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HuskyPatch

Convenient, Fast, Affordable, Transparent U-District iPhone Repair











Dylan
Babbs
Co-Founder dbabbs@uw.edu

Michael Olson

Co-Founder molson19@uw.edu

EXECUTIVE SUMMARY

Have you or one of your friends ever cracked your iPhone screen? The answer to that question is most likely yes.
HuskyPatch is an on-demand iPhone repair service for UW students that services the customer wherever they might be.
HuskyPatch is run by a pair of entrepreneurial-minded skilled technicians who can swap out a broken iPhone screen in
less half an hour. College students, who are prone to dropping and cracking their screens, generally face a low budget
and are unlikely to take immediate action to fix their broken devices. Many students simply arent aware of any other
options to fix their phone other than their local Apple Store, where they will likely end up paying much more than
necessary. By creating a service that is fast, convenient, affordable, and transparent, HuskyPatch will quickly penetrate
the mobile device repair market. The HuskyPatch desktop and mobile web sites will connect a customer with a
technician at a time and place that is convenient to the customer. The technician will navigate quickly through campus
on a bike (similar to a Jimmy Johns cyclist) to repair the device within 30 minutes in a comfortable environment to the
customer.

NEED

Look around a college campus. Nearly every student is engaged with a mobile device whether that be texting, listening
to music, or snapchatting their friends. Mobile devices, especially iPhones, are incredibly engraved into the college
social environment. So many people have iPhones nowadays that it is strange to receive a green message on your
iPhone (indicating an SMS) instead of a blue iMessage (indicating the sender has an iPhone). In fact, iPhones are so
prevalent in our society that market research and consulting firm Parks Associates reports that the Apple iPhone
accounted for 40% of the U.S. smartphone market in 2015.1 HuskyPatch is unlocking a vast, high-potential market for
repairs that no business has mastered in a convenient way yet.

College students, especially those living in Seattles U-District, are very unlikely to take immediate action on fixing their
phone for three reasons:
1. There are very few repair shops around the U-District. Those that do exist are very expensive and unheard of.
Currently, the Apple Store dominates device repair businesses because people trust the original manufacturer
and do not know of other methods to fix their phone (see competition section).
2. College students are frugal. The Seattle Times shows the U-District is the poorest neighborhood in Seattle.2 For
the shops that do exist, prices are high and students arent likely to spend a large amount of money fixing a
device that is still functional.
3. College students want an easy, hassle-free fix. Food delivery services are incredibly successful in college
neighborhoods, because students love services that deliver food to them and assimilate easily into their
schedule.3

Broken iPhone screens are an extremely common issue. In a study conducted by MobileInsurance.co.uk, in which 2,471
iPhone owners were polled, a shocking 23% of respondents stated that their iPhone screen was broken.4 Jason
Brockman, Director of the website that conducted the poll was quoted saying it is a surprise to see that the average
person with a broken screen on their iPhone has been putting up with it for 6 months.5 For users who responded with a
broken screen, 32% responded saying they had not fixed their phone because they hadnt got round to it. HuskyPatch
will attempt to target the users who havent found the time to fix their iPhones. We believe our convenient come to
the customer model will appeal to users who do not have time to go into an Apple Store or another establishment.

The University of Washington-Seattle has an enrollment of 45,870.6 Since the Apple iPhone owns 40% of the market
share and 23% of iPhone users break their screen, we have determined we have a market of 4,220 potential customers.
A 2015 Gallup poll found that 44% of iPhone users upgrade their iPhone once their provider allows it, usually every two
years.7 Therefore, one half of our 4,220 target potential customers refresh their devices every two years, leading to
additional business opportunities.

HuskyPatch

Finally, as visible in the graph to the left, the


search term iPhone repair Seattle reached a
significant peak in August 20158, meaning that
the need for iPhone repair is very much in
demand.

