17. APPENDIX
TaxiTreats
Grab it on your way!
Brian Shimmerlik Tomas Grosskopf
NYU Stern Universidad de Buenos Aires
Chief Executive Officer Head of Sales

18. TaxiTreats Financials
• Modeling Assumptions
– 1 of 20 fares purchase goods for $2 (5%)
– 15% COGS
– $150,000 design and prototyping costs
– 3-month pilot program July - September 2013
– $3,000 per machine at full production
– Full scale production & installation: 400 per month
– Taxi Owner Incentive: 25% of profit
– Pre-sell advertising rights for 3 years for $2,500 per car or
2.7 cents per view
– Full saturation: August 2016
– Straight line depreciation – 6 year useful life

19. Design Using CATIA CAD Software

20. Design Using CATIA CAD Software

21. Design Using CATIA CAD Software
• 8 5-Hour Energy
•2 CLIF Bar
•9 Orbit Gum
•15 Advil
•15 Access Cards
•4 Small Altoids

22. Microeconomics Cost Retail Price
• 8 5-Hour Energy 8 x $1.00 = $8 8 x $5 = $40
• 2 CLIF Bar 2 x $.50 = $1 2 x $3 = $6
• 9 Orbit Gum 9 x $.25 = $2.25 9 x $2 = $18
• 15 Advil 15 x $.15 = $2.25 15 x $2 = $30
• 15 Access Cards 15 x $2 = $30 15 x $10 = $150
• 4 Small Altoids 4 x $.50 = $2 4 x $3 = $12
Total Product Cost $45.50 Total Revenue $256
• Margin per machine : $210.50
• Machine Turnovers to Recover Machine Cost : 14.3
• Months to Breakeven @ 5% purchase rate: 9.8 months