Week 8: Pivot ~ (Reflection question #1)
This week, our group decided to stick with one of our primary business models- the Freemium model. This didn’t require a pivot as we all unanimously agreed that we should stick to a free app that people can download that has a limited version of what our product can offer. This app will indicate however, the various benefits that consumers would receive by purchasing the full app for 99 cents (such as the increased number of recipes available to paid users). We were able to find research indicating that the target market we are aiming for would most likely not pay for the app unless they realized the true value of it. This way, we can ensure that our product gets vast exposure through the millennial generation, and those who feel that our app benefits their lives will likely be willing to pay the 99 cents. Once they have paid for the app, they will be considered a premium user and will gain access to an unlimited amount of recipes as well as personalized features that can track each user and provide recommendations according to each person’s data entries and habits. We believe that by gaining customer awareness initially, followed by the conversion of various users who seek to benefit from our app, we can generate enough of a revenue stream to be profitable.