29A Venture Concept No. 2

Coffee ATMs

Opportunity:

Our main market focus are college students and university faculty and staff. Consumer needs did play a big part in constructing this market; however, we also focused on demand levels, age, lifestyle, and social status. Consumers are satisfying their needs by either accepting their tardiness to work/class and waiting in long coffee lines OR by bypassing their daily coffee routine and not purchasing their favorite coffee. As long as coffee demands stay high, the “window of opportunity” will stay open.

Innovation:

These machines were created to bring consumers a new and quicker way to receive coffee. Not only this, but to bring consumers their own customizable coffee at the touch of a button. Each machine gives customers the ability to customize their own coffee off of their cell phone, computer/tablet, or even at the ATM itself. Each beverage is can be customized with different creamers, syrups, whipped cream, and other add-ons. There are multiple “pick-up” cubbies installed in each ATM. This will increase productivity levels and decrease wait times. Prices will start out around $2.00 for a basic small black coffee with cream and sugar, and will increase by $0.15 per pump of syrup, and increase by $0.50 per added espresso shot.

Venture Concept:

I think customers will switch to this new product because it blows all other competitors out of the water on quickness of consumer possession. As a company, our main goal is providing consumers with faster service than our competitors. Starbucks and Dunkin Donuts are our biggest competition in the coffee industry. A big thing for our business is location, location, location. The location of each and every ATM is crucial in the success of our business. These Coffee ATMs will be located around college campuses and around our competitors. Having our ATMs located in the path of other competitors will increase brand awareness for our company. This is because consumers will be in the direct path of our machines, thus peaking the interest of potential users. Our three most important factors are price point, effective distribution, and customer experience. Our business will be working from a main office, or HQ, that will house our main management crew. One responsibility of our team is to create new ideas and concepts for coffee flavors and add-ons for our ATMs. Our team will work with outside vendors to restock all machines.

Feedback Summary:

I only had positive feedback from my last venture concept post (From Laura Franken). There was little to no change that was recommended. Expanding my concept into big businesses and metropolitan areas is the main goal here! Lauren Babitz did suggest that it might be helpful to focus on seasonal opportunities, like outdoor winter sports. Overall, not much was changed to the venture concept.