Final Reflection

After looking through all of the assignments I've turned in for this class during the past semester, it's actually pretty amazing to see how my way of thinking has changed along with the concept for my water bottle idea. While I was doing the assignments it seemed like they would never end but now that I'm writing the last blog post, it's somewhat bittersweet. I never thought I would feel that way but I feel like I've put a decent amount of work conducting interviews, fleshing out ideas, and really considering my venture concept. It's hard to just stop and basically give up on this idea but at the same time, it's nice to have some closure and not have as much work.

I think the most fun activity was the "Create a Custom Avatar" one because it was fun to put a narrative twist on a helpful assignment. This assignment was not only really fun but I think it's one of the most helpful assignments because having a clear picture of my market makes it much easier to cater my product to them and really understand how they envision the problem I'm trying to solve. The most productive activity was "Venture Concept No. 2" because it was really a culmination of everything from the semester and shows my biggest ideas all in one place. I would probably refer to that assignment the most if I was to ever come back to this idea in the future. 

I don't see myself as a full-blown entrepreneur yet. I feel that for someone to truly have this it must become a lifestyle for them and it's not a lifestyle for me. However, I definitely have a more entrepreneurial mindset now that I've really thought about a business concept in more ways than I ever thought I would. For example, before taking this class I never thought about how critical it is to consider the different aspects of your target market. Honestly, if I ever decide to take an entrepreneurial route, this class will have prepared me very well for a beginner's understanding of how creating a business works. 

One recommendation I have for future students is that if you put a solid effort into these assignments then you will get exponentially more out of this class. Obviously, if you put in more effort then you'll likely get a better grade, but that's not the most important thing because it's not too hard to get a good grade in this class. If you constantly strive to further your idea with each assignment then you will notice growth in your entrepreneurial mindset. Lastly, watch the lectures because Dr. Pryor is hilarious and also has amazing tips for entrepreneurship in general as well as for these assignments. 

Venture Concept No. 2

Here is a revised version of my venture concept for the EZ-Clean Hydro Bottle:

EZ-Clean Hydro Bottle -- Venture Concept

Opportunity

My product is an environmentally friendly water bottle with a larger mouth. The opportunity that relates to this product is anyone that has a problem washing their water bottle because the mouth of it is too small to fit either of their hand into it. Another sub-segment of customers would be people searching for a durable, sustainable, and eco-friendly alternative to traditional plastic water bottles. The nature of his need is that it is realized whenever people are washing their bottles, however, there is currently no readily available alternative for the water bottles they already use. The forces in the environment that create this opportunity is basically a lack of action by water bottle companies; no leading water bottle company has created a product specifically designed to be easier to wash. There really is not much of a limit geographically to the customer base because where you live doesn't affect whether you use a water bottle or not; at least, it shouldn't. Demographically, I would like this product to be affordable enough for anyone to be able to purchase one, but currently making new plastic is cheaper than recycling and removing harsh chemicals is even more expensive, so this product might end up singling out the middle and upper class. Another demographic that will be more affected is the environmentally active/sustainable group because of this water bottle's qualities, including being recycled and BPA-free. Customers are currently satisfying this need by either disregarding the issue or coming up with their own solution. Many customers I interviewed said they would create a device/tool to reach inside and clean the inside of the bottle. They said they would consider buying a bottle that solved that issue if it was functional and reasonably affordable. This opportunity is fairly large because everyone needs to drink water and many people (this number is rising as society is ever more progressive) use water bottles to decrease the use of plastic. I don't see this opportunity going away soon, unless another big-name brand, such as Nalgene, created a similar product.

