Tree Tran Tree Tran 2.009 Orange Team 2.009 Orange Team Final Presentation December 12, 2005
Tree TranTree Tran 2.009 Orange Team 2.009 Orange Team
Final Presentation December 12, 2005
Outline
• Customer Needs
• Solution
• Competition
• Customer Feedback
• Market
• Financials
Customer Needs
• Saplings weigh 50-450 lbs
• Difficult to transport, plant, and position in hole
• Cannot handle tree by trunk
Solution: TreeTran
Product ComparisonDolly Toad Tran
Load capacity 700 lbs 450 lbs 450 lbs
Device portability
High Low High
Foldable No No Yes
Lowers tree into hole
No Yes Yes
Affordability $450 $2520 $1200
Video & Feedback
“I can’t believe I just planted a tree with your device! This is awesome… it is exactly what [CityRoots] is looking for!
– Trina Hofreiter, CityRoots
“It’s so easy to move around, even with a heavy tree on it.”– East Campus resident
Market
Industry size:• $33.5 billion spent in Do-It-Yourself
gardening and landscaping• 3 million trees planted privately each year
by individuals
Market
Target customers: • landscapers
• 1.1 million workers
• equipment rental companies• 4000+ nationwide
• non-profit organizations that plant trees• 47 major organizations
Business Model
Tree Tran
distributor
landscapers
equipment rental
companies
non-profit organizatio
ns
Financials
Total cost: $400/unit
Manufacturing Cost Market Penetration
Price: $1200/unit1500 units/year sold
Financials
• IRR=25% with $500,000 initial investment
• 2nd year break even
• 3rd year steady-state: 1500 units/yr sold (2% market)
• $270,000 net profit by end of 3rd year
Profit Growth
Year Year Year Year
AcknowledgementsCourse instructor: David Wallace
Lab instructors: David Gossard, Doug Vincent
Pappalardo staff: Dick Fenner, Joe Cronin, Bob Gertsen, Steve Haberek, Bob Nuttal
Team mentors: Ethan Crumlin (MIT), Ben Linder (Olin)
2.009 instructors, TAs, and Maureen Lynch
Urban Ecology Institute: Trina Hofreiter (CityRoots)
MIT Libraries
References“Community Forest Partnership.” Urban Ecology Institute.
http://www.bc.edu/bc_org/research/urbaneco/program/default.html
“Community Tree Planting Guide - Time for Trees.” Tree Trust. http://www.na.fs.fed.us/spfo/pubs/uf/treeguidehtm/chapter1.htm#Chapter%201
“How to Plant Trees.” The National Arbor Day Foundation. http://www.arborday.org/trees/video/howtoplant.cfm
“Organizations that Plant Trees.” Marshall House. http://www.mhmail.com/Trees.html
“Volunteering and Tree Planting.” The National Arbor Day Foundation. http://www.arborday.org/programs/volunteers/textstates.cfm
Tree Planted Too Deep
Tree Tran Load Rating
Tree Tran in Truck Bed