team i jersey square-final_v2
TRANSCRIPT
As of: 8/31/12JerseySquare“The Netflix of Licensed Sports Jerseys”
Bryan Gitler Elmer Moore Jay NaikMichael Melmed
JerseySquare is a rental service for professional sports jerseys
Total Interviews: 169
Total Website Visits: 190TOTAL SUBSCRIPTIONS SOLD: 2
Customer Discovery
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Monday Tuesday Wednesday Thursday Friday
Key Partners
Cost Resources
Potential Customers
Over the course of the week, we spoke with 169 contacts during the customer discovery process
Yankee Stadium
Nike, NBA, NHL Stores
Cleaners,Shipping,
Sports BarsSocial Media,
StarStreet,Sports Bars
1
Customer Sales
1
Key Partners (7)Who are our key partners/ suppliers
Key Activities (5)Which key activities does the biz model require
Value Proposition (1)What value do we deliver to the customer
Customer Relationships (4)What type of relationship does each segment require of us
Customer Segments (2)For whom are we creating value
Channels (3)Through which channel does each segment want to be reached
Cost Structure (9)What are our cost drivers
Key Resources (6)Which key resources does the biz model require
Professional Sports Game Attendees
- Male
- Adult
- <$100k income
- Attend 10+ games per yr
A cheaper way to wear Officially Licensed sports jerseys to a game
Eliminate risk of owning a player jersey who is traded
Provide alternative to purchasing counterfeit jerseys Website
Stadium Shops/Vendors
Ticket Websites
Direct Mail
Annual Subscription Model
Search ads
Social Media
At Stadium Promotions
Revenue Streams (8)How much is each segment willing to pay and how would they like to pay us this amount
Warehouse, shipping, cleaning, logistics tracking, website development/maintenance
Jersey Inventory
Warehouse
Logistics system
- Rental Tracking
- Shipping
- Dry cleaning
- Marketing
- Customer Service
Professional Sports Leagues
Jersey Suppliers
Dry Cleaners
Stadium Shop/Vendors
Pre-paid Envelope Suppliers
USPS/Fedex/UPS
Day 1 Canvas As of: 8/27/12
Day 1 - Yankee StadiumCustomer Discovery
Current CanvasKey Partners (7)Who are our key partners/ suppliers
Key Activities (5)Which key activities does the biz model require
Value Proposition (1)What value do we deliver to the customer
Customer Relationships (4)What type of relationship does each segment require of us
Customer Segments (2)For whom are we creating value
Channels (3)Through which channel does each segment want to be reached
Cost Structure (9)What are our cost drivers
Key Resources (6)Which key resources does the biz model require
Professional Sports Game Attendees
- Male and Female
- Young Adult 18-30
- <$100k income
- Attend >10% of home games per yr
- Casual sports fans
A cheaper way to wear Officially Licensed sports jerseys to a game
Eliminate risk of owning a player jersey who is traded
Provide alternative to purchasing counterfeit jerseys Website
Stadium Shops/Vendors
Ticket Websites
Direct Mail
Annual Subscription Model
Pay per Rental
GET - Search Ads, Partnerships, At stadium promotion
KEEP - Customer Service
GROW - Referral Program
Revenue Streams (8)How much is each segment willing to pay and how would they like to pay us this amount
Jerseys, warehouse, shipping, cleaning, logistics tracking, website development/maintenance, customer service employees
Jersey Inventory
Warehouse
Logistics system
- Rental Tracking
- Shipping
- Dry cleaning
- Marketing
- Customer Service
Professional Sports Leagues
Jersey Suppliers
Dry Cleaners
Stadium Shop/Vendors
Pre-paid Envelope Suppliers
USPS/Fedex/UPS
Day 2 Canvas As of: 8/28/12
Day 2- Customer DiscoveryNike Town NBA Store NHL Store
Current CanvasKey Partners (7)Who are our key partners/ suppliers
Key Activities (5)Which key activities does the biz model require
Value Proposition (1)What value do we deliver to the customer
Customer Relationships (4)What type of relationship does each segment require of us
Customer Segments (2)For whom are we creating value
Channels (3)Through which channel does each segment want to be reached
Cost Structure (9)What are our cost drivers
Key Resources (6)Which key resources does the biz model require
Professional Sports Fans
Website
Stadium Shops/Vendors
Ticket Websites
