Automatefinal
Automatefinal
Table of Contents
Problem Solution Competition Business Model Target Market Website Development Plan Search Marketing Plan Promotional Plan Budget Team Bios 2 3 4 6 9 11 15 17 19 20
Problem
People, in general, are inconvenienced when their car breaks down. With little knowledge of car maintenance, these people need information to help them tackle their problems on their own or nd quality local service at home and on- the-go. It is common for most drivers to skip over reading the user manual before operating their vehicles. When an issue arises that they dont know how to handle, and they arent AAA members, these drivers are at a serious disadvantage. An overarching issue most people nd when looking for car service boils down to time and cost efciency. Trust is also a major factor in choosing a car maintenance provider but when auto owners are in a pinch, immediate options for help are limited.
Solution
We wish to build a free mobile application for users to download in order to nd convenient car repair services and keep their car in top performance. Auto-Mate.com combines the elements of many successful apps and services to create an all-in- one system to take users from A to Z when maintaining their car. The app is designed for all car owners, but is tailored to be simple and user-friendly for new and inexperienced drivers. We realize that most people arent car experts. The majority of us need help to resolve car issues conveniently, timely, and cost effectively. Whether you are at home or on the road, Auto-Mate makes car-care a better experience with the following features: Easily search common vehicle diagnostic issues. Pinpoint a vehicles issue by searching key terms Users can nd step-by-step directions for common problems and do-ityourself xes Auto-Mate Auto-Opsy Our Auto-Opsy feature allows users to diagnose their car issues with a visual interactive guide Find Explanations of basic car terminology and maintenance tips How Tos for basic car upkeep Simple explanations for different parts of a car and how they work List of items that every car owner should own Search and locate repair shops based on location services and nd convenient appointment times Provide resourceful information of local repair shops Hours of Operation Specializations Time/Availability Deals and Discount Offers Distance from current location Reviews from Auto Experts and other consumers
Competition
Auto-Mate is a new and innovative business model, positioning itself more as a middleman than a replacement business. However, even as a connector, competition exists with other web services and auto hotlines. As available digital technology continues to become more advanced and less expensive, more and more automakers will be building their cars with internal diagnostic systems. OnStar is the trailblazer in this sort of built-in technology and their services have increased dramatically since the creation. While at the present time no technology quite the same as Auto-Mates exists, it is clear something will soon. The present advantage of Auto-Mate is the price point as cars with innovative diagnostic technology are extremely expensive.
CarMD is the third party leader in what they call on board diagnostics. Their technology has been around since 1997 and has gone from being able to read oil levels and tire pressure to being Mac and Windows compatible, providing car health reports that show consumers how much their vehicles issues will cost them over time and when they are going to need to x them. CarMD has been featured in many notable magazines and talk shows and was Home Shopping Networks top Dollar Earner per Minute item multiple times. CarMD is clearly a well rooted pioneer in the industry and their market share will only be increasing. While CarMD is a physical apparatus costing $120, Auto-Mate is a free mobile application. The products are no doubt similar, but the target market is completely different. Our product is directed towards young drivers who probably dont have the money to invest in something as expensive as CarMD.
Competition
Outside of built-in and physical technology, the next closest competition is other mobile applications designed for vehicles. Since 2011, Car Trouble has already had its foot in the doorway. An application built for Android users, Car Troubles goal is to help a consumer diagnose the problem their car is having. The app has gotten very positive customer reviews. Auto-Mate is designed to have a self-diagnose feature as well, but offers more than CarTrouble with its ability to help you locate places to x the problem that you diagnosed. When serious car trouble occurs it isnt enough to check an app and realize the car isnt safe, getting to a shop is the most important objective.
AAA is another well established business. AAA specializes in auto care and is a subscription based business so the people that have it dont have to worry about nding a solution on their own. AAA is fairly expensive and people buy into it for the convenience factor. AAA has been around for a long time and is trusted among all. It remains the top-of-mind brand when you need auto assistance in a hurry. The expense is again something that makes AAA a service prefered by older consumers as opposed to our target audience of young drivers.
Business Models
We will be utilizing Advertising, Brokerage & Subscription and models to build our customer base and generate revenue. Building a User Base We will initially establish our customer base by partnering with auto dealers and repair shops in major test markets in New York State (Rochester, Syracuse, Buffalo, and Westchester). We will provide promotional materials (cards, key chains, ice scrapers, etc.) to these partners to be given to their customers after each visit. While the car problem recognition features of the app will be universally available upon release, we plan on establishing AutoMates dealer location and review features in the New York rst, so that we can establish a good reputation as a business that is honest, thorough, and accurate. Eventually, after becoming well-adopted locally in New York State, we will begin to tweak this feature to implement it in other states throughout the U.S.
