Yummy Tummy. Business Canvas. Putting the Yummy in your Tummy. Professor Chun - November 19, 2015 YUMMY TUMMY - BUSINESS CANVAS 1
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1 Yummy Tummy Business Canvas Professor Chun - November 19, 2015 Putting the Yummy in your Tummy YUMMY TUMMY - BUSINESS CANVAS 1
2 Yummy Tummy Introduction Yummy Tummy is the first company to offer an on-demand chef service. The unique and easy to use application and website connects clients with highly qualified chefs. Whether you are looking to host a small dinner party or a large event, a Yummy Tummy chef can provide you with an impeccable experience. Our services are fully customizable and include purchasing ingredients, preparing a gourmet menu, and tidying the kitchen. The top level customer service team and outstanding chefs want to ensure that we can put the yummy in your tummy. Management Team CEO Katelyn Burke CFO Sharod Hinton CMO Nikki Gilleland CIO Joachim Lopez BBA 17 BSBA 18 BBA 18 BBA 18 International Finance and Marketing BTE & Finance BTE & Human Resources Management Marketing & Psychology Management Psychology and Music Business Psychology Music Business YUMMY TUMMY - BUSINESS CANVAS 2
3 Key Partners As we prepare for the launch of Yummy Tummy, the first on demand chef service, we recognize that the chefs and suppliers are crucial to the success of the business. Chefs The Yummy Tummy chefs will be the face of the brand and business. Therefore, the company must ensure that only the most professional individuals represent us. To attract top quality chefs, Yummy Tummy has created a flexibility model that makes employment at Yummy Tummy attractive for chefs which includes complete control of setting prices and schedule. Grocery Stores Yummy Tummy is committed to offering the highest level of customer satisfaction. Ingredients are the key to delicious food. Therefore, we are in the process of partnering with Whole Foods as our key supplier of food and wine. Key Activities The goal of Yummy Tummy is to connect people with chefs. Therefore, the key activities to ensure our value propositions are met are the website and application that connect the two parties. The easy to use application will be structured as follows: First customer log in and tap to set location. Scroll through the available chefs in the area. Request to connect based on price and food specialties and chef will accept. Then begin arranging dates and details.. your personal chef will come prepared with your required ingredients, prepare a gourmet meal to your specifications and tidy up. Customers will pay using a credit card or PayPal through the application. Yummy Tummy is aiming to provide a simple and very positive customer experience. YUMMY TUMMY - BUSINESS CANVAS 3
4 Key Resources Yummy Tummy s business model is focused on seamlessly connecting guests with chefs. In order to provide a positive guest experience the following are the key resources necessary to do so: Human Resources: the chefs, the customer service representatives and the programmers to maintain the website and application Physical: only a small office space will be required to maintain application and website as well as address customer service and hiring needs Distribution: chefs are independently responsible for transportation Technology: to maintain a high quality application and website Intellectual: protect consumer and chef information Financial: accept major credit cards and PayPal on application Value Propositions Yummy Tummy seamlessly connects guests with professionals in the food service industry. From our easy to use application, customers can find highly qualified chefs to prepare gourmet meals. This unique on demand chef service provides a fully integrated user experience - our chefs purchase all required ingredients and ensure the event location is in pristine condition following the meal. Yummy Tummy s customers are young professionals that often face the trade off between work and play. Whether it is an fancy date night, an hors d oeuvres house warming party or a New Year s Bash with fifty friends, Yummy Tummy allows our clients to enjoy entertaining without time constraints & stress free. Our value is also delivered by providing customers and chefs with protection. The company offers insurance and a customer representative team for both parties; this feature allows any issues to be addressed professionally which makes the site a considerable better option than free lance chefs. The chefs are also fully vetted and undergo a background check making our service more valuable from the client s perspective. YUMMY TUMMY - BUSINESS CANVAS 4
