In-Depth
On this page you will find out more about Clover5, the tools, and more in-depth information from other sections.
Requirements
To be able to evaluate, set boundaries, formulate expectations and finally be able to measure the quality of the design, requirements are formulated. The requirements are divided into two categories: functional and technical/performance requirements. The functional requirements describe the desired future requirements. The technical/performance requirements describe how well the product should perform, formulated so it can be quantified.
Value Proposition
Virtual Reality
Due to the CoVid-19 crisis, no VR could be implemented into the project, as access to the VR-Lab was not possible.
VR/AR could be used as an enhancement in multiple ways for this project. However, VR would not be a preferred option, as few customers have access to the hardware necessary for this.
AR could be used in multiple situations. For instance, it could help the user choose a placement within their house, or it could visualise how to arrange the setup of the plant pods. This can be supported by an app on the phone.
List of possible uses for AR:
App helping to visualize the placement of the whole product in the living space
App helping to visualize how to place every part of the product in order for it to work
App helping to visualize how to insert the pods
App helping to visualize what the full grown plant will look like/ how to harvest the plant
App helping the costumer cook and prepare dishes
The most relevant ones would be the following two:
First, helping visualize the placement of the product within the context of the home of the customer, like the render on the Product page, shown in AR.
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The second most interesting option would be to actively help the customer cook and/or prepare food with AR glasses. However, this would require the customer to have AR capable glasses, which is at the moment not a realistic expectation.
Many other options are possible, but in our opinion, AR would also be a too far sought solution to these problems, especially as these are not crucial problems impeding the use of the product. It would be probable to make these apps/features available if the company has more success, but in the beginning stages of this PSS it would be a waste of resources to make these apps.
Subscription
Due to the early stage and the amount of uncertainties at the moment of the cost estimation, the determined costs are based on the pricing of competitors. In this case the closest competitor (Click & Grow) that could be found is adopting the following pricing strategy:
The price Click and Grow proposes is 159,95€ as a starting price and in addition 7,95€ per month in order to receive 9 seed pods. This would equate, for the first year, to (159,95/12) +7,95= 21.28€ per month, assuming no extra costs, meaning it would cost 2,36€ per plant in the first year.
If we assume this, we could go for the same pricing strategy category but with no extra starting costs, as this will attract more users to try our service.
For 3 plants this would thus be 2€ per seed pod -> 6€ -> 5.99€ per month
For 6 plants this would thus be 2€ per seed pod -> 12€ -> 11.99€ per month
This pricing strategy will likely first result in losses, but it will allow the company to conquer a market share in order to become attractive to new users. This is not a new strategy, it is commonly used by companies that are now very big, for example Netflix, Uber, and many more. This allows them to conquer a big part of the market and then raise the prices with time. It is also important to remember that there is a secondary source of revenue through the recipe part of the app, as it will allow sponsorships
Of course the units and pods will be available outside of the subscription if the customers want it. The prices would then be a little bit lower as there is no pot rented with the seeds sold. We could go for 1,5€ per seed pod. And for the pot itself it would be important to know the production costs in order to have a better estimate but it would probably end up at around 30€ per pod and 40€ for the pump.
Conclusion
In conclusion of this project, there would still be a lot to do before being able to sell the product. There would first be a number of steps that need to be taken:
Target group research and market research
In-depth competitor analysis
Peer testing
Prototyping: For this it is important to make sure that everything works and is strong enough. We would recommend changing the connecting piece between the pots, as the current design probably isn’t strong enough. An alternative to the current connecting system can be seen below.
Software: The software should be built to a complete, functioning app. We would also like to add a social media platform that allows for the customers’ to be part of a community.
Building a supply chain
Marketing
Delivery services and packaging
Customer services and maintenance
The above mentioned items would be an overview of the main steps needed for our PSS to become an item that could profitably be sold on the market.
In general, we do believe that this PSS can become economically profitable. This is because even if there are a few competitors, we offer different services with our product.