Summary of the Business Idea: Kool Designs

KOOL DESIGNS GRAPHIC DESIGN BUSINESS
Student Name
Class Name
Professor Name
Date
Summary of the Business Idea
About the Business and the Industry
We are three young graphic designers with an idea of a creative agency business called "Kool Designs." Our services include logos, advertisement materials, brochures, posters, web design, art direction, illustration and photography, business cards, pamphlets, and others. We offer "All-in-One Concept," services that customers use to present their businesses well. We perform well to satisfy customers; expectations for good graphical work until we get a satisfied customer base. Our prices are fair, i.e., at least 10-20% lower than existing creative agencies working in the industry. Besides, we offer freelancing services at Upwork and Fiverr. Our line of business is a graphic design agency that is flexible, fast, and cheap.
Target Customers and Customer Profile
The businesses will contract with us and ask for our services regularly. It will provide around 30% of the revenue to the company. The visiting customers can contact us and ask for the relevant services. The segment will give approximately 20% of the revenue to the business. We will remain active for at least 18 hours on different freelancing platforms. The segment is worth 50% of our business revenue. Here, our emphasis will be on international and national clients. We work for at least 100 hours per month in freelancing companies to find our new customers, i.e., small shops, private people, or small companies. We have in-depth knowledge of technical and vocational skills to attract the audience. The most considerable resources for our business are our time and passion, good knowledge, and flexibility.
Size of the Market
Kool Designs will operate both online and in the office. The market size is $41.8 billion in 2021, which is expected to increase by 3.7% in the next three years. In 2017-2022, the growth rate was only 0.6%, which rose to 3.7% due to the COVID-19 impact where most of the businesses have shifted their focus online. The graphic designers market will be $12.7 billion in 2021, according to IBIS World (2021).
Figure 1: Market Growth and Size
(Source: IBIS, 2021)
The graphic designers market was shrunk by 10.6% in 2020; however, the market hopes to recover as soon as possible. It is expected that 11,000 new jobs will be added every year till 2028, and the industry is in the growth phase for the next ten years. The categories of the services are book designing, website, logos, illustration, video editing, and other factors. Video editing and online advertisement are expected to increase by 24% by 2028 (Eksposure, 2020).
Number and Location of Competition
In 2020, there are over 400,528 businesses of graphic designing, and design-led companies have stimulated creativity which has increased the creativity by 1.5 times. Design-driven companies have outperformed by 228%, whereas 67% of small businesses pay $500 for a logo (Eksposure, 2021). The competitors are from every region (online and in-office). The other competitors are freelancing platforms. At least 70% of the competitors of Kool Designs will be from online channels like freelancing platforms, website services, and social media ...