I'm Creating A New Company (Pen Related) - Need Feedback

[GTD]

Im making good progress on the business strategy. Already setting up the website, insurance, process etc... Another topic I wanted to cover would be nib sizes. Would you be interested to try OB, EF, others? I might start out just with the simple M, F. Still debating on this :-) thanks so much for the help!

[Centopar]

Who do you think your market is? How do you plan to scale? Do you have an exit strategy?

 

I'd have concerns about all of those questions, as well as all those that have been raised above. This isn't a business model I'd invest in.

[mrchan]

My honest opinion is that your business model is a poor one. Nobody would want to rent a pen. Jewellery and pens are 2 very different things. Why should I want to rent a pen I can't own? Its not like there is a pen party I can bring a pen to show off to other people to boast of what I own (not that I would stoop to that but you get the idea) as you can do with jewellery. Plus having the massive range of pens, the different nibs people like, how easily your pens can scratch and nibs can be bent etc, too many holes in this business to make it even remotely a good idea. Please give up on this idea

[mrchan]

Plus, how much money can you possibly make from renting pens that might be damaged so easily? Are you going to charge customers money for every little scratch that will eventually end up on your precious pens? No, this just won't work. You can't compare pens and expensive camera lenses, its like comparing apples and oranges. Don't forget, another thing is that the fountain pen community isn't that large. Nobody writes with a fountain pen for a living like professional photographers do with lenses. I believe that I echo the sentiment of almost everybody here when I say "I won't be investing in this business with absolute certainty". No offense intended of course.

[Dickkooty2]

I've got it!

 

Combine GTD's business with that of the Visionnaire!

 

Offer rentals of name-brand pens under price and conditions that appear to handle the concerns of insurance, breakage, etc.

 

Make the first payment a big one to apparently cover these costs as 'one-time'. Get the payment up-front, ship the renter a Chinese strike-off. Dun him if he doesn't make the next payment, but who cares?

 

All you need is a really good sucker ad. Perhaps including the phrase "Developed with the input of over 25 respected members of the pen-collecting community". And Bob's your uncle!

Edited January 23, 2014 by Dickkooty2

[adamselene]

Don't think new pens would work, b/o loss of investment with first use.

 

if you inherited a thousand user grade pens, and rented them, sign me up!

Don't think new pens would work, b/o loss of investment with first use.

 

if you inherited a thousand user grade pens, and rented them, sign me up!

Edited January 24, 2014 by adamselene

[flyingfox]

Yay, Netflix for the pen lovers!

 

I would also appreciate the "rent-to-own" option, for the exact reason that someone else pointed out already. Namely, even within the same model/ nib size, there are individual differences re. nib performance. Especially for expensive pens, it would be nice to be able to use them extensively (as opposed to hastily doing a few scribbles on tiny notepads at the counter) before actually making the purchase.

 

Others already mentioned just about all the potential pitfalls, but there should be ways to counter them. After all, haven't there EVER been a case of broken Netflix DVD?

[ajcoleman]

Im making good progress on the business strategy. Already setting up the website, insurance, process etc... Another topic I wanted to cover would be nib sizes. Would you be interested to try OB, EF, others? I might start out just with the simple M, F. Still debating on this :-) thanks so much for the help!

I think medium, fine, and perhaps broad would be plenty to offer at least to start with. Perhaps if things go well you could add a single model that offers less standard nibs, just so folks can try out the nib.

[GTD]

Thanks for the candid feedback guys. Making good progress here with the website, business model and logistics planning... Lots of work in the next few weeks... I appreciate all your responses (even the negative ones )

 

We are thinking about starting out with a few high end pens, and then start expanding the inventories based on the user feedback, preferences, models, brands... This is work in progress.

 

Most likely I will be joining one of the pen shows in the Southeast region later this year.

 

Thanks again for the support, and will continue to keep you guys posted with the updates.

[Dickkooty2]

Strangely enough, I was thinking of you yesterday when I read these stories. I see a similarity of purpose between the dorm art work program and the pen availability offering - a desire to promote a view of difficult-to-obtain items as more available experiences to be enjoyed in every-day life.

 

The Williams art program has given rise to the "Williams Art Mafia" of museum directors and curators. I was an art history major back in the '50s with a prof who had been a Monuments Man. Of course. this program has been endowed and offered to students to hang at no charge. I would think that an aim is to have more people assuming that original art should be a part of their lives.

 

I am not sure how a program of renting fine examples of writing instruments will work out. I must say I am doubtful. But then, as my children and grandchildren assure me, what do I know!

 

Good Luck

 

http://www.berkshireeagle.com/local/ci_25285477/williams-college-program-allows-students-hang-art-dorms

[cambookpro]

It's a very interesting idea, but I don't see it working. The fountain pen market is incredibly small, and just to even get pen enthusiasts interested a huge variety of pens and nibs would have to be available. Then you come to the possibility of damages, breakages etc.

