Company
Wishbone Pet Products, Inc. is a start-up company that will design and market innovative pet products. This business plan has been developed to present Wishbone Pet Products, Inc. to prospective investors and assist in raising $120,000 of capital needed to begin production and launch our first product.
Market
The pet product industry is a large and expanding market. The most rapidly growing market segment is pet products and supplies, which represents 5.5% of the market. This segment is projected to increase from $5.2 billion in 2000 to $6.9 billion in 2005, according to the Business Communications Company Pet Industry study. The reason for this tremendous growth in pet products and supplies is the growing number of pet owners and pets.
According to a recent survey conducted by the American Animal Hospital Association, there were approximately 235 million households which owned pets. These households represent about 60% of all U.S. households, and 40% of these households own more than one pet, according to an American Pet Product Manufacturers Association (APPMA) study. Of these pet owners and pets, there are approximately 43 million dog owners who owned 62 million dogs. Another recent study found that the average household with pets spent about $350 on their pets. The average American household spends more on pet food than it does on wine, over-the-counter drugs, candy, or television sets. It spends more on veterinary services than it does on coffee, books, video rentals, or computer software.
Need
Recently dog owners have been criticized for leaving their dogs droppings in public places and on private property. Failure to retrieve dog waste is a matter of considerable concern due to public health risks, not to mention the inconvenience to the public. As a result, many communities have passed legislation requiring dog owners not only to clean up after their pet but also to carry a device for performing this task.
According to a Ralston Purina pet owner study, dog owners cite cleaning up after their dog as one of the primary challenges of owning a dog. Unfortunately, currently available dog waste clean-up products are crudely designed and cumbersome to operate, leaving many dog owners frustrated and less inclined to clean up after their dog. To address the needs of dog owners and their communities, a simple, clean, effective means of accomplishing this task is needed.
Solution
Fetch™ is a unique dog waste clean up product designed so that the user's hands never contact the dog waste in any way. With a simple one-handed operation, Fetch™ encloses the dog waste in a bag inside of a sealed plastic case. Upon closing, the bag is automatically sealed. When Fetch™ is opened again, the liner bag and its contents are automatically discharged into a waste receptacle. Standard plastic liner bags can be deposited into an appropriate waste receptacle for disposal. Biodegradable liner bags can be deposited into a toilet for disposal. Its compact size makes it ideal for use when walking and the liner bag keeps the device from being contaminated.
Advantage
Wishbone Pet Products is positioned to address this market need with an innovative, patented product and a management team with extensive product design and marketing experience. We have spent ample time on the development and research of Fetch™ to ensure that it will satisfy the market demand for a simpler and more effective dog waste clean-up product.
Financials
Research and development work to date has been self-funded by the principal. Based on detailed financial projections, if the company receives sufficient funding to launch Fetch™, it will operate profitably within the first year with a net profit.
1.1 Objectives
- Develop a sustainable pet product business that designs, manufactures, and markets innovative pet products.
- Successfully bring Fetch™ to market by April, 2004.
- Achieve sales volume targets:
- Year 1: 25,000 scoops, 40,000 boxes of bags (25 bags/box)
- Year 2: 50,000 scoops, 175,000 boxes of bags (25 bags/box)
- Year 3: 100,000 scoops, 420,000 boxes of bags (25 bags/box)
- Reach break-even point within 12 months.
1.2 Mission
Wishbone Pet Products mission is to help people enjoy their pets by developing innovative products that address pet owners needs.
1.3 Keys to Success
Quality Products
Product sales are the primary income source for Wishbone Pet Products. To achieve sales goals, innovative products based on world-class industrial design, engineering, and manufacturing are essential.
Strategic Niche Marketing
Wishbone Pet Products will market a small number of innovative products. Consumers in our targeted niche markets must be educated about their benefits in order for them to gain market acceptance and penetration. The marketing strategy must reflect this reality.
Strategic Partnerships
Wishbone Pet Products will rely on assistance from strategic partners to manufacture, deliver, and market products. The establishment and maintenance of these partnerships is crucial.
