https://docs.google.com/presentation/d/11uZk1sco8SYJsK-ctqZxa_Tw89iu34IG7Oi63O1nwE4/edit?usp=sharing
I was a 20 year old riding the dirty NYC subways daily. Every single ride I would have to hold on to the handrails for stability, hating every second of it. Even prior to the pandemic, I like others always viewed the rails as a germ-infested and filthy surface. Each day when I looked around I realized that people were using anything they could find to provide a barrier so they would not have to touch the pole with their physical hand. Whether it was a napkin, paper bag, or their shirt, subway riders were constantly trying to protect themselves. Ironically, the thought for a product to solve this issue came to mind two months before the global pandemic began. The idea was pitched to my colleague and we started the research and development.
We then created a product called MetroHandle. What is Metrohandle? A product that will allow commuters of public transportation to experience a clean, germ-free commute. With an easy click-and-go attachment, MetroHandle hooks onto any rail or public transport pole eliminating direct contact and protecting you from touching harmful bacteria and potential viruses. MetroHandle was designed and built in a very unique way. Throughout months of research and development we sorted out what kind of a product we want and what we want to offer our customers. There were three key points that we insisted on following: reusable, compact, and light-weight. Without these three aspects incorporated in to the product, we would not be able to satisfy our customer’s needs. We are offering a compact product that can fit into the back pocket of your pants and is as simple to use as a click of a buckle. Instantly you are strapped and ready to ride and can then quickly fold the product to store it in your pocket without even feeling it there. Lastly, through durable, high-quality and long lasting material, the product is reusable, washable and comes with a bag to protect its condition.
When the global pandemic hit, life in New York City forever changed. It was one of the first to be struck with a huge impact as the virus spread like wildfire. Everyday millions of people would commute to work on packed public transportation leading to massive growth in the numbers of those infected. New Yorkers no longer felt safe commuting in this same way and had no choice but to stop and find other means of transportation. For this reason, the MetroHandle is incredibly unique because it fills a gap in the market with a tangible product that did not exist previously. Fortunately, we have finally reached the long-awaited time where life is starting to return to normal, and as we move forward it is important that people feel safe and protected when they go back to their daily commutes. By using MetroHandle, a clean commute can be guaranteed providing piece of mind that there is a barrier between people and the germs.
When creating a business canvas model, there are nine different key components. Each component has its specific target for the business to understand, research, and develop. The first one that I will discuss is the key partners; there were two different ideas that came to mind. One of them is to collaborate with big firms that are located in New York City, while the second idea is to collaborate with clothing brands based in New York City. From my research I gathered that there are a lot of firms that still have not mandated their workers to return to their company offices located in Manhattan. However, there is an opportunity to grow into a partnership with firms that want to encourage their workers to get back into offices. Another partnership that we are interested in creating is with different local clothing companies that have a following in New York City. Through collaborations with clothing companies we can create custom MetroHandles that are fashionable and stylish providing a twist to our product. With these different partnerships/collaborations, we can achieve greater exposure and get the word out about what MetroHandle is and what we have to offer. Some of the key partners we would love to work with are Supreme & Serhant. Supreme is a clothing company with a massive following that started largely with New York City based clientele. Serhant is very well known NYC real estate firm that can provide our product as goodies to their customers as well as their agents because most of them are commuting throughout the day on subways. Lastly, another idea is to collaborate with the MTA and make custom “MTA” MetroHandles for their employees to have.
There are also key activities that MetroHandle as a company needs to partake in. In order to create the closest customer relationship, it can be very effective to participate in activities that take place in the heart of where the product will be used. Therefore, participating in key activities with the MTA would be ideal for MetroHandle as we both have the same goal to promote public transportation. MTA ridership status has been down 70% since the pandemic started, and so if the MTA is able to create a safer feeling for their customers then their ridership will increase. That’s where MetroHandle comes into play and gives the MTA the opportunity to help make commuters feel protected when they ride. There are different campaigns that MetroHandle should run and whether it is through collaborations or partnerships, it is a major way for the company to gain the public’s attention. It is important to remember that MetroHandle is creating new market products and so exposure is essential to teach people about our product and what it does. Therefore, another key activity is utilizing social media platforms. TikTok, Instagram, Facebook, Twitter, and LinkedIn are all ways to connect with future collaborators/partnerships as well as connecting with the millions of potential customers in an instant. Through engaging and intriguing content, MetroHandle can go viral with minimal money spent on advertising.
