Run and gets

“Run & Gets”

Will be an application focused on promoting exercise such as jogging, running, elliptical, rowing, etc. in exchange of virtual money (rundolars). The app would function by providing promotions regarding different items such as clothing, food, technology, services, restaurants, gyms, and various other products that companies would advertise depending on the activity of each of our clients. This would allow for the advertisements to encourage the user for items they desire while also attracting new users. These advertisements would range between 15-30 second clips alongside pop ups and a tab within the app that displays all the current promotions.
The app would track the user’s jogs and any other physical activity from the options provided through their smartphone or smartwatch health tracking technology resulting, for example, in a 2 dollar reward for each FIRST HOUR and 3 dollars for the second hour with a maximum of 2 hours per day allowed. This currency nicknamed “Run Dollars" would be cumulative within a certain max amount and with an expiry of 1 month.
An example of how it would work would be the following: A user exercises 2 hours a day leading to 5 dollars to redeem a day. The user repeats this for 30 days and accumulates 150 dollars within that month which is ready to redeem. To redeem the Run Dollars the user would press a button within the app that displays which items are available for discounts and promotions with the use of Run Dollars. The client would choose one of the options between clothes, food, restaurants etc ... and from here the product could be shipped to the client or a QR code would generate containing the discount/promotion within it for the physical purchases.
The application will have at least 3 screens:
1.- The home screen where the workout can be initiated and measured.
2.- The wallet screen.  Here the client would be able to keep track of their Run Dollars, their promotions, and they could In addition also save the offers they want to achieve as personal goals. 
3.- The offer screen. This screen would contain all the offers that exist within the APP while also displaying advertisements (in the shape of pop ups and videos) and new releases that the companies would choose to advertise.
 
 
  Objective
 
“Run & Gets” will attempt to accomplish 2 main objectives which will be to help create a healthier population through incentives while also providing companies the ability and freedom to advertise in a much broader and focused manner. The advertisements would be both controlled by the companies and also adapt to the user’s advertisement history to ensure an interactive and non saturating way of promoting products. We will ensure that our users are able to access benefits that perhaps could not be easily available otherwise, specially during these times of pandemic. 
We will ensure the easiest access path between a product and its potential buyer.
Our market, in principle, will be Australia and the USA, advancing in other countries once successful.
 
 
 
  User Interface/How it operates
 
 “Run & Gets" will focus on the accuracy of your exercise through tracking kilometers either through GPS, step counter, or a timer. To ensure that false information isn’t recorded into the app facial recognition (or fingerprint recognition) will be required to initiate your workout. The phone or smartwatch used will be constantly checking for movement and/or fitness stats such as heartbeat if this feature is available on their smart device. An estimate of calories burned will be available alongside total distance traveled. The workouts will be saved after each session on a tab on the home screen which will allow the user to keep track of how much they are exercising, which workouts they performed and their total earnings. This tab will also allow the user to schedule Future sessions so they can build a workout plan or routine that fits their objectives (notifications could be enabled as well to remind users of an upcoming workout session they have organized for that day already. The “Run Dollars" will be earned proportionally to the amount of exercise performed (with a daily cap) and will be stored within the wallet tab of the application where they’ll be usable for 30 days.
2 ways of utilizing the app will be available: The free download version which comes with all the previously mentioned features and pop up ads or a paid subscription could be purchased in order to eliminate unwanted pop up ads, include a higher cap for the daily “Run Dollars”, a longer amount of time that “Run Dollars” can be kept for, and unlocks a leveling system which provides better promotions and deals to user who increase their level with further use.
The social aspect if the app will also be incredibly important, with a way to link your Facebook, Instagram, Twitter, etc in order to encourage more people to download the app. The natural competitiveness of humans will push for friends to try to one up each other in their workout stats and their levels, even including a feature to workout alongside a friend to make some extra “Run Dollars”.
Finally, a tab will also exist which will provide healthy recipes, tips like intermittent fasting, and a calorie calculator.
 
 
 
  FINANCIAL MODEL
 
The income received by the app would  be mainly by the subscription option which would automatically renew each month and by the advertisements that companies provide. Fees  would vary depending if the ad is a 30-second video, a pop up, or a product bring front page the kiosk tab.
The main expense would be the dollars that are delivered each day for every hour of exercise the user chooses to do . For the financial model, an estimated 5% of people would fail to exchange all their dollars. This is a parameter of the model and can be modified by the desired value later on with more data.
The goal for the number of users within the app for its first year would be 100,000 users between Australia and the USA. These parameters are thought for these two countries together, that is, with the current population of Australia 25 million plus 332 million of the USA, it is a totally achievable goal.
The financial model was made for the first year of operation, but a smaller or higher growth rate can be estimated from the second year of operation.
However, the IRR for the first year of operation, with the parameters that are defined, is 76%, which is very good.  The Net Present Value is US $ 3,369,762, at a cost of capital rate of 6% per year.
 
The cost of advertising will be mainly used on social networks, with a minimal cost, but the cost that appears is basically the issuance of posters with the QR code, which will be distributed in the gyms and associated companies.
 
I have the business plan done and I firmly believe in my idea, I need to finance the app and 60 days to test the revenue model, I have all the details in the business plan 
thanks