Your chance to develop "the big idea..."

Scott Fellman

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Ever participate in a brainstorming session?


It’s a ton of fun, and if conducted properly, can lead to some amazing stuff. In an open, nonjudgmental environment, participant can throw out a lot of ideas, and the end result is that you can create some really interesting ideas. Back in the embryonic days of “Unique Corals 2.0”, myself, Joe Caparatta, and Johnny Ciotti had some ridiculously cool sessions that often led to some pretty amazing stuff, some of which ended up being the cornerstones of our business model, practices, and philosophy, serving the company well over the years.



Today, I’d like to bring you in a for a sort of “brainstorming session.”

Uh. Oh.

What’s the idea?



Well, let’s start off with the premise of a "coral subscription service."



"Huh? Really? Kind of stupid. _______ came up with the idea 5 years ago, blah, blah..."


Hey, wait a minute. In a brainstorming session, everything is free from criticism while we gather ideas and refine…

Why a “subscription model” for coral purchasing?


Well, I was kicking around the idea in my head during my UC days, after thinking about consumer coral purchasing habits, the progression of hobbyists’ reef experience, and the way the coral market function as as a whole.


I see subscription-based services in a lot of businesses, mostly for consumables, like razor blades, etc., and of course, for “discretionary” stuff like wines and gourmet foods. Those have been around for a while.


Not a revolutionary concept, but one which I feel deserves a closer look for the coral industry.

slider5-acro-triton.jpg


Why?


Well, first off, the beauty of such an idea is that since I am no longer in the reef livestock vendor arena, I have no skin in the game other than seeing cool ideas come to fruition! Of course, anyone who wants to work out a royalty schedule with me is welcome to make an offer for my brilliance, lol.

Getting serious for a moment...

Seeing the article on Reef Builders about the “Biota” brand, which offers essentially new aquarists a turnkey aquarium and a package including some basic livestock, sent directly to the consumer from a quality aquaculture source without passing through various wholesalers, retail stores, etc. made me think of my own ideas again. Their goal and concept is completely different, of course, targeting a different market- beginners- and the problems facing them.

The aquatic “ant farm” concept, if you will. A really cool idea. The “pain point” they apparently want to relieve is offering sustainably sourced fishes which have not been passed through multiple layers of custody on the way to a consumer, thereby providing healthy fishes that have had not been exposed to the potential stresses of the more traditional sourcing process for livestock (diseases, poor handling, rigorous transit, etc.).


Our idea addresses a totally different livestock issue: Obtaining regular access to “new” corals, or corals which would otherwise be snapped up quickly by the “LE” hyper-stupid "auction" crowds on Facebook, etc. Imagine, if you will, that the consumer pays a certain “subscription fee” on say, an annual basis, which entitles him/her to a frag each month of a newly-released or otherwise tough-to find coral. Now, I’m not talking about newly-imported colonies- we’re talking frags. Like, nicely-sized, fully-healed, well-encrusted frags. We're not talking about Xenia or Leather corals, either.

Perhaps it’s been thought of before, but if it has, whoever came up with it did a pretty lousy job of marketing it, IMHO, ‘cause I haven’t heard anything about it. Seriously, your program is like invisible. Get your stuff together! Up your game…sheesh. You need better market awareness…another problem to work out! I have ideas for that, too…but it’s gonna cost you, lol. (I can't give away ALL of my ideas for free...)


Of course, the immediate question is, “Well, couldn’t someone just buy these “a la carte” from the vendor?” Well, yes- If the vendor chooses to make the corals in the program available to the general consumer. Which they wouldn’t, in such a program. There lies the difference: Exclusive access to some corals…Corals grown specifically for a “limited” market. This makes the collector of “rarities” (gulp) happy, because they know what they're getting won’t be commonly available. It satisfies the typical hobbyist who wants to be free from the idiotic FB “auction” prices for truly cool stuff, because they will pay a set fee for what will be comparatively scarce corals.

Now, I realize that reefers are reefers, and we enjoy picking and choosing our own corals. This model wouldn’t be intended to replace that process- just to provide access to some exclusive stuff. And by “exclusive”, I am not talking about the idiotic microchip frags of “named” corals. I’m talking about stuff that is hard to come by, like the Solomon Islands “Purple Monster” and such that we offered at UC, and as offered by other vendors. Corals that perhaps are newer to the trade, or somehow scarce.

Down the line, there could be more specialized, more targeted subscriptions- like “Acros only”, “”Deepwater Acros”, Rare Soft Corals”, “Chalices”, etc., etc.- Even macroalage…whatever. I think it can be done well and be beneficial for everyone if conceived and managed properly.