Innovation

My innovation is a water bottle that has a large mouth (one that the average-sized hand could fit inside). This product not only solves the issue of washing a bottle that has a small mouth, which by conducting more than several interviews I have confirmed is a relevant issue, but it also is durable, sustainable, and adaptable. The bottle would come with a limited lifetime warranty so anyone could replace the bottle if it's damaged. It is also made from recycled plastics and is BPA (bisphenol A) free, making sure to reduce waste on land and at sea. Lastly, the bottle will come in three sizes, 24 oz, 32 oz, and 48 oz so that people can purchase whichever size suits their needs. Someone that's going to be working in the yard all day might want a 48 oz. so they don't have to go inside to fill up, while someone that's just taking their bottle to work likely will buy a 24 or 32 oz. bottle. For this bottle to be realistic and functional the mouth has to be big enough to fit a balled-up hand into it and also easy to drink from. To make sure that's possible I would widen the mouth to a larger circle (instead of having the lid be a smaller diameter than the body of the bottle, which is typical). This would allow an average hand to fit inside and be able to move about and clean while also still providing easy-drinking capabilities, including still being able to fit it in an average cupholder. This image should make that easier to visualize. Now I will break down the pricing. Each water bottle will come with a water bottle (made up of the body and the lid) and a small card that incentivizes them purchaser/recipient to buy more products. The card will advocate 25% of the proceeds on their next purchased item will go to the wildlife/environmental/sustainability charity of their choice. Each size of the water bottle will be priced differently. The 24 oz. bottle will cost $10, the 32 oz.will cost $15 and the 48 oz. will cost $25. The pricing is a little higher than I would like to see, but as I said earlier, using recycled plastics and making the bottle BPA-free is more expensive than using new plastic that has all of the typical chemicals. As far as the research backing these numbers goes, I did my best to provide an estimate. It would probably be impossible to get accurate production costs from a manufacturer for my intents so I had to base the price on industry prices. The company with water bottles most similar to mine is Nalgene. I just added some to their prices because my production costs will be higher than theirs due to diseconomies of scale. Also, my water bottles are made from more expensive materials so that factor into a higher production cost.

Venture Concept

My water bottle will solve all of the issues water bottle users have with washing their own bottles in addition to providing added value, such as being environmentally friendly, durable, and adaptable to any situation. Customers will buy this innovation because they will no longer have to be frustrated while cleaning their bottle and they'll be able to keep their bottle cleaner. Customers would switch to this new product if they use water bottles often enough to be consistently faced with the issue of not being able to fit their hand into their bottle to effectively clean it. It might be hard for them to switch if they have brand loyalty to big-name brands such as Nalgene or Hydroflask, but if the person values quality over status then they would probably make the switch. Two large competitors that I immediately think of are Nalgene and Hydroflask. Hydroflask mostly makes metal bottles, which are outside of the scope of my opportunity, so I won't focus on them. Nalgene is a very large and well-established company so it's hard for me to think of a disadvantage for them. The packaging isn't a problem because I will sell my water bottles without a package. They will simply have a removable label that can be printed out and applied to them. I would have to work with distributors to have my products in grocery stores, gas stations, sports stores, etc. because the variety of people that use water bottles is extensive.

Secret Sauce

My most important resource is going to be my passion for this product's growth and mission. I believe that you can't fake passion and if you have a passion that you truly believe in then you'll always stay committed and true to your intended purpose. For more detail, you can reference my previous blog post.

What's Next For the Venture?

The next opportunity I would tackle is determining the bottom line for my product and really crunching the numbers behind the production, distribution, advertising, etc. of my water bottle. This is super helpful because it will allow me to think creatively as well as analytically about my product to forecast if it makes financial sense.

What's Next For Me?

Assuming I launched this goal, I would want my product to be dispersed throughout the Southeast at least within five years. Within ten years I could make it up the coast into the Northeast and potentially into some Western states including California. This might be a little aggressive but I think if I'm ever going to compete with top water bottle companies then I need to focus on aggressive growth.


Feedback

People that commented seemed to generally like the detail that I put into describing my product and its market. They mentioned the "Opportunity" section as well as the "Secret Sauce" sections. One person particularly likes my idea of attaching a discount card to each water bottle that encourages them to buy another water bottle and donate to an environmental charity at the same time. I'm glad I got feedback on this idea because it was a new idea and I wasn't sure if it would be effective. As far as the more constructive feedback goes, there were a few things. They said my water bottle should be able to fit in cupholders. This is a very relevant point and also something I've heard from interviews before. They also said my design should have a name, which was confusing because the name is clearly at the top of the page. Lastly, they wanted to see how I decided to use the specific prices I chose for my water bottles.

What I Changed

First addressing the concern about my water bottle fitting in cupholders. The EZ-Clean Hydro Bottle will definitely be able to fit into cupholders. I'm only modifying the shape of the top of the bottle, specifically, I'm widening the diameter of the mouth, not the entire water bottle. So, the bottom of the bottle will remain unchanged and it will be able to fit in any average cupholder. I've included a picture so hopefully, that's easier to visualize.

Next, there was a concern that my prices weren't backed by production costs or economies of scale. Production costs are very hard to accurately guess because you can't just go out and ask Nalgene what their production costs are or any other manufacturer unless you're seriously considering producing something. So, I did my best to base my prices on the prices on Nalgene bottles with some adjustments. I obviously won't be able to achieve the same economies of scale as giant companies such as Nalgene so my prices will naturally be higher. Also, I'll be using recycled and environmentally-friendly material to produce the bottles, so that raises the price. I just did my best guess of what I could make the price by adding some to the prices of similarly-sized Nalgene bottles.

