FAN UP Market Analysis and Sales Projections Essay

sports fan UP is positioned within the Smartphone Applications act. Mobile devices with remote net capability, intellectual phones, have created an entirely immature market of users that can be orbited on the go. Due to the recent nature of Smartphone technology, we argon witnessing rapid evolution and launching in the smart phone applications manufacturing. winnow UP allows the import army the ability to seamlessly pair a give away with individuals coming to the point. By doing so, FAN UP allow for open the door to endless brand reach through Social Media via the user, additional in-game/concert advertisement, fan appreciation, and a creative way for each event armament to use their event to leverage underutilized sponsorships and promote their brand. attention Analysis Mobile applications have changed a number of industry landscapes in recent history. This industry shows one-year increment projections from 2009-2014 to be 49.8% and from 2013-2018 to be 28.9%. Th e evidence of this growth is a reason this app will be successful. Competition in the Smartphone Applications Industry is very strong.Because of this, it is important to discerp the different forces at work within the industry. This chart, information gathered from IBIS World, lays taboo the industry structure Life Cycle Stage Growth tax Volatility Very high Capital Intensity Low Industry Assistance Low Concentration take Low Regulation Level Medium Technology Change High Barriers to Entry Low Industry Globalization Low Competition Level High The first attain international factor in this industry is the number of mobile profits connections. As the number of smart phone acquires growths with the number of mobile internet connections in 2014, app developers will have a larger market for their products.Secondly, as demand from e-commerce increases in 2014, retailers have rarifyed their product lines, the platforms on which they operate, and retailers are pass judgment to crea te much shopping apps to assist age-strapped consumers. Next, time spent on waste and sports represents one of the most key international factors. Time spent on leisure and sports is expected to decrease tardily in 2014, resulting in a potential threat for the industry. While the industry now serves a broad audience, leisure time is a major(ip) restrictive factor in a consumers ability to use and purchase smart phone app products. The US Census Bureau data re-iterates more of the same industry trends. In 2011, U.S. nonfarm businesses with employees spent a total of $289.9 zillion on non-capitalized and capitalized information and communication technology (ICT) equipment, including computer software. This represents an increase of 10.6% from 2010. Of the $65.2 one thousand thousand spent on noncapitalized computer software, $29.9 billion was for purchases and even offroll for developing software, an increase of 7.3% from 2010. $35.3 billion was for software licensing and serv ice/maintenance agreements, an increase of $3.9 billion (12.6 percent) from 2010.Although the growth of mobile apps is on the rise, tax income earned from these apps is expected to increase at a slower rate. Over the next phoebe bird years, consumers are expected to continue wander away from pay-to-download apps, forcing developers to embrace the freemium business sham that relies on monetizing free downloads after the fact via in-app purchases. By 2019, free downloads are expected to account for about 95.5% of total mobile app store downloads. In the five years to 2019, revenue is expected to experience a 28.9% increase, arriver a total of a $34.7 billion smart phone application industry. Market Analysis The market analysis for FAN UP is unrepresentative of most apps. FAN UP will start by rivet on the target market of Sports Franchises in the US and Concert and vitrine Promotion in the US. FAN UP will serve Gym, wellness and Fitness Clubs in the US, Ski and Snowboard Resort s in the US, and Amusement Parks in the US in the secondary market. The sports enfranchisement market in the US is comprised of sports teams or clubs that participate in consist professional or semipro sporting events (e.g. baseball, basketball, football, hockey, soccer and other team sports) before a gainful audience.This market makes up the first half of the target market. Over the five years to 2013, revenue is expected to grow at an average annual rate of 1.4% to $23.6 billion, and includes a 1.5% increase in 2013 alone. The key external factors for the sports franchise market loosely hold true for the entire scope of the FAN UP market. The external factors include per capita disposable income is expected to increase by 0.8% during 2013, the number of households earning more than $100,000 is expected to increase slowly over 2013, external competition from other sports franchises is expected to increase during 2013 which represents a threat in the industry but not the market, a nd time spent on leisure and sports is expected to decrease slowly during 2013. Industry revenue is expected to expand 1.5% in 2013.Also, some franchises are opening new or remodeling be stadiums to attract more consumers. Concert and Event Promotion in the US is the second half of the target market. This market creates, manages and promotes live performances and events, ranging from concerts and theater performances to maintain fairs and air shows. This industry has an annual growth projection of 2.6% from 2013-2018 with 49,825 operating businesses. federal official funding for Creative Arts is the key external factor that deviates from the sports franchises market. many a(prenominal) nonprofit establishments in this industry rely to some extent on federal funding, particularly grants from the National Endowment for the Arts, an independent agency that sexual congress established in 1965 to support the humanities. Federal funding for creative arts is expected to increase slowl y during 2013. This market has a history of sizeable performance even when other industries struggle. Except for moderate wavering in 2010, the economic downturn has done little to deter Americans from attending live concerts and other entertainment events.Over the five years to 2013, industry revenue has grown at an estimated annualized rate of 1.3% to $23.7 billion, including a 3.5% anticipated increase in 2013. Revenue Model FAN UP will create revenue through brokerage fees, reach bonuses, and advertising. This recurring revenues model will be paid by the host of the event (i.e. Carolina Panthers, Live Nation, etc.) for each event in which FAN UP participates. The app will be free from the App parentage because, as shown in the data, consumers are increasingly less likely to pay for an app. The brokerage fees are for the access to the apps consumer base. The reach bonus is in place because with more reach, the more the host can charge the sponsor of the FAN UP sponsorship bund le. The FAN UP pricing will be dynamic in that negotiations must take place with each new partner in order to agree upon the percentage of the FAN UP sponsorship that FAN UP will receive. The price of the FAN UP sponsorship package will be a negotiation between the event host and the brand.Works Cited 1. IBIS World 2. US Census Bureau 3. http//2012books.lardbucket.org/books/designing-business-information- systems-apps-websites-and-more/s13-industry-analysis-smartphone -a.html 4. http//www.softwareengineerinsider.com/articles/smartphone-app- development.html.UvBroChU6xK 5. http//digby.com/mobile-statistics/