report of case study

Current Situation

Passion connect was founded in August 2013 to provide a platform for the people to discover their real Passion with the help of targeted experiences, mentors, and expert who has practical skills to guide you. Initially, they got an outstanding response from the public as in a few years. They got 40,000 new user registration, which is quite useful for new start-ups. The location strategy they follow is an Information technology company, and they choose Bengaluru, which is called India's IT hub. Like Flipkart, Amazon's rival, most big competitors started business at a $2.4 billion cost. Another Uber Taxi rival, Ola cab, start their business at $ 5 Billion. But after choosing a prime location, they are facing several types of problems in getting more subscribers.

Problem Statement

Fulfillment of Financial Need – Initially, Passion connect was doing good as they achieved a significant number of subscribers in a few years. Still, the problem was not getting any revenue from them. They have not decided on any monthly, yearly package for the users. Their income source is zero and needs a round of financing by the end of 2017 because it's almost four years of establishment. Those users are connected till they are on a free trial.

Additionally, Passion connects needs a lot of money to spend on the Sales and Marketing department to grow its marketing strategy. On the other hand, they face trouble collecting money from financial institutions as they are newcomers and no experience. Some of the related competitors are already working in the market, and they are getting support from the Government subsidiary for small scale businesses.

Monetization Strategy – The co-founder of Passion Connect is facing problems in setting up a suitable monetization strategy. Having enough talent in the business, they could not convert into success, as Sait managing director, focusing on finance and strategy. Kittu lead research, networking, and marketing, and Deva, as chief technology officer and product innovation. They have the right talent, but they are not able to convert into revenue. Weak strategy formation leads to losses and deficiency in performance. However, having unique ideas, assets, and workforce, but the still required direction for the growth is a significant concern.

Proven Business Model - Passion Connect requires a suitable and efficient business model present in front of investors to get funds. Although they have skills without a business model, they are helpless to present how they can generate revenue. Overall, a company can survive if there earning per share, profits margin ratio, and the dividend payout ratio is better than the market trend. Copying a business model makes a negative image of the organization; however, they required more profits, which need to collect after a good investment. They did not include the essential strategy to attract the clients like most Indian youth dis routed in their area and everyone going towards the others. Moreover, 42% of Indians working in private sectors suffer from depression and anxiety diseases. The main things need to note before targeting customers.