FIT ME App: Business Plan and Marketing Strategies

This document discusses the business plan and marketing strategies for FIT ME App. It explores the unique features of the app, such as providing health tips and suggestions for clothing and accessories. The value proposition canvas and lean business model canvas are used to analyze customer needs and market demand. The role of the CMO in developing the app is also discussed, along with the financial and financing plan.

FIT ME App
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Table of Contents
1. INTRODUCTION...................................................................................................................3
2 Value proposition canvas..........................................................................................................3
3 Lean business model canvas.....................................................................................................4
4 C level specialist contribution..................................................................................................6
5 Financial and financing plan.....................................................................................................6
6 Summary...................................................................................................................................7
REFERENCES................................................................................................................................9
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1. INTRODUCTION
For every business it is required to develop a plan or strategy which enables in identifying
activities. So, here a group of individual was formed to prepare a business plan. They carried out
entrepreneur development for a particular business. Through it, various activities were included
in it and analysed. The report will describe reflection of CMO in developing app. Furthermore,
the FIT ME app consists of many features (Ojasalo and Ojasalo, 2015). It provides suggestion of
type of clothing and accessories that is suitable for user. So, this is unique feature of App. Beside
this, it helps in providing info about weather condition on basis of user location. It does not work
only for individual but also for friends and families. Along with it, app will also provide
suggestion of outfit based on type of event.
Thus, I had developed a business idea with my colleagues. The idea was regarding an App
that focused on providing health related tips to all people. In this project I played role of CMO
that is Chief marketing officer. The role of CMO is to conduct market research by analysing data
and info. Also, he is responsible for promotion and advertising of product and services.
Moreover, CMO handle and manages all marketing related activities. Besides this, from his point
of view profits and sales are estimated. Therefore, as CMO I played my role in significant way.
for analysing profits of app I had to evaluate past data and records. This is because it gave me
insight on how much data can be gathered. However, by identifying profit it will be easy to find
out long term success or not (Naggar, 2015). Alongside, revenue enable in determining return on
investment and gross sales, gross income, operating and marginal profits, etc. it is said that profit
is calculated by subtracting tax from gross profit. In app it is calculated from number of
downloads. I realised that it is necessary to reduce overall cost of developing and designing app.
It is because it helps in forming budget and on basis of further things are proceeded.
2 Value proposition canvas
The tool which helps in ensuring the service or product which has been position around
what is needed by customer and what it values is called value proportion canvas. For customer
value proportion, being CMO of the FIT ME App I has found out the various results regarding
customers gain as well as its pain while along with it I has found out the culture of employees
job in the business.
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In order to identify business model, we used value proposition canvas model. This is
because it is a framework that enable in finding out how products and services are been offered
to customers needs. Moreover, I found that there are two segments in it which are value map and
customer profile. In that I found that in product the gain creators are time saving, easy to use and
innovative technology. So, from all these values of app is been generated. Also, we evaluated
that if app saves time and is easy to use then customers are automatically attracted. Then in
service part we identified elements of app that is smart, efficient, quick, etc. beside this, the pain
killers due to which app value can be increased is new outfit in quick time, variety of fashionable
clothes, etc. new and stylish outfits.
In another segment of customer, I identified that gains are user friendly, personalised and
automatic (Fritscher and Pigneur, 2015). So, it will attract customers to use FIT ME app and get
stylish wearables. Furthermore, pain killers that can impact on app value is time consuming,
inappropriate outfit shown, etc. thus, in my point of view, it is essential to use proposition canvas
as it gives insight on user requirement and market demand that whether app is according to user
requirement or not. I found that are some other values as well which can be included in value
proposition canvas. They are implementing new features in app, resolving issues which occurs in
app, increasing user experience. So, these all will be useful in allowing more customer to
download and use app. But I think that most important is app has to be user friendly. This is easy
to make changes in app and identifying user requirements.
The value canvas also reflect that what crucial gains and pains is included in project. but
there are some issues as well in value proposition. The main is technical issues and faults in app
that can lead to impacting its user interface.
Moreover, the job that canvas reflect is user that are trying to find out some new outfit and
cloth to be wear on each day. So, the App will only be for those who want some latest style
fashion cloths. It can be used for designing some new cloths or mixing of it.
3 Lean business model canvas
Key partners
It has been analysed that in entrepreneur business it is required to have key partners in it.
the partners are foundation of business and support in decision making and developing strategies
(Haaker and et.al., 2017). For FIT ME app there are essential partners which are Google play
store, app developers, investors, payment gateway, etc. the developers are those who will
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develop app with by doing coding. Beside this, they will include features in it according to
customer needs. The investors will provide funds to develop an App. Their only role is to invest
in it and contribute in business.
Activities
The model indicated that there are many activities conducted in App. As it includes
different features so each one work on specific activity. Here, activities like R&D, online and
offline marketing, user relationship management, etc. are done. User can also get outfit style on
basis of event. so, these all are core activities of FIT ME app. However, there are some other
activities as well of App such as providing suggestions to user family, friends, etc. these all
ensure that App is fulfilling user needs.
