Business Plan for an Online Dart Store

Business Plan for an Online Dart Store

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BusinessPlan for an Online Dart Store

TheLine of business

Thename of the company is Best Dart Store Limited. The domain for thecompany’s website is bestdart.com

Theline of business for the business is sporting equipment store,storing darts equipment from Japan only. In addition, the goods thatwill be sold in the online store will be purely dart equipment andaccessories. This is intentionally planned to ensure that the companyis unique in the business.

Setupand maintenance costs

Thefirst domain name will be bestdart.com. The choice of this domainname was informed not only by the company name, but also by the factthat the company is intended to be one of the best dart stores in theworld. The web host for this website will be Go Daddy Limited(godaddy.com). The reason for the selection of Go Daddy is because itis one of the most trusted and reliable web hosting companies in theworld. It is also the world’s largest domain registrar in theworld. Their services are well monitored, and they support startupcompanies with friendly web hosting packages that are affordable tocompanies like mine.

Thesecond domain name of the company will be bestdartstore.com. Thechoice of this domain name was selected to be a second website thatwill sell the products of the company. However, the domain name canbe redirected to the first website. The web host for this website anddomain will be Aussie Host (aussiehost.com). The reason for theselection of this web host is because it is an Australian company,from where I will be basing my operations. This will give me a localcredibility that the company is based in Australia. At the same time,this web host is affordable in terms of hosting and security costs.However, this domain name will be redirected to the first domainname, where the website will be hosted by Go Daddy.

Humanresource

Thedevelopment of the website and the operation of the online store willrequire a number of employees and consultants for smooth running ofthe business. The number of employees required for the whole businessto operate will be four, including myself. As the proprietor of thecompany, I will work as the business development manager, and will bethe position of the managing director. This is because the positionof managing director will be inadequate for a small startup companywith a total of just four employees. The reason why I will work forthe company is to reduce the number of employees needed, and soreduce the operational costs for the firm. I will not earn in thefirst year, but will start earning a salary of $15000 for the secondyear.

Thefirst employee will be the web developer. The main role of thewebsite developer will be to build the website for the company. Hewill be responsible for making the first web infrastructure that willhold all the online aspects of the business. He will be creating allthe web pages, tables and online files for the website together withthe ecommerce files. He will also be responsible for coding the bestwebsite software for communication, analysis and ordering. He willdevelop the online database for the company that will be the basis ofinteraction between the economy and clients, as well as thesuppliers.

Atthe same time, he will be responsible for maintaining the website,updating it regularly and expanding the website, and also carry outchanges that will be needed in the future. Therefore, this positionwill require a person who is well versed with knowledge of webdevelopment and all the aspects of coding and script development. Thecompany will pay him $3000 per month because he will be involved inthe designed, maintenance and updating of the website on a full-timebasis.

Theother position will be that of a web marketer. The employee holdingthis position will be an expert in web marketing and all the aspectsof marketing a website. He will also have proficiency in developingand operating online marketing plugins such as email and social mediamarketing. The company will pay the online marketer $2000 per monthbecause he will be involved in this work on a full time basis.However, the company will increase his remuneration in the secondyear to reach $2500 per month. This is because the company will bemaking money from increased sales.

Thefourth employee will be a finance and administrative officer. Therole for this position will be carrying the duties of all the financeworks. He will be responsible for doing budgets and handing them overto me as the managing director to approve. He will be managingoperational costs and working capital management, and advising on thefinancial resources responsible for the operations of the onlinecompany. He will also be responsible for accounting and bookkeepingfor the company. In this line, he will be responsible for accountingfor tax services and corresponding with tax authorities in order toensure the company is tax compliant. The company will pay $2000 permonth to the finance and administration officer.

Toensure that the company has a fully operational business enterprise,the firm will rent an office in Melbourne, Australia. This will bethe head office, and a storage facility that will be located in thesame building. The company will need this office as the operationalspace for the four employees and the place for meeting all theclients. The office will contain two main office rooms and theboardroom. The main office will serve the three employees and whilethe single office will be for the business development officer forhigh-profile meetings with clients. With the company expanding, thecompany will expand to a better and larger office.

Therent for the office space in Melbourne will be $5000 per month,including the space for a store. To get the affordable office space,the company selects to rent in the outskirts of Melbourne. This willalso give the company access to offices and buildings with largestoring houses. Therefore, the company will identify the mostappropriate location that will have a building with a large storingspace, and a decent office space, all in the same building. Thelocation of the storehouse and the office space in the same locationand buildings will reduce the operating cost for the company in theform of single rent payment.