My Exit Strategy

1. For my exit strategy, I think I would stay with the firm for several decades and eventually retire, handing down the firm to whoever I think is responsible and capable enough of running it in the future. 

2. I selected this strategy because my product and company mean a lot to me. If you read my Venture's Unfair Advantage post then you know I consider my top resource to be my passion for my product and the motives behind it. Due to this abundance of passion, I wouldn't want to let go of my company after five years even if it was for a large profit. I also feel like I would have a hard time letting go of the company after all of the work that I have hypothetically put into it up to that point. I most likely wouldn't protect the venture as a family company because I wouldn't want to limit my talent pool to a group of people just because they are close to me already. 

3. Like I mentioned earlier, choosing my exit strategy relates to my passion for the company and creating a sustainable product that is also highly functional. This relates to my opportunity identification because I was focussed on solving a problem that many people can relate to (including myself) while also putting a lot of effort into making the product as best as it can be for the consumer and the environment. This whole idea of sustainability factors heavily into my passion and decision to remain in the company until I retire. My exit strategy also influenced what I thought were my top resources, two of them being sustainability and company culture. Obviously, I don't actually have a company culture but hypothetically speaking I would want my employees to feel valued so that they stay with the company for a long time, not just two or three years and leave. My growth intentions are still focused on aggressive growth because of the competitiveness of the water bottle market but I wouldn't be growing fast just to sell off the company; I would be growing fast to get my feet off the ground and lead the company for a long time. 

Reading Reflection No. 3

I chose a book from the second half of the reading list, The Long Tail: Why the Future of Business is Selling Less of More by Chris Anderson.

1. The general argument that Chris Anderson is making is that selling niche products is the future wave of business. He makes this argument through an analogy to help visualize the idea. By imaging a firm's revenue model on a hockey stick-shaped curve. A few products generate the most revenue and the multitude of other products form the tail of the curve, which just tapers off. Anderson argues that the tail's revenue, aka the niche products, can compete with the revenue from the most popular products if you sell enough of them. He then states that in today's day and age of content creation, almost anyone can create something of value so the tail gets exponentially longer. Finally, aggregators such as Amazon and Netflix and make accessing and purchasing the content easy, which makes the tail fatter, essentially driving up the revenue from these niche products.

2. The book connected with lessons I've learned about markets in ENT 3003. I've learned that it's better to target a specific audience than try to make a product that appeals to everyone. This book is saying something similar by emphasizing the importance of niche products. Of course, niche products have their own very specific niche markets. By targeting the niche markets, and with the help of aggregators which streamline the process of selling and revenue collection, niche products can outsell some of the most popular products. The first step to selling the products is determining who your market is and this class has taught me a lot about how to pinpoint my own market and what kinds of questions I should be asking myself when doing so.

3. An exercise I could design for ENT 3003 based on this book would be about niche markets. The exercise would ask you whether you think your product or service is niche. Second, it would say, if you think your product is niche, explain its niche market and how you would utilize aggregators to generate revenue. If your product or service isn't niche, think of a niche product or service that's related to yours and explain its niche market and how that product or service could use aggregators.

4. I was surprised about the book's emphasis on aggregators' importance in selling niche products to niche markets. I didn't even think about how large of a role companies like Amazon and Netflix play in the businesses that market and sell niche things. For example, previously when people tried to find a specific, uncommon book they would have to go to bookstores and physically look for the book and if it wasn't in any then they were out of luck. Nowadays people can go to Amazon and search for that book in a matter of seconds and the effort you have to put into the search is effortless. This applies to any niche product that sells on Amazon. Personally, I just bought joystick grips for my Xbox One controllers off of Amazon, and if it weren't for Amazon listing that product I bought, I don't know if I would have found it or even have been to buy joystick grips.

Celebrating Failure

This exercise is all about learning from failure and using it to improve yourself. The example of failure I'm going to tell is going to be kind of embarrassing for me, but hopefully, I'll learn from reflecting on it.

So this past Fall semester I was pledging for Delta Sigma Pi, a professional business fraternity, and one of our tasks was a case competition. Our pledge class was broken up into groups and each group was presented with a case scenario. We had to make a presentation that communicated our group's decision, reasoning, and back all of that up with statistics and visual aids. I've never done this type of presentation before and it was something I felt pretty uncomfortable doing. Eventually, my group formulated our presentation and I felt pretty good about what we had put together. Fast-forward a week or so and each group finds out their scores on the presentation. To my surprise and embarrassment, my group tied for the last place. Essentially we failed the case study.