Advertising Model Everyone has car troubles, so nding companies that want to advertise to a large audience (car owners 16+) will not be too challenging. We could generate revenue by in-app advertising for general car-related companies like local gas stations, car washes, and dealerships (ads based off of GPS feature), car upkeep products like ArmorAll, Napa Auto Parts, Bose Sound System, and major car manufacturers. Ads will be simple banners and pop-ups that appear throughout app use, but premium subscribers can use the app ad-free.
Business Models
Brokerage Model One way we will both build and maintain our customer base and generate revenue is by utilizing a brokerage model for our application. We will allow users to book appointment times for car repair through the Car-Mate app without ever having to call a repair shop and interact with a mechanic. By partnering with local shops, we will have access to their weekly appointment schedules and help them ll open time slots. Users can sign up for the rst available appointment time (the traditional way) and also submit a list of times before the scheduled appointment that they would be free in case an opening appeared. Therefore, if a customer does not show to a scheduled repair time, we can use our database to nd another who will be able to come in at that time. If a business agrees to partner with us, we will charge a commision (x% of total sale) for every customer who went to their shop through our app because we will be both bringing in new customers, and helping to manage the shops time and efciency by lling empty time slots.
Subscription Model The subscription model ($29.99 per year) will be used as an additional way to generate interest and make money. The Auto-Mate app will be completely free and entirely usable without any charge, but a subscription will make it possible for users to get faster service by being bumped up on auto shops queues. We dont want the subscription feature to take away from the convenience of the app so it will remain as purely an optional and secondary feature. We will create an incentive for car shops to buy into this program by omitting commission fees on any car owner who entered the shop and pays for the subscription. This creates a win-win for Auto-Mate, the shop, and most importantly, the customer.
Wikinomics
Wikinomics is a new business model thats based on economic value of mass collaboration. The principles of Wikinomics are openness, peering, sharing and acting globally. Auto-Mate is open because we are transparent about how this App was developed and the reasons behind our premium membership. Additionally, we encourage reviews of the various mechanic shops we feature so that users can pick which shop they would like to use. The Auto-Mate developers work in a horizontal networking instead a formal hierarchical structure. We have informal levels of control and separate our duties based on skill and interest. We are self-organized and focus on open communication in all departments. Lastly, we are currently only a local app for residents in New York State. We hope to someday reach a national status and hopefully a globally status. When we reach a globally status we hope to build a multinational workforce.
Target Market
Primary Target Market
Demographics: Males and females Ages 16-30 Geographic Scope: New York State residence
Psychographics: These are new drivers and college students who want to gain knowledge and understanding about their vehicle. They want to learn the basics of their car and what specic lights and alerts mean. They are self-motivated and want to perform simple car maintenance tasks such as changing a tire on their own. They are technologically savvy and use their mobile device for nding information. This is a price sensitive demographic and they appreciate the option to use this app for free. This app allows users to see earliest available appointment times at various shops, which is important to our demographic that seek immediate gratication.
Meet Sarah Sarah is a 19 year old who is about to attend Binghamton University for her freshman year of college. She is learning how to be independent and uses her phone as her primary source for information. Additionally, she is bringing her car up to school and is unfamiliar with the area. She will be downloading apps to help her become familiar with auto shops in the area in case her care has any issues.
Meet Connor Connor is 25 years old and a graduate student at St. John Fisher University. He is a young professional and extremely technology savvy. He is always the rst to try out the latest and greatest apps that provide him with the most useful information. When it comes to his car care he wants to access to multiple options that allow him to pick the best price, location, and accessibilty all at once.
Meet Amy Amy is 29 years old and just relocated to Buffalo for a new job. She knows that the winter weather conditions will have an impact on her car and she hopes to gain knowledge about car maintenance. However, she also wants to feel prepared incase of an emergency. Amy wants to be able to diagnose her car issues so she can determine what she is capable to do on her own and what problems require greater assistance.
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App Prototype
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Website Prototype
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In creating our Google AdWords campaign, we will run a Search Network with Display Select to reach the most consumers. Then, we will select our network to include the Google Search Network as well as the Google Display Network as described above. Our ads will be displayed on all types of devices by default and will be targeted solely to people in Ithaca, New York as we are still devising the application for local use.
