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A NIGHTLIFE SPACETHAT
DOESN’T SERVE ALCOHOL
HOW MIGHT WE BUILD
SF MARKET
TRIFECTA
1. Movers & Changers
2. Health & Wellness
3. Tech & Innovation
SPEAKEASY
WHO ARE WE?
OUR MISSION ISTO CREATE
EXCEPTIONAL HEALTHY
EXPERIENCESTHAT SUPPORT &
UPLIFTTHE CRAZY LIVES OF
THE BAY AREA’S GAME
CHANGERS.
we want to create experiences that inspire
the next generation of movers and shakers to
take care of themselves in order to ultimately
live that incredibly rich, vibrant fullling, no
sacrices life that we know we all can have.
MEET EMMA
INSPIRINGVITALITYTHROUGH
UNCOMPROMISING EXPERIENCES
BRAND PROMISE
EXCLUSIVITY
STEWARDSHIP
VITALITY
SOPHISTICATION
INTELLECT
BRAND PERSONALITY
integrating innovation &
inspiring conversations
like-minded people
we take care of you
health as a foundation
uncompromising experience
OUR JOURNEY
A NIGHTLIFE SPACETHAT
DOESN’T SERVE ALCOHOL
HOW MIGHT WE BUILD
SF MARKET
TRIFECTA
1. Movers & Changers
2. Health & Wellness
3. Tech & Innovation
HEALTH TO
EXPERIENCE
SHIFT IN MESSAGING
ALCOHOL FREE BARS REACH EARLY
ADOPTERS IN U.S. & SF BAY MARKET
innovators
2.5%
early adopters
13.5%
early majority
34%
late majority
34%
laggards
16%
Non-alcoholic venues have
started to pop up in urban areas,
but appear at a much lower
frequency than traditional bars,
clubs, or sports/music venues.
These options have only started to become popular and have not yet hit “main
street” in the U.S. or Bay Area.They need to cross the technology chasm.
ANN ARBOR, MI NOTTINGHAM, UK SAN FRANCISCO, CA NYC, SF, MULT. LOCATIONS
POSITIONING &
COMPETITIVE ANALYSIS
HIGH
EXCLUSIVITY
LOW
STEWARDSHIP
HIGH
STEWARDSHIP
LOW
EXCLUSIVITY
22 - 45
YEAR
OLDS
TARGET
DEMOGRAPHIC:
25 - 35
30 FORMAL
INTERVIEWS
200+ INFORMAL
INTERVIEWS
SF
NYC
LA
FOUNDERS
CEOS
ATHLETES
BANKERS
VENTURE CAPITALISTS
CONSULTANTS
TECH
HIGH END CHEFS
EVENT PLANNERS
HIGH
ACHIEVING
$100K+
(CURRENT OR
POTENTIAL)
PIVOTING AROUNDVALUE
PROPOSITION & MESSAGING
CUSTOMER
DISCOVERY
CUSTOMER
CREATION
COMPANY
BUILDING
CUSTOMER
VALIDATION
HEALTH NUTS
RECOVERING ALCOHOLICS
PREGNANT WOMEN
UNDERAGE KIDS
MEDICALLY PREDISPOSED
HIGH ACHIEVERS
HEALTHY
APPROACH
TO LIFE
EXCLUSIVITY &
MEETING LIKE-
MINDED PEOPLE
EXCLUSIVITY,
MEETING LIKE-
MINDED PEOPLE, &
LIVING ROOM
EXPERIENCE
INITIAL REVISED FINALPOTENTIALTARGET CUSTOMERS
Through our research we pivoted to better address the needs of our potential customers
EXCLUSIVITY
LIVING ROOM
EXPERIENCE
FOCUS ON
VITALITY
SOCALIZING
“BURROWS”
PUBLICITY
& NOVELTY
CONVENIENCE,
EASY ACCESS
TECHNOLOGY
USEDTO 

