Question

Design the LEAN CANVAS for a start up project of A NEW VEGETARIAN RESTURANT of your choice, to a prospective investor. targeting people with DIABETES.

State the 1.customer Segment

2. Problem

3.Unique Value proposition

4. Solution

5. Channels(stores they can partner with,path to customers)

6. Key Metrics

7. Cost structure

8. Revenue Streams.

9. Unfair Advantage. Detailed.

Answer 1

A lean canvas is a visual representation of your business plan - with summarised/bulleted notes on key topics. As the question already states these topics are (with explanation)-

1. Customer Segment- Refers to the target consumer group. As per the query, we're looking at the diabetic population.

2. Problem- The problem that has prompted you to start this business. For this you'll need market research on the status of diabetes. More specifically, you'll require: present data on the disease (mainly the number of people affected), anticipated growth (increase in the incidence of diabetes), Need for special meals (data on deaths because of improper diets), Number of specialised service providers (is anyone already doing this business?).

3. Solution- Providing healthy, medically reviewed meals to diabetics at affordable rates.

4. Unique Value proposition- Dedicated to diabetics. Healthy, medically reviewed meals. Affordable rates.

5. Channels - To keep the set up costs low, you can rent a good place for starters. You may consider partnering with local retail stores - but to maintain brand distinstness is important when you're new. Open in grand way on your own (if your budget allows) instead of partnering. [Note: Going online may be more preferable. Advertising on, or maybe even partnering with e-commerce websites (depending on your budget) is something that could be considered].

6. Key Metrics- Performance metrics to track your business' progress. (mentioned in the canvas below)

7. Cost structure- Some key expenses in the beginning would involve -

• Rents and security deposits, utility costs ($20-30k)
• Location improvement expenses (building a professional kitchen, laying tables, tableware, dishes, beautification, ordering and pay related technology etc.($350-400k)
• Other expenses (Insurance, Accounting costs, permits/licenses) ($25-30k)
• Marketing and Advertising ($35-40k)

Overall costs would be in the range of : $430-500k

8. Revenue Streams- The many sources from which you can earn while selling your product. In our case these may be-

• Selling health supplements on the side (diabetic specials)
• Retail merchandise on the side
• Hosting special events (sponsored events) - diabetes focused events - strengthen community-bonds, raise awareness, promote the business
• Corporate partnerships (partnering with companies/Medical centres and offering special discounts etc. to attract more customers)

9. Unfair Advantage- This is essentially your strong suit - something that a competitor can't easily copy or purchase. Since you're just starting with this idea - the idea itself is an unfair advantage (first mover) at least for some time. You have the whole diabetic market to cater to, as there's no rival at the moment. But with time, as competition develops, your will try to differentiate your services further - i.e. rediscover and redevelop your uniqueness along the way - which will be your unfair advantage then. It could be anything (lower prices, special offerings, new products, better processes etc.) that gives you an edge over your competitors.

The Lean canvas would look something like the following-