What is the idea?The startup idea is to establish a company which would build a chain of Kinko's like shop for "3D printing". The world is moving fast towards 3D printing and most products that we use would be 3D printed in a few years give the fact the 3D printed products are more innovative, cost effective and easy to produce.
Market DefinitionAccording to Wohlers Associates, publishers of the annual Wohlers Report, more than 278,000 desktop 3D printers (under $5,000) were sold worldwide last year. It further goes on to state that the additive manufacturing industry reached USD 5.1 billion in 2015. According to the report, the CAGR of the industry for the last 3 years has been over 33%. Based on a new market research report by Markets and Markets, the 3D printing market is expected to reach USD 30.19 Billion by 2022, growing at a CAGR of 28.5% between 2016 and 2022.
According to the same report by Markets and Markets, the major players in the 3D printing market include 3D Systems Corporation (U.S.), Stratasys Ltd. (U.S. & Israel), the ExOne Company(U.S.), Voxeljet AG (Germany), Arcam Group (Sweden), SLM Solutions Group AG (Germany), EOS GmbH (Germany), EnvisionTEC GmbH (Germany), Materialise NV (Belgium), Sciaky Inc. (U.S.), Concept Laser GmbH (Germany), Autodesk, Inc. (U.S.), Hoganas AB (Sweden), Renishaw PLC. (U.K.).
Competitor AnalysisThere are many companies that exist in the printing business like Kinko's and Staples. These companies have opened stores across various countries and cities for serving the printing needs of people and businesses. We have not come across any company or organisation which has started 3D printing services across cities.
Pain Point & Target AudienceThe targeted customer market for this business is "individuals and companies". 3D printers are still costly and do not make commercial sense for most homes and organisations. A shop which can meet these day to day needs of 3D printing for customers ranging from students (for practical science projects) to professionals for preparing 3D models for their work may just be the alternative that people are looking for.
Value PropositionPeople have not realised the full potential of 3D printing in their day to day lives. 3D printing can help in preparing products which you require at home but are difficult to find. This could mean products ranging from door knobs to coin sorters to portable books stands to cable management hives. These are small products which one uses in everyday life but are difficult to find in shops.
Then there is a need for students and kids to prepare science projects. It becomes difficult to develop 3D models of projects. This problem could be solved with the advent of these shops. This will help students in projecting their thoughts in a much better way.
Then there is a need in organisations for not only day-to-day office needs of supplies and products but also for 3D modelling. This just makes the life easier for organisations.
Business ModelThe business model for this idea involves various revenue streams, two of them that can be targeted at this stage are:
- Customised printing of products for individuals and businesses where it can charge for every product;
- Tie-ups with organisations for long-term day-to-day printing needs.
It needs to be kept in mind that the actual business model is going to be printing shops in localities because ultimately people would come to these shops with their needs in mind and get things printed on the spot.
MilestonesRegarding milestones, it is important that the company first dominates one customer segment and then moves on to the others. It is equally important that the company markets itself well. The target should be to tie up with organisations in the segments, for example, schools in case the startup wishes to start with printing their school shoes or stationary boxes at one go.
Investment Needed For PrototypeConsidering the cost of printers and rent for shops, the startup would need at least USD 200K which could be raised from angel investors or incubators in your target country. There should be no office rentals or salary payout; the entire budget should be apportioned for customer acquisition and technology.
Team CapabilityYou would need to have a 3D modelling and CAD expert as a founder. It will be an added value to have the second founder with marketing or institutional sales experience.
Investors / Expert Take3D printing is a hot segment considering the market size and the potential that it showcases regarding future market domination. This segment may attract a lot of attention from investors who are looking to invest in mass market companies.
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