Question 3.

Dave's Concept Proposal Improvments:


It is hard to pick out just one section of my original concept proposal form Michael’s critique that I have improved upon, as I think that I fell down on all counts and have had to rewrite most of it.
But one section stands out more than all the rest and that is the Revenue Model.
This needed improving because my original one line neither gave costing or adequate explanation of where the income was to come from, and as Michael says in his critique “the revenue model section is missing a few important things. A proper business model does not just have income, but also expenses. What are these expenses?”
To remedy this I tried to think of what would be needed in regard to the infrastructure and the equipment to set up the business. (Computer, phone line, web page design, server etc.) and then go onto outline the ongoing costs that would be incurred.
An explanation that it is the retailer / manufacture that provides the income and not the people using the site was needed this I tried to do along with a general appraisal of how the income would be generated i.e. Via click through or commission. I did not rule out advertising but this would have to be very selective so as not to appear biased.

Old Revenue Model.

If a purchase is made via the link from my web site then a commission is paid.
 

New Revenue Model.

    Costs.
The initial cost will not be high and is for the computer equipment and the setting up of a products database. An additional cost will be incurred canvassing for a group of retailers / Manufactures to start the site of.
Ongoing costs will be maintaining a server with the suitable bandwidth to carry the traffic I hope to generate. Plus the administration costs.

    Income.
Income will be generated either from click through (the retailer pays a small fee when someone enters their site from mine) or they pay a commission on any sales via my site. This can be negotiated individually with retailers / manufactures.
Some advertising on the site is not ruled out.
 

Reference.


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