SOLUTION

HuskyPatch aims to solve all the roadblocks and inconveniences college students face when trying to resolve their
broken iPhone screens. Our campus marketing will successfully create brand recognition throughout the U-District, so
that students wont think twice about where to go to fix broken screen. Secondly, our low prices will appeal to students
who arent looking to spend their entire months budget on a new screen. Finally, our mobile technicians will be able to
operate anywhere on campus and throughout the U-District, making it hassle-free to schedule an appointment. Our
service can be integrated into a students schedule stress-free. Our seamless consultation and repair process will follow
as described:

1. Customer navigates to the HuskyPatch website on desktop or mobile.
2. Customer fills out an online booking form, containing the following information:
a. Time slot: Customer has the ability to select time spot from available
hours of technicians.
b. Location: Customer will most select their location (Campus building,
address, etc.). Customer will fill out an additional location field,
specifying what floor and room they are on campus or any necessary
information for the technician to recognize the customer.
c. iPhone model: This information is crucial so that the technician will be
equipped with the proper parts.
d. Payment method: Customer has the option to choose between cash or
credit.
3. Technician arrives at the scene on time wearing a recognizable HuskyPatch polo.
Technician greats the customer as such: Hello, Im Dylan from HuskyPatch. Are
you _______ (customer name)? This initiates a relationship of trust between
the two and correctly identifies the customer.
4. Technician kindly asks the customer to hand over the phone to begin the
operation. Technician begins the screen patch, while kindly explaining the technical repair process if the
customer is interested.
5. Technician completes repair and hands over the device to the customer to confirm they are comfortable with
the new screen.
6. Payment via cash or credit occurs. HuskyPatch will utilize PayPal Here to process credit or debit transactions.








HuskyPatch

MARKET OPPORTUNITY


Persona 1: Maddy
Maddy is a sorority sister at UW. She loves her iPhone and
uses it throughout the day. Maddy goes out frequently
with her friends to fraternity parties and bars, where one
night she eventually cracks her phone. Unbeknownst to
any other solutions, Maddy makes a Genius Bar
appointment at the University Village Apple Store. She
spends two hours of her time at the Apple Store while also
spending a hefty $199.


Persona 2: John
John is a MBA student at UW. John breaks his new iPhone
6s while riding his bike. John uses his phone frequently and
needs it repaired fast. He posts on UW Facebook groups
and anxiously messages friends to find a solution to his
broken screen. A friend recommends John to try a third-
party store in downtown Seattle which is offering a 10%
discount. Lured in by the discount, John spends an hour
and half of his time (travel included) to fix his iPhone.
Unfortunately, the third-party store uses low-quality parts
and does not offer a warranty. Three weeks later, Johns
iPhone screen falls apart due to poor quality of the part
and he is left empty handed.


Maddy and John both chose the wrong solution to fix their iPhone. Maddy, like many other college students, went
directly to the Apple Store because she did not know of any other solutions. John, desperate for a quick deal, risked
quality for price by choosing a third-party vendor with poor quality parts. Customers choosing HuskyPatch wont
encounter any of the issues Maddy or John faced. HuskyPatch performs a quick repair, charges competitive prices, uses
high quality parts, and offers a 30-day warranty.

COMPETITION

HuskyPatch will differentiate ourselves from other competitors in four main areas:


Fast

Technicians will arrive on-


time via bicycle and
equipped with proper
supplies to begin iPhone
operation.

Convenient
Technicians will meet
customer at a time and
place convenient for the
customer.

Affordable
Guaranteed lowest prices
through our reliable and
high quality equipment
manufacturers.

Transparent
Technician will fix phone in
front of customer a
practice that builds trust
with customer.