RUN BAR
URBAN
SOPHISTICATION
SPEAKEASYPARTNERS
MEMBERSHIPS
“TESLA” OF
NIGHTLIFE
COUCHES,
FIREPLACES,
INTIMATE FEEL
VARIETY IN SPACE
AND FEEL
INFLUENCERS,
COMMUNITY
SUPPORT
UBER MODEL,
TABLETTABLES
UBER, LYFT
NO COMPROMISES
HEALTHY MENU
KEY PARTNERSHIPS
- Raising awareness through partnerships
with different networks
- Uber/Lyft partnership part of
distribution system and value proposition
- Customer awareness through company
events
- Customer acquisition and
retention through cooperation
with other high-end clubs
- Customer acquisition through
tech companies
- Partnering with facility owner
that meets customer preferences
- Grappibulle: strong value
proposition for both partners
BUYER-SUPPLIER RELATIONSHIPS
STRATEGIC ALLIANCES
COOPETITION
DEMAND CREATION: MEMBERSHIP
AWARENESS
PRE LAUNCH
ACTION
FULL LAUNCH
CONSIDERATION
SOFT LAUNCH
PRIMETHE MARKET ENTICETHE MARKET TOUCHTHE MARKET
NEXT STEPS:ASSESSING RISK
RISK
MITIGATION
STRATEGY
CONTINGENCY
PLAN
MARKET/CUSTOMER
RISK
Low customer adoption, low
market growth
Create and communicate key
differentiators
Develop a valid working business
model
Validate concept through pretotyping
and testing
Develop pivot plan and move to
other possible spaces (e.g. events
management)
FINANCIAL RISK
SpeakEasy runs low on
money
Create diversied revenue streams
Keep good relations with goodVCs
and funding partners
Cost cutting and “lean” operations
Cut less successful business streams
PARTNERSHIP RISK
Failure to negotiate
partnerships
Focus on key value adding partners
and perform give-get analysis
Build strong reputation as upcoming
& successful
Focus on new partners or potential
substitutes
Present successful performance to
new partners
Focus on building some resources
internally (e.g. payment application)
THANKYOU!
AREYOU READY
TO JOINTHEIR
LEAGUE?
APPENDIX
1. RESEARCH
KEYTAKEAWAYS FROM
INTERVIEWS
1
2
3
4
5
Target demographic values a fun social experience, exclusivity, friendly
environment, and convenience.
The concept of a non-alcoholic bar/lounge didn’t resonate with some
interviewees, and this largely varied based on ethnic background.
Many people associate alcohol with great times, so we must be able
to recreate this environment.
Key pain points of normal bars/clubs – ordering drinks, paying tabs,
reservations.
Young, urban professionals want to be around like-minded people.
ALCOHOL FREE BARS
• The Other Side (Chicago, IL) http://
www.eater.com/2013/4/16/6449505/a-sober-
alcohol-free-bar-is-opening-outside-chicago
• Brillig Dry Bar (Ann Arbor, MI) http://
brilligdrybar.com/
• UKTrend + US Market http://
www.inquisitr.com/1204546/dry-bars-pop-up-
in-the-uk-could-the-alcohol-free-night-life-
trend-catch-on-in-the-states/
EXCLUSIVE CLUBS/
MEMBERSHIPS
• The Battery SF
• Dirty Habit
• Soho House
• Neuehouse
• Founder’s Card
• Yellowstone Club
ATTITUDETOWARDS ALCOHOL
AROUNDTHE WORLD
• Heavy drinking is mostly
associated with college years
• People from these areas seem
to like the taste of alcohol
• Flavorful non-alcoholic drinks,
tea etc. are the main drink of
choice
• Young Americans will often
drink with the sole purpose
of getting drunk
• They can easily have just 1-2
drinks when hanging out with
friends without the ultimate
goal of getting drunk
• Alcohol is not part of the
culture. People don’t drink
due to cultural and religious
reasons
• Attitude towards alcohol
changes as people become
older and more health
conscious
• These cultures perceive alcohol
drinks as something that
signies relaxation, vacation and
time with friends
USA Europe & Latin America Middle East
SUBSTITUTE EVENING
EXPERIENCES
- Netflix
- Movies
- Out to Dinner
- Cooking at home
- Dinner Parties
- Concert/Music Event
- Cal Academy Nightlife
- Mission Peak
- Night Hiking
- See a Play
- Go to friend’s house
- Wine Bar
- Read
-Throw small party with friends
- Hookah Bars
- Gym
- Nightclub
- Bars
- Organized Events by friends
- School socials
- Galas
- “night” museums (Exploratorium)
- First Friday Art
BAY AREA DEMAND
BAY AREA DEMAND
BAY AREA DEMAND
ONTURNING 30 IN SF…
"One thing that’s true about getting old is
that your body starts breaking down – just a
little at first, but you can feel it – and
suddenly it requires maintenance.That means
you can’t eat pizza every night and drink 20
beers like normal.You can’t, that is, unless you
adjust your artsy persona to include a heavy
dose of athleticism.”
http://www.thebolditalic.com/articles/1475-turning-thirty-in-san-francisco
2.TARGET MARKET
POSITIONING STATEMENT
For high-achieving professionals in their late 20s to early 40s that are socially
active, earn over 100k/year and live in the Bay area
Who are poised to achieve greatness through their professional lives and are
looking for a place to relax and enjoy honest and stimulating conversations
SpeakEasy Is an exclusive lounge
That blends the excitement of traditional night time venues with the latest
technology, innovative menus, and amazing music to create an exclusive experience
that allows the game-changers, the innovators, the thinkers, the dreamers - the
people of the Bay Area - to live their best lives
Unlike traditional bars and other night life options
SpeakEasy is exclusive, recreates the experience that one would find in a friend’s
living room and uses technology to stimulate conversations, ease the customers
experience and incentivize socialization while focusing on promoting a healthy life
style
MARKET SIZING
TAM: 660,000SAM: 42,000Target:
6,000 Reached;
1,000 Acquired
Between the SF Bay Area, NewYork City, and
London, ourTotal Available Market (TAM) is
660,000 people
We only expect to build out our presence in
the SF Bay Area and reach 20% of the total
market, so our Serviceable Available Market is
42,000 people
Since we are using an invite-only method, we
expect to reach 6,000 people and have a 16%
conversion rate to acquire 1,000 customers.
MARKET SIZING
METHODOLOGY
Finding
TAM
We identied that we could realistically expand to our top three locations inYear 3: SF Bay Area, NewYork City,
London. SF Bay Area has 7.44M people, NewYork City has 8.4M people, and London has 8.3M people.Assuming
that each of these areas has flat age distributions, we have estimated there are 4.4M people between ages 25-40
in our target cities. Since we are only considering people with a 6-gure salary or above within this age range, we
are have narrowed ourTAM to 660,000 because 15% of people in these areas have 6-gure salaries.
Finding
SAM
We identied that we could realistically build out our operations in the SF Bay Area over the next two years.
Therefore, we can only focus on our 210,000 person market in the SF Bay Area.We want to gain awareness
among 20% of this population, which brings us to 42,000 people.The reason we expect to gain awareness among
20% of the population is because we only want to promote ourselves through word of mouth, blog posts, and
company events.Therefore, we expect to have slower growth at the beginning.
Target
Market
Since we are an invite-only service, we expect 6,000 people to receive our invitations over the rst year (14-15%
of our target population). Out of these, we expect 1,000 to convert (15-16% of this population) to convert to
memberships.We have used this conversion rate because invite services (like Gmail) have 50+% conversion rates,
while other services which suggest events based on friends’ interest (Eventbrite) have 5-10% conversion rate.
Since friends are going to recommend other friends but there is a membership fee, we settled closer to 15%.
3.TARGET CUSTOMER
& BRAND PERSONAS
PERSONA #1: EMMA
Emma, Female, 28
- Senior Associate at Andreessen Horowitz,VC focusing on in HealthcareTech 
- works long hours & works from SF coffee shops/meetings in SF quite a bit 
- always connected 
- Commutes from SF to Palo Alto/Sand Hill Road for work 4/5 days a week
- Lives in townhouse in Russian Hill with 2 roommates
- Wharton Undergrad, Goldman Sachs IB in NYC for 2 years, came to the West Coast for
Stanford GSB (2 years), Joined Andreessen 2 years ago
- originally from east coast, but obsessed with the bay area & it’s work/life balance
- enjoys healthy living & being outdoors in the Bay Area
- loves new tech & owns everything Apple
- dreams of starting her own healthcare tech company someday 
- shops at Lululemon, NastyGal, Kate Spade 
- works out at SoulCycle + CorePowerYoga
- Enjoys fast pacedVC life but worries about burning out 
- Sources of Inspiration:Aileen Lee, Megan Quinn
PERSONA #2: GRANT
Grant: Male, 33
- Founder/CEO ofVC backed startup with 40 employees 
- started company 3 years ago, bringing in 30M revenue (http://www.forbes.com/sites/ryanmac/2014/05/13/bill-gates-
backed-food-startup-hampton-creek-begins-to-come-out-of-shell-make-money/) 
- pays himself $200,000K per year (http://www.businessinsider.com/salaries-startup-founders-pay-themselves-2014-4)
- both lives and works in SoMa - has apartment next to ofce
- prioritizes convenience
- At ofce daily from 8AM - 9PM, but never off the clock 
- Former Athlete, Ivy League Education, JD graduate degree
- Conceived business idea while working in developing countries
- Moved to Bay Area 2 years ago to be close toVCs
- Prioritizes a healthy lifestyle, goes on runs around the city with golden retriever, goes to yoga 3x per week, cross t  
- Meditates daily 
- Single, lives in 2 br/2 ba with roommate, dates but struggles to find “quality” women
- Shops at Patagonia, Bonobos,Warby Parker, Harry’s, Everlane (http://www.complex.com/style/2012/05/the-10-best-
new-fashion-startups-for-men/)
- Bulletproof Executive,Tim Ferriss,The RawBrahs, David Wolfe, Drew Canolli  
- owns a jawbone, lumo, and pebble watch  
- loves biohacking, superfood, 
- Reads GQ,WSJ, Economist, Men’s Health,Tech Crunch 
- Hangs out with close friends at home or at casual bars on weekends, enjoys Giants games/49ers
- Member of the Battery & Founders Card 
- Drinks CPJ every morning
- Sources of Inspiration: JoshTetrick, Drew Houston,Aaron Levie, Dave Asprey, Sami Inkinen   
- hangs out at Olympic Club, Bay Club
PERSONA #3:WINNIE
Winnie: Female, 31
- CEO at herVC backed startup with 12 employees + 1 CTO cofounder - ofce in SoMa
- Stanford Undergrad (till 22), Google (4 years), HBS (2 years), Google (1 year) started company while at google but ofcially
left 2 years ago
- Lives in San Francisco - has a 1 BR/1 BA renovated apartment in PacHeights (http://sf.curbed.com/archives/2014/05/01/
this_infographic_nails_san_francisco_neighborhood_stereotypes.php) 
- receives salary of $120K + equity 
- single, dates on and off, very busy with work 
- left prestigious job at Google making $150,000/year as Biz Dev Manager (http://www.glassdoor.com/Salary/Google-Business-
Development-Manager-Salaries-E9079_D_KO7,35.htm) 
- enjoys hiking and biking in Marin when she has the time
- uses Beauty Counter & environmentally/socially/health conscious products
- environmentally conscious - buys organic + free trade
- uses Uber to get around the city 
- shops at Bi-Rite + Whole Foods - likes to eat healthy but rarely has time to cook
- orders from Plated, Munchery, and Farm Hil 
- shops at Lululemon, J. Crew, Kate Spade, works out at Equinox
- reads San Francisco Magazine,Tech Crunch
- practices yoga & meditation daily 
- wakes up every morning at 5:30AM to go on a run on the Embarcadero before she hits the ofce 
- never off the clock - usually in the ofce from 7:30 AM to 8 or 9PM
- likes to go to the Ferry Building Farmers Market on the weekends as a break
- goes to nice dinners and wine + art gatherings with friends SFMOMA,YBCA 
- anxious about moving into her 30s, balancing work, play & health, her dwindling social life, and lack of SO 
- Sources of Inspiration: IvankaTrump, Sheryl Sandberg, Brit Morin,Arianna Hufngton, Marissa Mayer 
 
