Kinkajou Report
The Kinkajou Bottle Cutter Case Analysis
Introduction
The Kinkajou is the brain child of Patrick Lehoux who foresaw a potential for a simple and portable bottle cutter. The product caters to people who have an inclination for making artistic and creative “Do-It-Yourself” projects. Upon identifying its market potential, Lehoux conceptualized and built a working prototype. After many attempts and trials, he came up with a working prototype and signed up on the crowd-sourced financing website, Kickstarter to find potential investors. With an ambitious goal of raising $75000 in 30 days, Lehoux took the risk and developed the product which became an instant hit with the backers who chose to support the project financially. He successfully raised $80,946 on Kickstarter from 1087 backers. Lehoux outsourced the manufacturing to China as it was difficult for him to build, manufacture and ship the products on his own. After some minor engineering revisions incorporated by the Chinese manufacturers to ensure accurate score line on the bottles, Lehoux felt it was time to take the Kinkajou to the next level. He was contemplating striking a deal with the retail giant, Walmart to sell his product on a large-scale. It is recommended for Lehoux to focus on increasing the customer base by collaborating with Walmart and promote the product aggressively. Since the product is priced higher than its competitors, it is advisable to produce a low cost Hermes and Atlas versions using cheaper raw material and reducing supply chain costs. This would open opportunities for increase in market share and net profit.
The above figure shows all the items needed to cut bottles using the Kinkajou
Recommendation One
Increase customer base by collaborating with Walmart and improvise promotions
The next milestone for the Kinkajou is to increase customer base. By collaborating with retail giants like Walmart, the Kinkajou will not only increase its customer segment and sales, it would bring
Introduction
The Kinkajou is the brain child of Patrick Lehoux who foresaw a potential for a simple and portable bottle cutter. The product caters to people who have an inclination for making artistic and creative “Do-It-Yourself” projects. Upon identifying its market potential, Lehoux conceptualized and built a working prototype. After many attempts and trials, he came up with a working prototype and signed up on the crowd-sourced financing website, Kickstarter to find potential investors. With an ambitious goal of raising $75000 in 30 days, Lehoux took the risk and developed the product which became an instant hit with the backers who chose to support the project financially. He successfully raised $80,946 on Kickstarter from 1087 backers. Lehoux outsourced the manufacturing to China as it was difficult for him to build, manufacture and ship the products on his own. After some minor engineering revisions incorporated by the Chinese manufacturers to ensure accurate score line on the bottles, Lehoux felt it was time to take the Kinkajou to the next level. He was contemplating striking a deal with the retail giant, Walmart to sell his product on a large-scale. It is recommended for Lehoux to focus on increasing the customer base by collaborating with Walmart and promote the product aggressively. Since the product is priced higher than its competitors, it is advisable to produce a low cost Hermes and Atlas versions using cheaper raw material and reducing supply chain costs. This would open opportunities for increase in market share and net profit.
The above figure shows all the items needed to cut bottles using the Kinkajou
Recommendation One
Increase customer base by collaborating with Walmart and improvise promotions
The next milestone for the Kinkajou is to increase customer base. By collaborating with retail giants like Walmart, the Kinkajou will not only increase its customer segment and sales, it would bring