Potential future of DentiBox

Potential future of dentibox

Of course, there are some things that still have to be done to finally introduce our product-service system to the market. Here will be explained what steps need to be taken, with whom and how much time and money this will cost.

Setting up collaborations
First, we need to manage the collaboration with Oral-B, so that they can provide us with the higher-end dental care products like Electric toothbrushes. Next to that, we need to make an agreement with a production facility in China, so they can produce the lower-end dental care products for us. This of course also needs to be funded, this is discussed later on. Finally, we need to make agreements with dentists all over the country, this can be made possible with the KNMT, (De Koninklijke Nederlandse Maatschappij tot Bevordering der Tandheelkunde). They can likely reach out to many dentist offices. When our name grows bigger, it will likely be more appealing to promote dental care products through us. From this we could select brands that meet our purposes, there could be a lot of options within this choice.
Further investigation of target group
Next to all this, we should conduct a larger survey to get a better understanding of what possibilities there are and how manymuch interest there is. This survey will be aimed at our target group of modern, working, self caringself-caring people from the age of 18 to 65.
From this, we can compose the needs that our PSS needs to satisfy. At the moment these needs are:: More attention for your oral health, by receiving the best products when you need them, and having the possibility to have more check-ups and contact with professionals. Next toBesides that, extra value will be offered by having premium, reusable products. Next to that, you will gain more insight into your dental treatments and status as the forms the dentist fills in will also be available to you so you know where you can improve. With the DentiBox you will have the opportunity to keep your oral health at an excellent level. With the survey other possible needs could come to light, therefore a proper survey will be conducted.
Marketing
The marketing will go through dentists but also directly to the customer. For this a marketing plan needs to be set up. Where do we reach the target group and with how many resources. Since it’s a modern company most of the marketing will be online but for marketing our idea to the dentists it is handy to plan meetings with all separate dentist practices and explain to them the value of our product. This is not worked out fully but is still a step to take in the future.
Risks
Do be aware that there are many factors that can affect the market for a product or service. The ups and downs of the economy and new market trends can pose a risk to new businesses, and the product might be popular one year but not the next. For example, if a competitor like a healthcare insurance launches or includes to its subscription a similar service at a lower price, the competitor might steal market share. Therefore it is wise to perform a market analysis that assesses market factors, the demand for a product or service, and customer behavior.
Moreover, our company can face risk as limited start-up costs which can lead to limited flexibility pricing. It means that although launching our service for the first time with some big discounts or bonuses might be attractive for the clients, it might be risky to do it because at an early stage our company would need funds to launch a business either in the form of loans from investors, or their own savings. Therefore it will be necessary to have a financial plan within the overall business plan showing income projections, how much cash will be required to break even, and the expected return for investors in the first five-year timeframe.
Time
In the beginning, the company needs some time to get started. Also, it takes about 40 days to get the delivery from China. So only after those 40 days, the first boxes can be sent. This takes some starting time for the company. But after these 40 days, the boxes can be sent out and if all resources are sent in time there will be no more lost time. Then as time goes on, everything will run smoother and everything will become cheaper as the production acclimates and the costs are reduced.
Money
For the first quartile there needs to be an investment for around 644.000 euros. The costs are built up out of production costs and system costs. All the calculations of this number can be found under the subject ‘Financial’. As you can see in the graph the break-even point is found around 14000 subscriptions. From that moment there is money made.
Resources
A lot of resources need to be made in the beginning, mainly packaging and products. We want to recycle as much as possible. So we don’t have to make a lot extra later only if there are more subscriptions. For example, the bottles for the mouthwash can be used again so per person there only needs to be one that can be refilled. That’s also why the costs are higher in the beginning but later on, there will be less and less costs. Of course some things you can’t use again, for example, the brush part of the interdental brush cleaner but the handle part can be used again and again. This will eventually save us money and it will be better for the environment at the same time.
Next to that, we will need two warehouses, one in China and one in the Netherlands. At first, we can have a small office/HQ, and depending on how successful our product service system will be we can expand. Finally, a website and an application have to be developed and maintained as well.
Role of investor
To realize our entire PSS, we do need potential investors. These investors can help us get the discussed resources to get started and create a profitable company. If our company would get popular and a lot of interest, the profits also will get higher and our costs will likely become lower. These profits again create value for the investors since they have a share of our company. So of course it is an investment, but think about it. Currently, there is no PSS just like this and according to our research, there is definitely a need for it. Life gets more and more busy, so as described in our target group analysis, there are a lot of people who don’t really have the time to acknowledge what products they need or to even buy them. Also, we create the possibility to get more out of your dental care experience and have the possibility to keep your oral health at an excellent level. Besides that, our PSS makes sure that you only have the best products around, which can be easily stored in our stand. Ultimately, all this is delivered to our customers while being as sustainable as much as possible.
Another option for investment is that the brands that would collaborate with us, like Oral-B will help us start off. This way we could get promoted to really kick start our service and therefore quickly generate a lot of sales, which again is profitable for them as they would supply us their products. However, this might decrease the integrity of our company. One can not say that you will only give the best products if you only use one brand. Therefore, also other brands could supply us. This however, might cause controversy.