This document provides details about a proposed fuel management application business. It outlines the vision to provide an easy to use and low cost fuel management app. It analyzes the competitive industry and identifies customers as New Zealand car owners. The product is described as an app that links to a car's fuel gauge via Bluetooth, provides GPS directions to nearest gas stations, and allows payment directly from the app. Key suppliers, partners, and strategies are identified to achieve cost leadership in the market. Business processes for app updating and customer service are modeled.
This document provides details about a proposed fuel management application business. It outlines the vision to provide an easy to use and low cost fuel management app. It analyzes the competitive industry and identifies customers as New Zealand car owners. The product is described as an app that links to a car's fuel gauge via Bluetooth, provides GPS directions to nearest gas stations, and allows payment directly from the app. Key suppliers, partners, and strategies are identified to achieve cost leadership in the market. Business processes for app updating and customer service are modeled.
This document provides details about a proposed fuel management application business. It outlines the vision to provide an easy to use and low cost fuel management app. It analyzes the competitive industry and identifies customers as New Zealand car owners. The product is described as an app that links to a car's fuel gauge via Bluetooth, provides GPS directions to nearest gas stations, and allows payment directly from the app. Key suppliers, partners, and strategies are identified to achieve cost leadership in the market. Business processes for app updating and customer service are modeled.
Name Sarah Katherine OConnor NetID soco685 Group Number: 421 Website Link: http://infosys1102014s1group421.blogspot.co.nz/
Tutorial Details Tutor: Day: Time: Olivia Friday 9am-10am Time Spent on Assignment: 19 hours Word Count: 1639
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2 FUEL MANAGEMENT SYSTEM APPLICATION INTRODUCTION Living in a modern world with an increasing population, the number of vehicle owners is astronomical and growing, with over 1 billion vehicles on the roads. To cater to the needs of the vehicle owners, the process of refuelling must be efficient and convenient. However, the number of cases of accidents caused by motorists running out of fuel and reports of rocketing numbers of drive-offs suggest there is a big problem the entire process of refueling and car fuel management is inconvenient. Our business will provide a fuel management system in the form of an Application linked to the owners bank account and location using GPS as a solution to the problem. We will cross sell the Application with a bluetooth chip, linked into a cars fuel gauge. 3. BUSINESS SECTION 3.1 Vision To provide an easy to use, low cost Fuel Management Application that makes fuel management convenient and worry free. 3.2 Industry Analysis: Fuel Application Industry Industry: There are many fuel applications in the Apple, Android and Windows stores. All offer slightly different services such as prices, petrol station locations and tips for saving fuel. Force: High/Low: Justification: Buyer power: High With Apple announcing over 1 million applications in their App store, there are many Fuel applications available, such as WhatGas, MotorMouth, Petrol Energy For Life. Therefore buyers have plenty of choice in the fuel application industry. (The Verge, 2013)
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3 Supplier power: High Suppliers of Fuel Applications may include navigation software, cloud storage systems, but a common supplier would be an App Developer. An article writen by Paul Cook in late 2013 talked of how there simply arent enoughapp developers. Therefore supplier power in this industry is high. (Udemy, 2013) Threat of new entrants: High Threat of new entrants is high. There are relatively low barriers to entry for creating a mobile application, as Brandalyzer says, applications are not capital intensive. Just a few months back, in April, Motormouth App was released in Australia showing new fuel applications are entering the industry. (Brandalyzer, 2011 and News.com.au, 2014) Threat of substitutes: High Threat of substitutes is high because buyers of fuel can check for petrol stations by looking out on the roads, by using a GPS, or can make use fuel management websites such as Price Watch. (Pricewatch, 2014). Rivalry among existing competitors: High Carshop says that there are a whole host of apps available for tasks like finding the cheapest petrol and therefore many existing competitors. Carshop goes on to list apps that are both priced and free, suggesting that rivalry between these many players is on price. (Carshop, 2014). Overall attractiveness of the industry: The fuel application industry itself doesnt appear to be particularly attractive with high supplier power, rivalry and threat of new entrants being
