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Search engine for organising complete collaborative economy experiences.

Periodic Reporting for period 1 - WONOWO (Search engine for organising complete collaborative economy experiences.)

Reporting period: 2017-01-01 to 2017-06-30

The development of the internet and as a consequence, the creation of online platforms has made sharing economy in the tourism services easier than ever. In the past decade, many companies managing such platforms have emerged on the market creating a sector highly fragmented.

WONOWO, created in 2015, is the first collaborative economy search engine, it is a complete search engine pulling together new sharing economy travelling companies to organise in 1 single click an end to end trip including transport, accommodation and activities, allowing the user to save and to live a new experience. There are different alternatives that might be used in the market to achieve the objectives pursuing by WONOWO but its technological competitive advantage makes WONOWO the only metasearch solution focused on multisectoral collaborative economies.

WONOWO aims to position itself in the tourism sector first to later scale up to other areas. The targeted end-user is Millennial who represent 25% of the overall population in the world, WONOWO expects to tap into this market through a critical mass of vertical service providers.

Due to the development of its leading-edge technology and commercial strategies since its creation, WONOWO has been able to adapt to each of its business strategy goals by obtaining a large number of commercial agreements with partners in the collaborative tourism sector, increasing its brand awareness and reputation in the market, carrying out constant technological improvements and developing its database system.

During the 2016 and 2017 the strategy is to focus on Spanish market, consolidate product, brand and customers. Then in 2018 and 2019 efforts will be dedicated to grow the business in Europe to finally from 2021 and beyond operate in the potential market of USA and LatAM.
In short, WONOWO is an innovation project crucial for the growth and expansion strategy of the company within the European market.
For such aggressive business and thanks to the SME Instrument Funding support, we expect to reach two main objectives in the short, medium and long term:
1. Fast forward
2. Enter other markets to replicate our business model
Getting to be pioneers and an example of reference.
1) Market Analysis
The objective is to carry out the global analysis of the market volume and its particularities as the research of the main competitors and alliances necessary, possible business models and main consumers.
The main objective of WONOWO is to take advantage of the growth in the environment of the Collaborative Economy, the services most demanded are those related to Collaborative Tourism. With its metasearch and cutting-edge technology, it aims to reach its millennial audience through a series of commercial agreements and alliances with other members of the sector, taking advantage of the fact that there is not a similar solution to WONOWO since none of the current competitors gather more than one vertical.

2) WONOWO Business Description
In this point a high-level review of the different elements of the WONOWO business is carried out, such as its mission statement, the promoters, the people involved in starting the business and the advisors as well as an analysis of the products or services and target market.
With a revolutionary business model, WONOWO aims to prevent fragmentation of the Single Market and boost the sharing economy offering a one-stop-shop and unique identity for collaborative market, with the aggregation of multiple services in one easy to use service allowing to save time and money to the users

3) Customer experience validation
In order to validate the customer experience, it's fundamental to carry out an analysis of the WONOWO's target and its main collaborators, as well as the different tools that allow evaluating its characteristics and satisfaction level.
The continuous control actions have allowed WONOWO to have a greater knowledge of its target public in particular and market in general, being able to adapt quickly to the possible changes of the environment and the needs of its users. The collaborative economy is constantly evolving for this reason these actions are fundamental to the development of its business model.

4) Technological Development and Innovation Strategy
It is essential to define the innovation strategy for the satisfaction of the future demands of the market and the adaptation to the international market and its regulations.
The WONOWO's model is based on the use of cutting-edge technology that is highly developed and hardly imitable. For this WONOWO has a team of professional experts who will guarantee a constant technological development during each one of the stages of the project. In addition in order to guaranteeing a commercial feasibility WONOWO has faced all the regulatory issues and IPR management as well as the patenting of its brand and logo.

5) SWOT Analysis and Risk Assessment
In order to have a complete knowledge of the WONOWO environment, the strengths and weaknesses of the business and product or service, the opportunities that exist in the marketplace and the threats to the viability of the project as well as the different internal and external factors will be analyzed to determine its potential in the market.
After conducting an exhaustive analysis of WONOWO's major weaknesses and strengths as an analysis of the industry's major threats and opportunities, the enormous potential for success and expansion of its business model can be determined. There are a several number of risks related to regulation, resources or competitors, but the proposed measures will allow them to be reduced and mitigated satisfactorily.

6) Marketing/Sales Strategy
It is essential to define the marketing strategy to achieve the objective international market and the elaboration of a preliminary plan of commercial expansion that indicates the steps to commercialize our solution taking into account the risks, market analysis and technological analysis, allowing to have a global vision of the possibilities of growth and business development.
WONOWO's commercial strategy based on an affiliation model as well as the different online and offline marketing actions and the several collaboration agreements with the different partners in the sector will allow the company to increase its market share and achieve the objectives until reaching the global market. The investments in this area are fundamental, so that thanks to own revenues and the financial aids such as the SME Instrument Funding the achievement of these objectives will be more feasible.

7) Definition of Staff and Operational Needs
The development of the WONOWO project makes necessary to define the structure of the company in terms of management, employment creation, expected growth and how it will be managed according to the business realities.
WONOWO currently has a team that allows it to cover all aspects related to the development of its business model. Its international growth and expansion will allow it to generate a greater volume of employment both at the national and international levels and thus be able to continue its global development as the first metasearch.

8) Financial Projections & Funding Requirements
The feasibility report and business plan allow to analyze the financial projections calculated in order to highlight the different milestones in the business development over the next five years and include the funding requirements.
In order to achieve the goals of a business as aggressive as WONOWO's, during the different steps raised it will be required the SME Instrument Funding plus private investment from banks and investors. These plus the income from the commercial actions will be dedicated to support commercialization and operative costs to scale up to the rest of the targeted countries, getting the Break Even in 2019 and reaching the levels proposed in our objective metrics.
WONOWO is an innovation project crucial for the growth and expansion strategy of the company within the European market. The management team has as mission for WONOWO to develop, implement and commercialize a one-stop platform for collaborative economies services that facilitates and boost new business models in the sector.

Currently, there are 5 employees in the company; the turnover in 2016 is expected to be still low as the last semester of the year the current paying customers (stakeholders) are being upgraded from free accounts to paid ones. During the next three years (2017-2019) high investment will be done to achieve the international commercialisation and end-users engagement. Thanks to the SME Instrument support, we expect to reach more than 50M visits and approximately 2,3M conversions from all the EU countries creating by 2021 over 40 high-quality jobs (software developers, system engineers, designers and marketing specialists, Customer support, Country managers, management & administration profiles). This means a growth impact in the creation of jobs (+45 employees), international market uptake beginning in France, UK, Germany, Italy and Portugal and in the accumulated conservative EBITDA (from some thousands € in 2016 vs 9,5M€ in 2021). For such aggressive business would require the SME Instrument Funding (1.3M€) plus private investment from banks and investors (1M€) dedicated to support commercialization and operative costs to scale up to the rest of the targeted countries.
The financial needs come both from the marketing and product side, marketing budget and new members in the team to support the improvement of technology. The company, as any other meta search, requires financial aid until it reached the breakeven. So, private investors will be needed along with the EU funding.