FEASIBILITY

ANALYSIS
Yohanes leonardus 535170088
Fattah widjaya Gandhi 535170089
Arya triansyah 535170104
TECH-BLOG Web Design Services
TECH-BLOG
 TECH-BLOG Industry & Market Feasibility

Consumers find value in reading business blogs.

• According to SEO Tribunal, there are 409 million monthly readers of over 2.2 billion blog pos
• US readership is estimated to grow up to 31.7 million by 2020
• B2B online marketers who have blogs gain 66% more leads.
• Over 57% of online marketers say that blogging gave them new customers.

Helpful blog content can influence conversions.

The key to influencing conversions through your blog content is knowing your
audience. This means that your business should write about the topics that your
target consumers find most valuable. Rather than discussing topics that you may find
interesting, consider what is important to your audience and what they need to
understand before they can convert.
•Top-of-funnel: Top-of-funnel blog content should focus on your target
audience’s pain points and work to explain and address their greatest
challenges.
•Middle-of-funnel: Blog content aimed at the middle of the funnel
needs to focus on helping consumers understand potential solutions to
their problems.
•Bottom-of-funnel: Bottom-of-funnel content offers the final push to
conversion will focus on why your brand is the best option to help
consumers solve their greatest challenges.
TECH-BLOG Product or Service Feasibility Analysis

Blogging for business drives more traffic to your site.

Blogging provides a variety of search engine

optimization benefits for your company’s
website.

In addition to creating more indexed pages,

blog posts also improve your opportunity to
receive more inbound links. These are links to
your content from other sources. Inbound links
improve your SEO and also increase your
chances of being discovered by visitors to other
sites.
Blog content helps build trust within your target mark

Building relationships with leads and customers is a

vital part of increasing conversion rates and
influencing repeat sales. Blogging for business is a
great way to build trust within your target market
and work to support and grow these customer
relationships.
Business blog content also helps encourage
engagement with your brand, which is a sign of trust.
When you help consumers better understand their
challenges and needs through quality blog content,
you encourage them to speak directly to your brand
when they need a solution. In the end, if they trust
your business, they’ll be more likely to buy from you
now and in the future.
 Digital Marketing Firm Can Help

There are a number of ways that a digital marketing firm can help improve your blogging for
business:
•Improve Consistency – One of the biggest reasons that most business blogs fail is that
brands are often not consistent with their publishing schedule.
•Increase Frequency – Many small businesses don’t have the resources to produce as many
blogs as they’d like to
•Leverage Talent – Some businesses simply don’t have someone on their team with the
talent or skillset to write quality blog content
•Save Money – Instead of hiring a new team member to help write blog content, you can get
more for your money by working with an agency
•Get Results – Another important part of maximizing the benefits of your business blog is
measuring and tracking blog analytics and then using this data to improve your content
 TECH-BLOG Financial Feasibility Analysis

Estimate capital requirements

Let’s assume it’s 36 per month (3 posts per week at an average of
3 hours per post).

Let’s assume Susan spends 10 hours per month managing the blog, and her
salary is $50,000. Paul spends 8 hours per month writing blog posts at a salary of
$75,000. Shashi also spends 8 hours at a salary of $95,000. Warren spends 5
hours at a salary of $150,000. Olivier spends 5 hours at a salary of $40,000.

Divide each salary by 2000 (hours worked per year based on a 40-hour work week
and two week’s vacation) to get average hourly salary compensation. In our
example, it’s $25, $37.50, $47.50, $75, and $20, respectively. Multiply the hourly
compensation by the number of hours devoted to determine the monthly salary
expense (10 X $25 + 8 X $37.50 + 8 X $47.50 + 5 X $75 + 5 X $20 =
$1405)
Take your monthly salary costs figure ($1405) and multiply it by your company’s standard overhead
calculation. This includes benefits, rent on a per-person basis, etc. Your accountant or CFO will know
this number if you do not, and it’s typically 40% – 50%. We’ll use 45%, so the overhead and benefits
cost of the blog labor is $632

Let’s assume that you had a Web development firm create your blog for $7,500. You did a slight update
three months later for $1,000, making your total costs $8,500, and your amortized monthly cost $354
($8,500 divided by 24).
Let’s assume your monthly blog hosting is $19, and you spend $19 per month on Inbound Writer to
help with you blog’s SEO, and you spend $19 per month on Formstack to create and manage landing
pages to convince people to download your white paper.

Your hosting, maintenance, and app fees are thus $57 per month.

