The ArtSphere Gallery School of Art (ArtSphere) began its operations in September of this year after expanding from its former back room into the full 787 square foot facility on the corner of Main and 1st Streets in Birmingham, AL. Since September, the business has experienced significant growth but it has done so in an uneven manner. This business plan is designed to provide a solid framework for growth and maximize profits. Successful realization of this plan will produce increasing profits annually by the end of the third year.

Here are the keys to success and critical factors in order of importance

• For art lessons, penetration into the market during the day.
• Renovating the property.
• Modifying certain pricing and operational practices.
• The sale of art supplies can bring in additional income.

1.1 Objectives

ArtSphere has the most potential for growth by teaching art to paying clients. This can only be done by eight people at once. The primary objective is to be able to penetrate the 9 A.M. – 3 P.M. market. This is 61% or more of ArtSphere&#8217’s teaching resources. This is without doubt the key element for the future growth of profits. The main objective of the project is to gradually increase market penetration from its current almost zero level to 90% full capacity by end of second-year.

Since the afternoon market sector (22% capacity) is nearly full, it is important to fill the evening hours. These are Monday through Thursday from 7:30 P.M. to 9:00 P.M. These eight hours will be easier to fill. This goal must be met by the end of month 5.

Additionally, art supplies should be separated from art lessons to maximize profit.

A final objective is to maintain the present level of portrait work, produced under contract by clients, as well as maintain the historical level of sales of art work created by the owners of ArtSphere prior to the recent mushrooming of art instruction.

1.2 Mission

The ArtSphere is committed to offering professional, competent instruction in art in a friendly, enjoyable environment while meeting the diverse needs of various target markets. The ArtSphere is committed to building a relationship with customers that is more personal and long-lasting than a standard six-session art course at Bessemer. The ArtSphere understands that the product it sells may be different from what was taught. Helena Rubenstein has been quoted saying, « In a factory we produce cosmetics, but the product which we sell is called « hope. » ‘”

ArtSphere believes the same. The buyer will view the product in a different way. An art school application may require assistance for a serious young student. An elderly woman in her 70s may want to find a way to have fun and fill up an empty day. A stress-ridden executive may be seeking solace and relaxation. You can get encouragement, technical advice, stress relief, loneliness escape, self-expression and other support. are just some of the products sold by the ArtSphere. Art lessons can be obtained for less than $5.00 an hour through some evening classes at the state college. The ArtSphere cannot compete at these prices. We will only be able to create and maintain high levels of sales if we can tailor the ‘#8220’ product requested by customers.

1.3 Keys for Success

How well the owners can adapt the product to the customers’ needs (emotional and technical) is the most important aspect of success. the customers.

• These limited spaces, which can only hold eight people at a time, have no shelf life. They are like airplane seats: A 10 o’clock space unsold today is lost forever. To avoid potential problems of ‘#8220no-shows’, it is vital that customers are signed up on a monthly basis and paid in advance. However, this does not mean that customers cannot switch time slots. Walk-ins are still possible, depending on availability. However, these ‘#8220’ products must be sold at an affordable price to encourage customers to signup.
• Like all businesses, it’s important to recognize the &#8220heavy user and encourage them.

If, however, an hour art lesson does not come to a signaled end, for example, lights being turned off, then the customer may simply continue working for hours. It is crucial to signal the end of a lesson by collecting student’s canvases so they can be stored for the next lesson. Only those who wish to take part in a longer session can enroll for a shorter period. Owners can only make a profit when the heavy user is enrolled.