4. BRANDING & MESSAGING
POTENTIAL BRAND PILLARS FOR
NIGHTLIFE + HEALTH INDUSTRIES
•Excitement + Spirit
•Relaxation + Decompress + Unwind 
•Service
•Food + Drink 
•Convenience
• Luxury + Sophistication
• Exclusivity + Personalization 
•Novelty 
•Health + Wellness
•Entertainment 
•Social + Lively 
•Sustainability & Environment 
•Community
POTENTIAL BRAND
CONCEPTS
Brand Concepts Round #1
Late Night Health Hub
Dry Bar (Bar that doesn’t serve alcohol) 
Supporting successful people’s lives
Lifestyle Outlet for People who give a shit
Creating the ultimate sophisticated healthy experiences
Hacking the peak of human well-being
Healthy Social Interactions
Empowering people with healthy social experiences
Social Outlet without alcohol
Brand Concepts Round #2
Brain +Vitality Leader
Social Club for Health Enthusiasts 
Social Outlet for Health Enthusiasts 
POTENTIAL BRAND
PERSONALITY
EXCLUSIVITY
STEWARDSHIP
VITALITY
SOPHISTICATION
INTELLECT
FINAL BRAND
PERSONALITY
“PLANT CAFE”
Green
Sustainable 
Friendly
Comfortable
Conscious 
“THE BATTERY” 
Exclusive 
Sophisticated 
Aspirational 
“EQUINOX”
Irreverent
Rebellious
Cheeky
“TRICK DOG”
Hip
Artisanal 
Trendy
“OFF THE GRID”
Laid Back
Relaxed 
Informal
POTENTIAL BRAND
PROPOSITIONS
Healthy Nightlife Experiences:Anti-Alcohol 
A Night Off 
Invest inYourself
Fueling Wellness for Mind + Body + Spirit
Bringing the latestTech, Research, and Science to People 
Inspiring Vitality through Uncompromising Experiences
Creating Space for Meaningful Conversation 
5. DEMAND CREATION
BUSINESS MODEL FOCUS:
MEMBERSHIP
Business Model: 3 Revenue Sources
- Membership Fees
- Purchase of Services (food & drink) 
- Off Hours Revenue - corporate parties, speaker series, etc. 
Demand Creation: Focus on MEMBERSHIP
AWARENESS: PRE-LAUNCH
Strategy: “Prime the Market"
Who:All SF + target market in other cities our target market spends time (LA, NYC) 
What: establishing our existence, buzz about what we’re doing
Where: San Francisco Magazine,Tech Crunch, Chronicle, NewYorker & larger publications
What:
• Focus on SEO - make sure people can find us online & on social networks - make sure people can
sign up to learn more - without revealing anything yet
• Content Marketing on vitality health/wellness/success/social health - science & research in the field -
celebrating exciting things happening to human potential 
• Print Advertising & ContentType - Stories - always in story format - very human - no lists/guides
etc
• Videos - very short & sharable 
• Surprise and Delight
• Social: focus onTwitter, LinkedIn
• Lots of Re-pubishing & retweeting - really connecting and supporting community 
• Establish relationships for strategic PR/AR
CONSIDERATION:
SOFT LAUNCH
Strategy: “Entice the Market” 
Who: SF target market++  22 to 45 year olds who make 75K+ 
What: establishing our existence, buzz about what we’re doing
Where: San Francisco Magazine,Tech Crunch, Medium, SF Chronicle, NewYorker & larger publications
What:
• Influencer strategy to spread virally 
• Partnerships for “guest content” - both us on their platform + them on our platform
• Start “leaking” photos/stories of what we’re doing
• Content Marketing on celebrating amazing people, startups, thought leaders etc in our community -
very community specic (humans of SF) 
• TED talks
• Trade Shows/Events
• Surprise and Delight in ways that bring vitality - i.e. stopping by startups at EOD and bringing drinks/
snacks - catering happy hours 
• Separate branded Blog - first round review, wary parker, etc. “Refresh” 
• Go to public places where they are in SF - Equinox, the people up early in the mornings, sponsor nike
women’s half marathon, startup weekends etc. 
ACTION: FULL LAUNCH
Strategy: “Touch the Market” 
Who:Target Market - most likely to purchase customers —> 25-35 year olds w/ 100K+ income in SF
What: Get them to convert and purchase a membership
Where:Their work, their gyms, their homes
What:  
• Lots of Owned Events
• Reach out to specific individuals
• send direct mail “boxes” as exclusive first invites to join
• Create buzz through pre-launch events with invite only access  - specific population (http://recode.net/
2014/04/24/sf-techies-getting-golden-tickets-to-another-new-club/)
• Throw parties for companies w/ health & wellness appraoch like Rock Health, 
• cater cultural events in San Francisco pre-launch
• No Discounts/promotions/contests or anything that will dilute value of the brand
• Surprise and Delight
• Create stories with Unusual, Controversial, and Celebrities (all for bay area) 
Continue all three post Launch - focus on being a thought leader in “creating incredible experiences that
inspire the next generation of human vitality”
6. COMPETITIVE ANALYSIS
SWOT ANALYSIS
Strengths
•  Exclusivity – associates SpeakEasy with
favorable brand and experiences
•  Technology enabled – enables a “living room”
atmosphere
•  Partnerships – allow a complete product and
exclusive experience
•  Barriers to Entry – requires lots of capital,
land, and brand building
Weaknesses
•  One Location– Constrained to grow due to
size and location
•  Price – SpeakEasy is priced at a premium,
which could drive some customers away
•  Complexity – Coordinating partnerships and
technology will increase initial cost structure
Opportunities
•  Health & ProductivityTrends – could help
drive adoption of non-alcoholic bar
•  Pain Point – Interviews showed a clear need
for an exclusive nightlife experience
•  Exclusive services – Rapid growth of “The
League”, Black Car, etc. show growth in
exclusivity
Threats
•  Ubiquity – bars and clubs have many more
locations through which to attract customers
•  Established culture – Drinking on evenings and
weekends are part of culture which may be
hard to change
•  Established venues – Need to break into a
space with many established competitors
COMPARISON OF COMPETITION/
SUBSTITUTES USING 4PS
Bars/Clubs Exclusive Clubhouses Concerts, Sports Games Home,Work
Price
$40-100 per person/night
(including cover, drinks, and
food)
The Battery: $2400/year; $40-95/
person/night if you go 2-4 times/
months
$85-500 per person/night (depending on
seat prices, concessions purchased)
$15-20 (dinner, drinks, Netflix)
Product
(Experience)
Bars: Place to meet friends in the
evening, share drinks, and can get
rowdy later in the night
Clubs: Key difference - clubs play
loud music for guests to drink and
dance in busy environment
The Battery: Exclusive, invite-only
club in North Beach. Has club, bar,
spa, exclusive rooms/hotel, meals,
and events. Essentially a country
club in the middle of San Francisco
Professional athletes, musicians, or actors
perform for a large audience of people,
generally on weekend evenings
Staying at home, relaxing,
Netflix,TV, Chores, Finishing
up work, Having a friend over
Promotion
Word of mouth, happy hours,
special events (Trivia Night,Taco
Tuesday), fliers
Website, word of mouth,
invitations from friends, articles
on blogs
Advertisements,Word of Mouth,
Television, Radio, Large Stadium
None; Lack of more
compelling activities
Place
Downtown areas; near
workplaces; generally
concentrated near each other
(Polk St., SOMA)
The Battery: Middle of North
Beach
Others: Overlooking Bay and
further away from downtown
Larger arenas and/or amphitheaters,
generally on the outside (near water/
border) of larger cities (AT&T Park, Levis
Stadium)
Residential neighborhoods, or
ofce buildings
Examples
Novela, RickHouse, Bourbon &
Branch; Ruby Skye, Infusion
Lounge, DNA Lounge,Temple
Nightclub
The Battery,The Presidio,The Bay
Club
Giants game, 49ers game, SF Opera
House, Broadway, Shoreline
Amphitheater (Hannah Montana
Concert, Justin Bieber Concert)
Personal residence; Ofce;
These are personal to each
customer
6. MOVING FORWARD
GIVE/GET ANALYSIS OF
GRAPPIBULLE
AREA GIVE GET
Technology Data, customer preferences
insights, analytics on sales
Premium sparkling grape juice
Resources Money
Relationships Relationships to high-end
customers
Relationship to import channels
Reputation Visibility, credibility Inbound marketing
Core Competencies Sharing experience of non-
alcoholic marketing/consumer
preferences/market research
Sharing experience of non-
alcoholic marketing/consumer
preferences/market research
CompanyVision Aligning company vision about
how to convert customers
Aligning company vision about
how to convert customers
GIVE/GET ANALYSIS OF
OTHER PARTNERSHIPS
PARTNER GIVE GET
Uber/Lyft Access to new high-end
customers, revenue stream,
advertising.
More customers, support for
customers,
Victory Hall & Parlor (facilities) Long term capacity, advertising Attractive facility, reduced risk
Barbary coast catering Economics of scale Optimization, experienced
bartender (strategic resource),
reduced costs, reduced risk
Stanford Alumni Network Help with organizing alumni
events, attractive value
proposition
Exposure to target customers
Professional networks in SF Events for members, access to
club
Exposure to target customers
Other strong brand club in SF Risk reduction, customer
retention
Risk reduction, customer
retention
Computer Science Department Memberships, nancial
compensation
Efcient payment system, support
with analytics
POTENTIAL LOCATION:
VICTORY HALL & PARLOR
REALITYTEST:
IMPACTVS PROBABILITY
High
Probability
Low
Probability
High Impact
Low Impact
Financial Risk: SpeakEasy
runs low on money
Market/Customer risk: low
customer adoption, low
market growth
Location risk: SpeakEasy
location/city is not a good fit
Partnerships: failure to form
partnerships
COMPARABLE SOURCES OF
PAYMENT OPTIONS
Method' Cost' Risk' Analy2cs' Simplicity'
for'
customer'
Total'
'
Cash% 5% 1% 1% 3% 10'
Store%card%
terminal% 3% 5% 2% 4% 14'
Own%
payment%
system%
1% 3% 5% 4% 13'
Square%card%
terminal% 4% 4% 5% 4% 17'
Internal%
developed%
payment%
system%
4% 4% 5% 5% 18'
SOURCES
• http://smallbusiness.chron.com/risks-associated-opening-nightclub-18575.html
• https://www.boltinsurance.com/news/small-business-tips/risks-of-operating-a-bar/
• http://www.nciaa.com/content.aspx?
page_id=22&club_id=160641&module_id=29898
• http://fortune.com/2014/09/25/why-startups-fail-according-to-their-founders/
• http://smallbusiness.chron.com/risks-associated-opening-nightclub-18575.html
• https://www.boltinsurance.com/news/small-business-tips/risks-of-operating-a-bar/
• http://www.nciaa.com/content.aspx?
page_id=22&club_id=160641&module_id=29898
• http://fortune.com/2014/09/25/why-startups-fail-according-to-their-founders/
• http://www.hse.gov.uk/risk/casestudies/pub.htm
• http://www.americanbar.org/content/dam/aba/migrated/adminlaw/
risk02.authcheckdam.pdf
• https://www.go2hr.ca/training/serving-it-right/responsible-beverage-service/
serving-alcohol-liability-risk-assessment-and
• http://www.nightclub.com/listing/37/risk-management
• http://www.investoranalytics.com/updates/investor-analytics-advent-raise-bar-for-
risk-management
SOURCES
• http://howtorunapub.co.uk/risk-assessment-and-risk-management/
•h#p://www.washingtonpost.com/goingoutguide/bars-­‐but-­‐no-­‐booze-­‐plenty-­‐of-­‐fun-­‐in-­‐dc-­‐
even-­‐without-­‐drinking/2014/01/23/c4a0714c-­‐844b-­‐11e3-­‐bbe5-­‐6a2a3141e3a9_story.html	
  
