This is a presentation presented at NEXT@SXSW to Steve Blank, Bob Dorf and other notable entrepreneurs. This presentation has been asked to be used as a template for customer discovery.

1. Milwaukee, WI
June 2012
MVP available on Android and iOS

2. Business Model Canvas 3.0

3. Experiments - How we test
Ask bar goers a set of questions that directly measure our
hypotheses:
Do you have problems getting your drinks at the bar?
On busy nights, how long do you feel you spend buying a round for your friends?
● What parts of getting the round do you hate?
Are you likely to use mobile payments at a bar?
Do you use mobile payments today? What do you like about them? What businesses do
you wish had a mobile payments option?
Would you order on your phone?
Do you currently use any mobile ordering apps (Grubhub)?
● If yes, explain your ideal ordering app at a bar, concert, dance club
● If no, why not?
Would you send drinks as gifts to friends?
Do you currently buy friends drinks on their birthday?
● What do you do if they live in a different city? Or you can't make it out that night?
● What do you think about facebook gifts?

4. Results - Revenue Model
Hypotheses pass/fail numbers
Owners are willing to pay for accepting mobile drink ordering - 60%
● $99/month
Owners are willing to pay for the full cost of their iPad - 65%
Owners are willing to pay a fee to send drinks out to customers - 50%
● $1 per drink
Owners are willing to pay for analytics about their customers - 20%
● $99/month
Results
3 Existing contracts on subscription model at $66/month
3 Prefer subscription
● $100, $50-200, $300-500
6 Prefer percentage of drink cost
● Must be competitive with other payment processors (4-5%, 7%)
Bar owners might actually consider paying percent of transactions, we ruled
that out because of MKE bars.

5. Results - Get Strategy (Bar Goers)
Hypotheses
Wants to place orders on their phone - 60%
Are interested in spending less time in line - 60%
Want to stop dealing with closing tabs - 60%
Will go to a bar if their friend sends them a free drink to that bar - 40%
Bar goers will send gifts to their friends on special occasions - 60%
Results
69% said they'd order on their phone
24% have issues getting their drink at the bar
81% would socially send drinks to friends
"I already get free drinks at the bars I go to because they know
me there, I'm a regular"

6. Results - Get Strategy (Bar Owners)
Hypotheses
Willing to adopt to a tool for accepting mobile orders - 45%
Bars are willing to have two active point of sales systems - 25%
Would be more likely to purchase if a competitor has purchased - 30%
Bars don't look for new outreach tools online - 60%
Bars don't actively look for ways to increase efficiency - 40%
Results
Bars are already giving out free drinks and special prices to regulars
Bars will pay to bring in customers to their bar
They already use a lot of marketing
● Social media (Facebook more than twitter)
● Promotions / Specials
Bars are always researching new ways to bring in customers
"Eye's Dilate" when we talk about social gifts
Close out process can take 1 - 2 hours (Tallying tips takes forever)
Bartenders have a pain point at the bar at close time, have to round everyone up.
1 Owner threw us out on premise

7. Next Steps
Next Steps
Talk to more owners/managers, ten is not enough to glean much useful information
More customer interviews, focus more on how mobile payments and gift drinks would
be used.
Ask more situational questions, broad questions may be inflating our "yesses"
Start interviewing bartenders/waitresses, their participation is integral to our success (A
bunch of key partners)

8. Channels
Bar Goers
Promotional Materials - In bar promotional items such as table tents and posters
Customer Support - Help ensure proper usage of the application
Internet - Social media outreach (word of mouth), facebook ads
Bars - Send free drinks to their customers
Goer to Goer - Sending gifts
App store
Paid marketing
Bar Owners
Direct sales - Make initial contact and help owners evaluate value props
Account Manager - Assist owners with management and promotions / campaigns
Bar Goers - Suggesting app

9. Customer Relationships
Bar Goers Bar Owners
Get Get
Convenience and In-person sales
gifts from friends Word of mouth
Keep Keep
Giving and Continuous patron usage
receiving social Events planned with bar
gifts
Grow
Grow Gift giving campaigns
Loyalty programs

10. Revenue Model
$67/month Percentage
Free Gifts of
transactions
Subscription
2.9% + $.30

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@Tappr_app
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