Second Case Study BALANCED SNACKING (INDIVIDUAL)

Student: Acuña Mandujano Jhon Francis

Section: S-014
Teacher: Del Carpio Gallegos Javier

Solution:

1. ¿Would a D2C model work for snacks?

The direct consumer model, also known as D2C by its initials, is one in which producers

market their products directly to customers, without the need for an intermediary, whether

through a seller, a website of their own or a point of sale also own. The proposal to show

you the items that are available and persuade you to acquire at least one.

I believe that if this D2C model works because it is innovative and Chen knows that it is

the form with the highest performance, apart from that it is earned with consumer data.

Because with the client's data, the value proposition and the customer experience can be

constantly improved, and thus the relationship with it through the website or via

Facebook. Avoid paying to place your products on a shelf or have to invest in a physical

space as is.

2. ¿How would one scale such a business, especially sourcing raw ingredients?

Showing that the company's suppliers are farms or independent manufacturers that also

supply stores, they are very reliable in offering a quality product, that is why the products

used are 100% fresh and healthy.

And he considered to the clients articles or products that they had not tried in the past so

that they return for us for more, since we helped them with their health and we were

satisfied.
 3. ¿How many varieties of snacks were needed?

In the case it is seen that consumers subscribed to their subscription service for $ 20 per

month. Chen used his skills on the page, and approximately 100 clients bit the hook over

the course of a weekend. I think it is a scalable business and they contain in 4 or 5 assorted

boxes which can contain packages of dried fruit, almonds, granola and full-size

wholemeal cookies.

What you are looking for is to provide a good service, delivery and quality of products to

see how customers react, see more likes and thus vary the boxes. Failure is not an option

as the case mentioned by Silicon Valley, broke in 2001 due to high capital costs and over-

expansion.

4. ¿Should they be changed every month?

Sería buena idea aprovechar los productos de estación e ir variando las cajas del mix de

productos que se ofrece, mejorando la proposición de valor y ver si al cliente le gusta.

5. ¿Could a company build its own branded snacks which would allow higher
margins, or would people prefer brands they already knew?

Where greater value is generated is the owner of the brand (“Controlling the brand”) and

it is what is sought since, all the effort cost very little, only the cost of buying and

repacking the sandwiches, and the personal time to place the website and Facebook sites.

6. Gupta put together a simple pro forma income sheet of what the business might
look like, and it seemed promising, but many assumptions required validation.
(Please see Exhibit 1.)

The projected income statement they created is a very vague and optimistic assumption

with the information they had of their first clients (100 people) and the market studies

they carried out. You can see that a regular and constant investment in electronic
commerce was needed, as was the cost of the products that were needed. I think it is a

very optimistic projection and 3 scenarios (pessimistic, normal and optimistic) had to be

created in order to sustain and obtain financing.

7. Gupta and Chen wanted to proceed, but how could they start validating these
assumptions at low cost?

The best thing would be to detail the costs you plan to make it as real as possible. Create

scenarios since the context is always unpredictable and seek discounts for the purchase

of merchandise by quantity.