•h#p://www.medicinenet.com/script/main/art.asp?arKclekey=21800	
  
•h#p://www.sfgate.com/style/arKcle/New-­‐private-­‐S-­‐F-­‐club-­‐the-­‐Ba#ery-­‐4869389.php	
  
•h#p://www.staKsta.com/staKsKcs/220759/nba-­‐average-­‐Kcket-­‐price-­‐for-­‐golden-­‐state-­‐
warriors-­‐games/	
  
•h#p://www.bizjournals.com/sanjose/news/2014/08/07/at-­‐about-­‐600-­‐a-­‐seat-­‐49ers-­‐Kckets-­‐
among-­‐priciest.html	
  
•h#p://www.nyc.gov/html/dcp/html/census/popcur.shtml	
  
•h#p://www.bayareacensus.ca.gov/	
  
•h#p://www.londoncouncils.gov.uk/londonfacts/default.htm?category=2	
  
•h#p://www.bankrate.com/finance/personal-­‐finance/100-­‐000-­‐income-­‐no-­‐big-­‐deal-­‐
anymore-­‐1.aspx	
  
•h#p://www.censusscope.org/us/chart_age.html	
  
•h#p://www.independent.co.uk/student/student-­‐life/alternaKve-­‐nights-­‐out-­‐10-­‐things-­‐to-­‐do-­‐
instead-­‐of-­‐clubbing-­‐which-­‐might-­‐just-­‐save-­‐you-­‐a-­‐hangover-­‐9096296.html	
  
