A new mobile app “Trip Organizer” is meant to help travelers to find all kind of information about the chosen destinations. The app will assist in learning about the culture of the countries, finding the cheapest or the finest hotels, restaurants, bars, and other places for sightseeing and entertainment. By using the “Trip Organizer,” the users may upload their photos on the page of the city of their trip destination, share ideas and opinions, and find other travelers in the area to meet up.
Nowadays, traveling is a trend. And while entering the market in a right time, “Trip Organizer” may take an advantage in the industry by uniting the functions of the trip organization with the social activities in one app. It can help the inexperienced travelers to plan the costs and time of their trip in an efficient way, and communicate with the experienced travelers and locals and get their recommendations on the places to visit.
Usage of mobile apps is a common practice, and it thus does not require the users to change their behavior. In this way, the app adds the values of convenience, utility, and quality to its users. Moreover, the app helps to fulfill the user’s need for social interactions, communication, and self-realization through gaining positive experiences.
Mobile app industry is associated with aggressive growth as it brings new products and services to the market rapidly (Barringer, 2009). Therefore, the competition in the mobile app industry is high. However, the majority of travel apps focus on a particular area of service, i.e. finding tickets, planning, or recommendations. “Trip Organizer” is a multifunctional app, and its multidimensional options distinguish it from other products in the market. Although tt may be difficult to prevent new potential competitors from entry to the market, it is still possible to increase the product’s recognition through design, pricing strategy, and promotion. The pricing policy will make “Trip Organizer” available and appealing to users from the diverse socioeconomic backgrounds. And the collaboration with different social networking websites, thematic websites, and organizations in the travel industry will significantly facilitate the promotion of the app and its effective integration into the market.
It is observed that travel apps are associated with one of the highest growth rates per year. In 2012, their growth rate was at 116% while the growth in overall mobile app usage was only 84% (Travel apps lead industries in usage growth, 2012). The indicators demonstrate that the product is important for the customers, and many travelers would like to use “Trip Organizer.” Moreover, the increasing growth in the use of travel apps can help to reduce the number of overall investments and, at the same time, significantly increase the industry’s profit margins.
The team of founders includes the experienced specialists in mobile app design and development, business management and administration. Thus, the team has sufficient experience for the achievement of success in the industry. However, networking and development of new professional partnerships require greater attention, and for the expansion of the professional networks, it is important to promote the product within the professional context and demonstrate its advantages to the potential investors and partners.
A high level of the founders’ motivation and aspiration with the product may be regarded as one of the premises for the project’s success. Moreover, the team is cohesive and highly collaborative in the generation of new ideas which means that new projects may be launched in the future.
The initial capital investment is $150.000 accumulated primarily from the personal funds. This sum covers the elementary stage of the product development and promotion. However, more investments are required for the expansion of the app’s functional capacity and realization of new ideas. Currently, the main revenue driver is crowd funding, but after launching the app, the profit will come from sales of the product and its expansions. The app will be produced in less than a year, and since the financial performance in the industry is high, it is expected that the profitability of the project will grow up to $10.000 per month.
References
Barringer, B. R. (2009). Preparing effective business plans: An entrepreneurial approach. Upper Saddle River, NJ: Pearson Prentice Hall.
Travel apps lead industries in usage growth. (2012).