Direct Mail
GET - Search Ads, Partnerships, At stadium promotion
KEEP - Customer Service
GROW - Referral Program
Revenue Streams (8)How much is each segment willing to pay and how would they like to pay us this amount
Jerseys, warehouse, shipping, cleaning, logistics tracking, website development/maintenance, customer service employees
Jersey Inventory
Warehouse
Logistics system
- Rental Tracking
- Shipping
- Dry cleaning
- Marketing
- Customer Service
Jersey Suppliers
Dry Cleaners
Pre-paid Envelope Suppliers
USPS/Fedex/UPS
Day 3 Canvas As of: 8/29/12
SPORTS JERSEY OWNERS- Male- Kid to Young
Adult 13-35
SINGLE GAME ATTENDEES- Male and
Female- Young Adult 18-
30- Casual fan
SPORTS JERSEY OWNERS- Flexibility to change jersey- Eliminate risk of owning jersey who is traded
SINGLE GAME ATTENDEES- Cheaper way to wear jersey to a game
SPORTS JERSEY OWNERS- Annual Subscription
SINGLE GAME ATTENDEES- Pay per Rental
Jersey Suppliers
Dry Cleaners
Pre-paid Envelope Suppliers
USPS/Fedex/UPS
Jersey Inventory
Warehouse
Logistics system
Rental Tracking
Shipping
Dry cleaning
Marketing
Customer Service
Jerseys, warehouse, shipping, cleaning, logistics tracking, website development/maintenance, customer service employees
Website
Stadium Shops/Vendors
Ticket Websites
Direct Mail
GET - Search Ads, Partnerships, At stadium promotion
KEEP - Customer Service
GROW – Referral/ Reward Program
Day 3 - Customer Discovery
Commercial Dry Cleaners USPS & FedEx
Sports Bars
Jersey Suppliers
Left Side of Canvas Right Side of Canvas
Social Media
Current CanvasKey Partners (7)Who are our key partners/ suppliers
Key Activities (5)Which key activities does the biz model require
Value Proposition (1)What value do we deliver to the customer
Customer Relationships (4)What type of relationship does each segment require of us
Customer Segments (2)For whom are we creating value
Channels (3)Through which channel does each segment want to be reached
Cost Structure (9)What are our cost drivers
Key Resources (6)Which key resources does the biz model require
Professional Sports Fans
Website
Stadium Shops/Vendors
Ticket Websites
GET - Search Ads, Partnerships, At stadium promotion
KEEP - Customer Service
GROW - Referral Program
Revenue Streams (8)How much is each segment willing to pay and how would they like to pay us this amount
Jerseys, warehouse, shipping, cleaning, logistics tracking, website development/maintenance, customer service employees
Jersey Inventory
Warehouse
Logistics system
- Rental Tracking
- Shipping
- Dry cleaning
- Marketing
- Customer Service
Jersey Suppliers
Dry Cleaners
Pre-paid Envelope Suppliers
USPS/Fedex/UPS
Day 4 Canvas As of: 8/30/12
SPORTS JERSEY OWNERS- Male- Kids to Young
Adult 13-35
SINGLE GAME ATTENDEES- Male and
Female- Young Adult 18-
30- Casual fan
SPORTS JERSEY OWNERS- Flexibility to change jersey- Eliminate risk of owning jersey who is traded
SINGLE GAME ATTENDEES- Cheaper way to wear jersey to a game
SPORTS JERSEY OWNERS- Annual Subscription $200
SINGLE GAME ATTENDEES- Pay per Rental
Jersey Suppliers
Dry Cleaners
Pre-paid Envelope Suppliers
USPS/Fedex/UPS
Jersey Inventory
Warehouse
Logistics system
Rental Tracking
Shipping
Dry cleaning
Marketing
Customer Service
Jerseys, warehouse, shipping, cleaning, logistics tracking, website development/maintenance, customer service employees
Website
Ticket Websites
GET - Search Ads, Partnerships, Social Media, At stadium promotion
KEEP - Customer Service
GROW – Referral/ Reward Program
Launched JerseySquare.com
81 VisitorsIn 1st 9 hours
Our First Customer
Our Email Blasts
Current CanvasKey Partners (7)Who are our key partners/ suppliers
Key Activities (5)Which key activities does the biz model require
Value Proposition (1)What value do we deliver to the customer
Customer Relationships (4)What type of relationship does each segment require of us
Customer Segments (2)For whom are we creating value
Channels (3)Through which channel does each segment want to be reached
Cost Structure (9)What are our cost drivers
Key Resources (6)Which key resources does the biz model require
Professional Sports Fans
Website
Stadium Shops/Vendors
Ticket Websites
Direct Mail
GET - Search Ads, Partnerships, At stadium promotion
KEEP - Customer Service
