Final project -- MyTeam.com. Business & Marketing Essay

YOUR NAME
SUBJECT AND SECTION
PROFESSOR’S NAME
DATE OF SUBMISSION
Executive Summary
MyTeam will offer a gaming platform where online gamers are given the opportunity to find the right teammates who’s playing the same game. The service proposed will be for online game players to have a unique experience while playing online games with other players The target group of customers is online gamers particularly ages between 15 – 25 years old and anyone who has interest in playing online games.
According to IBIS World, the estimated market size for Arcade, Food & Entertainment Complexes in the US industry statistics is $3bn. In video games alone, the U.S. industry trends have an average industry growth (2024-2019) is 14.4%.
The company’s goal is to provide support for users to find their right match of teammates. Getting better and not relying on their teammates have been proven to do the players no good based on gamers’ discussions. The growing population of gamers recognize this need - that coordinated players are key points to win matches.
Key to success:
* Establish a platform for savvy gamers so that they can interact like in a community
* Create an online community for gamers that appeal to niche and wide audiences alike.
* Create a gaming platform that centralizes on quality, design, improved overall gaming experience, and excellent customer satisfaction.
Introduction
Video and online games have contributed greatly to mainstream entertainment, with the increasing number of gamers. There were various changes and modifications with the advancement of technology and the emergence of new business approaches that have resulted in this highly dynamic industry. With the constant increase in incomes and sales, this industry has become more appealing and interesting to both investors and entrepreneur.
The current young generation of business professionals is the pioneer to have lived with the video game phenomenon and feel that they have the right to claim its ownership. This, in combination with the rising opportunities and reduced limitations to entry, has steered to a sensation of various game startups that rapidly rises and falls as entrepreneurs or the game creators prefer to create games that they enjoyed as children. According to comScore, the online community of gamers have exceeded 217 million people in 2007. Studies have also shown that approximately 3 billion hours a week are spent on average by playing video and online games (McGonigal 2011). This have led for video game companies as well as small scale game business startups to start utilizing this growing market, exploring what should be done to be successful.
There are several various ways for entrepreneurs in the gaming industry to be profitable and to achieve success. Some are well-grounded according to industry practices, while others are at the young stage and was pulled out by technological innovation. In 1990s, the emergence of e-business has delivered a new kind of platform for several companies in reaching their respective customers. With technology as its center, gaming community grabbed this opportunity and embraced the incoming changes.
Business Model & Strategy
Customer Value Proposition
MyTeam is one of the solutions for those gamers who cannot find the right teammate. There are many players who think that their teammates’ are bad and resulting in the failure of the match.
This application is also a platform that can offer a good community for players to share their game experience. Because people are willing to share their match records or post some interesting experience with other players.
Target markets
All the game players who play the online team cooperation game are our target customers. Moreover, this game appeals to game players aging between 15-25 years old.
According to IBIS World, the estimated market size for Arcade, Food & Entertainment Complexes in the US industry statistics is $3bn. In video games alone, the U.S. industry trends have an average industry growth (2024-2019) is 14.4%. Newzoo also forecasted that the global games market will reach up to $148.8 billion in 2019 and by 2022, the market will even grow to $189.6 billion (Wijman, 2019).
According to the data collected by ESA research, more than 65% of American adults play a video game and 52% of gamers are college-educated. With the development of computers and the internet, there will be more and more video game players in the market.
Key partners:
* Game companies, such as RIOT, Blizzard, Steam
Since one of our functions in the application is check the players match history, these companies are able to offer the raw data for their game’s players. They authorized many other platforms to get their data, because they won’t lose anything but they can get a chance to let platforms and applications promote those games.
Key activities
* Inviting game streamers to use our application during their live stream.
* Cooperate with those game companies and put advertisement on their homepage.
* Platform needs good promotions at the starter phase. Then, it is important to keep a good atmosphere
Industry Analysis
In the strategic analysis, an important tool is utilized to evaluate the competitiveness in the industry. For our proposed business, we are going to use Porter’s Five Forces Model in analyzing the risk of operating in the game industry and in deciding the exact steps to be executed through the set strategies in response to competition.
Figure 1. Porter’s Five Forces Model (https://corporatefinanceinstitute.com/resources/knowledge/strategy/competitive-forces-model/)
Several factors affect the intensity of industry rivalry and this includes rival’s concentration, homogenous products, switching costs of consumer, brand loyalty, and network effects.
* The concentration of rivals – GamerLink, Team Finder, PLINK and Moot are among the biggest names in the game industry. With the growing competitors in this industry, the rivalry will be more intense.
* Product homogeneity – In the game industry, there are different categories of games one can choose from. Competition can be lessened with these categories as similar outputs would be more competitive. Our proposal falls under online team games.
* Consumer switching costs – Initially, this will be a free application for first-time users. The subscription fee will only be applied if the consumer wants to avail of VIP features. Switching cost from one game to another affects competition wherein the lesser the cost, the less competition there is.
* Brand loyalty – loyalty of customers in this game is our goal to lessen the rivalry among similar games.
* Network effects – As the players will increase, the value of this platform also increases
The threat of potential entrants pertains to incoming competitors in the industry. Factors such as brand loyalty, cost advantage, switching costs, network effects, and investment in specialist equipment will be given more attention during the implementation of this platform.
Other forces in this model include bargaining power of buyers and suppliers, threat of substitute goods/services, and power of complementary good/service providers.
Competitor An...