E Commerce Business Plan e-commerce
p
TOWSEEL ™ "Your food has
arrived"
GROUP 2
7/16/2011
TOWSEEL ™ "Your food has arrived"
Page | 2
TABLE OF CONTENT
A.EXECUTIVE SUMMARY
1. BUSINESS SERVICE INTRODUCTION ( B2C)
2. SUITABILITY WITH E-COMMERCE
3. BUSINESS MODELS
I) VALUE PROPOSITION
II) REVENUE MODEL
III) MARKET OPPORTUNITY
IV) COMPETITIVE ENVIRONMENT
V) COMPETITVE ADVANTAGE
4.
MARKET STRATEGY
I) POSITIONING STRATEGY
II) MARKET ENTRANCE STRATEGY
III) ONLINE MARKET STRATEGY
IV) BRAND STRATEGY
5. ORGANIZATIONAL DEVELOPMENT
6. MANAGEMENT TEAM
7. CUSTOMER DEMOGRAPHICS
I) AGE
II) INCOME
III) EDUCATION
IV) INTERESTS
V) GEOGRAPHIC LOCATION
8. CRM
9. FINANCIAL ANALYSIS
I) WEBSITE RELATED-COSTS & BREAK-EVEN ANALYSIS
II) EXPENSE BUDGET
10. DESIGN PLAN
I) DESIGN TIME LINE
II) USER PLATFORM REQUIREMENTS
III) CONSUMER TESTING
11. CONCLUSION
12. REFEREANCES
Page | 3
A.EXECUTIVE SUMMARY
The project based on B2C model of e-commerce .The process in which these procedures are performed
by having particular restaurants on our list from where the consumers can order their food and catering
needs using Towseel web application. This web application seamlessly sends orders to the appropriate
food vendor with the name, address, phone and all other necessary order information. Towseel
captures billing charges at the time of delivery. Using Towseel powerful financial controls and restriction
capabilities, our clients are able to save money, time hectic traffic of Riyadh City and realize operating
efficiencies. With the grand exposure of this (WEB BASE FOOD ORDERING SERIVCES), it is forecasted
that we will be covering the huge market soon and will expand the business across the Kingdom.
1. BUSINESS SERVICE INTRODUCTION
TOWSEEL is an online corporate food ordering solution designed to increase efficiency and reduce costs
for both companies and their food vendors in Riyadh city. TOWSEEL provides clicking services to order
catering and meals faster and more conveniently simply via their desktop, laptop or smart phone.
Depending on a client’s needs, TOWSEEL will provide the best available restaurants with in the Riyadh
City. We promise every customer a hassle free experience. Orders on TOWSEEL will set up and host your
custom online ordering website and you maintain complete control. Your Orders TOWSEEL service is an
easily accessible and a user-friendly interactive webpage.
2. SUITABILITY WITH E-COMMERCE
Our business will transact in a purely electronic B2C model. All sales will be direct to consumer via our
website, with payments taken on delivery only at this moment of time. This innovative idea shall be a
best possible plate form to fuel up the e-commerce for food industry in KSA.
3. BUSINESS MODELS
I) VALUE PROPOSITION
We will provide an easy and convenient way of obtaining nutritious meals. As soon as an order is
placed, the restaurant chefs will race to prepare the food and send it off to be delivered right to the
customer’s front door. No tipping will be necessary and the best customer service will be provided to
satisfy our clients. Hours of operation will be from 9 am to 12:30 pm depending on the restaurants
criteria in order to cater to the various mealtime needs of our target market (whether breakfast, lunch
or dinner).
II) REVENUE MODEL
TOWSEEL Revenue will totally base on the ordering of food. We will take only 5% of the ordered food.
As our market will expand within the available capacity our revenue will increase rapidly depending on
the clicks per order. Our core Revenue market will through few big brand named restaurants like
SHAWYA HOUSE, BAIT AL MASHWI, BAIT SHAWARMA, LAHORI KHABA and other well-known restaurants
in Riyadh. The more our consumers will order the more revenue will generate.
