Inanny_Final report for OAP
- 1. INANNY OAP
- 2. ARE YOU A PARENT and TURN COMPUTER INTO TUTOR! STILL STRUGGLING?
- 3. INANNY AN EASY AND COST-EFFECTIVE WAY TO give your child early knowledge of foreign languages THROUGH ONLINE LESSONS
- 4. ARE YOU A TEACHER and LET COMPUTER GET YOU STILL STRUGGLING? EXTRA INCOME!
- 5. INANNY AN EASY AND COST-EFFECTIVE WAY TO GET EXTRA INCOME And Enjoy Your LIFESTYLE AND PROFESSION!
- 6. INDUSTRY ANALYSIS AND BASIS FOR ASSUMPTIONS World Skype Foreign Language Kids Lessons Industry: 504 billion TAM, 504 SAM (can potentially reach all customers because our service is only online service). Target market: 5% of innovators – 2,5 billion How we calculated TAM: 7 bln (total amount of people on the Earth) x 20% (average amount of children in population) = 1,4 bln Internet coverage of the world – at least 50%. 1,4 bln x 50% = 700 mln If every child takes 1 lesson every week at 15 USD – then the amount of market is: 700 mln X 15 USD X 48 lessons/year = USD 504 billion per year We plan to cover all countries in the world. Did calculations for Russia only at this stage Russian market 30 mln children, Internet coverage 30% TAM, SAM = 9 mln X 15 USD X 48 lessons per year = 6,5 bln per year Target market: 6,5 bln x 5 % (clients-innovators) = 325 mln per year Our commission: 5% Potential revenue/year: 16 mln USD. 50% - goes to people who will develop study materials and guidelines for online lessons. We get 8 mln USD per year
- 7. TESTs. For Teachers’ Value • Hypothesis We suppose that teachers who specialize in children's education can be interested in creating an online profile and offering to parents from all over the world online lessons with their children mainly aimed at teaching them foreign languages • Experiments We talked to 5 teachers from kindergartens and they said that they potentially would be interested. They do not currently offer any lessons online. • Results The value to teachers confirmed
- 8. TESTs. For Child’s Value • Hypothesis We suggest that because children like computer, online lessons will be efficient for them. We suggest that children need foreign languages • Experiments We talked to teachers, who said that online lessons have educational potential not as a sole means of teaching foreign language, but in combination with other tools (ie educaitonal audio and video-CDs, real-world lessons). We talked to parents, we also made several polls through facebook and other social networks. Not many parents are 100% enthusiastic. Most parent say that they would try - but they do not see a good product on the market. 25% say that computer is not good for children, so they are totally against online education. • Results A) We need to persuade parents that online lessons are a GOOD IDEA: the way to do it is through getting endorsements from specialists in early education and doctors B) B) We also need to show that we put interests of children on the 1st place - ie that our product is SAFE and can not harm children: we need to elaborate rules for online lessons (ie get medical recommendations for duration of lessons). We need to make partners with some institute that certifies teachers and ask them to certify out teachers C) We also need to prove that online lessons are EFFECTIVE: 1) we need to develop special know-how for such lessons (ie guidelines of lessons that all teachers will follow); 2) develop the whole chain, both online and offline (which books to use, which CDs - so that identical educational materials were on both sides of computer screen). Do it either independently or take smth already existing in the market (ie CDs with books for children).
- 9. Test. Studying Competitors Hypothesis We think that the idea is good. If so, it should be already implemented. Let's see what is already in place in order to do better/add smth new Experiments Because our business is online only, we searched the web Results There are offers of skype lessons to children, but at the bottom of the list as 1 of many services. Most of companies that offer skype lessons of foreign language include children in their audience. There are no details of such lessons, no information about tutors, nothing that would be adjusted to children We need to make a product that reflects the difference: 1) between child and adult education; 2) adjusts to online environment. Also, we need to give details of teachers so that parents could make a confident choice
- 10. SUMMARY 1. The Target world market for online lessons of foreign language for kids is big (2,5 billion USD per year) 2. The market is almost undeveloped. 3. Need to focus on the “Innovators” segment 4. There is much skepticism around parents about efficiency and safety of online lessons for children. 5. Need to give additional benefit in the form of special methodology for online education for children. Need to give away 50% to those who will develop such methodology for us 6. Use English as a main language to be taught. Focus on countries where English is not a native language.
- 11. Conclusion The idea has a potential as a growing market shows. There is a chance to become a pioneer, but requires an effort in changing perception of online education as unsafe and ineffective for children.
- 12. THANK YOU