Resources
The activities are carried out by using resources. The resources are also useful in
managing activities of business. So, they play crucial role in conducting business for long term.
In FIT ME app there are many resources utilised that are physical resources, smartphones, HR
resources and financial resources (Bertels, Koen, and Elsum, 2015). So, with help of all these
the App will be developed. Here, at initial level £ 50000 investment is done.
Value proposition
This is because it is a framework that enable in finding out how products and services are
been offered to customers needs. Moreover, I found that there are two segments in it which are
value map and customer profile. In that I found that in product the gain creators are time saving,
easy to use and innovative technology. So, from all these values of app is been generated. Also,
we evaluated that if app saves time and is easy to use then customers are automatically attracted.
Then in service part we identified elements of app that is smart, efficient, quick, etc. beside this,
the pain killers due to which app value can be increased is new outfit in quick time, variety of
fashionable clothes, etc. new and stylish outfits.
Customer relationship
For a business it is important to maintain customer relations. It enables in retaining them
and creating a large customer base. Similarly, in FIT ME app customer relationship is maintained
by taking review and feedback of users. They are been provided high quality services which is
used by them. Another way of maintaining customer relationship is by sending e mails to them
regarding new design and outfits available on app that can be used by user. In addition, customer
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problems and issues are quickly solved (Luft and et.al., 2016). Moreover, personal services and
advice is also given to customers. moreover, online and offline method is used for customer
relationship. A survey will be done as well to maintain relation.
Channels
A business require proper marketing channels through which promotion and advertising
is done. it enables in attracting people and generating awareness about data and information. so,
in order to promote FIT ME app different marketing channels are available. It depends on
entrepreneur that what type of channel is preferred. The App can be promoted by using social
media. It is best channel for it. However, social platforms like Instagram, Twitter, etc. are sites to
reach customers. Along with it, TV and digital marketing is also a channel by which promotion
can be done. it will enable in displaying features of App. Thus, effective outcomes will be
generated and customers will get aware about FIT ME App.
Customer segment
There are different customer segments in market that exists. So, each one needs and
wants differ from one another. A business develops products and services on basis of target
market. Now, for app the target market are all those people who like to wear fashionable details.
By that it becomes easy to target that particular market in effective way. Also, it includes both
men and women are target people who are engaged. Beside this, the app will enable in attracting
those people. However, another customer segment is to models who want to wear stylish clothes.
The app will be launched in all over London (Ibrahim and Dahlan, 2016). By using the app it
will be easy for users to improve their dressing style.
Cost structure
The model also provides details about cost structure. from that it is easily identified that
where cost incurred is more. In similar way, cost structure of designing an app is that use of
software and application cost is £1500. Furthermore, the cost of testing and installation is £ 500.
However, use of system and server in storing of data and information is £1000. the company will
have to pay salary to technical experts will be around £750. At last for marketing and promotion
cost required will be £ 1750. Thus, all these will cost will allow business to develop app and
generate revenue from it.
Revenue streams
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For a business revenue is generated from many sources. Also, a business needs to analyse
that what streams are available for it. here, for FIT ME app the revenue stream is that 1 month
free trail for every user. Along with it, 50% discount will be given to students for downloading
app. The app will charge £5 on per month from users. so, there is only one way that allows
business to get return from investment.
4 C level specialist contribution
As a CMO my role was to contribute towards development of entrepreneur opportunity.
here, first of all I analysed my roles and responsibilities. In that I gathered data and information
from market to identify customer needs. Then, I did investigation on competitors and other types
of apps available. On basis of that I suggested innovation that can be done. besides this, I
communicated with my group (Pölling and et.al., 2017). Then, I focused on developing
strategies that how App marketing and promotion will be done. I also suggested some ways
related to what things are to be done and performed other functions and roles as well. I had to
find out that what target market will be beneficial for App. There was change in things as well
due to which I contributed in other activities. As CMO role is to involve in marketing activities.
However, I analysed value proposition canvas to find out how value can be generated from App
and what are the areas from where value is obtained. So, it gave me insight on customer and
market segment values.
Another contribution of mine was that I proposed plans and showed them what profit or
revenue can be generated within specific period of time. for this I used and analysed secondary
as well as primary data that how much revenue can be generated. I also conducted a survey in
market. it enabled me to provide description of what are needs of customers. It was essential for
me to analyse outcomes to find out further opportunities that is available for business.
I communicated with CEO and CFO that what strategies are to be formed and how it will
be implemented. I provided some tactics that included facts and figures. Then, I developed
marketing activities and also shown set target market. furthermore, I set budget as well of
marketing and determined resources that are required in it. So, it was easy for me to gain
knowledge on relevant tasks. I may be able to use skills and knowledge in future business
opportunity related project as well (Pedersen, Gwozdz, and Hvass, 2018). Being the CMO with
strategically as well as enterprise-wide responsibilities, I had shifted business model or the
industrial boundaries in effective manner.