Page | 4
III) MARKET OPPORTUNITY
With the arrival of the new innovative web food ordering service in KSA, we will have a huge market
opportunity to excel further. The ability to click, order and receive your favorite and delicious food
without much hassles and long waiting is the most striking feature that will give TOWSEEL a relatively
fair chance in a market. It is a huge opportunity to place our e-business in this particular market.
IV) COMPETITIVE ENVIRONMENT
As the demand for food delivery is mushroomed, so did the competition. Small Restaurants whom are
providing Delivery Services sprang up covering almost all areas in Riyadh. Order by phone is the only
common way to order the foodstuff through different meal shops and restaurants. We will be sole in
this market as the beginner so the competition will be only with old method of ordering. Depending on
the popularity and growth of our services, the chances are to excel faster and competently. Our direct
competitors does not exist, however we do have several indirect competitors: the third party restaurant
delivery industry, which specialize in delivering food to consumers from brick-and-mortar restaurants
for an additional fee, and the low-end junk food delivery business, which combines a small brick-andmortar front with quick delivery services.
V) COMPETITVE ADVANTAGE
Due to the latest Technology in the market, we will be having slight edge in the market. Clients will able
to use the ordering services via our internet page and using the page on the cell phone to order their
favorite meals from their favorite restaurants. This simple click and order service will give us huge
competitive advantage in the market.
Page | 5
4. MARKET STRATEGY
I) POSITIONING STRATEGY
It is always very imperative to position a service or product firmly in the market. Our unique market
position is the fact that we turn typical, everyday junk food into highly nutritious and sophisticated
cuisine. With such an image imprinted in the minds of our target market, the website should attract
truth-seeking individuals, knowing about the carcinogenic ingredients in food and are looking for a
healthy alternative.
II) MARKET ENTRANCE STRATEGY
We will announce our presence in the market by purchasing ad spots on local newspapers such as
ALRRIYDIYAH, ARAB NEWS, SAUDI GAZZETTE, AL-RIYADH etc. Restaurants and meal shops whom are
registered with us will provide pamphlets and flyovers to their walk-in customers .More over we will
market our services on social network websites like FACEBOOK.COM. Billboards and word of mouth will
also be major players in our quest for recognition.
III) ONLINE MARKET STRATEGY
In order to make sure that people approach to our site and then continue to utilize our services, we will
make the website “sticky”. Large fonts will be used for headlines to inform consumers the importance of
certain topics and to make the site easy to comprehend both in English and Arabic languages. Since
individuals are visually oriented, many images of food items will also be incorporated into our site. In
addition, a new menu item from will be featured each week to entice customers to keep doing business
with us. We could also have a “did you know” column in the news section about new conspiracy
theories. This will appeal to our target market. Eventually, our main target will be to grab a large
market using the online marketing strategy.
IV) BRAND STRATEGY
Keeping different considerations in mind, we came up with a simple yet attractive and innovative brand.
Our marketing brochures, pamphlets and fly over’s, will spread a wide message to our consumers and
customers which will be “Now you can offer your customers the convenience of online ordering! With
Orders on TOSWEEL, you will get your own customized online ordering website with orders transmitted
directly via your Computer or Cell - in real time!
5. ORGANIZATIONAL DEVELOPMENT
As an e-commerce business venture, our basic focus will be towards the development of our offered
services in the market. To enhance the services it is very important for us that the restaurants and the
meal shop the one who are registered with us collaborate with us in order to expand our market.
Developing a new innovative e-business in the country like SAUDI ARABIA will be a tough and risky call,
but once excel it will a huge turn around for our business venture. As our business grows, we will branch
out into other cities and will offer new and interesting foods while retiring less successful lines.
Page | 6
6. MANAGEMENT TEAM
Currently in our management team, two members and entrepreneurs are the essential part in the
development of this e-commerce business venture.
