WereldSnacks.nl is a website where consumers from the Netherlands and Belgium can order snack boxes on a subscription basis. Every month, we deliver a box from a random country. Think of countries like the United States, Japan, Korea or for example South Africa.
The Snack Market
On the website, I’ve created three equal packages; Mini (Individuals) priced at their consumptive range of €8-€12/month. Maxi (Households) price at €15-€25/month and Mega for office spaces, which is priced at €30 per month. These prices are based on consumption figures from the Retail website Detailhandel.info.
Bruto profit margins in the market hover around 45%, which is roughly equal to what I’m aiming to get. Products from other countries tend to be more expensive though, so there’s a risk that people will not be willing to pay the premium.
However, reading through different trends and annual reports from the major candy distributors it becomes clear rather quickly that consumers are increasingly interested in more exotic candies over the traditional Dutch candies.
So far I’ve run a few different experiments with advertising. Interestingly, there are three primary categories that seem to be engaging with these advertisements:
- Men & Women 18-35 – presumed millennials with a budget
- Women 50+ – presumed to be parents and owning household budgets
- Mid sized offices / business IPs – presumed to be office managers or business owners
The audiences also love the 30 second videos that are commonly placed by for example Diply, and they enjoy fast-food but also green living. This is super valuable information and can help us with our overall marketing strategy.
Execution Plan – Phase 1
We’ve completed the idea validation phase. The idea seems to be viable, so it’s time to start building out the business further into phase 1:
- Optimize customer acquisition
- Experiment with ad creatives
- Implement more payment options
- Enable Re-marketing
- Create Diply style unboxing video
- Design and purchase packaging
- Purchase snacks for first 2 countries
The target is to get 200 customers at a customer acquisition cost of less than €15 for this phase.
Thoughts? Advice? Let me know in the comments or send me a message!