IMG_2071.JPG


Obviously, there would be some accountability- the vendor would have to have a “menu” of selection for each month, or a definite list of corals that will be included each month. I also realize that, if done wrong, this could generate the same viral stupidity as the “LE” stuff I loathe.


Opportunities to screw it up abound, unfortunately.

On the other hand, opportunities to create a cool concept are there. Subscription models work in a lot of industries. The only reason they wouldn’t work in ours is if we misapply the concept, or don’t put value for the consumer first. Yes, there would be some procedural things, guarantees, etc. that would need to be worked out to gain consumer confidence, but I believe it can work. There are obviously a lot of nuances that can be-NEED to be- fleshed out.

IMG_0143.JPG


This is why we’re brainstorming here! I’d like to hear your feedback on how such a program could work -or even if it could. I’d like to think that some cool coral vendor could do something like this. Again, perhaps it has been thought of or implemented somewhere, but, as mentioned already- if it has, it has not been done very well, IMHO…LOL (man, someone is going to be ticked off at me, I'll bet)


Okay, I offered you another look into the twisted mind of Scott Fellman…and a chance to let some canny coral vendors who haunt this forum (yeah, there are a LOT) get some ideas to run with. You’re all VP’s of Product Development, if only for a day…Let’s hear your ideas, your iterations, and tangential ideas. Nothing is too absurd or stupid here (unless I say it is, of course…).

IMG_2066.JPG


Thanks for playing…It’s kind of fun to hear everyone’s opinions on stuff like this. And input that you provide is invaluable for vendors to create products and services that make the hobby better and better!


So, be nice. Stay creative. Stay on point.

And Stay Wet.


Scott Fellman






 

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I have already seen a couple venders offering a subscription service for monthly coral deliveries and my first thoughts where.. "This is fantastic!" I really enjoy my monthly magazines subscriptions so what could be better than receiving a mystery frag each month? Well after some pondering this is why it wouldn't work for me..

* I'm always supper picky about the specimens I purchase, I'm sure it drives the employees crazy at my LFS.. lol, I would never in a million years walk in and say here is my money grab me any coral you feel I might like..

* I have nano tanks so every square inch of real estate is valuable and takes careful planning, a steady stream of frags every 4 weeks would more than likely be difficult for me to manage in my smaller systems..

* Planning for growth is another factor that may be difficult to deal with in a subscription service, especially in a nano system as all that open real estate that was available when you started the service has now become overgrown over the months..

* I guess my biggest fear would be some kind of tank issue, I would never go out and buy a new piece of coral if my tank is "off" even by just a little, so I can just imagine the fed ex guy knocking on my door the morning I'm trying to deal with that failed piece of equipment, cyno outbreak or sick fish.. Not to mention what am I going to do with that new frag if I have a total tank crash overnight or some other catastrophe?
 
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Scott Fellman

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I have already seen a couple venders offering a subscription service for monthly coral deliveries and my first thoughts where.. "This is fantastic!" I really enjoy my monthly magazines subscriptions so what could be better than receiving a mystery frag each month? Well after some pondering this is why it wouldn't work for me..

* I'm always supper picky about the specimens I purchase, I'm sure it drives the employees crazy at my LFS.. lol, I would never in a million years walk in and say here is my money grab me any coral you feel I might like..

* I have nano tanks so every square inch of real estate is valuable and takes careful planning, a steady stream of frags every 4 weeks would more than likely be difficult for me to manage in my smaller systems..

* Planning for growth is another factor that may be difficult to deal with in a subscription service, especially in a nano system as all that open real estate that was available when you started the service has now become overgrown over the months..

* I guess my biggest fear would be some kind of tank issue, I would never go out and buy a new piece of coral if my tank is "off" even by just a little, so I can just imagine the fed ex guy knocking on my door the morning I'm trying to deal with that failed piece of equipment, cyno outbreak or sick fish.. Not to mention what am I going to do with that new frag if I have a total tank crash overnight or some other catastrophe?

All great points...I think that it would not be wise to offer the coral as a "mystery frag" in this model for some of the very reasons you state, among others. Rather, a "monthly menu" of a few choices would be better, I'd think. Of course, what if you don't like the choices offered, lol? I guess it's like an "option" you can exercise...or not.

And I think you'd be best served getting a "reminder" along with the "menu" at some point each month, where you could request the day of shipment, and perhaps defer until next month or something if you want. Obviulsy, then we get into things like programming and follow-on customer service, but that's the good and bad of such a service!