SYED MUNEEB HUSSAIN and WAJEEH ABBAS
7. CUSTOMER DEMOGRAPHICS
I) Age: Our service will be free of age barrier from students to the working professionals can utilize it by
just click and order.
II) Income: Our services will able be utilized from a normal income earner to highly paid workers. As
meals are relatively cheap in KSA, so it will be always easy to cope with it.
III) Education: Computer and internet literate person can easily consume our services.
IV) Interest: Most of the people in KSA show their interest in eating good and healthy food timely and
we will be the one good and convenient source to provide it.
V) Geographic location: Geographically Riyadh city is best location to kick off the e-commerce business.
With the new idea of online food ordering many of our clients, will prefer to register with us in order to
avoid the hectic traffic jams, hassles and long waiting.
8. CUSTOMER RELATIONSHIP MANAGEMENT:
The online registration will give us sufficient information related to our customer, that particular
information can also be use to excel the relationship with our valuable customers. The Customers will be
able to contact us regarding issues such as food quality or delivery times. Any questions, comments, or
complaints will be answered within 24 hours. Customers will be given the option of emailing or filling up
the voice of customer (appraisal form).
9. FINANCIAL ANALYSIS
I) Website related-costs & Break-even Analysis
We will finance the creation and maintenance of our site with an initial investment of SR 20,000. The
building cost of the site will be a one-time expenditure SR 10,000 while maintenance costs will be
variable depending on the amount of improvement necessary. After several calculations, the estimated
monthly maintenance expense will be SR 1500.
Fixed costs for Towseel will be SR 90,000 (this includes renting office space, office equipments, hosting
charges, salaries of the employee, advertising and insurance).
Page | 7
Expense Budget
SR(Saud Riyal )
YEAR
2011(SR)
2012(SR)
115,000.00
126,500.00
40,000.00
43,000.00
5,000.00
5,500.00
Total Cost of Sales
45,000.00
48,500.00
Gross Margin
70,000.00
78,000.00
60.87%
61.66%
Website Development
5,000.00
2,500.00
Website Infrastructure
4,000.00
3,500.00
20,000.00
10,000.00
Expensed equipment
3,500.00
5,500.00
Expensed software
4,500.00
6,000.00
Website maintenance
5,400.00
5,800.00
Sales
Direct Cost of Sales
Other Variable Costs of Sales
Gross Margin %
Website Expense Budget
Advertising and promotion
Page | 8
1 0 - D ESI GN PLAN
Page | 9
I) DESIGN TIME LINE
MILESTONES
TASKS TO BE DONE
WEEKS
1
2
3
4
5
6
7
8
9
10
11
12
13
14
Idea Generation
Initial Project Analysis
Business Planning
Site Presentations(Sections 1-4)
Design
Webpage Mock-Ups Due
Development
Presentation of Prototype
Website
Implementation
Final Website Presentation
II)
1.
2.
3.
4.
USER PLATFORM REQUIREMENTS
Operation System: Windows 98/2000/XP/Vista/Win 7 Apple, Linux.
Browser: Internet Explorer 6 or greater; Firefox 2.0 or greater
Ability to enable java script
Resolution: 800x600 or 1024x768 or 1152x864 or 1280x1024
III)
CONSUMER TESTING
Consumer testing will be done by a sample of our site’s target audience, which is young singles with
middle-to-high income. These individuals will work with test pages in a local environment and will be
given a list of items that explains what they should be looking for.
Page | 10
15
16
11. CONCLUSION
In conclusion, TOWSEEL Proposed plan shows its ability to be a market leader. Providing restaurant and
catering procurement services using TOWSEEL will be a prominent standard in the industry. Using the
methods and market trends outlined in this business plan, TOWSEEL has the potential to change the
restaurant industry and lead the restaurant market place to the next level.
