour 38 of those surveyed visit the Great Smokey Mountain area in the Spring/Summer months or in the Fall. Marketing to winter activities and places where there are little to know outdoor attractions would not be cost effective. Though people visit shops and restaurants while in the area, they are there for the hiking, biking, rafting, and scenic attractions. The majority of the survey participants were 30+ years old and so it is important to note that the data is skewed toward women and men out of school and in the work force. Many of whom have spouses and children. Overall our team recommends that this data be used not to eliminate aspects but to emphasize more promotion towards those that were the most popular.
  39. 39. UGo Tour 39 Appendix A: Sources European Technographics Consumer Technology Online Survey, Q4 2012. Froment, Etienne. "Why Do People Download Your App?" Apptweak. AppTweak, 24 May 2013. Web. 21 Apr. 2015. <https://www.apptweak.com/learn/why-do-people-download-your-app/>. "Industry Reports." Market Research Reports. IBIS World, n.d. Web. 09 Apr. 2015. “Marketing Your Mobile App: Get It Right from the Start.” Marketing Your Mobile App: Get it Right from the Start. Federal Trade Commission, Apr. 2013. Web. 16 Mar. 2015. “Monthly Departures to International Destinations.” Monthly Departures to International Destinations. U.S. Department of Commerce, 20 Feb. 2015. Web. 16 Mar. 2015. “P. Hedgecock, Personal Communication, February 3, 2015.” “The Economic Impact of Travel on North Carolina Counties, 2012.” This study was prepared for the North Carolina Division of Tourism, Film, and Sports Development by the U.S. Travel Assosication. “Top 15 Most Popular Social Networking Sites” March 2015. EBiz. Web. 20 Apr. 2015 “Travel Tracker.” Travel Tracker. North Carolina Department of Commerce. 2015. Web. 16 Mar. 2015. "130+ Amazing Instagram Statistics (April 2015)." DMR. N.p., 06 Mar. 2014. Web. 20 Apr. 2015.
  40. 40. UGo Tour 40 Appendix B: Survey and Results 1. How often do you travel to areas in and around the Great Smokey Mountains? # Answer Response % 1 Never 7 11% 2 Less than Once a Month 10 16% 3 Once a Month 8 13% 4 More than 2-3 Times a Year 17 27% 5 Once a Year 8 13% 6 2-3 Times a Year 13 21% Total 63 100% 2. Would you use an app designed to give you tours of different places in the area? # Answer Response % 1 Yes 57 90% 2 No 6 10% Total 63 100% 3. Would you pay for extra features in the app that provided more information about sites with historical significance? # Answer Response % 1 Yes 19 30% 2 No 44 70% Total 63 100% 4. What do you think the value of the feature would be? # Answer Response % 1 .99 41 68% 2 1.99 17 28% 3 2.99 2 3% Total 60 100%
  41. 41. UGo Tour 41 5. Would you want to be able to share your travels on the app with social media? # Answer Response % 1 Yes 48 76% 2 No 15 24% Total 63 100% 6. Would you use a Quick Response Scan found at locations to learn more about where you are? # Answer Response % 1 Maybe 24 38% 2 Yes 33 52% 3 No 6 10% Total 63 100% 7. Would you like the option of creating your own tour of a certain spot? # Answer Response % 1 Depends 18 29% 2 Yes 31 49% 3 No 14 22% Total 63 100% 8. Where are your favorite places to visit in the Smokey Mountain/Western North Carolina area? # Answer Response % 1 Cashiers/Highlands 15 24% 2 Brevard 6 10% 3 Cherokee 31 49% 4 Pisgah National Forest 13 21% 5 Nantahala River/Area 16 25% 6 Gatlinburg 28 44% 7 Blue Ridge Parkway 38 60% 8 Asheville 38 60% 9 Boone 27 43% 9. What time of year do you visit the area? # Answer Response % 1 Spring/Summer 34 54% 2 Winter 1 2% 3 Fall 28 44% Total 63 100%
  42. 42. UGo Tour 42 10. What places do you visit the most in the area? # Answer Response % 1 Outdoors (waterfalls, rafting, hiking, skiing, etc) 40 63% 2 Shops 31 49% 3 Restaurants 22 35%
  43. 43. UGo Tour 43 Appendix C: IBIS World Reports

×