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4 of concern. However, our business believes that our application is innovative and could potentially be a first mover in a new industry, Personal Fuel Management Applications. 3.3 Customers and Thei r Needs The target group of customers for our fuel management app is NZ car owners. Eric Pawson writes in an article for Teara how New Zealanders love their cars and that Aotearoa has the third highest car to person ratio worldwide, 607 cars for every 1000 people. If current population and car ownership trends persist, the number of car owners will continue rising in the forseeable future, broadening our target customers. Quoting leading payment company BluePay, Drivers are often in a hurry when they stop at the gas station, and they want to be in and out as quickly as possible. This means that customer needs for fuel management and refuelling is that it is easy, fast and convenient. 3.4 The Product and Service To meet these customer needs, we are providing a Fuel Management Application. The app can be synced with a bluetooth chip in the cars fuel metre, notifying the customers smartphone when gas level is low. The Application will provide GPS coordinates to the nearest gas station and make payment simple with an inbuilt payment processing system. The notifications sent to the drivers smartphone when fuel is low will be a reminder for the busy driver to decide when to fill up with gas. This should decrease the number of breakdowns due to an empty tank and eliminate the indecision of when to fill up. The GPS coordintes and integrated payment system will make the process of fueling quick and easy, so that drivers can be in and out of the petrol station quickly and get on with their busy lives. 3.5 Suppliers and Partners A key supplier would be bluetooth chip manufacturers, which would be placed in the cars fuel metre. A second necessary supplier for our application is large and secure cloud storage, allowing us to manage the data from our customers. Several partners would be crucial to the applications success. A partnership with the petrol station is necessary so that the application can work most efficiently, syncing with the service station and their pumps.
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5 Another key partnership is with banking institutions, so that the user can seemlessly pay for the fuel purchase through the built in bank payment. 3.6 Strategy: Cost Leadership The competitive scope is broad market. The majority of New Zealanders own a car and all of these people need to manage their petrol use and refuel regularly. Therefore our Fuel Management Application will reach an extremely large portion of the market. The cost strategy that would best suit our Application is low cost. We want people to be able to buy fuel conveniently and efficiently at the closest petrol stations at the lowest prices. Therefore the application to help consumers do this needs to in turn be affordable. The overall strategy is therefore Cost Leadership 3.7 Value Chain Activity: Service after the sal e The most important value chain activity for this business is Service After the Sale To add value to the Application, is of the utmost importance that we provide a high quality level of service after the sale. If there are any glitches in the application that are causing annoyance for consumers, we need to know about these and be able to fix them. Dissatisfied users may complain to their friends, family and on the internet meaning that the application could quickly develop a bad reputation. We need to look after customers with queries or complaints, fixing their issues so that we deliver an easy to use Application that customers will recommend to others. 3.8 Business Processes 3.8.1. APPLI CATI ON UPDATING PROCESS - This updating process will keep the application up to date with the latest petrol station locations, roads and payment institutions. The IT department will constantly work toward providing a helpful, easy to use fuel management application that meets the users needs, this updating process will be heavily influenced by customer feedback.
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6 APPLICATION UPDATING PROCESS MODEL Start New Financial Institution/petrol station/road is opened Analyze customer feedback and ideas Update Application as necessary End Notified by our partners? Yes No Regular weekly check for any changes IT Department IT Department Application Maintenance System
3.8.2. CUSTOMER SERVICE PROCESS A customer service process is necessary so that any queries or issues that users have with the application can be dealt with in a timely and efficient manner by our customer service department. A live, online Ask us a question service will be available to meet users needs any time of the day, so there is always an immediate response rate. An email system will also be available for users who have formal complaints.
