Our initial hypothesis was a Middle East Travel OTA, with a ramp up based on influentials (expats) from the US.
PASS/FAIL: The hypothesis FAILED: Expats in the US were not interested/and rejected the idea of purchasing packages (they mostly stay with family and friends), but they maybe interested in flights. We thought about flights, and realized that the space was interesting but not something we wanted to pursue due to the limited revenue generation (near zero commissions)
We pivoted and came up with new hypothesis to focus on MBA students traveling to the middle east (as earlyvangelists / early adopters). These students are our influencers, and our total target market would be US travelers to the Middle East.
– Starting with study groups and tours.
-Market size: Top 10 MBA schools, 2 trips a year, 30 people on average, with an average spend of $4000 ($2000 on packages and $2000 on airlines) , $160=$96,000 (total market size)
There is a strong element of virality, there is a homogenous pattern across study tours and the model is very easy to duplicate across schools. These students are our influencers, and our total target market would be US travelers to the Middle East.