5 Customer Relationships From the simple application to friendly customer representatives, Yummy Tummy offers the highest level of customer experience which fosters trust and customer loyalty. These tenants are the foundation to the business: Automated Service: the application integrates GPS technology, messaging services, and online payments. Outstanding Experience: all chefs undergo an intensive application process which includes a back ground check, proof of formal culinary training, two letters of recommendation and Yummy Tummy customer service training. Furthermore, there will be an integrated rating system within the application which will allow guests to rate chefs and vice versa. Responsive Customer Service: we understand that some mistakes are unavoidable, therefore the company has created a customer service task force that will address any concerns within 24 hours. Customer Segment For the initial launch of Yummy Tummy our target market is young professionals between the ages of These young professional dwell in urban cities such as New York, San Francisco, Boston, New York, Miami, and LA; they often face demanding hours at work and would benefit from Yummy Tummy s unique product offering. We are further segmenting the market by targeting individuals that earn more than $60,000 a year. In the future we see potential in targeting the older demographics of established professionals and geographically targeting suburbs as well. Channels Yummy Tummy will be heavily focused on social media as this is the most preferred mode of communication for our target market. The company will maintain a Facebook, Instagram, Twitter, Snapchat and YouTube page which will increase awareness. The application allows users to connect with their friends that are already using Yummy Tummy; it also provides the option to share a code to encourage friends to invite friends on social media platforms, awarding both parties a discount. These channels will be fully integrated with links so clients can easily access and go back and forth between the different resources. For example, the website page will prompt customers YUMMY TUMMY - BUSINESS CANVAS 5
6 to download the iphone6 app on their phone. The most cost efficient channels will be the social media pages as the website and application will require capital. Yummy Tummy also plans to create incentives for engagement. Following services customers, will be encouraged to share their experience on social media. The application will also prompt users to rate their chefs using elements of gamification, which will allow customers to evaluate our propositions. In hopes of creating long term relationships clients will have access to customer service representatives for any questions and concerns. They will also receive occasional s and notifications with special offers to encourage repeat business. We have also created a rewards program online that encourages customers to continue using the service. Cost Structure & Revenue Streams After extensive research into competitors pricing strategies, Yummy Tummy has developed a revenue model to best suit the market. Our service connects chefs with customers and therefore is a low cost business model. The main expense will be the maintenance fees for the website and application; insurance will also be a significant cost. Our customers are in the middle to upper class, and although they are not extremely price sensitive, Yummy Tummy hopes to deliver value. This value arises from the convenience of having an in house personal chef. Although there is not a direct competitor, Yummy Tummy will compete against catering companies and freelance chefs that often charged $35 - $110 a plate. However, to gain a competitive advantage, Yummy Tummy has developed a unique pricing strategy. The customer will be charged a final price and can pay through the application. The charge will be based on: 1. Hourly Rate: chefs will set an hourly rate based on their experience (fixed per hour). Customers will be able to choose a chef based on their cost per hour. 2. Grocery Expenses: once the chef and client have connected and determined a menu, the chef will purchase all necessary ingredients without exceeding the customers budget. This cost will be added to the final price and noted as *ingredient expense*. Yummy Tummy s revenues accrue from a service fee. This 20% service fee will not be charged to the customer as it will be deducted from the hourly rate that the chef charges. YUMMY TUMMY - BUSINESS CANVAS 6
7 Similar businesses such as Uber charge employees a 20% service fee. This is a reasonable fee considering Yummy Tummy connects the chef with their clients and handles the logistics including payment. Also similar to comparable businesses, Yummy Tummy will charge a $2 fee to chefs; this will cover insurance and will make freelance employment safer. Although each chef will be setting their own rates, Yummy Tummy is focused on delivering value to clients. Therefore, the company created an innovative way to classify the skill range of chefs. Based on experience and recommendations, we place chefs into three categories: Chef Y (Introductory Chef), Chef T (Senior Chef), and Chef YT (Master Chef). Within these categories chefs set their own hourly rates and specify their favorite foods to prepare. (The cost for groceries will be added to the clients charge and accompanied with the receipt.) YUMMY TUMMY - BUSINESS CANVAS 7
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