GROW - Referral Program
Revenue Streams (8)How much is each segment willing to pay and how would they like to pay us this amount
Jerseys, warehouse, shipping, cleaning, logistics tracking, website development/maintenance, customer service employees
Jersey Inventory
Warehouse
Logistics system
- Rental Tracking
- Shipping
- Dry cleaning
- Marketing
- Customer Service
Jersey Suppliers
Dry Cleaners
Pre-paid Envelope Suppliers
USPS/Fedex/UPS
Day 5 Canvas As of: 8/31/12
SPORTS JERSEY OWNERS- Male- Kids to Young Adult 13-35
SINGLE GAME ATTENDEES- Male and Female- Young Adult 18-30- Casual fan
SPORTS JERSEY OWNERS- Flexibility to change jersey- Eliminate risk of owning jersey who is traded
SINGLE GAME ATTENDEES- Cheaper way to wear jersey to a game
SPORTS JERSEY OWNERS- Annual Subscription, Monthly Subscription, One-Time
SINGLE GAME ATTENDEES- Pay per Rental
Jersey Suppliers
Dry Cleaners
Pre-paid Envelope Suppliers
USPS
Jersey Inventory
Warehouse
Logistics system
Rental Tracking
Shipping
Dry cleaning
Marketing
Customer Service
Jerseys, warehouse, shipping, cleaning, logistics tracking, website development/maintenance, customer service employees
Website
GET - Search Ads, Partnerships, Social Media, At stadium promotion
KEEP – Seniority, loyalty program
GROW – Premium subs, Family plan
What We Thought Results What We Found
Customer segment is adult males who attend lots of games each year X
There are two customer segments:• SPORTS JERSEY OWNERS
o Male, Kids to Young Adult 13-35• SINGLE GAME ATTENDEES
o Male and Female, Young Adult 18-30, Casual fan
Customers will use JerseySquare because we are cheaper X
Customers like our company because we provide both:• the ability to wear different jerseys throughout
the season• a hedge against players being traded, getting
hurt, retiring, etc.
Customers will not be willing to spend as much on rental jerseys X Customers are actually willing to spend as much (if
not more) on a subscription for jersey rentals as they do on buying a jersey!
There is a market for renting professional jerseys! P We received payment from our first customer on
Thursday, 8/30/2012
Biggest Learning Moments
Archetypes
Attribute Gasol Junior Becky
Age 32 15 24
Income $65K N/A $40K
Demographics White White White
Type Jersey Buyer Social Statement Social Sports Viewer
Fan Type Avid In-Season Casual
Class Middle Middle Middle
Facebook Status Single/It’s Complicated Single In Relationship
SUBSCRIPTION SUBSCRIPTION PAY PER RENTALRENTAL TYPE
Unit Economics
Jersey Cost(w/ 25% off)
$ 150
Shipping$ 9
Cleaning$ 1
Customer Acquisition
$ 25
Processing$ 1
X 5
X 5
X 5
Unit Costs- $ 230
Revenue$ 199
Net- $ 31
Shipping$ 9
Cleaning$ 1
Processing$ 1
X 5
X 5
X 5
Unit Costs- $ 55
Revenue$ 199
Net$ 86
Year 1 Year 2
Retention 60 %x
TurnsTurns
(For One Person)
Current Pricing Plans
Annual Subscription$199 /year
• Authentic Top of Line Jerseys• Free Shipping• Send back a jersey in exchange for another
Monthly Subscription$29.99 /month
• Authentic Top of Line Jerseys• Free Shipping• Send back a jersey in exchange for another
1 Time, 1 Week Rental$24.99
• Authentic Top of Line Jerseys• Free Shipping• Send back jersey within 1 week
(But A/B Testing for Price Elasticity)
Customer Relationships
GET
KEEPGROW
Results Pending…
• Google AdWords• Guerilla style marketing on
FB, YouTube, and Twitter• Customer referral bonuses• Targeted promotions
• Customer Loyalty program with bonus rentals and discount purchases
• Seniority credits• Partnership rewards and
discounts• Free jersey giveaways
• Sale of customer data• Family plan• Premium
subscriptions• Additional products
Market Size
Total Addressable Market
(how big is universe)
150 Million Americans watch the 5 major team sports (in some capacity)
Served Available Market
(how many can I reach with my sales channel)
11 Million NY Metro Area watch the 5 major team sports (in some capacity)
Target Market (who will be most likely buyers)
Based only Yankee Stadium Research:11.7% of SAM showed strong interest
1.3 Million People - Half subscription / Half Pay Per Rental
• Teenager Customer Discovery• Customer Acquisition
o More Google Adwords Testingo More Website Conversion Testing
• LISTEN TO/OBSERVE OUR CUSTOMERS
Next Steps