Transcript of Serenity now wk 7
- 1. The Problem Over the past few years there has been an
increase of interest in healthier, organic lifestyle and
alternative medicine. The problem for this market is that the
locations that provide these types of services are few and far
between. For this market most people who are interested in one area
of this lifestyle usually will have an interest inthe others as
well. I believe this market is open to not only people who are
dedicated to a more healthier, alternative lifestyle, but also to
people who are just looking to try something new and different. The
current market in this area does not provide many locations that
provide these products or services and those that do only touch on
one area such as just food, or yoga classes, or alternative
medicine, etc. There are not any places that provide everything in
a central location with a focus on holistic wellness.
- 2. Serenity Now The unique solution my company will provide for
this market is a wellness center that provides a well rounded
variety of services to the target market. Serenity Now will provide
people access to organic smoothies, health seminars, massage
therapist, yoga and tai chi classes.I think this solution would
appeal to the target market because this can become somewhere they
can visit on a daily basis for one service or another and not have
to worry about driving to several locations in opposite directions.
Come experience serenity for yourbody, mind, and stomach .
- 3. Industry AMTA estimates that 47 million Americans received a
massage within the past year, and that the same proportion of
respondents who visited amassage therapist for pain relief--about
three in 10-ranked massagetherapy and more conventional medications
as delivering the greatest relief from pain (Modern Healthcare).
American spend $5.7 billion a year on yoga classes and
productsannually, up 87% since 2004. The average cost of a yoga
class is $12.Nearly 16 million adults in the U.S. practice yoga.
Three-quarters ofpractitioners in the U.S. have been doing yoga for
5 years or less (Evans). In 2014, the United States organic food
market is forecast to have a valueof $42billion, an increase of
63.3% since 2009. The compound annualgrowth rate of the market in
the period 2009-2014 is predicted to be10.3% (Organic Food Industry
Profile: United States).
- 4. Target Market The Institute for Social-Ecological Research
completed a survey of 1575 organic food products and found that
their target markets were:
-
- The Holistic Convinced Consumer
- 5. The Successful and Demanding Consumer
- 6. The 50+ Health Oriented Consumer
- 7. The Cautious and Skeptical Consumer
- 8. The Young and Undecided Consumer
It really make's it that much more convenient to live a healthier
life style, which is not that easy to pursue due to the scarcity of
resources and knowledge of how to obtain a healthier life style. So
the convenience factor is a great advantage for this. - Oz
Flores
- 9. Competitors A Therapy Above: They would be the top
competitor because theyare the closest business idea to my business
idea.They offer avariety of services such as holistic doctor,health
seminars, alternative medicine, and yoga/tai chi classes. Yoga 4
All: They are a yoga and massage therapist center thatprovides a
welcoming atmosphere and a variety of classes that canfit anyone's
schedule or skill level. Massage Envy: They are a membership
massage therapist centerwhere clients can sign contracts to receive
discounted massagesevery month. Massage Envy has numerous locations
forconvenience even if their clients are out of town .
- 10. SWOT Strengths:
-
- Professional, friendly staff
- 11. Multiple services in one location
Weaknesses:
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- New to the industry, no previous clients from this area
- 12. Finding the right location to appeal to the target
market
Opportunities:
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- Expanding the center to provide more organic spa
treatments
- 13. Expanding product line such as other organic items
including clothes, hygiene items, etc.
- 14. Expanding by adding a holistic doctor and/or
nutritionist
Threats
-
- Well established competitors
- 15. Economic problems sometimes force people to choose the
cheaper option instead of the healthier one
- 16. Business Model
- Yoga Studio, Massage Therapy Practice, and Smoothie Bar all in
one location offering our customers convenient resources for a
healthier lifestyle. Serenity Now will also offer low-cost or free
health seminars .
-
-
- Yoga instructors and Massage Therapist will be independent
contractors for the first 6 months, until 1 yoga instructor and 2
massage therapist are brought on as full time staff members.
