A one-of-a-kind karaoke bar
located on the Main Line
Maggie Dobesh, Steph Cheung, Blake Bellucci, Christine Lafferty
Mission Statement & Strategy“We seek to bring a unique karaoke experience to the Main Line to be enjoyed by those of all ages. We strive to ensure that our guests receive extraordinary and timely service in clean, comfortable premises. Accordingly, our goal is to ensure that all guests and staff are treated with the respect and dignity they deserve. By maintaining these objectives, we will be assured of a fair profit that will allow us to contribute to the community we serve.”
• Fun and unique karaoke bar
• Flexible premises
• Large variety of food and drink offerings
Market Analysis
Main Line
Montgomery County
Bryn Mawr
Target Market
Demographics
Population Age Bryn Mawr Median Income
2010 Bryn Mawr Population %
Montgomery County Median Income 2010
Montgomery County
Population %
< 25 $8,333 (Very Low) 53.10% $32,960 (Near Average) 30.70%
25 - 44 $41,932 (Low) 22.50% $83,947 (Very High) 22.50%
45 - 64 $70,223 (High) 15.80% $94,092 (Very High) 15.80%
> 64 $54,250 (Very High) 10.70% $43,088 (Very High) 10.70%
Total $ 3,799.00 $ 699,874.00
Environmental Scanning• Competitor: Main Line
Karaoke• The only “destination”
karaoke bar• Opportunities on the
Main Line
Z z z. . .
Core Competencies & Core Processes • Facilities • Systems & technologyCore
Competencies
• Supplier relationship• Order fulfillment• Customer relationship
Core Processes
SWOT AnalysisStrengths•Plenty of Universities
•New Innovative Idea
•Draw for all ages
Weaknesses•New unknown company
•Maybe people don’t like karaoke
Threats•Mainline Karaoke•Other more established bars promotions taking our customer base
Opportunities•Creating weekly events catered to various demographics
•Being a draw for regulars and special events
Product Offerings
Mixed drinks Beer Non-alcoholic beverages
Wine
With complimentary….Peanuts!
Popcorn!
Service Offerings
Contracts with various restaurants through Seamless.com
A karaoke experience that is unique to the
Main Line!
Layout of Main Floor
Operations Strategy
• Structure of Process• Customer Involvement • Resource Flexibility• Capital Intensity
Supply Chain Model• Responsive & Flexible Supply Chain - Drinks
o Customize drinkso Utilize top-notch ingredientso Keep drink menu fresh
• Quality of Supplierso Fresh Fruit
• Service Oriented - Karaoke o DJ sound systemo Projection screen with lyricso Microphoneso Song selection software
Quality Strategy: TQM● Aligning with characteristics of
outputs and customer expectations
● Dependency on ○ Personnel○ Karaoke Equipment
Quality ControlQuality of Inputs
• Inspection and testing of each tablet/software purchase
• Prescreen vendors
Quality of Products
• Technologically trained staff
• Statistical process control: performance measurement
Forecasting Customer Demand• Lack of historical data → Judgement forecast
Forecasting Product Demand First floor (main bar area):
80 people maximumSecond floor (4 private party rooms):
2 rooms for 5-20 people2 rooms for 20-40 people
Future Forecasting Techniques •Historical data
•Four methods: 3-week moving average, 3-week weighted average, exponential smoothing, and trend projection with regression
•Moving forward, key focus on trend projection
Management of Potential Queues• Private room reservations • Open main bar area• One drink minimum• Food delivery• First-in-first-out discipline
Costs & Expenses: Start-UpExpenditure Cost
Construction & customization $100,000
Equipment and furniture $450,000
Point of Sale system $15,000
Initial advertising $44,000
License $8,103
Operating inventory & supplies $25,000
First month’s rent & security deposit
$10,120
Total $452,223
Costs & Expenses: Annual FixedExpenditure Cost
Managers’ salaries $80,000
Utilities $10,029
Property tax $3,000
Insurance $7,000
License $222
Legal & accounting $11,000
Annual rent $60,720
BMI & ASCAP Music Licenses $2,000
Total $171,971
Costs & Expenses: Variable
Expenditure Percent of Sales
Annual variable cost 30%
Cost of goods sold (drinks)
50%
Credit card charges 2%
Costs & Expenses: Additional• Depreciation• Maintenance & replacement costs• Interest• Waste
Thank You