BUSINESS MODEL OF ONLINE BOOKSTORE
The Name: College cafe
Mission: Our mission is to provide college students a valuable and unique source for products, services and information. In order to achieve our mission, we are committed to the following philosophies: It's all about the product.
Our customers are our employers.
Keep our employees happy.
Introduction to business: The College Cafe is a student-to-student Internet marketplace providing college students with the opportunity to buy, sell and trade college textbooks, participate in auctions, post classified ads, provide teacher evaluations, weblogs (bloggers),buy products for college, tutoring services or anything students wish to sell via an online student-to-student marketplace.
Ecommerce perspective: The Company will do its business online only and have its official website for its business transactions that is www.collegecafe.com.
Value preposition: We offer college students a unique blend of products, services, and content that is not offered by any single company on the Internet. We will aggregate participants, products, services and content to create a student-to-student marketplace and retail website targeting millions of students. The College Cafe will establish itself as the leading online student-to-student marketplace by combining extensive market-specific expertise with Internet technologies to generate revenue while creating a win-win solution for students. Revenue Model: The following describe The College Cafe's revenue models: 1. Textbook Exchange
We allow students to buy, sell and trade their used textbooks with other students. Students post their textbooks online for sale or trade, upload images, and indicate the condition of the book in this way those students who are looking for used textbooks will be able to search for used textbooks for sale or trade in their local area or nationwide. A fee will be charge for posting textbooks. The fee may vary based on the asking price of the textbook. Sample textbook categories include: Accounting
We offer a powerful auction package. A fee will be charged for posting items to be auctioned. The posting fee structure will be similar to eBay's. Sample auctions categories include: Textbooks
Used CDs & DVDs
We offer fee based, student targeted, and classifieds ads. Here many features such as image upload, Web links and nested categories will be offered. A fee will be charged for posting a classified. The amount charged will be based on the length of time the classified will be posted. Sample classified categories include: Textbooks
We will sell products targeted to college students. Margins will range from 10% to 50% depending on the product. Sample product categories include: Textbooks
CDs & DVDs
5. Teacher Evaluations
We will enable students to post and review teacher evaluations. The teacher evaluation will be a value added service encouraging students to visit the site each semester. Revenue for teacher evaluations will be generated from the sale of banner ad space located within the teacher evaluation pages. Banner ad sales will be targeted toward local businesses on or around campus. The fee for banner ad space will be determined by the length of posting, number of users for teacher evaluations and demand. 6. Bloggers
We offer Weblogs (Bloggers) services with topics tailored toward students. Weblog is also a value added service to encourage students to return to the site. Revenue for the Weblog will be generated from the sale of banner ad space located within the Weblog pages. Depending on the Weblog topic, banner ad sales will be targeted toward either local businesses in or around campus or national companies. The fees for banner ad...
Links: on related web sites
Traditional media including direct mailings, magazines, radio and TV
Organizational Development: The main business model for The College Cafe relies on college students providing the textbooks, auctions, classifieds and teacher evaluations that are posted on the website. Therefore, our focus relies heavily on the marketing strategy that will increase traffic and usage and, in turn, maintain our inventory of products and services.
For the retail business component we will establish relationships with manufacturers or distributors that offer drop-shipments direct to the customer. This will allow us to keep expenses associated with inventory and distribution to a minimum.
We will be contracting students as subject matter experts to provide the content in the weblogs. The use of students as weblog content experts will help keep costs to a minimum yet still providing interesting and relevant content.
For content and other value added service we will establish relationships with 3rd party vendors. This will enable us to offer a wide variety of products and services online yet allow us to focus on the key business elements; textbooks, auctions, classifieds and teacher evaluations.
Our management team consists of three dedicated employees and two technical advisors. Their backgrounds consist of more than 30 years of experience in e-commerce, marketing and the Internet technology. In addition to their professional experience, the management team has over 30 years of college domain experience.
We will also utilize current college students to fill positions in the areas of regional campus marketing, local advertisement sales, administration etc. Using current college students will enable us to receive inexpensive local employment and valuable market feedback from The College Cafe 's target market while also providing real world work experience to college students.
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