Another part of the business canvas model is key resources. A major resource that it is important for MetroHandle to use is the ability to work with other companies for exposure. Partnerships and collaborations are super influential because companies with new market products have to essential build up a category with people knowing nothing about it. Therefore, it is very hard to advertise accurately and get your product in the eyes of the right customer segments. Another important resource that will be used by MetroHandle is the patents that we filed for. We are currently patent pending for both a design and utility patent. It will be super helpful to protect our idea and identity as a company in the future when our product becomes more widely-used in the public.
In addition, another aspect to the business canvas model is the value proposition, which is super important. What does your product/service have to offer? Why is it important? These are a few of the questions that your value propositions need to answer. When it comes to MetroHandle, there are a few different value propositions that we offer to our customers. For example, we provide a hygienic product for our everyday commuters on the subways and other modes of public transportation that can keep our customers protected from viruses and germs. They will never have to touch dirty poles again and are provided with a sturdy commute when traveling without the ability to sit can get very bumpy and shaky. With our product, the customer gets a very steady commute secured by the sticky grip on the top of our handle. Nonetheless, we made sure to create the product with the most value that obtains the properties which are easy-to-use, reusable, and lightweight. Without these properties included in our product the customers would not be able to receive the greatest value.
Moreover, there are additional aspects to the business canvas model, another important one being customer relationships. A major goal of our company is to create a relationship with every single customer. Our product is one that is going to be used as an ongoing assistance to a customer’s daily life. This is substantial and impactful for each specific person and therefore we feel we are able to connect with our customers on a different level. Ultimately, we want our first customer to create a chain of recommendations, and eventually this will grow as part of one of our key resources. A reputation is a trait that a company can carry for years and so as part of our customer relationship plan we decided to include a lifetime warranty ‘no questions asked.’ This guarantees to our customers that we are always willing to be there for them if they have an issue with the product, thereby strengthening our credibility in the long-lasting relationship.
There are several ways that our customer channels will reach them. One of the ways to immediate connect with customers is by creating a viral campaign in which we hang MetroHandles all over the public transit with attached links to our website. By doing this and also partnering with large corporations and brands, we establish the first phase of the channels creating awareness of the product. The second phase is showing our customer the value proposition in our product which can be done so by partnering on a campaign with the MTA to show the benefits of what MetroHandle has to provide directly through the organization that runs the transportation. Through a clear, concise, and informative sixty second video advertisement link that will be attached to the MetroHandles we leave hanging on the subways, customers can quickly learn what the product is used for, how it is used, and why to use it. Our third customer channel is how our customers purchase the product, which ideally is online through our own website that will offer special bundle deals. Another way they can buy it is in the bodega stores inside of the subway stations, which can be a great and convenient selling point. The fourth phase is delivering our value proposition to the customers. This will be done via shipping directly to the customer in small bags that are included in your purchase for free providing an easy carrying case for the MetroHandle. Finally, the fifth phase is how our customers will have post-purchase assistance. Through an easily designed process, customers can just go directly to the page on our website, email us for any assistance that is needed, and within 48 hours they will receive a response.
