Developing Virtual Reality Business Model for Game Centers

The assignment discusses the virtual reality (VR) business model, specifically focusing on game centers where end customers use VR products and services. The report highlights key activities for value proposition, distribution channels, customer relationship maintenance, and revenue streams. It also emphasizes the importance of place, equipment, and guidance provided by game developer companies. Furthermore, it identifies core competencies required for a sustainable business, including leadership, self-motivation, negotiation skills, communication, consultation, and technology expertise. Lastly, the report highlights the types of resources necessary for a VR game center, including physical, legal, and financial resources.

Virtual reality game center

Table of Contents
Product/Service in terms of functions/Features/Appearance/ Outcome..........................................1
Unique selling proposition/ value proposition of the product and services.....................................2
Different from existing product and services...................................................................................2
Product does it best..........................................................................................................................2
Innovation and creativity in business idea .............................................................2
Customer segment ...........................................................................................................................2
Most important customer.................................................................................................................3
Products and services offer to each customer segment....................................................................3
Value and benefits deliver to customer............................................................................................3
Customer problem solution and customer satisfaction....................................................................3
Market penetration and stakeholders ..............................................................................................3
Key activities for value proposition.................................................................................................4
Activities to distribution channels...................................................................................................4
Important activities to maintain customer relationship....................................................................4
Fundamental activities for revenue streams.....................................................................................5
Required key resources....................................................................................................................5
Goods, services and infrastructure...................................................................................................5
Core competencies requirement for sustainable business................................................................5
Types of resources...........................................................................................................................5
REFERENCES................................................................................................................................7

Product/Service in terms of functions/Features/Appearance/ Outcome
Products use in virtual reality
 Headsets
 Oculus
 Controller
 VR Gun
 Wearable haptic device
 Virtuix omni
 prio VR
 Consoles
Services/features/appearance in term of functions
 Entertainment
 No restriction and full immersion
 Artificial dimensional vision
 Education
 High level gaming experience
 Individual can control the character
 Fully compatible
 Virtual reality gaming platform
 NO external noise
 Stereoscopic 3D mode
 Headsets including separate 1k per eye
 Low persistence
 positional tracking
Outcome
 Immersive gaming
 Allow new possibilities of gaming
 More realistic gaming experience
 Game development
 Education and training
1

 Revenue generation
Unique selling proposition/ value proposition of the product and services
 Virtual reality gives a person the experience to step in the game become the character
 Player can decide how and where to move without any restriction
 Full immersion
 Allow new possibility of gaming
Different from existing product and services
 Fully developed and upgraded with the latest technology
 Intellectual property
 Providing services with 100 % genuine products
Product does it best
The product oculus does it best because it is a head mounted display which gives user a very
high tech gaming experience. Other then oculus, Wearable hap tic device and Virtuix omni gives
a great experience to the user.(Kumar, and et.al 2014)
Innovation and creativity in business idea
As business structures is prepared by keeping Oman in mind. Virtual reality game centre is
mostly a untapped market in Oman as there are not so many competitors than definitely start
with the all product and services already described makes business plan innovative itself.
(Anderson, and et.al 2015)
Customer segment
Customer segment is done on the basis of three different market which this business idea can
tap .First is private market which consist kids, youth and hardcore gamer. Business market
consist with game halls, fun parks and bowling halls. Potential market for the business can be
Cyber cafe.(Choi, and et.al 2014)
Most important customer
 Kids
2