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Moreover, I had started focusing on the commercialization. While focusing on the
commercialization I had worked at downstream role, where I had used my marketing
communication skills to sell products and designs which is designed by others. Thus, by doing
this I had created revenue growth relationship with the customers by focusing on my
responsibilities which includes overseeing at traditional as well as digital efforts. Therefore, I
being the CMO of the restaurant has brought innovations by playing a supporting role as a
commercialize. At last I used a business canvas model which included different activities of
business. In that I determined many components in an effective way. The components were
resources, activities, cost structure, etc. I did it with help of other group members. It was easy for
me to do this as overall business model was identified. Then, I communicated with CEO and
formed strategies.
So, in this way as CMO I contributed to a great extent in this project. I did many activities
and tasks related to what are things included in business. the main role was to develop marketing
and promotional strategies. In addition to it, business canvas model is another major activity.
5 Financial and financing plan
As a CMO it is essential for me to provide relevant data and profit so that financial plan
is developed. For this it requires many things such as cost structure, sources of finance, cash flow
etc. these all were calculated by us and figures were obtained from it (Haaker and et.al., 2017).
Hence, for FIT ME app profit and loss is evaluated by its financial statement. So, the overall plan
is defined below :-
The main component in plan is cost structure that demonstrates required cost for designing
and developing App successfully which includes cost of resources, cost of operations and
expenditure of amount of money in employing staff. Then, comes is revenue stream which is
total collection of money generated from the market. It consists of collection of shares of profits
as well as cost expenditure in managing app and maintaining its efficiency through IT
infrastructure. Then, I conducted break even analysis. It provided us details in how much time
there will be no profit no loss situation will occur. In addition to it, on basis of that we can
identify which source of finance is suitable. Furthermore, on basis of it price of App can be
decided. Similarly, we did cash flow analysis which states that the amount of money app can
brought and money the FIT ME App is expanded (Ibrahim and Dahlan, 2016). This analysis is
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generally done at the end of the month. So, this analysis is important for analyzing profit and loss
statement of App
Source of finance is the path through which the firm will going to receive the amount of
money initially for running the business. It includes business owners, investors, banks or firm
which provides loan. While use of finance is the way in which the company uses its fund for
doing the business. The use of finance must be done in systematic way so that cost of developing
app remains low and return generated is high.
6 Summary
It is summarised that entrepreneur usually invest in business to get high return. So, as a
CMO is found that business opportunity has to be identified. I have to analyse data and info to
find out what better ways to make a business successful. Usually, in lean entrepreneurship the
return is high as unique products are developed. This type of business are successful in many
ideas. Lean start ups are those in which strategic ideas are analysed and validated. Here, a clear
mindset is built and teams work in it. they understand current trend and new business or venture
is established. So, entrepreneur develops new opportunities and then start a business. Thus, by
developing FIT Me app is properly invested customer needs and preferences. In this way I
identified different opportunities for business to grow and expand. Moreover, it allows business
in fulfil needs of customers. Thus, the entrepreneurship begins when an individual tends to make
a conjecture or put resources in best use. Therefore, the outcomes of business are value, and
value is profits. And finally the profits are considered as rewards which are earned by the
entrepreneur for taking risks. Moreover, until and unless the entrepreneur tends to take risk the
business won’t start.
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REFERENCES
Books and journals
Bertels, H.M., Koen, P.A. and Elsum, I., 2015. Business models outside the core: Lessons
learned from success and failure. Research-Technology Management, 58(2), pp.20-29.
Fritscher, B. and Pigneur, Y., 2015, July. Extending the Business Model Canvas: A Dynamic
Perspective. In Proc. International Symposium on Business Modeling and Software
Design (Vol. 5, pp. 86-96). ScitePress.
Haaker, T. and et.al., 2017. Business model stress testing: A practical approach to test the
robustness of a business model. Futures, 89, pp.14-25.
Ibrahim, J. and Dahlan, A.R.A., 2016, October. Designing business models options for
“University of the Future”. In 2016 4th IEEE International Colloquium on Information
Science and Technology (CiSt) (pp. 600-603). IEEE.
Luft, T., and et.al., 2016, May. A Business Model Canvas for IDecide-How to Design a New
Decision Making App?.
Naggar, R., 2015. The creativity canvas: A business model for knowledge and idea
management. Technology Innovation Management Review, 5(7).
Ojasalo, K. and Ojasalo, J., 2015. Adapting business model thinking to service logic: an
empirical study on developing a service design tool. The Nordic School, 309.
Pedersen, E.R.G., Gwozdz, W. and Hvass, K.K., 2018. Exploring the relationship between
business model innovation, corporate sustainability, and organisational values within the
fashion industry. Journal of Business Ethics, 149(2), pp.267-284.
Pölling, B. and et.al., 2017. Business models in urban farming: A comparative analysis of case
studies from Spain, Italy and Germany. Moravian Geographical Reports, 25(3), pp.166-
180.
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