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CUSTOMER SERVICE PROCESS MODEL Start Customer Asks Question in Online Chat Formal Complaint? Send Email Yes Common User Problem? No Give solution Yes No Enquire Further IT Analyse and fix issue Contact customer and resolve issue End Complaints Analysis System Complaints Analysis System Customer service department Customer service department
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8 3.9 Functionalities 3.9.1. APPLI CATI ON UPDATING PROCESS Updating new petrol station locations Fix any faults in the application, as recognised by customers 3.9.2. CUSTOMER SERVI CE PROCESS Customer queries can be sorted out in an online chat conversations Emails for formal complaints 3.10 Systems
3.10. 1. MAINTENANCE MANAGMENT SYSTEM Our Fuel Management Application will be backed by a maintenance managment system, allowing us to fix the application frequently and update new service stations/financial instituation locations, making the Application more convenient. Without regular technical updates we may struggle to solve customer concerns with the application. 3.10. 2. COMPLAINTS ANAYLSIS SYSTEM If a customer wishes to make a formal complaint, they are encouraged to send an email to our complaints address. The process of dealing with the complaint will be supported by our complaints analysis system. The customer service team will work with the customer to provide a satisfactory outcome, sending any information gleaned to the IT department to improve our Application for the future. 3.10. 3 CUSTOMER SUPPORT SYSTEM - We aim to be able to solve any issues that customers have so that they can use our Application without difficulty. A customer support system will enable our business to settle customer issues in the most efficient manner, with the live chat question and answer service online.
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3.11. Summary Table: Value Chain to Systems
Value Chain Activity Processes Functionalities Specific Information System(s) Broad Information System(s)
Service After the Sale 1. Application Updating Process 1. Updating new petrol station locations.
2. Fixing any faults in the Application as highlighted by users Maintenance Management System
Technical Analysis System Decision Support System
Decision Support System 2. Customer Service Process
1. Online chat conversations for customer help
2. Emails for formal complaints
Customer Support system
Complaints Analysis system Customer Relationship Management
Customer Relationship Management
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10 CONCLUSION Our business will provide an Application addressing a growing problem in our society - that refueling is inconvenient and causes issues such as breakdowns and drive offs, which can have lasting consequences for society. By creating an easy to use, low cost smartphone Application and optional bluetooth chip, we will make refueling worry free and simple. After launching our well designed product, the business will turn its focus toward service after the sale, improving customer satistaction through well thought out CRM systems. We will improve productivity and create competetive advantages with our quick application updates, while adding the most value possible for our users. Our business hopes that this Application will soon be the answer for every motorists Fuel Management. REFERENCES 1. Eric Pawson. (2012). Cars and the Motor Industry A motorised society. Retrieved from http://www.TeAra.govt.nz/en/cars-and-the-motor-industry/page-1. 2. BluePay. (2014). How to Improve Gas station and convenience store business. Retrieved from http://www.bluepay.com/processing-services/merchant-types/gas-stations/how-to- improve-gas-station-and-convenience-store-business.
3. Paul Cook. (2013). Learn Android App Development and Programming Six Reasons why you should become an Android App Developer. Retrieved from https://www.udemy.com/blog/learn-android/.
4. John Rolfe. (2014). Cheaper petrol just a click away with new smartphone app. Retrieved from http://www.news.com.au/finance/cheaper-petrol-just-a-click-away- with-new-smartphone-app/story-e6frfm1i-1226882898130.
5. Mobile Apps, high potential and low entry barrier. (2011). Retrieved from http://brandalyzer.wordpress.com/2011/07/07/mobile-apps-%E2%80%93-high- potential-and-low-entry-barrier/.
6. Card Smart. (2014). Price Watch. Retrieved from http://www.pricewatch.co.nz/pricewatch.aspx.
7. Best Smartphone Apps for drivers. (2014). Retrieved from http://www.carshop.co.uk/latest-news/70.
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8. Nathan Ingraham. (2013). Apple announces 1 million apps in the app store , more than 1 billion songs played on Itunes radio. Retrieved from http://www.theverge.com/2013/10/22/4866302/apple-announces-1-million- apps-in-the-app-store.