Tuesday, May 20, 2014
Making a Business
For my project on Monday I met with Mr. Doody at his office where he taught me about creating a new business. He started my telling me about the 5 P's of marketing. 1. Product 2. Price 3. Place 4. People 5. Promotion. He really focused on number three and four when talking about it. He used two businesses in the area to talk about the Place part. He compared Waterway to another car wash on Washington Street in Chagrin. Waterway's location makes it very visible and accessible because so many cars drive through that circle, and that is why they are able to charge $30 for a carwash. While the carwash on Washington Street only charges $5 dollars per wash and yet it is always empty because not nearly as many cars drive that way each day. And the People part he told us if you're going to start a business, pick a location where the people living there have disposable income. He also empathized that whatever you are doing, to be successful you have to be the best at that particular thing.
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Wow Ian, those five P's are really interesting. I've never thought about it that way before. I had also been wondering exactly how Waterway was getting away with charging thirty dollars for a carwash, and also expecting tips for the people who vacuum the insides of the cars (I live near there, so I drive past Waterway nearly every day). I feel like Waterway also does a good job when it comes to promoting the car wash aspect of their business, because when you stop there for gas, they ask you if you are interested in getting your car washed, so you can't exactly forget that you have the option of having them wash your car. In addition, people who get their cars washed at Waterway wait inside, so they are more likely to buy something from the store than one would at a normal gas station or car wash. As for the fifth P, promotion, I am interested in hearing more about what you end up learning. Promotion is one of the biggest factors the project that Bryce, Rose, and I are working on, because our goal is to get as many people as possible to come see our show.
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