12. REFERENCE
www.google.com
www.yahoo.com
www.scribd.com
www.seamlessweb.com
www.ordersonthefly.com
Page | 11
TOWSEEL ™ "Your food has
arrived"
GROUP 2
7/16/2011
TOWSEEL ™ "Your food has arrived"
Page | 2
TABLE OF CONTENT
A.EXECUTIVE SUMMARY
1. BUSINESS SERVICE INTRODUCTION ( B2C)
2. SUITABILITY WITH E-COMMERCE
3. BUSINESS MODELS
I) VALUE PROPOSITION
II) REVENUE MODEL
III) MARKET OPPORTUNITY
IV) COMPETITIVE ENVIRONMENT
V) COMPETITVE ADVANTAGE
4.
MARKET STRATEGY
I) POSITIONING STRATEGY
II) MARKET ENTRANCE STRATEGY
III) ONLINE MARKET STRATEGY
IV) BRAND STRATEGY
5. ORGANIZATIONAL DEVELOPMENT
6. MANAGEMENT TEAM
7. CUSTOMER DEMOGRAPHICS
I) AGE
II) INCOME
III) EDUCATION
IV) INTERESTS
V) GEOGRAPHIC LOCATION
8. CRM
9. FINANCIAL ANALYSIS
I) WEBSITE RELATED-COSTS & BREAK-EVEN ANALYSIS
II) EXPENSE BUDGET
10. DESIGN PLAN
I) DESIGN TIME LINE
II) USER PLATFORM REQUIREMENTS
III) CONSUMER TESTING
11. CONCLUSION
12. REFEREANCES
Page | 3
A.EXECUTIVE SUMMARY
The project based on B2C model of e-commerce .The process in which these procedures are performed
by having particular restaurants on our list from where the consumers can order their food and catering
needs using Towseel web application. This web application seamlessly sends orders to the appropriate
food vendor with the name, address, phone and all other necessary order information. Towseel
captures billing charges at the time of delivery. Using Towseel powerful financial controls and restriction
capabilities, our clients are able to save money, time hectic traffic of Riyadh City and realize operating
efficiencies. With the grand exposure of this (WEB BASE FOOD ORDERING SERIVCES), it is forecasted
that we will be covering the huge market soon and will expand the business across the Kingdom.
1. BUSINESS SERVICE INTRODUCTION
TOWSEEL is an online corporate food ordering solution designed to increase efficiency and reduce costs
for both companies and their food vendors in Riyadh city. TOWSEEL provides clicking services to order
catering and meals faster and more conveniently simply via their desktop, laptop or smart phone.
Depending on a client’s needs, TOWSEEL will provide the best available restaurants with in the Riyadh
City. We promise every customer a hassle free experience. Orders on TOWSEEL will set up and host your
custom online ordering website and you maintain complete control. Your Orders TOWSEEL service is an
easily accessible and a user-friendly interactive webpage.
2. SUITABILITY WITH E-COMMERCE
Our business will transact in a purely electronic B2C model. All sales will be direct to consumer via our
website, with payments taken on delivery only at this moment of time. This innovative idea shall be a
best possible plate form to fuel up the e-commerce for food industry in KSA.
3. BUSINESS MODELS
I) VALUE PROPOSITION
We will provide an easy and convenient way of obtaining nutritious meals. As soon as an order is
placed, the restaurant chefs will race to prepare the food and send it off to be delivered right to the
customer’s front door. No tipping will be necessary and the best customer service will be provided to
satisfy our clients. Hours of operation will be from 9 am to 12:30 pm depending on the restaurants
criteria in order to cater to the various mealtime needs of our target market (whether breakfast, lunch
or dinner).
II) REVENUE MODEL
TOWSEEL Revenue will totally base on the ordering of food. We will take only 5% of the ordered food.
As our market will expand within the available capacity our revenue will increase rapidly depending on
the clicks per order. Our core Revenue market will through few big brand named restaurants like
SHAWYA HOUSE, BAIT AL MASHWI, BAIT SHAWARMA, LAHORI KHABA and other well-known restaurants
in Riyadh. The more our consumers will order the more revenue will generate.
