A wine of the month business plan, like any other membership or subscription-based business model, needs to have a carefully researched set of assumptions going into the pro forma. Because your entire revenue model will depend on the subscriptions you're able to secure, breaking these out (source, timeline, value etc.) is critical. And on the other side of the equation, what are your costs? The ultimate on a wine of the month program won't be limited to the product; there are shipping costs, administrative fees, and other intangibles to account for. If you have access to a similar company's financials that can be ideal, but without those reference points, you'll need to do a lot of legwork to arrive at a compelling model. Research these items:
• The target market for a wine of the month club
• The likely amount that an average consumer would pay for the program
• The associated monthly costs (legal, shipping, overhead)
• The staffing requirements for the business
• The competing business models out there
The competitive comparison for a wine of the month business plan should show how each existing program compares to yours in terms of what it offers and the reputation it has. If your company is a start-up and these are established businesses, don't shy away from criticisms but try to turn them each into a growth opportunity for your new business. Also, outline each wine package (provided you have more than one subscription type/level) and talk about how you're planning to market each one in your “strategy and implementation†sections. Combined with a pro forma financial model and a bio section, this should complete your business plan. Want expert help? The group at MasterPlans has the ability to create the entire plan for you in under 2 weeks. Call today at 877-453-2011.
