A Revenue Model for Winnie
Team Members
Michael Fisher, Tyler Hochman, Rachel Ahn, Anthony Carrington
Faculty Mentor
Markus Pelger
The Client: Winnie
Winnie is a "one-stop shop" parenting platform that collects, organizes, and shares the information parents need. It is a mobile-first, free app for parents to access local data (e.g. what are the best local preschools) and topical data (e.g. how can I get my one-year-old to sleep through the night) from a network of other moms and dads in real-time.
The Problem to Solve
Winnie is looking to monetize its freemium childcare search product. The team seeks to provide Winnie with a business model for monetization and proper market sizing for their freemium service.
Engineering a Solution
Tools and Methodologies
The team developed:
- A supply-side model on revenue projections: A dynamic supply-side annualized revenue model with the ability to change key metrics.
- A demand-side model: A Van Westendorp Pricing Survey distributed through Amazon Mechanical Turk.
Deliverables
The automated supply-side revenue tool predicts:
- Market size for all types of childcares.
- Location-specific business strategies.
The automated demand-side revenue tool predicts:
- Enrollment rate by income and working status.
- Market size for parent searching.
Recommendations
Supply side:
- Study suppliers and test their willingness to pay: conduct supply-side survey.
- Test assumptions that family child care organizations are more likely to be customers in specific cities.
Demand side:
- Continue internal testing on freemium product for optimal price and features.
- Test differentiated pricing and feature packages for daycare and preschool.