1. Creating a System to Sell Sporting Event Tickets Alex Popoutsis Final Project CS 403

2. Mission Statement To provide a positive experience to consumers looking to purchase tickets to sporting events, an experience which will make them want to return in the future. To provide a positive experience to consumers looking to purchase tickets to sporting events, an experience which will make them want to return in the future.

3. Objective Statements We will provide the simplest and most efficient ticket purchasing experience to our users. We will provide the simplest and most efficient ticket purchasing experience to our users. We will offer tickets to as many sporting events as possible. We will offer tickets to as many sporting events as possible. Our service will be secure and trustworthy. Our service will be secure and trustworthy. Unlike larger ticket services, we will not charge extensive additional fees for doing business with us. Unlike larger ticket services, we will not charge extensive additional fees for doing business with us. We will offer exceptional customer service. We will offer exceptional customer service. Our pricing will be competitive with similar services Our pricing will be competitive with similar services

4. Competitive Strategies We will focus on sporting events. Unlike larger companies, we cannot provide tickets to all types events, so we will have a niche. We will focus on sporting events. Unlike larger companies, we cannot provide tickets to all types events, so we will have a niche. We will focus mainly on sporting events in the United States to start, until we can build to the point where we can expand elsewhere. We will focus mainly on sporting events in the United States to start, until we can build to the point where we can expand elsewhere. We will focus on affordable tickets. The best, highest-priced tickets are often difficult to obtain and sell. We will focus on affordable tickets. The best, highest-priced tickets are often difficult to obtain and sell.

5. Competitive Strategies (continued) We will make our system easier to use in order to differentiate the service we offer and gain repeat customers. We will make our system easier to use in order to differentiate the service we offer and gain repeat customers. We will not charge hefty additional fees, helping to make our prices even more competitive with the bigger services. We will not charge hefty additional fees, helping to make our prices even more competitive with the bigger services. We will sell advertising space in areas of the website as an additional revenue stream. We will sell advertising space in areas of the website as an additional revenue stream. Users can print their own tickets from home, saving us extra overhead costs. Users can print their own tickets from home, saving us extra overhead costs.

6. Business Functions Planning Planning Deciding which markets and sporting events to focus on Deciding which markets and sporting events to focus on Designing the web site Designing the web site Marketing Marketing Making the service appeal to potential customers Making the service appeal to potential customers Sales and Support Sales and Support Processing transactions, dealing with credit card information, refunds, etc. Processing transactions, dealing with credit card information, refunds, etc. Customer support for users having issues Customer support for users having issues Finance Finance Managing revenues Managing revenues Purchasing additional ticket supplies Purchasing additional ticket supplies Maintenance/Security Maintenance/Security Keeping site running smoothly Keeping site running smoothly Securing customer information Securing customer information

7. Data Entities Events Events Tickets Tickets Customers Customers Orders Orders Suppliers Suppliers

8. List of Information Systems to be Developed Accounts Payable Accounts Payable Accounts Receivable Accounts Receivable Inventory Inventory Customer Data Processing Customer Data Processing

9. IS Planning Matrices IS -> Data Entity EventTicketCustomerOrderSupplier Acct’s. Payable XX Acct’s Rec’v. XX InventoryXXX Customer Data XXXX

10. Preliminary Feasibility Report This would be a feasible e-commerce system to set up. It would take some time to build the system up and make it competitive with bigger companies. However, it could be started small with room to grow. Off-the-shelf software also could be used for portions. There would be some initial costs, and it would take some time to recoup those costs, but relatively speaking, this is a project worth taking on. This would be a feasible e-commerce system to set up. It would take some time to build the system up and make it competitive with bigger companies. However, it could be started small with room to grow. Off-the-shelf software also could be used for portions. There would be some initial costs, and it would take some time to recoup those costs, but relatively speaking, this is a project worth taking on.

11. Tangible Benefits Revenue from tickets Revenue from tickets Revenue from advertising Revenue from advertising Physical footprint is small Physical footprint is small Customer growth through word of mouth and repeat customers due to site’s design and usability Customer growth through word of mouth and repeat customers due to site’s design and usability

12. Intangible Benefits Users can save time by printing their tickets from their computers Users can save time by printing their tickets from their computers We can measure demand trends for various events We can measure demand trends for various events

13. All Benefits and Costs Benefits Benefits Increased revenues Increased revenues Small physical footprint Small physical footprint Customer growth Customer growth Convenience and ease of use for customers Convenience and ease of use for customers Easily measure and target certain industry trends Easily measure and target certain industry trends Costs Significant initial investment (time and money) Expansion will have to take place slowly Competitive industry

14. Break Even Analysis Year 0Year 1Year 2Year 3Year 4Year 5TOTALS Net Economic Benefit$0.00$50,000.00$75,000.00$100,000.00$125,000.00$150,000.00 Discount Rate (12%)10.8928571430.7971938780.7117802480.6355180780.567426856 PV of Benefits$0.00$44,642.86$59,789.54$71,178.02$79,439.76$85,114.03 NPV of all Benefits$0.00$44,642.86$104,432.40$175,610.42$255,050.18$340,164.21 One-time Costs($500,000.00) Recurring Costs$0.00($35,000.00) Discount Rate (12%)10.8928571430.7971938780.7117802480.6355180780.567426856 PV of Recurring Costs$0.00($31,250.00)($27,901.79)($24,912.31)($22,243.13)($19,859.94)