Your total blogging cost per month is $1405 + $632 + $354 + $57 = $2,448
Estimated earnings

let’s assume you are the aforementioned Formstack, a provider of drag-and-drop online forms and
landing pages (and a Convince & Convert sponsor).

In Formstack’s case, it’s easier because customers can sign up directly online. They just
need to know what the average lifetime value of a customer is (although this may require
some guesswork for newer companies with less history). Let’s assume (again, not real
numbers) that the average new customer spends $25 per month with Formstack, and
remains a customer for 12 months. That makes the average lifetime value of a new
customer $300 ($25 X 12).

However, not all of that $25 per month is net revenue to the company. Formstack has
costs to provide the services to their customers, including technology, hosting, support,
and other expenses. Most companies know (or can calculate) their true revenue after
these expenses have been deducted (make sure you’re not double counting blogging
expenses). In this example, let’s assume the true revenue after expenses per
customer, per month is $19. That makes the actual lifetime customer value $228.
 In this example, Formstack would be generating $6,840 from the blog each month
(30 sales driven by the blog X $228 average value = $6,840)

Return on Investment (ROI)

In this case,
Net Profit : $6,840 – $2,448 = $4,392
Cost of Investment: $2,448
ROI : (Net Profit/Cost of Investment) x 100% : ($4,392/ $2,448) x 100% = 179%
Web Design Services
Web Design Services Industry & Market
Feasibility
Internet industry is one of the most dynamic sectors of modern business. And,
therefore, is an area that provides opportunities for career growth and rising living
standards for talented professionals. At the moment we are seeing consistent
development of the Lithuanian Internet and projected growth of an Industry for this
year is 20%. A significant proportion of the advertising market is moving from off-
line to on-line, which entails increasing segment of the Internet market. Web site
from a simple web-based tool of communication turned into a powerful industry
that allows conducting business around the world.
Internet gives basic but sufficient advantage for a business:
 This is an opportunity to have business partners in every corner of the globe. 
 Promote products, regardless of distance and language skills.
 Conduct business remotely.
 Receive information quickly and on time.
Five Porter Forces:
 
According to online encyclopedia Investopedia.com the Five
Porter Forces for Internet Industry are:
 
Threat of New Entrants.  
You do not need to look far to realize that the cost of entry has fallen fast. It used to
costs an arm and a leg to launch a portal. The price of computer software and
servers and network bandwidth - of which portals consume a substantial amount -
was enormous.

Power of Suppliers.  

Portals generally have little power over suppliers. Basically, this is because they don't actually own much. Most of
the information and services they deliver to users is supplied by outside companies – stock brokerages, new
magazines and the like.
Power of Buyers. 

Internet portals have two sets of buyers: visitors and advertisers.

Both enjoy considerable power over portals

Availability of Substitutes. 

Internet portals must defend themselves from a raft of substitutes. The most obvious are other websites that
offer the same, or similar, information and services.

Competitive Rivalry.  

Feeble barriers to entry, a slew of substitutes and steadily increasingly buyer power combine to create a
disturbing impact: fierce competition and industry rivalry.
Web Design Services Product or
Service Feasibility Analysis

Current Market for Services

According to research made by the committee of development of the

Informational society states that 35% of the businesses in Lithuania have their
corporate website and 42.8% do not have, but are willing to create one. Following
this demand, I will operate in a niche for website creation and development
services. These services include website creation and promotion, both advertising
the website and placing adverting on the website, providing Content Management
System, 3D object development, flash animation and flash site creation, taking
pictures for creation of the website, selling website templates (html, xhtml, php,
MySQL and etc.), creation of online galleries, creation of company’s logo,
providing hosting and space on the server and registering the domain (name of
the website). Also, if customer has need in keeping website maintenance, we will
provide it.
Customer Analysis
 
The typical customer for the Web page creation company that
creates the major segment of operational income is business person,
or commercial/marketing director with middle or high income, age gap
is not considered to be a criterion, who wants to create the website for
their company or any other project. Also there are customers of high
variety of age and income, who want to create website or any featured
object (3D or flash) for their personal use.
 Web Design Services Financial
Feasibility Analysis

Estimate capital requirements

Fix Cost :
$1,050
Estimated earnings
Return on Investment (ROI)

ROI = (Net Profit / Cost of Investment) x 100%

($ 16,052/ $1,050) x 100%
= 1,528.76%
ROI TECH-BLOG : 179%
ROI WEB DESIGN : 1,528.76%

So which one is better based on

Feasibility Analysis?

WEB DESIGN is the best

one !