Page | 4
III) MARKET OPPORTUNITY
With the arrival of the new innovative web food ordering service in KSA, we will have a huge market
opportunity to excel further. The ability to click, order and receive your favorite and delicious food
without much hassles and long waiting is the most striking feature that will give TOWSEEL a relatively
fair chance in a market. It is a huge opportunity to place our e-business in this particular market.
IV) COMPETITIVE ENVIRONMENT
As the demand for food delivery is mushroomed, so did the competition. Small Restaurants whom are
providing Delivery Services sprang up covering almost all areas in Riyadh. Order by phone is the only
common way to order the foodstuff through different meal shops and restaurants. We will be sole in
this market as the beginner so the competition will be only with old method of ordering. Depending on
the popularity and growth of our services, the chances are to excel faster and competently. Our direct
competitors does not exist, however we do have several indirect competitors: the third party restaurant
delivery industry, which specialize in delivering food to consumers from brick-and-mortar restaurants
for an additional fee, and the low-end junk food delivery business, which combines a small brick-andmortar front with quick delivery services.
V) COMPETITVE ADVANTAGE
Due to the latest Technology in the market, we will be having slight edge in the market. Clients will able
to use the ordering services via our internet page and using the page on the cell phone to order their
favorite meals from their favorite restaurants. This simple click and order service will give us huge
competitive advantage in the market.
Page | 5
4. MARKET STRATEGY
I) POSITIONING STRATEGY
It is always very imperative to position a service or product firmly in the market. Our unique market
position is the fact that we turn typical, everyday junk food into highly nutritious and sophisticated
cuisine. With such an image imprinted in the minds of our target market, the website should attract
truth-seeking individuals, knowing about the carcinogenic ingredients in food and are looking for a
healthy alternative.
II) MARKET ENTRANCE STRATEGY
We will announce our presence in the market by purchasing ad spots on local newspapers such as
ALRRIYDIYAH, ARAB NEWS, SAUDI GAZZETTE, AL-RIYADH etc. Restaurants and meal shops whom are
registered with us will provide pamphlets and flyovers to their walk-in customers .More over we will
market our services on social network websites like FACEBOOK.COM. Billboards and word of mouth will
also be major players in our quest for recognition.
III) ONLINE MARKET STRATEGY
In order to make sure that people approach to our site and then continue to utilize our services, we will
make the website “sticky”. Large fonts will be used for headlines to inform consumers the importance of
certain topics and to make the site easy to comprehend both in English and Arabic languages. Since
individuals are visually oriented, many images of food items will also be incorporated into our site. In
addition, a new menu item from will be featured each week to entice customers to keep doing business
with us. We could also have a “did you know” column in the news section about new conspiracy
theories. This will appeal to our target market. Eventually, our main target will be to grab a large
market using the online marketing strategy.
IV) BRAND STRATEGY
Keeping different considerations in mind, we came up with a simple yet attractive and innovative brand.
Our marketing brochures, pamphlets and fly over’s, will spread a wide message to our consumers and
customers which will be “Now you can offer your customers the convenience of online ordering! With
Orders on TOSWEEL, you will get your own customized online ordering website with orders transmitted
directly via your Computer or Cell - in real time!
5. ORGANIZATIONAL DEVELOPMENT
As an e-commerce business venture, our basic focus will be towards the development of our offered
services in the market. To enhance the services it is very important for us that the restaurants and the
meal shop the one who are registered with us collaborate with us in order to expand our market.
Developing a new innovative e-business in the country like SAUDI ARABIA will be a tough and risky call,
but once excel it will a huge turn around for our business venture. As our business grows, we will branch
out into other cities and will offer new and interesting foods while retiring less successful lines.
Page | 6
6. MANAGEMENT TEAM
Currently in our management team, two members and entrepreneurs are the essential part in the
development of this e-commerce business venture.