Thefirm will also have an array of equipment and office furniture thatwill be used for the operational efficiency of the enterprise. Thecompany will buy office furniture at a cost of $4000 by using simpleand most necessary equipment in the office. In addition, the companywill acquire furniture at the cost of $3000, all following the samephilosophy of the most necessary at all times. This will help thecompany to reduce the cost and manage its operational burden in orderto avoid being overwhelmed by expenses, especially in the first twoyears.

Thecompany will buy computers and all other computing accessories andequipment that will be needed for the organizational operations.These costs are estimated at $8000 in the initial purchase. Thecomputers will be for each of the employees and one standalone laptopcomputer for outdoor management and access to the system. The companywill also buy the right software are the cost of $6000, including theecommerce platforms and billing infrastructure. This will beimportant because the company will be operating an online businesswhose operations rely on the ecommerce system.

Marketingplan

Theprimary target market is the middle class earners that take into thesporting events and bars to lay darts with their friends. Thesecustomers a classy hang out with family and colleagues and enjoy thedart sport in clubs and bars. For these, we provide a good ordinarypackage where the buyer will buy one box that has all the Japanesedarts equipments. To get a share in the market, the company shouldexplore the ways of reaching out to them (Kotler &amp Armstrong,2010). Therefore, the company will use marketing companies that haveaccess to the large companies and send direct marketing teams tomiddle class employees in their working stations.

Anotherprimary target market is the sports companies and sportingorganizations that operate in Australia. These are primary targetsbecause they purchase dart equipments in bulk. Therefore, they arethe best sporting customers to partner with because of theirconsistency in purchasing. To get these customers, the company willvisit them in person through the business development manager. Thiswill schedule proposals and presentations that will seek to woe thesporting organizations to the affordable and high quality Japanesedarts equipment. At the same time, email marketing will form animportant strategy for reaching out to these organizations throughtheir official emails.

Thesecondary target market is the sporting bars, and sport clubs thatare located in the country. These customers offer higher incomeearners cool places to join with friends and play darts with highquality facilities in the clubs. The sporting bars and clubstherefore give Best Dart Ltd a market segmentation that is composedof the rich people in the society, who spend time in social andsporting centers rather than in online platforms. With several of thesporting clubs and bars in the country, the company will engage theestablished marketing consultants so that it will gain the market.

Competition

Thereis a stiff competition for customers in the industry of darts anddarts equipment. One of the companies that our firm will compete withis Darts World Australia. Darts World Australia operates thedartsworldaustralia.co.au, and sells darts equipments in the entirecountry and also to the rest of the world. The firm supplies thedarting facilities and equipment to both the online customers and tooffline buyers. This makes the company a direct competitor in our twomarket segments the online and offline customers. One of theweaknesses of this company is that if focuses their products tohigher end customers and sells packages that only the high incomecustomers can afford to buy. This presents an opportunity for ourBest Dart to venture into the industry.

Thesecond competitor is Dynamic Billiards. Dynamic Billiards operatesthe billardstables.com.au, and supplies, darts and darts equipment inthe country and also to the worldwide market. The company sells theequipment to the customers at all market segments and customers bothhigher income customers and low income customers. However, DynamicBilliards has a weakness because the products are not as high qualityas those that the Japanese products are. Therefore, Best Dart willhave an advantage in the quality of the products. Customers who buythe Japanese dart equipment will prefer their high quality comparedwith other companies. The same advantage will be experienced in thepricing of the darts, as the company has the advantage of theaffordable Japanese darts and equipment.

OnlineMarketing Strategies

BestDart will use of a team of direct online marketers that will be hiredon a part-time basis under the direction of the full time onlinemarketer. The online email marketers will approach direct customersand promote the website through emails and the products. This willinvolve direct email marketing strategies that are aimed at reachingthe customers directly from the contacts of online marketingconsultants. To manage the email contacts of prospective customers,the company will engage the customers through a competent and wellequipped marketing consultant. Best Dart will use the direct emailmarketers to get the attention of the customers and use the emails toexplain the equipments and the features of the Japanese darts anddart equipment.

BestDart will encourage all the employees to engage in social mediamarketing by having them post at least twice a promotional messagewith a link to the company’s products in all the social mediaplatforms. The company will also encourage employees to use thecompany url in their promotional posts to assist the company tooptimize its online presence through social media. This will be anappropriate addition to the website that will be used to publishproducts, information and its news. The company will also useauto-post solutions to assist the online marketer to post promotionalmessages with company url in sporting and entertainment ages andsocial media pages the company has subscribed. Moreover, the companywill use banners that will be posted online by the online advertiser.

Thecompany will take advantage of video websites like YouTube to linkthe company url to the emails and to the videos explaining theproducts. These will be included in the emails and social mediamarketing to assist the online marketers to explain the products soldby the company. At the same time, the marketing team will be able toreply to customers through emails, social media messaging and chats.

