4. Hong Kong Pivot
● Day 1: Began by seeking an international market with varying components:
o An economy with a high-net-worth upper class
o A culture that values and desires American private school education
● Day 1: Hong Kong makes sense because...
o We have contacts there
o There is a market demand for educational consultancy services
o It is distinct from a mainland Chinese market
5.
6. Psychology of Parents in Hong Kong
Iteration
● Day 1: Aware of the frenzied environment that has parents anxious,
desperate, and confused. Hypotheses:
o They feel the need to get their kids out of HK high school educational
market,
o but don’t know how to navigate American prep school admissions
processes,
o or what is valued by American admissions officers
● Day 2: Everything above confirmed, but…
o Anxiety begins earlier than middle school
o No shortage of consulting services for middle schoolers
o Parents are accustomed to spending >$40K/yr. on supplemental
education beginning in elementary, but don’t know how best to invest
7. 1st/2nd Grade Iteration
● Day 1: Initially intended to serve families with current 8th grade students,
targeting them for American prep schools the following year
o High market demand + limited services @ high premiums = fast and
reliable revenue stream with little overhead
● Day 3: Adjust product/market fit:
o Current market is saturated with consultants whose services begin at
about 5th grade--earlier than we intended, and later than families
prefer (confirmed $2B market)
o HK parent culture over-emphasizes academic prep. American prep
schools value well-rounded applicants. Developing kids takes time.
o High market demand + limited, extended services = maximized
customer lifetime valuation
8.
9. Middleman for Enrichment Service
Providers and Boarding Schools
● Day 1: We initially believed from professional experience that:
o Boarding schools admissions officers would be wary of middlemen
o That enrichment service providers (tutorial programs, music teachers,
sports coaches, etc.) would view us as unwanted competitors
● Day 3: What we learned from interviews with admissions people and
tutors, etc.:
o Schools are wary of unknown middlemen, but those with independent
school backgrounds, proven track records, and personal relationships
can provide a valuable service of ensuring uncorrupted documentation
from applicants in Hong Kong and can effectively communicate their
real intentions in the application process
o Enrichment service providers would value us as referring partners
10.
11. Fee Structure & Revenue Model Iteration
● Day 1: Revenue model and fee structure have been a primary question
from the start
o Ultra-premium fee for a guaranteed acceptance to a top tier boarding
school
o Annual Subscription model with extra fee for admission in 7th grade
o A la carte menu of services with associated fees
● Day 4: We learned that our customers value
o Choice in their suite of services and payment schedules
o So offering parallel structures along with added a la carte options was
most attractive
12. Day 1 Day 2 Day 3 Day 4
Here’s What We
Thought
There are parents in the
world who want their
kids to get into US
boarding school
Hong Kong Parents
would be willing to start
(and pay for) boarding
school prep at 1st/2nd
grade
Young Hong Kong parents with
young children have overwhelming
anxiety and massive paralysis of
choice when it comes to how to
best educate their child and prepare
for the future and would be willing to
pay for quality ease of mind and
more clear, guided channeling of
their resources.
The saturation of supplemental
education and enrichment services
in Hong Kong means that there is a
segment of qualified teachers and
companies who are struggling to
find clients or who lack the time and
resources to accurately assess
potential students, resulting in
preventable client-side and
classroom complications.
Here’s What We Did Interviewed parents Interviewed parents with
1st/2nd grade parents
Designed revenue models
and a rough suite of services
and asked parents about
deep concerns and anxieties
(some counselling included).
Interviewed a wide range of
supplemental enrichment services,
including life coaches and independent
tutors looking to make some money on
the side. Evaluated interest in a middle-
man service and in potential payment
models for said service.
Here’s What We
Found DUH
Still DUH. But realizing that
boarding school is still too
big picture at that age.