HuskyPatch

Local Competitors
Name

Location
2656 NE University Village St
(University Village)

Pricing
iPhone 5s
$129

4730 University Way


(University Way)
4760 University Way
(University Way)

$109

3642 Wallingford Ave N


(Wallingford)

$89

815 NE 45th St (U-District)

$129

6319 Roosevelt Way NE


(Ravenna)

N/A

$99

HuskyPatch Anywhere in U-District $79

Analysis
Trusted vendor,
Go-to location for those not familiar with 3rd-
party vendors
Established 2014
Convenient location on the Ave
Hidden, unknown store
Good service
Expensive pricing
Outside U-District
Authorized Apple retailer
Charges same prices as Apple
No iPhone services currently offered due to
price constraints
Convenient, Fast, Affordable, Transparent

GO TO MARKET STRATEGY

HuskyPatch will begin with a summer 2016 soft launch and will launch officially in during fall 2016.

Summer 2016 soft launch. HuskyPatch will begin marketing efforts simply through word of mouth and will take
advantage of the strong Greek community to initially get the word out. As seen through other successful UW Foster
startups such as Strideline and Kotis9, fraternities can serve as an excellent platform for initial launch and traction of a
startup. Simply talking to fellow members can quickly kick off an idea.

As seen through the personal experience of co-founder Dylan Babbs, people quickly associate the skill to the person.
Once students experience our quality customer service and affordable prices, HuskyPatch will gain brand recognition
and students will begin to refer friends to the service. HuskyPatch will rely on the trust between friend referrals and
quick word of mouth to gain users and build traction during the initial months. In addition, our soft launch will include
traveling to the 12+ fraternities in the Greek community that operate during the summer to give quick speeches and
hand out promotional material. These fraternities during summer specifically are a key market for the soft launch for
two reasons:
Fraternities consist of students within our target audience: the majority of them have smart phones
particularly iPhonesand none of them have a good option to go to for repairing their phones if they break.
Fraternities during the summer house sorority women. Marketing to fraternities in the summer will allow us to
get the word out to both the men in the fraternities and the women in sororities while reducing the amount of
time and money spent on marketing. Once school starts in the fall, the sorority women will move back into their
houses and will be able to spread the word about HuskyPatch to all their friends who were gone over the
summer. Similarly, the men living in the fraternities will be able to tell their friends who were absent over
summer about the new idea as well.
This strategy allows us to advertise to the largest number of students while minimizing time and effort spent marketing.
Benefits of Greek Community pilot program:
The HuskyPatch founders are apart of the Greek Community we know the community and recognize the needs
The Greek Community houses students who come from a more upper-middle socio-economic class and are
therefore more likely to have iPhones & spare money to spend
Word of mouth travels fast in close community of like-minded individuals

HuskyPatch

Fall 2016 launch. Fall 2016 will be the official launch which will include service and marketing to the entire UW campus.
Campus-wide marketing will include:
Flyers placed in dorms, off-campus housing, communities, and student newspapers with promotional codes
Email blasts through UW departments, professors and clubs
Quick speeches before class/club meetings
Collaboration with local businesses on University Way
Google AdWords, Yelp, and Facebook advertisements

The HuskyPatch co-founders both have experience with campus marketing and event management. Dylan has planned
and executed two successful HERE recruiting events with an attendance of 75+, while Michael is the alumni event chair
for Zeta Psi Fraternity where he hosted a successful alumni networking event with an attendance of 100+.

All of our promotional materials will contain large, bold links to HuskyPatch site. Through the desktop and mobile
websites, an easy on-boarding process will be available to sign up for a screen repair. The website will also contain
referral links where customers can receive a discount off their next repair if they sign on a friend to our service. Our
technicians will be able to insert open windows that they are able to work. Customers will see a transparent schedule
which contains technician availability and will have the option to choose a custom 30-minute window for their repair
and insert their location, whether that be a library, housing, or campus building. Our technicians will be able to quickly
navigate throughout campus via bicycle to ensure their punctuality