•h#p://tastemarkeKngstrategies.com/bars/
SOURCES
• http://www.washingtonpost.com/goingoutguide/bars-but-no-booze-plenty-of-fun-in-dc-
even-without-drinking/2014/01/23/c4a0714c-844b-11e3-bbe5-6a2a3141e3a9_story.html
• http://www.theguardian.com/lifeandstyle/shortcuts/2013/aug/11/dry-bars-alcohol-free-pubs
• http://notmykid.org/amplifi-blog/sober-fun-how-do-you-enjoy-life-without-drugs-or-alcohol/
• http://www.sfgate.com/sports/article/Country-clubs-working-to-keep-membership-
levels-3163183.php
• http://www.scotduke.com/2009/09/23/what-private-country-clubs-will-have-to-do-to-
survive/
• http://golfweek.com/news/2014/dec/28/amenity-rich-clubs-offer-options-parents-children/
• http://www.slate.com/blogs/behold/2014/09/17/
beatrix_reinhardt_members_only_looks_at_the_interior_spaces_of_private_clubs.html
• http://www.bankrate.com/finance/personal-finance/100-000-income-no-big-deal-
anymore-1.aspx

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Speakeasy Proposal: An Uncompromising Nightlife Experience

  • 1. A NIGHTLIFE SPACETHAT DOESN’T SERVE ALCOHOL HOW MIGHT WE BUILD SF MARKET TRIFECTA 1. Movers & Changers 2. Health & Wellness 3. Tech & Innovation
  • 3. WHO ARE WE? OUR MISSION ISTO CREATE EXCEPTIONAL HEALTHY EXPERIENCESTHAT SUPPORT & UPLIFTTHE CRAZY LIVES OF THE BAY AREA’S GAME CHANGERS. we want to create experiences that inspire the next generation of movers and shakers to take care of themselves in order to ultimately live that incredibly rich, vibrant fullling, no sacrices life that we know we all can have.
  • 6. EXCLUSIVITY STEWARDSHIP VITALITY SOPHISTICATION INTELLECT BRAND PERSONALITY integrating innovation & inspiring conversations like-minded people we take care of you health as a foundation uncompromising experience
  • 8. A NIGHTLIFE SPACETHAT DOESN’T SERVE ALCOHOL HOW MIGHT WE BUILD SF MARKET TRIFECTA 1. Movers & Changers 2. Health & Wellness 3. Tech & Innovation
  • 10. ALCOHOL FREE BARS REACH EARLY ADOPTERS IN U.S. & SF BAY MARKET innovators 2.5% early adopters 13.5% early majority 34% late majority 34% laggards 16% Non-alcoholic venues have started to pop up in urban areas, but appear at a much lower frequency than traditional bars, clubs, or sports/music venues. These options have only started to become popular and have not yet hit “main street” in the U.S. or Bay Area.They need to cross the technology chasm. ANN ARBOR, MI NOTTINGHAM, UK SAN FRANCISCO, CA NYC, SF, MULT. LOCATIONS
  • 12. 22 - 45 YEAR OLDS TARGET DEMOGRAPHIC: 25 - 35 30 FORMAL INTERVIEWS 200+ INFORMAL INTERVIEWS SF NYC LA FOUNDERS CEOS ATHLETES BANKERS VENTURE CAPITALISTS CONSULTANTS TECH HIGH END CHEFS EVENT PLANNERS HIGH ACHIEVING $100K+ (CURRENT OR POTENTIAL)
  • 13. PIVOTING AROUNDVALUE PROPOSITION & MESSAGING CUSTOMER DISCOVERY CUSTOMER CREATION COMPANY BUILDING CUSTOMER VALIDATION HEALTH NUTS RECOVERING ALCOHOLICS PREGNANT WOMEN UNDERAGE KIDS MEDICALLY PREDISPOSED HIGH ACHIEVERS HEALTHY APPROACH TO LIFE EXCLUSIVITY & MEETING LIKE- MINDED PEOPLE EXCLUSIVITY, MEETING LIKE- MINDED PEOPLE, & LIVING ROOM EXPERIENCE INITIAL REVISED FINALPOTENTIALTARGET CUSTOMERS Through our research we pivoted to better address the needs of our potential customers
  • 14. EXCLUSIVITY LIVING ROOM EXPERIENCE FOCUS ON VITALITY SOCALIZING “BURROWS” PUBLICITY & NOVELTY CONVENIENCE, EASY ACCESS TECHNOLOGY USEDTO 
 RUN BAR URBAN SOPHISTICATION SPEAKEASYPARTNERS MEMBERSHIPS “TESLA” OF NIGHTLIFE COUCHES, FIREPLACES, INTIMATE FEEL VARIETY IN SPACE AND FEEL INFLUENCERS, COMMUNITY SUPPORT UBER MODEL, TABLETTABLES UBER, LYFT NO COMPROMISES HEALTHY MENU
  • 15. KEY PARTNERSHIPS - Raising awareness through partnerships with different networks - Uber/Lyft partnership part of distribution system and value proposition - Customer awareness through company events - Customer acquisition and retention through cooperation with other high-end clubs - Customer acquisition through tech companies - Partnering with facility owner that meets customer preferences - Grappibulle: strong value proposition for both partners BUYER-SUPPLIER RELATIONSHIPS STRATEGIC ALLIANCES COOPETITION
  • 16. DEMAND CREATION: MEMBERSHIP AWARENESS PRE LAUNCH ACTION FULL LAUNCH CONSIDERATION SOFT LAUNCH PRIMETHE MARKET ENTICETHE MARKET TOUCHTHE MARKET
  • 17. NEXT STEPS:ASSESSING RISK RISK MITIGATION STRATEGY CONTINGENCY PLAN MARKET/CUSTOMER RISK Low customer adoption, low market growth Create and communicate key differentiators Develop a valid working business model Validate concept through pretotyping and testing Develop pivot plan and move to other possible spaces (e.g. events management) FINANCIAL RISK SpeakEasy runs low on money Create diversied revenue streams Keep good relations with goodVCs and funding partners Cost cutting and “lean” operations Cut less successful business streams PARTNERSHIP RISK Failure to negotiate partnerships Focus on key value adding partners and perform give-get analysis Build strong reputation as upcoming & successful Focus on new partners or potential substitutes Present successful performance to new partners Focus on building some resources internally (e.g. payment application)
  • 22. KEYTAKEAWAYS FROM INTERVIEWS 1 2 3 4 5 Target demographic values a fun social experience, exclusivity, friendly environment, and convenience. The concept of a non-alcoholic bar/lounge didn’t resonate with some interviewees, and this largely varied based on ethnic background. Many people associate alcohol with great times, so we must be able to recreate this environment. Key pain points of normal bars/clubs – ordering drinks, paying tabs, reservations. Young, urban professionals want to be around like-minded people.
  • 23. ALCOHOL FREE BARS • The Other Side (Chicago, IL) http:// www.eater.com/2013/4/16/6449505/a-sober- alcohol-free-bar-is-opening-outside-chicago • Brillig Dry Bar (Ann Arbor, MI) http:// brilligdrybar.com/ • UKTrend + US Market http:// www.inquisitr.com/1204546/dry-bars-pop-up- in-the-uk-could-the-alcohol-free-night-life- trend-catch-on-in-the-states/
  • 24. EXCLUSIVE CLUBS/ MEMBERSHIPS • The Battery SF • Dirty Habit • Soho House • Neuehouse • Founder’s Card • Yellowstone Club
  • 25. ATTITUDETOWARDS ALCOHOL AROUNDTHE WORLD • Heavy drinking is mostly associated with college years • People from these areas seem to like the taste of alcohol • Flavorful non-alcoholic drinks, tea etc. are the main drink of choice • Young Americans will often drink with the sole purpose of getting drunk • They can easily have just 1-2 drinks when hanging out with friends without the ultimate goal of getting drunk • Alcohol is not part of the culture. People don’t drink due to cultural and religious reasons • Attitude towards alcohol changes as people become older and more health conscious • These cultures perceive alcohol drinks as something that signies relaxation, vacation and time with friends USA Europe & Latin America Middle East