Excellent thoughts! Thanks

Scott
 

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I like the idea of brainstorming questions! I often sit around and think about what new products could be developed for the industry or how to improve on others.

I will have to give this one some thought!
 

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All great points...I think that it would not be wise to offer the coral as a "mystery frag" in this model for some of the very reasons you state, among others. Rather, a "monthly menu" of a few choices would be better, I'd think. Of course, what if you don't like the choices offered, lol? I guess it's like an "option" you can exercise...or not.

And I think you'd be best served getting a "reminder" along with the "menu" at some point each month, where you could request the day of shipment, and perhaps defer until next month or something if you want. Obviulsy, then we get into things like programming and follow-on customer service, but that's the good and bad of such a service!

Excellent thoughts! Thanks

Scott

Well I guess even if you where selecting the type of coral you wanted from a menu it would still be somewhat a mystery frag unless they featured only WYSIWYG corals which would equate to lots of extra work for the vender, and some way to control deliveries or cancel subscription without penalizing the customer would be required to keep people happy.. I also wonder how the shipping cost would be absorbed in a coral of the month business model, 12 over night shipments on a year long subscription would be huge.
 

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Hate to be all negative :p but Another point for me personally is I'm not sure receiving one frag at a time would be worth all the trouble.. the whole process of receiving a livestock delivery always just seems like such a chore to me with coordinating the day of delivery, double checking my tank parameters, gathering supplies (buckets, siphon hose, towels, glue, revive and dipping containers), hours spent watching out the window for the UPS man. Then the actual unpacking, acclimating, dipping, positioning in just the right spot followed by repositioning in another and another and well you know the drill :D Then the courtesy email or phone call to the vender to let them know everything made it.. Or maybe it didn't and it gets more complicated with pictures, emails, and phone calls so I always plan on the bulk of coral delivery day to be spent on my tank.. To do all that for one frag I'm not sure? I don't do that much mail order but when I do I get many pieces at a time.
 
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Scott Fellman

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Well I guess even if you where selecting the type of coral you wanted from a menu it would still be somewhat a mystery frag unless they featured only WYSIWYG corals which would equate to lots of extra work for the vender, and some way to control deliveries or cancel subscription without penalizing the customer would be required to keep people happy.. I also wonder how the shipping cost would be absorbed in a coral of the month business model, 12 over night shipments on a year long subscription would be huge.
Excellent point on the shipping cost. I think that would be absorbed into the cost of the corals, I would imagine. Yeah that can be a lot. On the other hand, if a customer were to pay in advance, the shipping cost could be discounted somewhat. This is the one differential in the equation that's tough. Shipping is always a factor in livestock, so there would have to be some give and take on the part of the vendor. I mean you have the customers money...
 

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My mom recently signed me up for "shirts on tap" which is a monthly T-shirt subscription from San Diego area micro-breweries. I look forward every month to getting something ultra cool that no one else in my area (Alabama) has seen or has access to. I see some similarities to what you are "dreaming" about. I've been known to order a single frag when it's something I find interesting. When Unique started the $19 shipping it totally changed the way I thought about buying corals. Suddenly I was cool with spending say $100-150 on a single something special. Most of the cautions/ holdups mentioned above are valid, but I think at it's core there is something there worth looking at.
 

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On a forum years ago we did a "round robin". The coral type was listed (we did Zoas). We would have people sign up in order. First person would ship a frag to second and so on. Last person shipped back to the first person. We posted pics of what we were sending and whoever wanted it posted the next pic and got that frag. It worked out great.
 

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On a forum years ago we did a "round robin". The coral type was listed (we did Zoas). We would have people sign up in order. First person would ship a frag to second and so on. Last person shipped back to the first person. We posted pics of what we were sending and whoever wanted it posted the next pic and got that frag. It worked out great.
That sounds fun.
 

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Sounds pretty cool, but there would have to be an "opt out" button people could also choose if the subscriber already had the coral or it was one that he/she didn't want. I think it could be a really fun thing for people that hate the auctions.
 
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Scott Fellman

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Hate to be all negative :p but Another point for me personally is I'm not sure receiving one frag at a time would be worth all the trouble.. the whole process of receiving a livestock delivery always just seems like such a chore to me with coordinating the day of delivery, double checking my tank parameters, gathering supplies (buckets, siphon hose, towels, glue, revive and dipping containers), hours spent watching out the window for the UPS man. Then the actual unpacking, acclimating, dipping, positioning in just the right spot followed by repositioning in another and another and well you know the drill :D Then the courtesy email or phone call to the vender to let them know everything made it.. Or maybe it didn't and it gets more complicated with pictures, emails, and phone calls so I always plan on the bulk of coral delivery day to be spent on my tank.. To do all that for one frag I'm not sure? I don't do that much mail order but when I do I get many pieces at a time.
Again, good points...and you're not being "negative" at all! The whole point of this exercise is to see if we could even bang out a conceptual framework that would make the idea feasible. The shipping, mentioned previously, is a legitimate and significant issue, as a re logistics. Perhaps- perhaps- the way to mitigate this would be the frequency- perhaps quarterly, not monthly- and not a single coral- rather, a selection of coral?
 