 Youth
 Hardcore gamers
Products and services offer to each customer segment
As private market consist with youth, kids and hardcore gamer so product or services which will
attract them are Virtual reality gun, game controller and consoles and headsets. Where as
business market such as game halls, fun park and bowling halls are most crowded area and visit
only for fun and experiencing something new so product which offered to them can be Oculus
and virtuix omni. Third segment is potential market such as cyber cafe, for this products and
services will be prio virtual reality and wearable heptic device.(Kong, and et.al 2016)
Value and benefits deliver to customer
 Education and training
 Console development kit
 Warranty and after sale services
Customer problem solution and customer satisfaction
 Helps in adopting the new technology
 After sales services
 Provide sufficient warranty
 User guide with understanding manner
Market penetration and stakeholders
Mass market
There are so many big companies are working in the sector of virtual reality sector such as
Google, Facebook, Sony, HTC, NVIDIA and so on.
Niche market
As virtual reality have a big business and very diversify in nature. Virtual reality is considers as
one of the niche segment in the virtual reality world.(Molina and et.al 2014)
Diversified
Virtual reality consist with very diversified business. Military, space, gaming, medical and
healthcare, engineering, arts, marketing and so on.
Segmented
3

 Kids, youth and hardcore gamer are the key customer for the virtual reality game centre
 Research and development work also done through virtual reality as its is helpful in space
mission
 Medical and healthcare segment also use virtual reality as it is helpful in the treatment of
various disease
Eco system
Virtual reality gaming eco system start from the game developer then transfer of products will be
to game centres where end customer use the product and services.(Miller, and et.al 2014)
B2B, B2C, B2G and stakeholders
 Virtual reality business to business model consider as companies such as Google, Sony
provide products to various game centres
 End customer can buy the products and also use the services which is there in the market
 Government also taking so many initiatives, virtual reality products use in for the purpose
of R&D
Key activities for value proposition
 Upgraded tools and product
 Sufficient place to use gadgets
 Caretaker who have good knowledge about the area of concern
Activities to distribution channels
 Social media marketing
 Trade shows in malls and public places
Important activities to maintain customer relationship
 Network building
 E-mail marketing
 After sales services
 Reward loyal customer
 Immediate solution to customer complaint
Fundamental activities for revenue streams
 Market segmentation according to customers
4

 Evaluate total available market, serviceable and target market
 Examine the overall production and prepare a prudent revenue model
Required key resources
 Place for start a business it is important for the virtual reality game centre
 Miller, and et.al 2014All the require equipment with the proper guide, it is provided by
the game developer companies
Goods, services and infrastructure
 All the basic goods for gaming purpose such as oculus, virtuix omni, wearable hap-tic
device, headsets, controller , consoles and so on
 Guidance to the customer as this technology require knowledge to use
 infrastructure should be hi-tech because mostly users are gamers so it will be in a way
which is attracted for them
Core competencies requirement for sustainable business
 leadership
 self motivator
 Negotiator
 communicative
 consultativeMiller, and et.al 2014
 Technology freak
Types of resources
 Physical resources such as place, gadgets, Inverter, fire extinguisher, first aid kit, Kit for
the gadgets and so on
 Legal resources such as patents, company registration, cyber security etc.
 Proper financing activities such as loan and instalment related affairs
 Good technological skills
 Prudent network with customer and companies for smooth functioning
5

REFERENCES
Kumar, and et.al 2014, February. Single access point based indoor localization
technique for augmented reality gaming for children. In Students' Technology
Symposium (TechSym). 2014 IEEE (pp. 229-232). IEEE.
6

Miller, and et.al 2014. Effectiveness and feasibility of virtual reality and gaming system
use at home by older adults for enabling physical activity to improve health-related
domains: a systematic review. Age and ageing. 43(2). pp.188-195.
Anderson, and et.al 2015. Virtual reality video games to promote movement recovery in
stroke rehabilitation: a guide for clinicians. Archives of physical medicine and
rehabilitation. 96(5). pp.973-976.
Kong, and et.al 2016. Efficacy of a Virtual Reality Commercial Gaming Device in Upper
Limb Recovery after Stroke: A Randomized, Controlled Study. Topics in stroke
rehabilitation. 23(5). pp.333-340.
Choi, and et.al 2014. Effectiveness of commercial gaming-based virtual reality
movement therapy on functional recovery of upper extremity in subacute stroke
patients. Annals of rehabilitation medicine. 38(4). pp.485-493.
Molina and et.al 2014. Virtual reality using games for improving physical functioning in
older adults: a systematic review. Journal of neuroengineering and rehabilitation. 11(1).
p.156.
7