Ecospin Marketing Plan

Group 10:

Katherine Mura

Jenna Mcfeely

Xitong Zhang

Xinyi Wang

EcoSpin

Introduction of the company

We are a Canada-based start-up founded by four college students who have the same passion for promoting people’s awareness of health and protection of the environment. By combining current existing technology and our unique design, we’ve developed an innovative new model of power-generating stationary bike named EcoSpin.

Product description

The EcoSpin will be a stationary bike that generates power as you pedal. Therefore, as the user pedals the stationary bike, the action generates electricity that can be used to power various devices, such as a smartphone, depending on the user’s needs. The benefit being that the user is not only improving their health by working out, but they are also reducing their carbon footprint in the process.

Product Differentiation

There are some existing energy generating stationary bikes existing, however they have not yet become popular amongst everyday consumers. Due to the relatively high costs and inefficiency of power-generating, this project hasn’t yet received an optimal market response. As data shows, most power-generating bikes on the market are able to produce around 100 watts per hour pedalled by an average adult. 100 watts can only power a laptop computer for 2 hours or a clock radio for 10 hours, which is apparently not a cost-effective choice for most people. By using our company's unique design, the efficiency of EcoSpin is greatly increased comparing with those existing power-generating bikes. A reasonably fit person pedalling an EcoSpin bike for an hour is able to generate 10 kilowatts which is about 1/3 of the electricity an average household goes through per day.

For product differentiation, direct model might be a good idea. Ecospin Company could deal directly with end-customers and customized spin to buyer specifications. There will be no inventory of finished goods; we commence assembly only after receiving the order from individual customer. Therefore we could gain cost leadership since direct model will save costs of resellers and distributors as well as the inventory storage cost. So the cost of spin will be lower than competitors’. As a start-up, we are easier to entry the market with competitive price.

Also, our product will gain differentiation advantage. Ecospin could manufacture semi-finished goods or components and once we receive the order from customer, we could customize to their specification by unique assembly. For example, we could design our spin as a family-interactive generator if our potential customer has a big family size； or we could design our spin bike generator with more seats if customers want to generate more watts with different purposes. Moreover, the color , size or even hardness of saddle  could be designed uniquely depending on customers’ preferences.