Parents have more
immediate anxieties and are
not being addressed in the
academic marketplace
Bingo. Not only a dead on
hypothesis re: customer segment
but interest in a wide range of
potential revenue, package and
service options and discovery of a
relatively new market. The
importance of a proprietary
diagnostic process reveals itself
Almost unexpectedly warm interest
in this idea. Especially with potential
language barriers, expensive
advertising fees and market
saturation, figuring out how to build
a customer base is frustrating and
time consuming beyond what a lot
of companies/individuals expected.
Here’s What We Did
Next
Zoomed in.
Granularized. Picked a
location. Located a
customer segment.
Refined interview questions.
What keeps you up at night
re: your child? Shifted
interview focus to young
parents of single children.
The other end of this market is the
organizations and individuals that
we would be acting as middle man
for. Cannot match make without a
match. Targeted a range of
supplemental enrichment services
for interviews for their interest in an
agency type service
Prepared this presentation.
But more importantly (?),
iteration. There is a clear
customer segment. The
challenge now is a definite
revenue structure.
13. Eddie the Musician (or Artist/Dancer/Robotics Enthusiast/Team Sports Program Coordinator/&c.)
Reasonably accomplished in his field
Currently offering tutoring services, but struggling to find customers
Salary: $20-30,000/yr. in tutoring fees
Demographics
· Male or Female
· 30-45 years old
· College educated or experience as
trade professional
Motivation
· Loves his/her craft
· Enjoys teaching
· Looking to expand his/her
business, but not beyond himself
· Coming to realize being a
professional teacher is more
feasible than being a professional
“musician”
Behavior
· Spends appx. 10 hours/week
tutoring
· Spends 20-30 hours/week
working in their field or practicing
their craft
“I’m looking for kids who will be steady
clients and can be serious about
practicing and learning my craft.”
Value Proposition
· Find regular and quality students
Differentiation
· We can incentivize the regularity
and seriousness of the students’
engagement by linking their
performance to their admissions
prospects
· We can get and keep students in a
vendor’s service
Evidence
· Interviews with HK vendors and
parents
Cost
· 10% of their regular rates
· Cost for parents are covered by
retainer
Risk
· Quality control
· Vendor disruption of our holistic
objectives (our value proposition
for parents)
The Kent Family
Want the best pedigree and education for their children
Dual-family income: $200,000+
Use words like, “Harvard, Yale, Princeton”
Demographics
· Bi-racial or full Chinese family
living in Hong Kong
· Dual-income family
· 2+ kids <10 years old
· College educated parents
Motivation
· Seeking to avoid a local education
for their children
· Already interested in the world’s
top colleges
· Wanting their kids to be and have
the best
Behavior
· Already spending or prepared to
spend $40,000+ on educational
consulting and enrichment
programs
· Lacking awareness of US private
school admissions standards
· Applying pressure to their children
to achieve
· Stress
“It seems it’s time to think about how my
child will be educated, but it can’t be here.
I don’t know where or how to start.”
Value Proposition
· Educate families about US
admissions practices, standards
and expectations
· Offer referrals to help develop well
rounded children
· Provide ongoing diagnostic and
evaluative reports
· Usher families and students
through the admissions process
Differentiation
· Services begin in 1st/2nd grade
· Services are holistically minded
· Services are long-term
Evidence
· Interviews with HK parents
Cost
· Annual retainer ($20K)
· A la carte supplements
· Admissions consulting in 8th grade
($60K, 50% paid in year 1,
balance paid annually)
Risk
· Attrition
· Limited control over admissions
decisions
15. Get Strategy
Existing Pipeline
Parents Vendors
Word of Mouth
“We’re Columbia Grads”
Expat Communities
Young
professionals
Client List
Peer Group
Schools
Diagnostic Vendor List
AccomplishmentsExperience
ExpertiseConnections
Churches
Int’l Schools
asiaexpat.com
Waiting Lists
Existing Pipeline
Word of Mouth
“We did Lean Launchpad”
Expat Communities
Business
Contacts
Existing
Partners
Peer Group
Schools
Diagnostic Student List
AccomplishmentsExperience
ExpertiseConnections
Churches
Int’l Schools
asiaexpat.com
Waiting Lists
Business
Model
Parent Profile