  • 26. SUBSTITUTE EVENING EXPERIENCES - Netflix - Movies - Out to Dinner - Cooking at home - Dinner Parties - Concert/Music Event - Cal Academy Nightlife - Mission Peak - Night Hiking - See a Play - Go to friend’s house - Wine Bar - Read -Throw small party with friends - Hookah Bars - Gym - Nightclub - Bars - Organized Events by friends - School socials - Galas - “night” museums (Exploratorium) - First Friday Art
  • 30. ONTURNING 30 IN SF… "One thing that’s true about getting old is that your body starts breaking down – just a little at rst, but you can feel it – and suddenly it requires maintenance.That means you can’t eat pizza every night and drink 20 beers like normal.You can’t, that is, unless you adjust your artsy persona to include a heavy dose of athleticism.” http://www.thebolditalic.com/articles/1475-turning-thirty-in-san-francisco
  • 32. POSITIONING STATEMENT For high-achieving professionals in their late 20s to early 40s that are socially active, earn over 100k/year and live in the Bay area Who are poised to achieve greatness through their professional lives and are looking for a place to relax and enjoy honest and stimulating conversations SpeakEasy Is an exclusive lounge That blends the excitement of traditional night time venues with the latest technology, innovative menus, and amazing music to create an exclusive experience that allows the game-changers, the innovators, the thinkers, the dreamers - the people of the Bay Area - to live their best lives Unlike traditional bars and other night life options SpeakEasy is exclusive, recreates the experience that one would nd in a friend’s living room and uses technology to stimulate conversations, ease the customers experience and incentivize socialization while focusing on promoting a healthy life style
  • 33. MARKET SIZING TAM: 660,000SAM: 42,000Target: 6,000 Reached; 1,000 Acquired Between the SF Bay Area, NewYork City, and London, ourTotal Available Market (TAM) is 660,000 people We only expect to build out our presence in the SF Bay Area and reach 20% of the total market, so our Serviceable Available Market is 42,000 people Since we are using an invite-only method, we expect to reach 6,000 people and have a 16% conversion rate to acquire 1,000 customers.
  • 34. MARKET SIZING METHODOLOGY Finding TAM We identied that we could realistically expand to our top three locations inYear 3: SF Bay Area, NewYork City, London. SF Bay Area has 7.44M people, NewYork City has 8.4M people, and London has 8.3M people.Assuming that each of these areas has flat age distributions, we have estimated there are 4.4M people between ages 25-40 in our target cities. Since we are only considering people with a 6-gure salary or above within this age range, we are have narrowed ourTAM to 660,000 because 15% of people in these areas have 6-gure salaries. Finding SAM We identied that we could realistically build out our operations in the SF Bay Area over the next two years. Therefore, we can only focus on our 210,000 person market in the SF Bay Area.We want to gain awareness among 20% of this population, which brings us to 42,000 people.The reason we expect to gain awareness among 20% of the population is because we only want to promote ourselves through word of mouth, blog posts, and company events.Therefore, we expect to have slower growth at the beginning. Target Market Since we are an invite-only service, we expect 6,000 people to receive our invitations over the rst year (14-15% of our target population). Out of these, we expect 1,000 to convert (15-16% of this population) to convert to memberships.We have used this conversion rate because invite services (like Gmail) have 50+% conversion rates, while other services which suggest events based on friends’ interest (Eventbrite) have 5-10% conversion rate. Since friends are going to recommend other friends but there is a membership fee, we settled closer to 15%.
  • 36. PERSONA #1: EMMA Emma, Female, 28 - Senior Associate at Andreessen Horowitz,VC focusing on in HealthcareTech  - works long hours & works from SF coffee shops/meetings in SF quite a bit  - always connected  - Commutes from SF to Palo Alto/Sand Hill Road for work 4/5 days a week - Lives in townhouse in Russian Hill with 2 roommates - Wharton Undergrad, Goldman Sachs IB in NYC for 2 years, came to the West Coast for Stanford GSB (2 years), Joined Andreessen 2 years ago - originally from east coast, but obsessed with the bay area & it’s work/life balance - enjoys healthy living & being outdoors in the Bay Area - loves new tech & owns everything Apple - dreams of starting her own healthcare tech company someday  - shops at Lululemon, NastyGal, Kate Spade  - works out at SoulCycle + CorePowerYoga - Enjoys fast pacedVC life but worries about burning out  - Sources of Inspiration:Aileen Lee, Megan Quinn
  • 37.
  • 38. PERSONA #2: GRANT Grant: Male, 33 - Founder/CEO ofVC backed startup with 40 employees  - started company 3 years ago, bringing in 30M revenue (http://www.forbes.com/sites/ryanmac/2014/05/13/bill-gates- backed-food-startup-hampton-creek-begins-to-come-out-of-shell-make-money/)  - pays himself $200,000K per year (http://www.businessinsider.com/salaries-startup-founders-pay-themselves-2014-4) - both lives and works in SoMa - has apartment next to ofce - prioritizes convenience - At ofce daily from 8AM - 9PM, but never off the clock  - Former Athlete, Ivy League Education, JD graduate degree - Conceived business idea while working in developing countries - Moved to Bay Area 2 years ago to be close toVCs - Prioritizes a healthy lifestyle, goes on runs around the city with golden retriever, goes to yoga 3x per week, cross t   - Meditates daily  - Single, lives in 2 br/2 ba with roommate, dates but struggles to nd “quality” women - Shops at Patagonia, Bonobos,Warby Parker, Harry’s, Everlane (http://www.complex.com/style/2012/05/the-10-best- new-fashion-startups-for-men/) - Bulletproof Executive,Tim Ferriss,The RawBrahs, David Wolfe, Drew Canolli   - owns a jawbone, lumo, and pebble watch   - loves biohacking, superfood,  - Reads GQ,WSJ, Economist, Men’s Health,Tech Crunch  - Hangs out with close friends at home or at casual bars on weekends, enjoys Giants games/49ers - Member of the Battery & Founders Card  - Drinks CPJ every morning - Sources of Inspiration: JoshTetrick, Drew Houston,Aaron Levie, Dave Asprey, Sami Inkinen    - hangs out at Olympic Club, Bay Club
  • 39.
