NearbyNow
GROUP 1
Southern taiwan university of science and technology
03/2014
AGENDA
A. Case summary
B. Discuss questions (Answers)
C. Application questions (Answers)
Case Summary
In mid-2006 Scott Dunlap created a way for
shoppers to search the inventories of local malls
(search for products online but buy them at local
stores). He named it Nearby Now
He talked to shoppers, retailers, and mall managers
about using internet to enhance the retail
experience.
In 2008 NearbyNow is presently in about 200 malls.
A. Case Summary
He found that :
[1] they were more technologically savvy
(experience, well informed) and fascinated by search
engines.
[2] there wasn’t internet site told a specific store had
a particular product in inventory or where the
cheapest place
 NearbyNow allows shoppers to enter their zip code
to find the specific location of the nearest store that
carried which product, and the cheapest place to
buy the product
Case Summary
Step 1: Visit a Mall’s website, try to look for
products through a search bar. Results will list
stores in the mall that carry those products.
Step 2: Look for items at the cheapest price.
If in stock, can choose to put item on hold.
Step 3: Chosen product stock’s will send
notification such as e-mail, text message
Step 4: If it’s available, can go to store
directly to buy. If not, can buy online as an
alternative option.
Discussion Question 1
• Write a concept statement for NearbyNow. If
NearbyNow was still in the start-up stage and
Scott Dunlap asked you who he should
distribute the concept statement to, what
would you have told him?
Discussion Question 1 (cont.)
CONCEPT STATEMENT
PRODUCT
A search engine for malls
Shoppers can go online to see if a product is available
and where it’s the cheapest
Shoppers can search the products online but buy them
at a local store
Shoppers can search a specific store had a particular
product in inventory
Discussion Question 1 (cont.)
CONCEPT STATEMENT
First target would be malls
90% of all malls in USA are controlled by 6
companies
Cooperate with at least 1 company to reach a
large number of malls
Target market: retailers and mall managers
Nearby Now -- A powerful tool that helps you use your reputation to
generate leads, opportunities and sales via YOUR own website.
Discussion Question 1 (cont.)
CONCEPT STATEMENT
While online sales
are climbing,
shoppers still like
to able to feel
and touch their
products
Shoppers like to
search and do
price comparison
online
Finding a way to
help people
search for
products online
but buy them at
local store
Discussion Question 1 (cont.)
CONCEPT STATEMENT
Google searches largely directed people to places where they could
buy things online rather than in stores
Some Internet sites allowed shoppers to enter their zip code and find the location
of the nearest store that carried a product => but no specific information
- Finding the location of the nearest store and specific store had a
particular product in inventory
- Price comparison
- Online purchase if product is not available
-”Local call buffering”
- NearBy Now Mobil Apps
Discussion Question 1 (cont.)
CONCEPT STATEMENT
• Dunlap – CEO & Founder at NearbyNow, Inc, who had
worked for several Silicon Valley start-ups, an
entrepreneur in residence at Redpoint Ventures.
• Dunlap recruited former coworkers from E.piphany to
build the service.
Billy Coover: Chief Executive Officer - Over 10 years of experience working in a
wide variety of IT, Software Engineering , Finance roles. He’s built multiple
award-winning software app in both the enterprise and consumer space
Discussion Question 2
• What types of gumshoe research did Dunlap benefit from, and
what additional gumshoe research could he have conducted
while he was investigating the feasibility of NearbyNow?
Discussion Question 2 (cont.)
Gumshoe research
Talking to shoppers, retailers and mall managers about how to use the
internet to enhance the retail experience
Talking to about 2000 people, some in focus groups and some one-to-one
(Dunlop sat on a stool at a local mall, next to the mall directory and offered
incentives for response )
Although people like to search and do price comparisons online, they prefer to
shop offline so they can touch and feel the products
(According to the industry feasibility analysis side, a 2007 study by the National Retail Federation and Forrester
Research)
These methods convinced Dunlap that there was a need and an
enthusiastic thirst for the solutions that NearByNow planned to offer
Discussion Question 2 (cont.)
Limitations of the system – Learning the unexpected
• How accurately stores track their inventory?
• Some high-end retailers do not like their products seen side by side with
less expensive alternatives.
• When shoppers saw that a store did not have an item, they did not call the
store to ask about it
Discussion Question 3
Did you know that the majority of malls in the United States are
owned by six companies? If not, how might you have discovered
this information if you were conducting feasibility analysis for a
product or service that would be place in malls?
Top 6 largest shopping mall owners in United States on
Dec. 31, 2005
The first partners of NearbyNow
If the majority of malls in the United States was not owned by
only six companies above, I suggest that NearbyNow should
develop their business state by state in the U.S
Discussion Question 4
• Complete a First Screen analysis for NearbyNow. What do you
learn from the analysis?
First Screen analysis
• Strength of business idea: business takes advantage of an
environmental trend, solve a problem and it is a timely business
• Industry-related issues: not so many competitors at that time, the
industry could have a strong growth and high operating margin
First Screen analysis
• Target market and customer-related issues: identified target market
with high growth potential, high purchasing power of customers
and easy to attract customers awareness.
• Founder related issues: experienced, skilled, occupying social
networks, the team is available.
• Financial issues: many revenue drivers
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Application Questions
2000 people (oneto-one or group)
• Question 1
Time saving
Product/Service
Feasibility
Consumers’ needs
Product/Service
Desirability
Does it take
advantage of an
environmental
trend, solve a
problem, or take
advantage of a gap
in the marketplace?
Gaps between
online and offline
shopping
A concept
statement should
be developed and
distribute to
stores and
customers =>
Analyze
feedbacks from
stores and
consumers
Retailers and
mall managers
Explanation
• Scott Dunlap quickly realize that in product or
service desirability, he needs to take advantage
of the gap that exist in the marketplace, which is
making customer life easier by creating apps that
will help them search the mall or the place that
they chose. In which he did a close research and
in time (2008) he introduce the app that will
serve as a guide to the customers needs.
Product/ Service Demand
• Scott’s application is a big hit to the customer,
although the customer use the app to compare
the price of an item that they want, they still
want to see it personally, which the application
cannot offer.
• Another problem is the responds of the store,
not all store can keep up with the wants of the
customer, some store cannot tell the customer
right away if they have stocks or not.
Application Questions
• Question 2
• Service feasibility (no answer, the company has shut down
already)