Need batteries? A drink? Warren Twp. High grads ready to deliver
So you're at home one evening and run out of printer paper. It's late and cold. The thought of dashing out to the store makes you miserable.
Or maybe you've got the flu and need some over-the-counter meds. How about light bulbs, batteries or maybe an energy drink? Wouldn't it be great to order these things via your smartphone? In just a few minutes the delivery man shows up at the door with the goods.
A couple of Warren Township High School grads say the time is right for a digital concierge.
Dan Zavorotny, 21, and Karol Kocemba, 22, have a business idea to provide quick delivery of basic items in the same way you might order a pizza. They named the venture "CellHop." Think bellhop in the digital age.
The pair was one of three winners in the University of Illinois at Chicago's, Concept2Venture Business Plan competition this month. They took home a $5,000 cash award. The contest challenges graduate and undergraduates in the university's 15 colleges to develop a business plan.
The judges included Priceline.com founder Jeff Hoffman, Marc Puleo, founder of 1-800-PetMeds and J.B. Pritzker of New World Ventures. UIC officials said seven companies have actually launched since the competition started four years ago.
"This is an idea for people willing to pay for convenience," Zavorotny said. "It's not for everyone, but there are a lot of people who will pay."
Zavorotny is a senior at UIC majoring in economics and pre-pharmacy. Kocemba is a recent graduate of New York University and works as a trading assistant at the Chicago Mercantile Exchange.
CellHop's profit would come from the delivery charge, the Chicago men explained.
Orders will be placed via cell phone and customers would have three delivery options. They could choose the "now" option, which guarantees delivery in 20 to 40 minutes depending on traffic. Or they could pick "soon" with delivery in 40 minutes to two hours. The "today" choice would deliver before the end of the day. The delivery charge could be as much as $20 for the fastest option.
"These would be products you need today," Kocemba said. "There are no other companies offering such speedy delivery."
CellHop would only deal in nonperishable items, Kocemba said. They envision of fleet of delivery trucks stocked with the most common household items driving around the city delivering the goods.
Chicago's Lincoln Park will be the target test area.
"The average income is $140,000 and it's full of young people who understand the value of technology," Zavorotny said. "Once we can demonstrate the demand for this business, we'll be able to attract financing."