When discussing who your customer will be, it can tend to lead to a very broad answer. At the beginning of this search as to who our target customer will be, it was the very general answer of ‘everyone who commutes.’ We then learnt that the best way to in garner attention and creat a real customer segment is to target a market that we are familiar with allowing you to able to call the shots from a closer point. This being stated, since I am from New York, it made the most sense to narrow my prospective customer base to the mass amount of daily commuters in New York’s dirty public transportation system. Further, the first segments of campaigns will be even more targeted towards people who specifically ride the subways. The reason for this specifically is because New York is known for having one of the most germ-infested and filthy public transportation system in the country and we believe that this product will directly relate to that specific market best. We can then expand to a greater market later on when the company picks up in other places such as Chicago, San Diego, London, Barcelona, and many other cities that have public transit like New York City does. We believe that we are creating the most value to that specific niche of people and have included all commuter-based necessities like easy to carry, easy to clean, and easy to use!
Another important part of a business is a cost structure. One of the most influential aspects of our business cost structure is the ability to obtain capital for the campaigns and marketing that we have in line. Without marketing, our product is worthless and since there is no generic market for this product, marketing is going to be the most cost heavy aspect to our business model. For the viral marketing campaign that we have in mind it includes leaving a great number of MetroHandles for free. The cost of a campaign of such a magnitude can get very hefty. Although, one way that we can assist the process of getting funding for our products is through collaborations. Once the proof of concept is shown to the collaborator we can create the investment in purchasing more products. Eventually, when we get to a comfortable state financially, we can invest into the development of a more upscale looking MetroHandle, perhaps made of leather. The cost structure for the actual product is a variable cost due to the fact that we import the product so there can be a slight variation with the supply chain structure struggles and material cost overseas. The company is more value driven but still wants to create a cost friendly product.
Lastly, there is a major aspect that all companies need to have an understanding of which is revenue streams. There is no similar product like ours on the market, which allows us to have the ability to price competitively without a problem, but we would love to keep it as cost friendly as possible. Each revenue stream will create its own niche that will slowly build the business as a whole. I believe one of our strongest means of revenue will be via collaboration and partnerships from the big companies and firms that are well known in the New York City society. Our company only takes the payment form of online credit card unless the customer has bought it from a kiosk at the NYC subways where they can pay in the way the seller accepts. From the research I did, it seems as if the best price for this product is somewhere in the $12-$15 dollar range. With that information being learnt we decided to create a bundle where buying a single product would cost $12.99 with free shipping, and then for the 3 and 6 packs there will be an even greater discounted price. It is common that a person may order a pack for a family which is why we decided to offer this.
Throughout the process of actually creating MetroHandle there was a ton of research and development done. When the idea came to mind it wasn’t exactly thought out of how we were going to bring it into reality. We started with first step being putting together the image and sketch of a few different types of ways we can go upon designing this.
How was this going to be built? Is it a plastic handle? Maybe a strap with a button. The first original idea was to come up with a strap that had a button. Right away we went running to a seamstress to try and get different kinds of buttons to see how we are getting this button on to a thick strap. But then we ran into another question. What was the strap going to be? Homedepot was the next stop where we went looking for different kinds of straps. We gathered a few different options and put it together and realized the product sucked; as soon as we put the smallest amount of pressure on it, it instantly snapped open. We needed a better solution for getting this product to hold on to a pole sturdy and safe.
Once we had some sort of an idea and image of what this product was going to look like we decided to go towards a minimum viable product plan. We needed to make sure that this wasn’t just no ordinary stupid product. We took one of the product types and surveyed a group of people. We focus on commuters in specific since that was our target customer segment. We showed them the idea and asked them to name it. They didn’t know what it was. After showing a small demonstration of how it would be used a great majority of this outcome was positive feedback. There was a uniqueness to the aspect, something they have never seen before. We ended these surveys by asking a question like, “What would you pay for this product?” “Would you buy/recommend this product for other people in your family who use public transportation?”
We felt that these were critical answers we needed to receive before continuing forwards.
We then pivoted to starting to work on different kinds of mechanisms that can put this strap together and actually be able to support the weight of a falling person on a train. Now, this was the tricky part. We ordered a few more unique options. While touring all of homedepot to see if we can find a better mechanism we came across heavy duty velcro. The velcro was surprisingly super strong although when there was weight but at the wrong angle the velcro would instantly open up. Another way was trying to use a carabiner with a loop on the strap. This was instantly no good for us considering it was super time consuming to put it through.