BUSINESS DETAILS

Parts: We will order our parts the from part-supplier and third-party Apple repair shop Yea!Mac. Dylan has strong
ties to Yea!Mac management and has experience working at the shop. Yea!Mac will be a trusted business partner
and supplier. In the past, Yea!Mac has connected customers in the Seattle metropolitan area with broken iPhone
screens for Dylan to fix. When business increases by 2017, we will begin to partner with a Chinese supplier to
purchases high quality parts in bulk.
Recycling Parts: Broken iPhone screens will be recycled and sold back to our supplier,
Yea!Mac, for approximately 10% of original value.
Payment: HuskyPatch will accept multiple forms of payment. Customers can prepay on the
website with credit or debit card. Prepaying allows the customer to schedule a repair and
pay all at once, thus making the process more convenient. Technicians will be equipped
with a PayPal Here card reader for on the go card transactions. College students will find
these types of payments very convenient. Finally, there will always be an option to pay in
cash, and the technician will have change on hand.
Warranty: All services will have a 30-day warranty. A warranty is essential to build trust
with the customer and to fortify the reputation of the brand.
Uniform: All technicians will wear a professional polo to ensure trust and authenticity. A polo is casual yet also
conveys professionalism to make the customer feel comfortable handing over their phone to a technician for repair.
Employment: HuskyPatch plans to recruit and train two technicians over summer to have
a total of four technicians working at a time, at approximately 10 hours a week each.
With four technicians working 10 hours a week, we can cover a normal 40-hour work
week. HuskyPatch will initially be open from 11 AM 7 PM Monday through Friday. We
believe these are great hours to target college students. Of course, the co-founders will
work whenever available, but 40 hours a week will be a minimum bound. Employee
recruitment will be conducted through HuskyJobs, an effective way to hire UW students,
or by training friends, who may prove to be more reliable because they have already
been vetted.
Sales & CRM: Sales and customers will be tracked through Salesforce.
Legal: HuskyPatch will form as an S Corporation with 50% equity belonging to each co-
founder.
Service Map: Shown to the right.

HuskyPatch

MANAGEMENT

Dylan Babbs
Dylan has over 3 years of experience fixing iPhones. Dylan started out as a technician at his
local third-party Apple repair shop, Yea!Mac, in Burlingame California. After spending a
summer working there, as well as school breaks following, Dylan has quickly piled up
tremendous iOS repair skills. Arriving at college, Dylan noticed how easy it was to make
cash by fixing his friends iPhone screens. Word spread quickly, and friends of friends began
asking him to fix their broken iPhones. Dylan is a third-year Economics student from the
University of Washington. Dylan has tech industry experience by working at the location
intelligence company HERE. Dylan is looking to become a product manager upon
graduation, performing as much intrapreneurship as possible then moving towards tech
startups. Skills include iPhone repair, web design, marketing, user acquisition, and business
strategy

Michael Olson
Hailing from Manitowoc Wisconsin, Michael is a third-year Electrical Engineering student at
the University of Washington. Michael has always had a strong passion for
entrepreneurship, and wants to use his creative ingenuity to help people. Michael has a
firm background in engineering and working with his hands. As an electrical engineer,
Michael wants to focus in renewable energy production or automotive. Michael has not
completely mastered iPhone repair yet, but is quickly learning through his passionate drive.
Michael hopes to lead a life of creative innovation and entrepreneurship after completing
his MBA. Skills include iPhone repair, public speaking, algorithmic programming, employee
development, and professional leadership.
Advising team:
Isaac Babbs: Founder, Handmade Ventures | Morgan Babbs: Founder, Colibr | Jay Goldstein: Founder, Yea!Mac

GROWTH

HuskyPatch will begin by exclusively operating on iPhone screens. As business expands, we will move to begin operation
on additional iPhone repairs (water damage, microphone, battery, etc.) and Android devices. HuskyPatch will begin only
with iPhone screens because other iPhone repairs are more complex and time-consuming and we would like to initially
focus on quick and high demand repairs.

The University of Washington would serve as a pilot program for this business model. The concept of a mobile repair
service that comes to the customer can be executed anywhere not just a university setting. The first expansion plans
would target communities throughout the greater Seattle area such as Seattle University, Seattle Pacific University and
the downtown business district. These new communities may require technicians to move around through means of
transportation other than bikes, such as cars, motorcycles, or walking. If multi-community growth were to happen,
HuskyPatch would rebrand to a consistent name to appeal to the everyday tech device user.