- 17. Myself and a full time staff member will be in charge of
setting appointments, accounting, assisting staff and customers,
and the smoothie bar. Payroll will also include a part-time
marketing expert for designing and distribution.
- 18. Start-up Expenses Start-Up Expenses Legal $200 Insurance
$1000 Payroll $5000 Rent/Sec. Deposit $3000 Computer/Office Equip.
$4000 Pre-Marketing/Brochures $2200 Office Supplies $300 Misc.$600
Total Start-up Expenses $16300 Start-Up Assets Cash in bank $20000
Current Assets $400 Office Furniture $2000 Signage $300 Leasehold
Improvements $400 Plant and Equip. $2000 T otal Start-up Assets
$25100 Monthly Expenses Rent $2000 Utilities $600 Payroll $5000
Inventory $500 Marketing $200 Start-Up Expenses $16300 Start-Up
Assets $25100 Cash for recurring costs (6 months) $49800 Total
Start-up Costs $91200
- 19.
- $2318.73 a week in sales in the first year
- 20. $111300 revenues year 1
- 21. 20% increase in revenue in year 2
- 22. 30% increase in revenue in year 3
3 yr forecast Year 1 Year 2 Year 3 Total Revenues 111300 133350
144690 COGS 31620 37944 41106 Gross Margin 79680 95406 103584
Operating Expenses 79160 90380 90380 Operating Profit/ Profit
Before Taxes 520 5026 13204 Taxes 145.60 1407.28 3697.12 Net Income
374.40 2618.72 9506.88 Sales Forecast
- 23. Cash Flow
- 24. Balance Sheet and Key Ratios Gross Margin 92% Net Profit
Margin 33% Current Ratio 4.76
- 25. Milestone Chart Milestones Start Date End Date Manager
Finish Business Plan 03/15/2010 12/17/2010 Kaycee Begin Personal
Savings 01/01/2010 12/31/2011 Kaycee and Patrick Find business
partner/investor 06/01/2011 12/31/2011 Kaycee Purchase existing spa
style business 01/02/2012 01/27/2012 KayceeAcquire any necessary
licenses or insurance 01/02/2012 02/15/2012 KayceeConstruction to
expand existing business 02/01/2012 02/28/2012 KayceeInterview
existing personnel and hire new ones 02/01/2012 02/28/2012
KayceeObtain any additional materials 02/01/2012 02/28/2012
KayceeMarketing/Promotions 02/15/2012 Indefinite Kaycee Grand
Reopening 03/01/2012 03/04/2012 Kaycee Open for Business 03/01/2012
Indefinite Kaycee Call-to-Action Plan
- Take care of your body and mind
- 26. Tell your friends about us
- 27. Give the gift of a healthier lifestyle
- 28. References (2005). The lowdown on the rubdown. Modern
Healthcare, 35(46), 60. (2010, September 4)Retrieved from Business
Source Complete database. (2009). Organic Food Industry Profile:
United States. Organic Food Industry Profile: UnitedStates, 1.
(2010, September 4) Retrieved from Business Source Complete
database. Evans, S. (2010). Om. Fast Company, (148), 116. (2010,
September 4) Retrieved fromBusiness Source Complete database.
Institute for Social-Ecological Research. (2003, October). Bio+pro
target groups in the marketof organic foods. (2010, August 24)
Retrieved fromhttp://www.isoe.de/english/projects/biopro.htm
NAMASTA. Memerbship options and benefits. (2010, September
12)Retrieved
fromhttp://www.namasta.com/services/memberservices.php#3 Rekve, G.
Massage therapists business plan. (2010, September 12)Retrieved
fromhttp://www.referenceforbusiness.com/business-plans/Business-Plans-Volume-
11/Massage-Therapists. html Sunriseconcepts. Overview of opening a
yoga studio. (2010, September 11) Retrieved
fromhttp://hubpages.com/hub/Overview-of-Starting-Up-A-Yoga-Studio