1)Venture description:
Fenfushi Wild ExperienceTM is an adventure tourism related business that offers a unique experience in the Republic of Maldives in the Indian Ocean.
The location represents one of the most luxurious holiday’s destinations for its natural beauty and resort exclusiveness.
Our idea has a high potential because is new to the market and there are high entry barriers that have already been faced such as the initial investment.
Currently, the venture is in its early stages; in the planning and testing phase. 

 

2)Service:
The business offers the exclusive opportunity to live on a desert island in the Maldives where the customers will have to fish for their food and create their own camp to sleep. We offer a “Robinson Crusoe” experience where the guests will learn basic survival skills. At the moment, there are few similar offers in the market. The first day, the guests will follow a survival training for basic knowledge to improve their vacation. This activity is necessary to provide security to our guests but also satisfy the recent trend of survival skills learning.
In case of emergency, such as trauma or medical issues, we will have a medical staff available within 20 minutes’ time-span. Our company provides three packages:

• Basic: experience limited to the island

• Relax: experience on the island and additional stay at a partner resort

• Sport: experience on the island and additional sport adventure trips on a partner resort

  The venture owns the proprietary rights of the island located in the Republic of Maldives, in the atoll of Raa (north of Male-the capital). The ownership of any island is organized with yearly concessions. Currently, the island is leased for 85 years due to Republic of the Maldives customs. Once the term is over the company can ask for renewal or the ownership will be transferred back to the state.

   

3)Market:
The adventure tourism market is facing a strong expansion. According to Adventure Tourism Market Study in 2013, the market in Europe and the Americas is worth $263 billion and faced an average of 65% growth per year from 2009 to 2012 (George Washington University and ATTA, 2013).
We will apply a psychographic market segmentation to target our clients in terms of interests and lifestyle, and demographic segmentation with reference to age and income.
The target market is adventure travel market that is composed by young customers between 28 and 40 with a willingness to try new outdoor experiences and high income disposal for such experiences.

 

4)Start-up costs:
We estimate about $5075 in startup costs.
The initial fix investment has already been covered by purchasing the island and performing an experimental test by eight guests. The start-up costs include marketing costs, and all licenses that are needed for insurance and property rights, legal costs related to feasibility of the plan, and material provided to guests during their experience. From a long-term point of view, Fenfushi Wild ExperienceTM costs structure is mainly composed by variable costs. In fact, the personnel and materials costs will be calculated on the number of trips.

 

5)Price & profitability:
In order to start our company, we need a small loan since we do not have high upfront costs. Our team is planning a crowdfunding campaign like KickStarter TM in order to gather the necessary funds. Once the company reaches profit we will provide two options to our investors:

• money back (organized in small rates) or

• discount on our service

We expect to start within the coming year with two groups of around ten people (week-long trip) which would amount to around USD 5000 for each group. Within five years, the company’s goal is to organize at minimum one trip per month, which is a revenue of USD 60.000 per year.