The HuskyPatch 10-year vision is to have the cities of the west coast sprawling with technicians throughout urban
neighborhoods and core communities ready to serve customers with broken tech devices. The HuskyPatch platform will
become a recognizable and trustworthy brand known for swift, quality tech repairs at a location convenient to
customers.



HuskyPatch

TRACTION

Customer trust is already established with clients and friends of the founders. Dylan and Michael can easily transition
their personal goodwill into HuskyPatch. The logo, Facebook page, and website have already been established. Parts and
financials are prepared for launch. The teams current focus is marketing preparation for the soft launch of summer
2016, then preparing for fall 2016 when the majority of students return from summer break.

FINANCIALS

Service pricing details:
Model
Price
iPhone 6s Plus
$249
iPhone 6s
$199
iPhone 6 Plus
$149

Projected income statement:


Revenue
iPhones Repaired
Screen Recycling Revenue
Service Revenue
Less: Service Discount
Total Quarterly Revenue
Expenses
iPhones Repaired
COGS
Wage Expense
Marketing Expense
PP+E
Total Quarterly Expenses
Net Profit

2016
Summer Fall


100
120
46
65
8900 11780
-89
-98
8857 11747


100
120
6600
8900
0
1200
50
200
200
0
6850 10300
$2007 $1447

Model
iPhone 6
iPhone 5s
iPhone 5

Winter

140
88
15060
-108
15040

140
11600
1400
200
0
13200
$1840

Price
$99
$89
$79

2017
Spring Summer


160
190
100
148
17600
23410
-110
-123
17590
23435


160
190
13900
18600
1600
1900
300
50
0
0
15800
20550
$1790
$2885

Fall

220
173
26880
-122
26931

220
21700
2200
200
0
24100
$2831

Model
iPhone 5c
iPhone 4s
iPhone 4

Winter

250
198
30650
-123
30725

250
24750
3000
200
120
28070
$2655

2018
Spring Summer


280
320
214
257
33420
39280
-119
-123
33515
39414


280
320
26950
32050
3360
3840
300
50
0
0
30610
35940
$2905
$3474

Price
$79
$49
$49

Fall

360
285
43940
-122
44103

360
35650
4320
200
0
40170
$3933

2019
Winter
Spring


400
450
328
361
49900
55150
-125
-123
50103
55388


400
450
40750
45050
4800
5400
200
300
0
0
45750
50750
$4353
$4638


Assumptions: 1) Founders dont get paid wage, 2) Two employees hired Fall 2016, 3) Third Employee Hired Winter 2018,
4) 10% of iPhone Repairs used 10% discount

REFERENCES

1

http://www.parksassociates.com/blog/article/pr-02102016-mwc
http://www.seattletimes.com/seattle-news/data/seattle-has-the-highest-concentration-of-college-students-in-poverty/
3
http://www.dailyfinance.com/2010/07/28/run-july-28-campusfood-com-delivers-campus-food-for-hungry-coll/
4
http://www.mobileinsurance.co.uk/blog/quarter-of-iphone-owners-using-handset-with-broken-screen/
5
http://www.mobileinsurance.co.uk/blog/quarter-of-iphone-owners-using-handset-with-broken-screen/#sthash.nnZSqHI4.dpuf
6
http://opb.washington.edu/content/public-profiles-enrollment
7
http://www.gallup.com/poll/184043/americans-split-often-upgrade-smartphones.aspx?utm_source=Economy&utm_medium=newsfeed&utm_campaign=tiles
8
https://www.google.com/trends/explore#q=iphone%20repair%20seattle
9
http://foster.uw.edu/centers/buerk-ctr-entrepreneurship/jones-foster-accelerator-program/
2

HuskyPatch

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