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Scott Fellman

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My mom recently signed me up for "shirts on tap" which is a monthly T-shirt subscription from San Diego area micro-breweries. I look forward every month to getting something ultra cool that no one else in my area (Alabama) has seen or has access to. I see some similarities to what you are "dreaming" about. I've been known to order a single frag when it's something I find interesting. When Unique started the $19 shipping it totally changed the way I thought about buying corals. Suddenly I was cool with spending say $100-150 on a single something special. Most of the cautions/ holdups mentioned above are valid, but I think at it's core there is something there worth looking at.
You hit it on the head with the shipping. A vendor has to be willing to go for it and study the ROI here (more sales with a lower shipping cost vs. the added expense of subsidizing shipping on smaller orders)...There is a very large segment of the reef hobby that doesn't spend $200 or more every time; perhaps only a few corals are desired...Lots to consider..!
 

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Again, good points...and you're not being "negative" at all! The whole point of this exercise is to see if we could even bang out a conceptual framework that would make the idea feasible. The shipping, mentioned previously, is a legitimate and significant issue, as a re logistics. Perhaps- perhaps- the way to mitigate this would be the frequency- perhaps quarterly, not monthly- and not a single coral- rather, a selection of coral?
Sign me up! This would be a great gift idea!
 
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Scott Fellman

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On a forum years ago we did a "round robin". The coral type was listed (we did Zoas). We would have people sign up in order. First person would ship a frag to second and so on. Last person shipped back to the first person. We posted pics of what we were sending and whoever wanted it posted the next pic and got that frag. It worked out great.
A very cool idea for clubs and forums! I remember, many years back- a sort of perversion of this idea: much to my horror, a local reef club had a "Club Copperband Butterfly" that would be ferried to different members' reefs as they suffered Aiptasia outbreaks in their tanks...Yuck for the fish, and a horrible thing to do from an ethical standpoint, but conceptually an interesting idea...sort of like a "club PAR meter", but this thing was alive...:(
 
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Scott Fellman

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Sounds pretty cool, but there would have to be an "opt out" button people could also choose if the subscriber already had the coral or it was one that he/she didn't want. I think it could be a really fun thing for people that hate the auctions.
I agree with the "Opt out" idea...I think it would be important. I'd think that someone embarking on creating such a program would be well served by checking out the way other businesses handled such programs, from a systems and policies standpoint...The devli, as they say- is in the details!:oops:
 
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I like the idea of brainstorming questions! I often sit around and think about what new products could be developed for the industry or how to improve on others.

I will have to give this one some thought!

Yeah, it's a lot of fun, actually...As a community, we are quick to complain about things; here is a chance to come up with an idea to see if it flies...and if a vendor takes it and run with it, all the better...Sort of a "proof of concept" discussion, right here on the forum, with the people who count the most- real live reefers!
 

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I actually am a product development person (software, not "wetware", but whatever). I think this sounds like a great idea. I have a sock subscription. It's ridiculous how excited I get when I see the Foot Cardigan bag in the mailbox. Same for my wife and her Birchbox. So, on its face the idea has a lot of merit.

I think the previous suggestions around frequency are good. A quarterly with three selections is better than monthly for the reasons mentioned. This is how most wine clubs work, for the same reason (shipping costs are silly and someone has to be home to sign for it).

I am someone that would actually prefer not knowing anything about what's coming other than it fits my loose parameters. I like the surprise, but I guess you could offer a premium to know ahead of time (by opting not to know, you get it cheaper because vendor could load-balance demand with those that did want to know.) of course, you can't always send the dregs to the surprisers.

I think if people could be in one of about 3-4 "clubs", most would work out. SPS only, Mixed, Softies only, and SPS/LPS only would work for most people as choices. In that way it also works like a wine club (white only, red only, mixed).

Probably the trickier part is the capability for people to shuffle around their delivery day from quarter to quarter.

As for getting something you already have, or didn't want...about one out of every 5 wine bottles we get isn't to our liking; they make great gifts/trades. But that means 4/5 are ones we love!
 

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