Initially, I was just super self-conscious about having come in the last place. I was pretty ready just to give up case studies once and for all just because I failed my first time ever doing one. Now that I have had some time to reflect on that situation I feel like I have learned some things. First, it's really easy to beat up on yourself when you're doing something for the first time and don't accomplish your goal. But I can't let that temptation to quit guide me because showing perseverance and persistence will allow me to improve over time. I haven't done another case study since then but I'm sure I could do better than last time, taking into account everything I learned from the judge's feedback. Second, I shouldn't feel embarrassed when I fail most of the time, especially with something completely new. Don't get me wrong, humility is a good characteristic to have, but I shouldn't expect too much when I explore new grounds.

Failure is definitely hard and something I always struggle with being a perfectionist and achiever. It's hard for anyone to admit that they're bad at something, but I think the trick lies in flipping the message you perceive while experiencing failure. Instead of viewing it as a problem, view it as an opportunity. If I failed, I know for sure that I can improve and that provides a challenge for me, which I typically view as fun. The biggest hurdle I have to get over is the emotional pit failure can just suddenly throw me into; after I get over that, I can turn failure into a lesson to improve from. I don't think this class has really changed my mind about failure, however, I can see how failure connects so well with entrepreneurship because the entrepreneurial experience is basically repetitive failure that either ends in success or death. Entrepreneurs have to be especially insensitive to failure because they are faced with many challenges and they won't be prepared for all of them. The successful businesses will learn from mistakes and persevere.

What's Next?

Existing Market

When I think about what's next for my product, I think of increased customization as far as more sizes and ability to create designs goes. I also think of different types of cups/water bottles, including a coffee mug, a sports-size jug cooler, and a recycled glass bottle/cup. There's a lot of room for customization such as this because there are many types of water bottles and accessories that accompany them.

While I'm not able to interview customers for this assignment, I think they would agree with me. They would probably like to see more sizes available, different styles of cups, and various accessories for the base water bottles I have designed. This could include different styles of lids, handles that fit over the body of the bottle, and a line of water bottles specifically designed for sports.

In terms of growth within my existing market, expanding into accessories would be my best bet I think. Once people own one of my water bottles then they will likely want to customize it to their needs and wants. Like I said before, one accessory that comes to mind is a different style of lid. There could be the standard lid that just screws on and you drink from the mouth of the bottle. There could be another lid that comes with a nozzle from which to drink out of. Another possibility is a nozzle that is not free-flowing and would require sucking. To make this customization accessible for customers, I would build a "lid option" into the individual websites where each of these items is available for purchase.

New Market

When I was asked to describe my stereotypical customer I placed their age somewhere in the "young adult to middle-aged" section. One radically different market I could target is young children, specifically, the market for sippy cups for young children. I could use the same materials that I currently plan on using for my traditional water bottles, except make them smaller and designed for a baby.

I don't see any sippy cups or small water bottles designed for children that focus on being environmentally friendly. While everyone else advocates using a sustainable bottle, sippy cups don't really get thought of, so maybe there's something to exploit in that.

While I'm once again not able to conduct any interviews, I think the issue at the forefront of every parent's mind is the safety of their child. I believe they ould want to make sure the sippy cup is safe for their child since it is made from different materials than they are used to seeing in typical sippy cups. To make my product and company credible to this market I would likely have to do research on the safety of recycled plastics and BPA-free plastic, although I believe their completely safe because water bottle companies are already using those materials.

I was kind of shocked when I first thought of babies or young children as being a potential market, but it makes sense because of everyone, no matter your age needs to be able to drink water, or the liquid of choice. This market is unique because my target market isn't directly who the product is for. I have to focus on the needs of the parents of young children instead of the children. This market doesn't appear as attractive as my primary market because it's not as broad and seems like it would be hard to market to.