15. Break Even Analysis (continued) NPV of all Costs($75,000.00)($106,250.00)($134,151.79)($159,064.09)($181,307.23)($201,167.17) Overall NPV$138,997.04 Overall ROI69.10% Break-Even Analysis Yearly NPV Cash Flow($500,000.00)$13,392.86$31,887.76$46,265.72$57,196.63$65,254.09 Overall NPV Cash Flow($75,000.00)($61,607.14)($29,719.39)$16,546.33$73,742.96$138,997.04 Break even occurs between 2 and 3 years 2.932years

16. Break Even Analysis (continued)

17. Baseline Project Plan Report The expectation is that this project will take a little over a year to complete. Initial costs to create the Information System are estimated to be about $500,000. We will spend at least six months in the planning and analysis stages, because we plan on using this system for a long time. Once we have a firm grasp on exactly what we want and what is achievable, we will send out a Request for Proposals. Once we select a company, we will work with them for several months to make a firm plan. Finally, after revisions have been completed and the

18. Baseline Project Plan Report (continued) design is approved, implementation will begin. Several months will be allotted to the actual programming of the Information System, and then a significant of time (roughly six months) will be spent rigorously testing the system to verify that it is stable, secure, and able to handle a sizable volume of users. Once the system has been adequately tested, it will be released for public use. Maintenance costs from that time on are estimated at $35,000 per year.

19. Gantt Chart

20. Part Two

21. Interviews Interview with Manager/Owner/Client Interview with Manager/Owner/Client Five goals Five goals Ease of use by many users with varying experience Ease of use by many users with varying experience Security Security International Support (flexible user interface with reusable code) International Support (flexible user interface with reusable code) Operates well across browsers/screen resolutions/connection speeds Operates well across browsers/screen resolutions/connection speeds No fee for users No fee for users

22. Interviews Interview with Manager/Owner/Client (continued) Interview with Manager/Owner/Client (continued) Takes 6-8 months to solicit ideas Takes 6-8 months to solicit ideas Key Components Key Components Human/Computer Interaction (GUI) Human/Computer Interaction (GUI) Database Structure/Connections (Search engine?) Database Structure/Connections (Search engine?) Security (Payments, login information, protection from hackers) Security (Payments, login information, protection from hackers) Help and Support Help and Support Communication/Feedback Communication/Feedback

23. Interviews Interview with Systems Developer Interview with Systems Developer Challenges Challenges Meeting schedules Meeting schedules Coordinating between the client and the development team Coordinating between the client and the development team Important aspects of development Important aspects of development Having firm requirements in writing Having firm requirements in writing Compromising with the client in terms of planning Compromising with the client in terms of planning Code reusability Code reusability Testing Testing

24. Interviews Interview with potential user Interview with potential user Five requirements Five requirements Variety of events Variety of events Reasonable prices Reasonable prices Ease of use – search engine is very important Ease of use – search engine is very important Security Security Readily available customer support Readily available customer support No additional fees were an appealing idea No additional fees were an appealing idea He almost always buys his tickets online He almost always buys his tickets online Online ticket sales clearly are a growing market that would be good to get into Online ticket sales clearly are a growing market that would be good to get into

25. System Requirements The following is a list of ten items that will be absolutely necessary in the development of this information system The following is a list of ten items that will be absolutely necessary in the development of this information system Easy to use Easy to use Low-maintenance Low-maintenance Secure Secure Can handle large amount of users online (up to several thousand concurrently) Can handle large amount of users online (up to several thousand concurrently) We want to make sure we have room to grow We want to make sure we have room to grow Likewise, can handle large database of events and tickets Likewise, can handle large database of events and tickets

26. System Requirements (continued) Can support several online payment options Can support several online payment options Uses off-the-shelf components where available Uses off-the-shelf components where available Highly reliable Highly reliable Tested rigorously Tested rigorously Expandable and customizable Expandable and customizable Built to last at least five years, hopefully more Built to last at least five years, hopefully more

27. System Constraints We have several constraints that a system developer must agree to. We have several constraints that a system developer must agree to. The system must be developed in no more than 15 months. The system must be developed in no more than 15 months. Our budget is $500,000 and the development costs for this system should not exceed that amount. Our budget is $500,000 and the development costs for this system should not exceed that amount. If it becomes necessary, we would be willing to exceed our budget by no more than 5% If it becomes necessary, we would be willing to exceed our budget by no more than 5% We have a limited staff for maintenance We have a limited staff for maintenance We cannot afford high maintenance costs We cannot afford high maintenance costs

28. System Constraints (continued) We cannot afford for the system to be built completely from scratch We cannot afford for the system to be built completely from scratch We won’t be able to replace this system in the very near future, so it needs to be long-lasting We won’t be able to replace this system in the very near future, so it needs to be long-lasting We cannot afford the most expensive database software available, such as Oracle We cannot afford the most expensive database software available, such as Oracle We cannot afford the latest technology, so it must be able to run well on current technology for awhile without massive upgrades We cannot afford the latest technology, so it must be able to run well on current technology for awhile without massive upgrades We do not have many computer-savvy employees We do not have many computer-savvy employees We cannot afford to pay a full fledged support team, so any problems that come up must be easy to resolve, and the system must be reliable so that we don’t have to face many support calls We cannot afford to pay a full fledged support team, so any problems that come up must be easy to resolve, and the system must be reliable so that we don’t have to face many support calls