There needed to be a solution to this madness. After long nights of testing in the shop and sewing hundreds of prototypes together, someone popped in and asked “Why don’t you just use a simple buckle?”. This is when we realized this was definitely a viable option considering there are special buckles that are made for military grade purposes. The quest continued to find the right kind of buckle. We tested plastic ones; some were safe to use but only at the larger sizes. The small size plastic buckles also could not withstand the weight. Eventually, we tested stronger metal buckles. After all this time spent testing different materials we finally got to a product that was to our standard. But, it didn’t finish there.
After getting together all the strap information and buckles that we wanted to use. We then realized that we needed a sticky part on the top of the strap in order to ensure a safe and sturdy ride. We got a few different kinds of rubbers from home depot but nothing was satisfying the need. We decided to order a special made rubber that was super light yet super grippy. This was one of our key parts to our product and was important because it was perfected.
How are we going to mass produce this product? Initially our first instinct was immediately to go towards the route of an American made product. We wanted our product to be a proud product of the US! Nonetheless, we got back prices from a few different companies all over the country that exceed our limit by FAR! The next pivot from this is to find out how we are going to source this from overseas. China? Turkey? India? These were only some of the countries I was familiar with that I knew people that were importing different products from. After the due diligence was done we came to a conclusion that sourcing this product from China made the most sense logistically and financially. Unfortunately, our priority of attaining this product “made in the USA” was unreached.
When it comes to our business model there was a TON that needed to go into this. How are we going to sell this product that is considered a “new market” product? Where are we going to sell it? How do we get brand exposure?
There were a lot more questions that were considered when developing this product. We started with a broad target and wanted to attack everyone with marketing and exposure. We then realized this kind of marketing campaign is not realistic. There needed to be a strong stance as to who our exact customers are and who we want to target. We decided to go towards the direction of basing our market solely in the New York public transit. An even more specific target that we wanted to get was the subways in specific due to the fact that it is known how dirty the subways are.
One topic that was discussed during the Business Canvas Model was partnerships and collaborations. We emphasized previously how important for us it is to create buzz and hype via partnerships/colabs. It is a way that a lot of companies are growing these days and it is a key resource to our development. We have done our reaching out to the MTA and tried speaking to multiple people as shown in the screenshot of text messages down below. It seems to be a very tricky and complicated ladder to climb in order for us to reach the right people that we want to speak to. Although, we believe that this partnership can be very very important to our growth considering the fact that if they get on board with our product, whether it is a licensing deal or somehow collaborating we can effortlessly grow overnight. In addition, another partnership we touched upon was speaking with clothing brands that may want to collaborate with us. I touched base with a specific clothing brand that I mentioned before called “Supreme” which has an immense amount of following New York City based and tried to see if they would be interested in a collaboration. Unfortunately, I have not received a response back yet.
Another important aspect that we touched upon is our due diligence work regarding what people think about our product, would they buy it, what would they buy it for, etc.? As shown in the survey conducted the results were evidently a positive lean towards our side of the product. It is important to remember that these results were taken via random people. The reason for this is so that we can be given the most accurate and unbiased information to assist in the production of MetroHandle.
Throughout this venture, there has been an enormous learning experience. The process and procedures to attain the knowledge and information of how to go upon creating a product has been extremely interesting. Without the persistence and perseverance to continue through each step in the road I wouldn’t be able to create what I have so far. The topic discussed throughout each lesson helped me focus my attention to the procedures that I wasn’t aware of and how to focus on the important aspects that are needed while developing a product. For example, throughout one of our lessons we discussed the way a company should handle creating their customer segments, we started as a company focusing on a huge broad market. Although, we learnt that there needs to be a way to create the perfect customer segment for your company which we decided for us is to focus on customers based in New York City, since we know the market so well and is near us. These learning curves are something that I value greatly and will flourish with my entrepreneur spirit into more products and companies!