Anonline communication helps a marketer to converse with clientsconcerning their questions and concerns through the online platforms(Lamb &amp McDaniel, 2008). This willgive the potential customers a chance to ask questions, requestclarifications and explanations of the representatives. Theconversation with customers about the products and the provision ofimmediate response gives the marketer an advantage to convince acustomer towards the product being marketed (Kotler &amp Keller,2012). Through active online marketing strategies, Best Dart willhave a chance to customize the product representation and themarketing message to different and specific target customers.

BestDart will also engage the services of Search Engine Optimization(SEO) providers to optimize the content and posts of the firm tosearch engines. This will give the company an advantage in thesearching by customers who are seeking darts and darts supplies. Thiswill be a key component of the online marketer’s work. During thefirst year, he will be in charge of supervising what the SEOproviders do, and later establish the company’s own SEO function.

RevenueModel

Forthe sale of the darts and darts equipment, the company estimates tomake at least $10000 per month in the first year, to wide up the yearwith $120000. However, the sales will increase to over $2000 permonth in the second year, to reach annual sales of 24000. The firstyear will have a low income because of the entry in the market andnot many customers will have known us. However, the second year willbe marked by an increase in sales because of the gains made in thefirst year.

Thecompany will have different packages of darts and darts products.Therefore, the products will be sold at different products. It istherefore not prudent to place a certain amount of revenue that willbe generated from the same of a particular package. However,estimates show that we will have sold at least 1000 packages in thefirst year for the company to make the revenue.

Thepurpose of introducing e-commerce

Thedevelopment of the website and the company profiles will all bedirected to towards using the e-commerce platform to serve thecustomers. To keep the customers who visit the site, the e-commerceshould be made more effective and efficient (Chaudhury &ampKuilboer, 2002). This will avoid any walk outby customers who have visited the website, and got interested in theJapanese darts products.

Usingthe e-commerce will open the company to the two main marketsegments for the company online segment and offline segment. Thepeople who access the internet from our primary market segment. Toget customers to an e-commerce, the company will have to ensure thatthere is a strong online presence where the customers can view theproducts (Laudon &amp Guercio, 2014).The company will therefore engage in online advertising campaignsthat will direct potential customers to the e-commerce that will sellthe Japanese dart equipments. This will ensure that the firm isspotted by dart livers and customers who are just enthusiastic aboutdarts. In addition, the company will seek to find online gamingforums and websites from where the links to the e-commerce platformthrough banners will be placed. This will be aimed at attracting theprimary market segment, the online customers to our e-commerceplatform.

Theuse of ecommerce will give us a difference between the competitorswho are not online. This is because e-commerce will simplify thetransactions to our second market segment, which is composed ofoffline customers. These are customers who have the potential and thewill to buy the Japanese darts and darts equipment. These include theindividuals who like darts and are not available in the onlineplatforms that the company seeks to market in.

Todirect customers to the e-commerce platform, the company will engagethe services of marketing companies. The e-commerce platforms willtake them through our ordering and billing systems, which will bemore efficient for them than driving all the way to dart stores. Themajority of customers in this target market segment are potentiallong term customers that the company cannot afford to avoid.Therefore, the use of the e-commerce will open its advantages to thecompany to increase sales.

PreliminaryDesign Features

Oneof the features I will add to the Best Dart website is friendlyshipping services with partners shipping and delivery companies. Todo this, I will design the website in a way that it has a link of thepreferred shipping company. The design will be formulated toincorporate a dropdown with the list of shipping and deliveryservices our company has partnered with. The customer will select thepreferred delivery service when checking out.

Anotherof the main features I will include in the Best Dart website is apreferred destination store for customers who cannot be served by anyof the shipping services. The company will therefore ship the productto the preferred destination, from where the customer can pick thedarts equipment bought. This will allows customers who live far awayfrom the services of shipping companies, like in rural towns to makeorders and get the best delivery possible. This will also make thecompany more competitive and increase sales for Best Dart.

ReferenceList

Chaudhury,A., &amp Kuilboer, J. (2002). e-Business and e-CommerceInfrastructure. McGraw-Hill

Laudon,C., &amp Guercio T. (2014). E-commerce. business. technology.society. 10th edition. New York: Pearson Publishing

LambC., &amp McDaniel C. (2008). Marketing. New York: CengageLearning

Kotler,P., &amp Armstrong, G. (2010). Principles of Marketing. UpperSaddle River, New York: Pearson Prentice Hall

Kotler,P., &amp Keller, K. (2012). Marketing Management. SanFrancisco: Pearson Education Limited