 

What I could see working from a business perspective is some kind of pen lending community. People either put up their pens for swap or lending, and you take a commission. If someone loses the pen, you charge them. Act as a middle man for people who may want to swap pens for say a month or two. The reason people use your site is because of the protection offered over merely swapping them.

 

It would shift a lot of the risk off of you, and means you don't have to stockpile very expensive items which, if the business fails (just thinking of a worst case scenario here!) you're stuck with. Other revenue streams could come from ads, a fee every time a swap is arranged, a shop for people with a commission charged etc.

 

I really like the idea, but if think you should try and make it less risky for yourself. There is just one way you could do it, I'm sure you could find others.

 

Good luck

[ttakacs]

The assumption seems to be that GTD buys the pens and then rents them to the consumer. Maybe, maybe not. Maybe the risk is not on GTD, but on the pen manufacturer. The pen makers know that if they can get a pen into the hands of the potential customer, the customer is likely to buy it.

[cambookpro]

The assumption seems to be that GTD buys the pens and then rents them to the consumer. Maybe, maybe not. Maybe the risk is not on GTD, but on the pen manufacturer. The pen makers know that if they can get a pen into the hands of the potential customer, the customer is likely to buy it.

 

I agree, but I think if you're going to go to the bother of renting a pen, it's going to be one you'd never be able to afford otherwise. I really don't see it as a sure-fire way of people buying those pens.

[Dickkooty2]

While "neither a borrower nor a lender be" is advice from an old guy to his son, the opposite might be an interesting approach to spreading the allure of the fountain pen.

 

A working example with more common objects from a shop in Berlin:

 

http://www.bbc.com/news/magazine-26764732

[dannyroll]

Edited March 28, 2014 by dannyroll

[Dickkooty2]

Above is their 2nd best business idea. Here is the first:

 

https://www.youtube.com/watch?v=0XM3vWJmpfo&list=RD0XM3vWJmpfo

 

Written in the shadow of Portland,

 

Dick

 

Hood River, OR

Edited March 28, 2014 by Dickkooty2

[hazcat]

I live in a very rural area. There is nowhere that retails fountain pens within 75 miles as far as I know, and the places that carry fountain pens certainly do not have everything, and many are going out of business. Fortunately, a couple of pen clubs meet within 50 miles of here. If I am considering buying a pen, but can't find any to try, my strategy has been to buy a used version or user grade to try out. If I love it, I save up for a new or one in better condition to keep and sell or trade or keep the first one. If I don't like it, I don't lose so much.

 

Renting would give me much greater confidence before buying one I cannot otherwise try out. I don't know how often I would rent, and I don't know how many people are in my situation. I really like the idea and hope you can make it work.

[luckduck369]

I live in a very rural area. There is nowhere that retails fountain pens within 75 miles as far as I know, and the places that carry fountain pens certainly do not have everything, and many are going out of business. Fortunately, a couple of pen clubs meet within 50 miles of here. If I am considering buying a pen, but can't find any to try, my strategy has been to buy a used version or user grade to try out. If I love it, I save up for a new or one in better condition to keep and sell or trade or keep the first one. If I don't like it, I don't lose so much.

 

Renting would give me much greater confidence before buying one I cannot otherwise try out. I don't know how often I would rent, and I don't know how many people are in my situation. I really like the idea and hope you can make it work.

I totally agree. I live in the middle of nowhere that the closest pen store is 120 miles away. Even though I make a trip up there almost once a month. But just to see the pen for 10 minutes tops then I need to decide whether I will spend that much money. Sometimes I end up with a pen I don't like. If I can try the pen at home, say two weeks, I will have a much better idea about the pen and whether I like it.

 

Earlier threads have mentioned about the business model of camera rental. I see it very similar. I have rented camera once just to evaluate if I like it to spend $$$$ to buy one. The same applies to pens. Pens could be more expensive than cameras. I definitely see the need for a pen rental site.

 

You can go to this camera rental site and check out how they run (I am not affiliated in anyway, just a happy customer). They also offer insurance on the cameras and they sell their user grade equipment on a regular basis. Please do update the forum if you have the business setup.

 

Good luck!

[hazcat]

A couple of popcorn thoughts:

• GTD would not necessarily have to buy brand new or mint condition pens to rent, slightly scuffy user grades would be just fine;
• Even if a pen I rented did not write perfectly to my taste or have the preferred nib size, I would still be able to discern whether the weight, balance, and looks appeal to me. If I buy my own, I can certainly have it tuned or customized to my liking. Renting would definitely help me decide if it's worth the investment.

Edited April 2, 2014 by hazcat

[GTD]

Hi guys, I am back! :-)

Just finished my summer adventure travels in France and Germany... Definitely some great local FP stores across EU!

 

Looking forward to finalize my plans to launch the new store sometime by Oct... More to come, and as always, thanks for all the feedback (positive & negative). It clearly shows the various thought process & business perspective across the world... Much appreciated.