  • 40. PERSONA #3:WINNIE Winnie: Female, 31 - CEO at herVC backed startup with 12 employees + 1 CTO cofounder - ofce in SoMa - Stanford Undergrad (till 22), Google (4 years), HBS (2 years), Google (1 year) started company while at google but ofcially left 2 years ago - Lives in San Francisco - has a 1 BR/1 BA renovated apartment in PacHeights (http://sf.curbed.com/archives/2014/05/01/ this_infographic_nails_san_francisco_neighborhood_stereotypes.php)  - receives salary of $120K + equity  - single, dates on and off, very busy with work  - left prestigious job at Google making $150,000/year as Biz Dev Manager (http://www.glassdoor.com/Salary/Google-Business- Development-Manager-Salaries-E9079_D_KO7,35.htm)  - enjoys hiking and biking in Marin when she has the time - uses Beauty Counter & environmentally/socially/health conscious products - environmentally conscious - buys organic + free trade - uses Uber to get around the city  - shops at Bi-Rite + Whole Foods - likes to eat healthy but rarely has time to cook - orders from Plated, Munchery, and Farm Hil  - shops at Lululemon, J. Crew, Kate Spade, works out at Equinox - reads San Francisco Magazine,Tech Crunch - practices yoga & meditation daily  - wakes up every morning at 5:30AM to go on a run on the Embarcadero before she hits the ofce  - never off the clock - usually in the ofce from 7:30 AM to 8 or 9PM - likes to go to the Ferry Building Farmers Market on the weekends as a break - goes to nice dinners and wine + art gatherings with friends SFMOMA,YBCA  - anxious about moving into her 30s, balancing work, play & health, her dwindling social life, and lack of SO  - Sources of Inspiration: IvankaTrump, Sheryl Sandberg, Brit Morin,Arianna Hufngton, Marissa Mayer   
  • 41.
  • 42. 4. BRANDING & MESSAGING
  • 43. POTENTIAL BRAND PILLARS FOR NIGHTLIFE + HEALTH INDUSTRIES •Excitement + Spirit •Relaxation + Decompress + Unwind  •Service •Food + Drink  •Convenience • Luxury + Sophistication • Exclusivity + Personalization  •Novelty  •Health + Wellness •Entertainment  •Social + Lively  •Sustainability & Environment  •Community
  • 44. POTENTIAL BRAND CONCEPTS Brand Concepts Round #1 Late Night Health Hub Dry Bar (Bar that doesn’t serve alcohol)  Supporting successful people’s lives Lifestyle Outlet for People who give a shit Creating the ultimate sophisticated healthy experiences Hacking the peak of human well-being Healthy Social Interactions Empowering people with healthy social experiences Social Outlet without alcohol Brand Concepts Round #2 Brain +Vitality Leader Social Club for Health Enthusiasts  Social Outlet for Health Enthusiasts 
  • 45. POTENTIAL BRAND PERSONALITY EXCLUSIVITY STEWARDSHIP VITALITY SOPHISTICATION INTELLECT FINAL BRAND PERSONALITY “PLANT CAFE” Green Sustainable  Friendly Comfortable Conscious  “THE BATTERY”  Exclusive  Sophisticated  Aspirational  “EQUINOX” Irreverent Rebellious Cheeky “TRICK DOG” Hip Artisanal  Trendy “OFF THE GRID” Laid Back Relaxed  Informal
  • 46. POTENTIAL BRAND PROPOSITIONS Healthy Nightlife Experiences:Anti-Alcohol  A Night Off  Invest inYourself Fueling Wellness for Mind + Body + Spirit Bringing the latestTech, Research, and Science to People  Inspiring Vitality through Uncompromising Experiences Creating Space for Meaningful Conversation 
  • 48. BUSINESS MODEL FOCUS: MEMBERSHIP Business Model: 3 Revenue Sources - Membership Fees - Purchase of Services (food & drink)  - Off Hours Revenue - corporate parties, speaker series, etc.  Demand Creation: Focus on MEMBERSHIP
  • 49. AWARENESS: PRE-LAUNCH Strategy: “Prime the Market" Who:All SF + target market in other cities our target market spends time (LA, NYC)  What: establishing our existence, buzz about what we’re doing Where: San Francisco Magazine,Tech Crunch, Chronicle, NewYorker & larger publications What: • Focus on SEO - make sure people can nd us online & on social networks - make sure people can sign up to learn more - without revealing anything yet • Content Marketing on vitality health/wellness/success/social health - science & research in the eld - celebrating exciting things happening to human potential  • Print Advertising & ContentType - Stories - always in story format - very human - no lists/guides etc • Videos - very short & sharable  • Surprise and Delight • Social: focus onTwitter, LinkedIn • Lots of Re-pubishing & retweeting - really connecting and supporting community  • Establish relationships for strategic PR/AR
  • 50. CONSIDERATION: SOFT LAUNCH Strategy: “Entice the Market”  Who: SF target market++  22 to 45 year olds who make 75K+  What: establishing our existence, buzz about what we’re doing Where: San Francisco Magazine,Tech Crunch, Medium, SF Chronicle, NewYorker & larger publications What: • Influencer strategy to spread virally  • Partnerships for “guest content” - both us on their platform + them on our platform • Start “leaking” photos/stories of what we’re doing • Content Marketing on celebrating amazing people, startups, thought leaders etc in our community - very community specic (humans of SF)  • TED talks • Trade Shows/Events • Surprise and Delight in ways that bring vitality - i.e. stopping by startups at EOD and bringing drinks/ snacks - catering happy hours  • Separate branded Blog - rst round review, wary parker, etc. “Refresh”  • Go to public places where they are in SF - Equinox, the people up early in the mornings, sponsor nike women’s half marathon, startup weekends etc. 
  • 51. ACTION: FULL LAUNCH Strategy: “Touch the Market”  Who:Target Market - most likely to purchase customers —> 25-35 year olds w/ 100K+ income in SF What: Get them to convert and purchase a membership Where:Their work, their gyms, their homes What:   • Lots of Owned Events • Reach out to specic individuals • send direct mail “boxes” as exclusive rst invites to join • Create buzz through pre-launch events with invite only access  - specic population (http://recode.net/ 2014/04/24/sf-techies-getting-golden-tickets-to-another-new-club/) • Throw parties for companies w/ health & wellness appraoch like Rock Health,  • cater cultural events in San Francisco pre-launch • No Discounts/promotions/contests or anything that will dilute value of the brand • Surprise and Delight • Create stories with Unusual, Controversial, and Celebrities (all for bay area)  Continue all three post Launch - focus on being a thought leader in “creating incredible experiences that inspire the next generation of human vitality”
  • 53. SWOT ANALYSIS Strengths •  Exclusivity – associates SpeakEasy with favorable brand and experiences •  Technology enabled – enables a “living room” atmosphere •  Partnerships – allow a complete product and exclusive experience •  Barriers to Entry – requires lots of capital, land, and brand building Weaknesses •  One Location– Constrained to grow due to size and location •  Price – SpeakEasy is priced at a premium, which could drive some customers away •  Complexity – Coordinating partnerships and technology will increase initial cost structure Opportunities •  Health & ProductivityTrends – could help drive adoption of non-alcoholic bar •  Pain Point – Interviews showed a clear need for an exclusive nightlife experience •  Exclusive services – Rapid growth of “The League”, Black Car, etc. show growth in exclusivity Threats •  Ubiquity – bars and clubs have many more locations through which to attract customers •  Established culture – Drinking on evenings and weekends are part of culture which may be hard to change •  Established venues – Need to break into a space with many established competitors
