AuthenticAudioQuestforVentureCapitalMay13,1999（一）.pptVIP

Authentic AudioQuest for Venture CapitalMay 11, 1999 David Runton Pete Smith Rajashi Runton Renee Savera Rob Michael Agenda Introduction to the Audio Market The Alpha Product The Business Plan Understanding Customer Needs The Audio Market Brand Recognition is the greatest entry barrier From Porter’s Five Forces Model Industry Rivalry Large, well funded corporations Well known competition Buyer Power Ultimately, Consumers must buy the product Product Concept Digital, Digital, Digital Tube Based Circuitry Inherent design enhances even harmonics Desired for warmth Impedance levels allow for “better sounding” components Can we find a way to merge the two technologies? Product Design The Tube Signal Shaper - Alpha Product Tube based preamplifier Designed to work with existing systems Target customer desires for: Natural Sound - Warmth High Quality Clarity/Crispness Current Home Stereo System Enhanced Home Stereo System Customer Acceptance Customer Testing Processed / Unprocessed Sample Songs Listen for yourself! Preference Ratios Customer Acceptance High Quality Scored high Aesthetic Values Brand Recognition High Tech Appearance Scored low - not a surprise No brand recognition Simplistic Front Panel Use of Industrial Design User Interface Redesign Human interface considered Functionality enhanced High-Tech appearance addressed Market Potential Realistic market potential: 252k units (yearly) Market awareness: 22.5% Level sales Based on 1996 component stereo sales Retail Price: $300 20% markup from wholesale Gross Margin: 49% Predicted Sales Bass model for Sales Prediction Based on five years of realistic sales potential Authentic AudioMission Statement The provision of full and natural sound solutions that provide user control and satisfaction within the audio environment. Business Form Progression Mature form to focus on Core Competencies Supply Chain Configuration Mature Business Configuration Maintain market focus Create agile competitive advantage Sp