LIFESTYLE BUSINESS ACCELERATOR 90 Day Program | 3 Building a Lifestyle Business
AGENDA UPDATE ON HOMEWORK PRODUCT/SERVICE OVERVIEW
INDUSTRY & COMPETITIVE RESEARCH (SECONDARY) ACTION ITEMS
CREATING YOUR PRODUCT/ SERVICE OVERVIEW Product Name
Main Features
Estimated Cost
Estimated Wholesale Price
Estimated Retail Price
Target Market
Problem(s)
Solutions(s)
SECONDARY RESEARCH OVERVIEW INDUSTRY ANALYSIS Define the industry Industry size, growth, trends, participants, etc External threats: economy, regulation, barriers to entry, and market factors Tools: NAICS, SIC, ESRI, First Research, Hoovers, IBIS World, etc.
MARKET ANALYSIS Addressable market definition and size Target market definition and size Why is this the target market? (largest opportunity, lowest hanging fruit, domain expertise, etc) Tools: US Census, SBA, BLS, Real Estate Agents, Business Decisions
COMPETITIVE ANALYSIS Create a list of companies with similar products & services (direct and indirect) List the key features, functionality, and strengths of each Identify their pricing structure and business model Convey your competitive advantages Competitive matrix and comparison table Tools: Competitor websites, review sites, TrafficEstimator.com.
WHAT IS AN ‘INDUSTRY’?
INDUSTRY DEFINITION
A classification that refers to a group of companies that are related in terms of their primary business activities. In modern economies, there are dozens of different industry classifications, which are typically grouped into larger categories called sectors. Individual companies are generally classified into industries based on their largest sources of revenue. For example, an automobile manufacturer might have a small financing division that contributes 10% to overall revenues, but the company will still be universally classified as an auto maker for attribution purposes.
The Industry SUPPLIERS MANUFACTURERS DISTRIBUTORS TRADE ASSOCIATIONS
INDUSTRY VIDEO
LIST OF SECTORS Basic Materials Conglomerates Consumer Goods Financial Healthcare Industrial Goods Services Technology Utilities
Code
NAICS CODES:
NORTH AMERICAN INDUSTRY CLASSIFICATIONS
Industry Title
Biz Count
11
Agriculture, Forestry, Fishing and Hunting
414,582
21
Mining
28,520
22
Utilities
28,207
23
Construction
31-33
Manufacturing
577,432
42
Wholesale Trade
673,738
44-45
Retail Trade
48-49
Transportation and Warehousing
432,467
51
Information
290,960
52
Finance and Insurance
643,483
53
Real Estate Rental and Leasing
683,800
54
Professional, Scientific, and Technical Services
55
Management of Companies and Enterprises
56
Administrative and Support and Waste Management and Remediation Services
61
Educational Services
62
Health Care and Social Assistance
71
Arts, Entertainment, and Recreation
266,428
72
Accommodation and Food Services
749,578
81
Other Services (except Public Administration)
92
Public Administration
1,270,691
1,619,124
2,058,179 44,616 2,499,821
325,937 1,311,395
1,618,545 215,203
TOOLS TO LEARN DEFINITION OF INDUSTRY
North American Industry Classification System
Yahoo Sector List
Services - Advertising Agencies - Company List
TRADE ASSOCIATION
A trade association, also known as an industry trade group, business association or sector association, is an organization founded and funded by businesses that operate in a specific industry.
EXAMPLE https://www.boardretailers.org/
INDUSTRY BUSINESS MODEL CANVAS
IN CLASS
Fill Out Industry Business Canvas Model
DIRECT COMPETITORS
INTRO TO COMPETITIVE ANALYSIS
Direct competition is a situation in which two or more businesses offer products or services that are essentially the same; as such, the businesses are competing for the same potential market.
INDIRECT COMPETITORS Indirect competition is the conflict between vendors whose products or services are not the same but that could satisfy the same consumer need. The term contrasts with direct competition, in which businesses are selling products or services that are essentially the same.
COMPETITIVE MATRIX | SAMPLE 1
COMPETITIVE MATRIX | SAMPLE 2
IN CLASS
Fill Out Competitive Business Canvas Model
HOMEWORK
1
2
Write Product & Service Description
Read & Fill out Completing your Research Ebook
3 Complete Act of Service for someone in class
These 4 sections are due 6/14/16 before class to accountability partner.