  • 54. COMPARISON OF COMPETITION/ SUBSTITUTES USING 4PS Bars/Clubs Exclusive Clubhouses Concerts, Sports Games Home,Work Price $40-100 per person/night (including cover, drinks, and food) The Battery: $2400/year; $40-95/ person/night if you go 2-4 times/ months $85-500 per person/night (depending on seat prices, concessions purchased) $15-20 (dinner, drinks, Netflix) Product (Experience) Bars: Place to meet friends in the evening, share drinks, and can get rowdy later in the night Clubs: Key difference - clubs play loud music for guests to drink and dance in busy environment The Battery: Exclusive, invite-only club in North Beach. Has club, bar, spa, exclusive rooms/hotel, meals, and events. Essentially a country club in the middle of San Francisco Professional athletes, musicians, or actors perform for a large audience of people, generally on weekend evenings Staying at home, relaxing, Netflix,TV, Chores, Finishing up work, Having a friend over Promotion Word of mouth, happy hours, special events (Trivia Night,Taco Tuesday), fliers Website, word of mouth, invitations from friends, articles on blogs Advertisements,Word of Mouth, Television, Radio, Large Stadium None; Lack of more compelling activities Place Downtown areas; near workplaces; generally concentrated near each other (Polk St., SOMA) The Battery: Middle of North Beach Others: Overlooking Bay and further away from downtown Larger arenas and/or amphitheaters, generally on the outside (near water/ border) of larger cities (AT&T Park, Levis Stadium) Residential neighborhoods, or ofce buildings Examples Novela, RickHouse, Bourbon & Branch; Ruby Skye, Infusion Lounge, DNA Lounge,Temple Nightclub The Battery,The Presidio,The Bay Club Giants game, 49ers game, SF Opera House, Broadway, Shoreline Amphitheater (Hannah Montana Concert, Justin Bieber Concert) Personal residence; Ofce; These are personal to each customer
  • 56. GIVE/GET ANALYSIS OF GRAPPIBULLE AREA GIVE GET Technology Data, customer preferences insights, analytics on sales Premium sparkling grape juice Resources Money Relationships Relationships to high-end customers Relationship to import channels Reputation Visibility, credibility Inbound marketing Core Competencies Sharing experience of non- alcoholic marketing/consumer preferences/market research Sharing experience of non- alcoholic marketing/consumer preferences/market research CompanyVision Aligning company vision about how to convert customers Aligning company vision about how to convert customers
  • 57. GIVE/GET ANALYSIS OF OTHER PARTNERSHIPS PARTNER GIVE GET Uber/Lyft Access to new high-end customers, revenue stream, advertising. More customers, support for customers, Victory Hall & Parlor (facilities) Long term capacity, advertising Attractive facility, reduced risk Barbary coast catering Economics of scale Optimization, experienced bartender (strategic resource), reduced costs, reduced risk Stanford Alumni Network Help with organizing alumni events, attractive value proposition Exposure to target customers Professional networks in SF Events for members, access to club Exposure to target customers Other strong brand club in SF Risk reduction, customer retention Risk reduction, customer retention Computer Science Department Memberships, nancial compensation Efcient payment system, support with analytics
  • 59. REALITYTEST: IMPACTVS PROBABILITY High Probability Low Probability High Impact Low Impact Financial Risk: SpeakEasy runs low on money Market/Customer risk: low customer adoption, low market growth Location risk: SpeakEasy location/city is not a good fit Partnerships: failure to form partnerships
  • 60. COMPARABLE SOURCES OF PAYMENT OPTIONS Method' Cost' Risk' Analy2cs' Simplicity' for' customer' Total' ' Cash% 5% 1% 1% 3% 10' Store%card% terminal% 3% 5% 2% 4% 14' Own% payment% system% 1% 3% 5% 4% 13' Square%card% terminal% 4% 4% 5% 4% 17' Internal% developed% payment% system% 4% 4% 5% 5% 18'
  • 61. SOURCES • http://smallbusiness.chron.com/risks-associated-opening-nightclub-18575.html • https://www.boltinsurance.com/news/small-business-tips/risks-of-operating-a-bar/ • http://www.nciaa.com/content.aspx? page_id=22&club_id=160641&module_id=29898 • http://fortune.com/2014/09/25/why-startups-fail-according-to-their-founders/ • http://smallbusiness.chron.com/risks-associated-opening-nightclub-18575.html • https://www.boltinsurance.com/news/small-business-tips/risks-of-operating-a-bar/ • http://www.nciaa.com/content.aspx? page_id=22&club_id=160641&module_id=29898 • http://fortune.com/2014/09/25/why-startups-fail-according-to-their-founders/ • http://www.hse.gov.uk/risk/casestudies/pub.htm • http://www.americanbar.org/content/dam/aba/migrated/adminlaw/ risk02.authcheckdam.pdf • https://www.go2hr.ca/training/serving-it-right/responsible-beverage-service/ serving-alcohol-liability-risk-assessment-and • http://www.nightclub.com/listing/37/risk-management • http://www.investoranalytics.com/updates/investor-analytics-advent-raise-bar-for- risk-management
  • 62. SOURCES • http://howtorunapub.co.uk/risk-assessment-and-risk-management/ •h#p://www.washingtonpost.com/goingoutguide/bars-­‐but-­‐no-­‐booze-­‐plenty-­‐of-­‐fun-­‐in-­‐dc-­‐ even-­‐without-­‐drinking/2014/01/23/c4a0714c-­‐844b-­‐11e3-­‐bbe5-­‐6a2a3141e3a9_story.html   •h#p://www.medicinenet.com/script/main/art.asp?arKclekey=21800   •h#p://www.sfgate.com/style/arKcle/New-­‐private-­‐S-­‐F-­‐club-­‐the-­‐Ba#ery-­‐4869389.php   •h#p://www.staKsta.com/staKsKcs/220759/nba-­‐average-­‐Kcket-­‐price-­‐for-­‐golden-­‐state-­‐ warriors-­‐games/   •h#p://www.bizjournals.com/sanjose/news/2014/08/07/at-­‐about-­‐600-­‐a-­‐seat-­‐49ers-­‐Kckets-­‐ among-­‐priciest.html   •h#p://www.nyc.gov/html/dcp/html/census/popcur.shtml   •h#p://www.bayareacensus.ca.gov/   •h#p://www.londoncouncils.gov.uk/londonfacts/default.htm?category=2   •h#p://www.bankrate.com/nance/personal-­‐finance/100-­‐000-­‐income-­‐no-­‐big-­‐deal-­‐ anymore-­‐1.aspx   •h#p://www.censusscope.org/us/chart_age.html   •h#p://www.independent.co.uk/student/student-­‐life/alternaKve-­‐nights-­‐out-­‐10-­‐things-­‐to-­‐do-­‐ instead-­‐of-­‐clubbing-­‐which-­‐might-­‐just-­‐save-­‐you-­‐a-­‐hangover-­‐9096296.html   •h#p://tastemarkeKngstrategies.com/bars/
  • 63. SOURCES • http://www.washingtonpost.com/goingoutguide/bars-but-no-booze-plenty-of-fun-in-dc- even-without-drinking/2014/01/23/c4a0714c-844b-11e3-bbe5-6a2a3141e3a9_story.html • http://www.theguardian.com/lifeandstyle/shortcuts/2013/aug/11/dry-bars-alcohol-free-pubs • http://notmykid.org/ampli-blog/sober-fun-how-do-you-enjoy-life-without-drugs-or-alcohol/ • http://www.sfgate.com/sports/article/Country-clubs-working-to-keep-membership- levels-3163183.php • http://www.scotduke.com/2009/09/23/what-private-country-clubs-will-have-to-do-to- survive/ • http://golfweek.com/news/2014/dec/28/amenity-rich-clubs-offer-options-parents-children/ • http://www.slate.com/blogs/behold/2014/09/17/ beatrix_reinhardt_members_only_looks_at_the_interior_spaces_of_private_clubs.html • http://www.bankrate.com/nance/personal-nance/100-000-income-no-big-deal- anymore-1.aspx