SYED MUNEEB HUSSAIN and WAJEEH ABBAS
7. CUSTOMER DEMOGRAPHICS
I) Age: Our service will be free of age barrier from students to the working professionals can utilize it by
just click and order.
II) Income: Our services will able be utilized from a normal income earner to highly paid workers. As
meals are relatively cheap in KSA, so it will be always easy to cope with it.
III) Education: Computer and internet literate person can easily consume our services.
IV) Interest: Most of the people in KSA show their interest in eating good and healthy food timely and
we will be the one good and convenient source to provide it.
V) Geographic location: Geographically Riyadh city is best location to kick off the e-commerce business.
With the new idea of online food ordering many of our clients, will prefer to register with us in order to
avoid the hectic traffic jams, hassles and long waiting.
8. CUSTOMER RELATIONSHIP MANAGEMENT:
The online registration will give us sufficient information related to our customer, that particular
information can also be use to excel the relationship with our valuable customers. The Customers will be
able to contact us regarding issues such as food quality or delivery times. Any questions, comments, or
complaints will be answered within 24 hours. Customers will be given the option of emailing or filling up
the voice of customer (appraisal form).
9. FINANCIAL ANALYSIS
I) Website related-costs & Break-even Analysis
We will finance the creation and maintenance of our site with an initial investment of SR 20,000. The
building cost of the site will be a one-time expenditure SR 10,000 while maintenance costs will be
variable depending on the amount of improvement necessary. After several calculations, the estimated
monthly maintenance expense will be SR 1500.
Fixed costs for Towseel will be SR 90,000 (this includes renting office space, office equipments, hosting
charges, salaries of the employee, advertising and insurance).
Page | 7
Expense Budget
SR(Saud Riyal )
YEAR
2011(SR)
2012(SR)
115,000.00
126,500.00
40,000.00
43,000.00
5,000.00
5,500.00
Total Cost of Sales
45,000.00
48,500.00
Gross Margin
70,000.00
78,000.00
60.87%
61.66%
Website Development
5,000.00
2,500.00
Website Infrastructure
4,000.00
3,500.00
20,000.00
10,000.00
Expensed equipment
3,500.00
5,500.00
Expensed software
4,500.00
6,000.00
Website maintenance
5,400.00
5,800.00
Sales
Direct Cost of Sales
Other Variable Costs of Sales
Gross Margin %
Website Expense Budget
Advertising and promotion
Page | 8
1 0 - D ESI GN PLAN
Page | 9
I) DESIGN TIME LINE
MILESTONES
TASKS TO BE DONE
WEEKS
1
2
3
4
5
6
7
8
9
10
11
12
13
14
Idea Generation
Initial Project Analysis
Business Planning
Site Presentations(Sections 1-4)
Design
Webpage Mock-Ups Due
Development
Presentation of Prototype
Website
Implementation
Final Website Presentation
II)
1.
2.
3.
4.
USER PLATFORM REQUIREMENTS
Operation System: Windows 98/2000/XP/Vista/Win 7 Apple, Linux.
Browser: Internet Explorer 6 or greater; Firefox 2.0 or greater
Ability to enable java script
Resolution: 800x600 or 1024x768 or 1152x864 or 1280x1024
III)
CONSUMER TESTING
Consumer testing will be done by a sample of our site’s target audience, which is young singles with
middle-to-high income. These individuals will work with test pages in a local environment and will be
given a list of items that explains what they should be looking for.
Page | 10
15
16
11. CONCLUSION
In conclusion, TOWSEEL Proposed plan shows its ability to be a market leader. Providing restaurant and
catering procurement services using TOWSEEL will be a prominent standard in the industry. Using the
methods and market trends outlined in this business plan, TOWSEEL has the potential to change the
restaurant industry and lead the restaurant market place to the next level.
12. REFERENCE
www.google.com
www.yahoo.com
www.scribd.com
www.seamlessweb.com
www.ordersonthefly.com
Page | 11