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Sample Ad:
Text Ad Headline: Car Support in Your Hand Description line 1: Mobile maintence for your vehicle Description line 2: Auto-mate has the answers Display URL: www.auto-mate.com Destination URL: http://www.auto-mate.com
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Promotional Plan
Auto-Mates promotion plan will focus on innovation and newness in advertising to ensure our primary target audience is intrigued and motivated. We have a three step plan that will include radio advertisements, informative air fresheners, and car wash print advertisements. This combination of physical and digital promotion will suit our young target market well while making sure our secondary audience is not ignored.
Pandora Radio Ads The rst type of promotion will be local advertising on Pandora Radio. Pandora is our primary promotional option for a number of reasons. For one, Pandora is extremely well known and relatively cheap considering how large of an audience it can attract. Our budget is strict, so our advertising with Pandora will be specied to our initial launch markets of upstate New York. Depending on the frequency of these specied advertisement spots, cost will run us anywhere from $10,000 - $20,000 for a campaign. Pandora is also a perfect medium because of its ability to focus a message. We can tailor our ads to play on stations that young people listen to. This way we are controlling the dollars we spend and not wasting any air time with a misguided message. This feature makes Pandora highly potent. Finally, Auto-Mate is primarily a mobile application and many Pandora members use the service on their smart phones. This way we are literally only a click away from having consumers download our application. Users wont have to worry about writing information down or missing out on misheard details. One touch of the screen during our advertising results in a consumer viewing our free application page. This also provides a perfect measuring system. Which we can access through web service data.
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Promotional Plan
Air Fresheners Our second promotional plan is also geared toward our target audience of new drivers aged 16-30. We will again focus on our launch cities, stationing free air fresheners displaying Auto-Mate information in DMV locations. Depending on the ease of contract with the State, it would be even more benecial to have the air fresheners distributed directly with other documents new drivers receive with their license. Our service acts largely as a convenience tool for drivers with car trouble unaware of their problem and surroundings. Convincing DMVs to partner with Auto-Mate should not be a problem because our service helps drivers be safe and knowledgable.
Car Wash Ads Our nal promotional piece will focus on car drivers young and old. We will place advertisements inside of automated carwashes. Just as the previous two promotions, these ads will also be implemented in our launch cities. Advertisements in carwashes will help promote the Auto-Mate name in a multitude of ways. When a driver takes their car to the wash, they sit in the car and watch the machines do their work. An ad inside the wash will provide maximum uncluttered exposure to consumers. This is also an area untapped by any companies in direct competition with us. In fact, other advertisers in this realm are car related which will give Auto-Mate a bit of credibility. Finally, consumers who get their car washed generally get it done often and care much for their vehicles. Repeat visits will maximize frequency to consumers interested in their cars performance, something that Auto-Mate strives to maintain.
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Budget
Search Marketing Google Ad Words Note Cost $10/Day over 1 Year $3,650 Total: $3,650 Promotions Radio Ads Note Cost Note Cost Note Cost 1 Year $15,000 200,000 at $0.25 ea. $50,000 20 Locations at $10 ea. $200 Total: $65,200
Air Fresheners
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Team Biographies
Kareem Khalil is a senior Integrated Marketing Communications major in the Roy H. Park School of Communications at Ithaca College. Born and raised in Rochester, NY, Kareems hobbies include playing guitar, drawing, participating in intramural sports, and getting disappointed by the Buffalo Bills.
Alexa Perlstein is a senior at Ithaca College with a double major in Applied Psychology and Integrated Marketing Communications with a minor in Art History. She is from Cedar Grove, New Jersey and greatly enjoys her ability to take a twenty-minute train ride into New York City. In addition, she is the Tompkins County Liaison for Project Generations, a club that unites IC students with local senior citizens they volunteer with. Her hobbies include horseback riding, drawing, and spending time with her friends.
Charlie Bryan is a Senior Integrated Marketing Communications major at Ithaca College. Charlie plays rugby for the school and is the treasurer for the team. He is from Cleveland, Ohio and is a huge Browns fan. In his free time, Charlie likes to read books and hang out in his hammock.
Rachel Gropper is a senior Integrated Marketing Communications major at Ithaca College with minors in Communication Management Design and Web Programming. Active within the Business School, Rachel serves as the Co-President for the American Marketing Association, Ithacas leading professional organization on campus. Hailing from rural Poughkeepsie, NY, Rachel loves the outdoors: camping, days at the beach and going on adventures.
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