Venture Concept No. 1

EZ-Clean Hydro Bottle

Opportunity

My product is an environmentally friendly water bottle with a larger mouth. The opportunity that relates to this product is anyone that has a problem washing their water bottle because the mouth of it is too small to fit either of their hand into it. Another sub-segment of customers would be people searching for a durable, sustainable, and eco-friendly alternative to traditional plastic water bottles. The nature of his need is that it is realized whenever people are washing their bottles, however, there is currently no readily available alternative for the water bottles they already use. The forces in the environment that create this opportunity is basically a lack of action by water bottle companies; no leading water bottle company has created a product specifically designed to be easier to wash. There really is not much of a limit geographically to the customer base because where you live doesn't affect whether you use a water bottle or not; at least, it shouldn't. Demographically, I would like this product to be affordable enough for anyone to be able to purchase one, but currently making new plastic is cheaper than recycling and removing harsh chemicals is even more expensive, so this product might end up singling out the middle and upper class. Another demographic that will be more affected is the environmentally active/sustainable group because of this water bottle's qualities, including being recycled and BPA-free. Customers are currently satisfying this need by either disregarding the issue or coming up with their own solution. Many customers I interviewed said they would create a device/tool to reach inside and clean the inside of the bottle. They said they would consider buying a bottle that solved that issue if it was functional and reasonably affordable. This opportunity is fairly large because everyone needs to drink water and many people (this number is rising as society is ever more progressive) use water bottles to decrease the use of plastic. I don't see this opportunity going away soon, unless another big-name brand, such as Nalgene, created a similar product.

Innovation

My innovation is a water bottle that has a large mouth (one that the average-sized hand could fit inside). This product not only solves the issue of washing a bottle that has a small mouth, which by conducting more than several interviews I have confirmed is a relevant issue, but it also is durable, sustainable, and adaptable. The bottle would come with a limited lifetime warranty so anyone could replace the bottle if it's damaged. It is also made from recycled plastics and is BPA (bisphenol A) free, making sure to reduce waste on land and at sea. Lastly, the bottle will come in three sizes, 24 oz, 32 oz, and 48 oz so that people can purchase whichever size suits their needs. Someone that's going to be working in the yard all day might want a 48 oz. so they don't have to go inside to fill up, while someone that's just taking their bottle to work likely will buy a 24 or 32 oz. bottle. For this bottle to be realistic and functional the mouth has to be big enough to fit a balled-up hand into it and also easy to drink from. To make sure that's possible I would widen the mouth to a larger circle (instead of having the lid be a smaller diameter than the body of the bottle, which is typical). This would allow an average hand to fit inside and be able to move about and clean while also still providing easy-drinking capabilities. Now I will break down the pricing. Each water bottle will come with a water bottle (made up of the body and the lid) and a small card that incentivizes them purchaser/recipient to buy more products. The card will advocate 25% of the proceeds on their next purchased item will go to the wildlife/environmental/sustainability charity of their choice. Each size of the water bottle will be priced differently. The 24 oz. bottle will cost $10, the 32 oz.will cost $15 and the 48 oz. will cost $25. The pricing is a little higher than I would like to see, but as I said earlier, using recycled plastics and making the bottle BPA-free is more expensive than using new plastic that has all of the typical chemicals.

Venture Concept

My water bottle will solve all of the issues water bottle users have with washing their own bottles in addition to providing added value, such as being environmentally friendly, durable, and adaptable to any situation. Customers will buy this innovation because they will no longer have to be frustrated while cleaning their bottle and they'll be able to keep their bottle cleaner. Customers would switch to this new product if they use water bottles often enough to be consistently faced with the issue of not being able to fit their hand into their bottle in order to effectively clean it. It might be hard for them to switch if they have brand loyalty to big-name brands such as Nalgene or Hydroflask, but if the person values quality over status then they would probably make the switch. Two large competitors that I immediately think of are Nalgene and Hydroflask. Hydroflask mostly makes metal bottles, which are outside of the scope of my opportunity, so I won't focus on them. Nalgene is a very large and well-established company so it's hard for me to think of a disadvantage for them. The packaging isn't a problem because I will sell my water bottles without a package. They will simply have a removable label that can be printed out and applied to them. I would have to work with distributors to have my products in grocery stores, gas stations, sports stores, etc. because the variety of people that use water bottles is extensive.

Secret Sauce

My most important resource is going to be my passion for this product's growth and mission. I believe that you can't fake passion and if you have a passion that you truly believe in then you'll always stay committed and true to your intended purpose. For more detail, you can reference my previous blog post.

What's Next For the Venture?

The next opportunity I would tackle is determining the bottom line for my product and really crunching the numbers behind the production, distribution, advertising, etc. of my water bottle. This is super helpful because it will allow me to think creatively as well as analytically about my product to forecast if it makes financial sense.

What's Next For Me?

Assuming I launched this goal, I would want my product to be dispersed throughout the Southeast at least within five years. Within ten years I could make it up the coast into the Northeast and potentially into some Western states including California. This might be a little aggressive but I think if I'm ever going to compete with top water bottle companies then I need to focus on aggressive growth.