Venture Checklists

Summary

Marketing

Nature of the Market

• number of potential buyers, by region
• number of existing buyers, by region;
• profile of buyers ... age, income, occupation, education, sex, family size, etc. by region
• profile of users (if buyers and users are different) by region;
• where buyers and users live ... region, city size, urban, suburban, rural;
• where buyers buy ... urban, suburban, rural, trading centre, local, type of store;
• size of purchases;
• when buyers buy ... time of day, week, month, year, and frequency of purchase;
• how buyers buy ... name brand specifications or not, impulse, planned, comparison, personal inspection, cash/credit;
• why buyers buy ... attitudes, motivation, trends, styles;
• who influences buying decisions ... type of product and brand, uses of product;
• unfavourable attitudes of buyers and brand;
• indications of changes in buying habits.

Structure of Your Market

• number of competitors;
• number of brands ... national, regional, local;
• share of market by brands ... total, regional, city size, type of store;
• characteristics of leading brands;
• differentiation of own brand from leading brands ... strength / weakness / opportunity / threat analysis;
• policies, presentation, methods and tools of principal competitors.

Product Profile

Product

• quality ... materials, design, durability, safety, method of manufacture and workmanship;
• models, sizes, colours, flavours, etc.;
• luxury, standard, essential;
• convenience of shopping.

Package

• protection ... shipping, handling, theft, tampering, spoilage, etc.;
• utility ... measures, closure, reseal, disposable, reusable, etc.;
• identification ... universal product code, visual exposure, colour, label;
• display ... versatility for stacking, hanging, filing, etc.

Name Brand

• legal ... logo, trademark, copyright, industrial design, song;
• image ... memory value, goodwill value, recognition, suggestiveness, pleasingness, generic original.

Service

• installation ... who, when, cost, delivery;
• maintenance ... who, when, cost, convenience;
• repair ... who, when, cost;
• warranty ... who, when, how long;
• accessories ... after-market, compatible.

Place in the Market

Distribution Channels

• number of retailers ... each type by region;
• number of wholesalers ... each type by region;
• per cent of retailers ... each type, handling brand by region;
• aggressiveness of retailers, co-operation by region, store type and city size;
• indications of shift in relative importance of channels.

Promotion

Personal Selling

• recruiting and selection ... methods, qualifications, standards;
• training ... methods, skill development, motivation;
• supervision ... performance reviews, development;
• compensation ... commission, bonus, benefit plans.

Advertising

• effectiveness ... comparison of spaces purchased, timing, appeals and themes, black and white vs.. colour;
• cost effectiveness ... various media, style, background, placement;
• product effectiveness ... feature products, merchandising.

Sales Promotion

• co-operative advertising;
• deals, premiums, coupons, discounts, bonus gifts, displays.

Publicity

• announcements, press releases, mentions.

Price

• from factory ... volume capacity vs.. demand;
• to wholesalers ... by type, size and region;
• to retailers ... by type, size and region;
• discounts ... functional, volume, cash, other;
• allowance and deals;
• service charges;
• price stability ... commodity influences such as energy, labour, weather, technology.

Strategy

• selection of a target market(s);
• development of a marketing mix [product/price/place/promotion];
• implementation and monitoring strategies.

Operation

Finances

Organization

Staff

• skilled;
• unskilled;
• professional;
• supervisory;
• qualification standards;
• job descriptions;
• wages and salaries;
• performance standards;
• staff benefits;
• staff training;
• employee evaluation and appraisal standards.

Management

• Can management prepare and implement a sound business plan?
• Does management have adequate authority and control to fulfill its responsibility?
• Do training programs encourage personal skill development towards increased responsibility?
• Can management change be introduced as required to benefit the business?  Even if the changes require a new manager?
• Does the manager have the qualities of time, character, stamina, planning, control, development, leadership, decision-making, confidence, practical realism?  And commitment?

Preparation and Commitment

• Have you obtained independent legal advice on all contracts?
• Are all financial commitments finalized?  In writing ?
• Does the business plan have time in its favour?
• Are you prepared to lose your business investment?
• Are you prepared to succeed?

Prepared by: Saskatchewan Regional Economic and Co-operative Development