© 2006 121TIME
CONFIDENTIAL & PROPRIETARY
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L’ “internautisation” en 5 étapes
1. Product
2. Place
Mass-customization
Distribution
4. Price Dynamic pricing & up-selling
5xP
(Market size not covered)
Focusing on KEY DIFFERENTIATORS
5. People Superior Customer Experience
3. Promotion Communication
© 2006 121TIME
CONFIDENTIAL & PROPRIETARY
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Product > Unique Selling proposal Certifiable Fashion segment
• Detailed information and objective certifications
• Drives ownership of multiple watches
Competitive drivers • Speed of renewal
121TIME’s business model combined with innovative PRODUCTS creates a strong USP
Additional product categories • Ease to expand assortment to other product categories
Suited for Online Retailing • Significant product information • Broad selection and dynamic display • Small size / ease of shipping
© 2006 121TIME
Swiss Made • Key differentiating factor (US & Asia) • “Swiss Made” label sells • “Swiss Made" = guarantee • “Swiss Made” = additional credibility
Strong image (see slide Masscustomization) • USP: Create your own • Ambassador: Stephane Lambiel CONFIDENTIAL & PROPRIETARY
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Place > Distribution CBP = commissions based performance
Affiliation program (CBP) Direct to 121TIME web site
• Network of banner publishers
• Web advertising • Search engine marketing
Viral communication (CBP) • Communication triggered by 121 customers
The 121TIME model brings ability to build a powerful and diversified distribution Network worldwide Hybrid distribution (CBP) • Interactive design workstations in physical retailer shops
Ambassador/vendor Program (CBP) • Network of private persons promoting/selling 121TIME watches
E-retailers (CBP) • Integration of configurator technology to enable customization
© 2006 121TIME
CONFIDENTIAL & PROPRIETARY
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Communication > ROI measurable Free PR • Free due to innovative concept
E-newsletter • Low cost acquisition on registered visitors
COMMUNICATION & PRODUCT MARKETING managed by 121TIME is low cost, flexible, adjustable & measurable
E-ambassador/vendor
Online Communication • Web advertising • Search engine marketing
121TIME web site • Viral marketing • Contest, incentive • Special promotion
Offline communication • Offline advertising • Sponsoring, events • Radio, TV spots © 2006 121TIME
CONFIDENTIAL & PROPRIETARY
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Pricing > Up-selling & dynamic pricing
No distribution • 70% OFF = cost of physical distribution
No price barrier • Dynamic pricing as a reduction factor (customer picks just the right options)
Total control on PRICING to maximize reach, minimize barriers & maximize profitability
Up-selling
Centralized •121TIME controls pricing •Promotions •Discounts •Partnerships
• Customer has opportunity to upgrade selection © 2006 121TIME
Multi-level strategy • Price line 1: direct to 121TIME • Price line 2: indirect to 121TIME
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People: Superior Customer Experience
USP • Create your own watch Customer satisfaction • Direct customer service • Direct repair service
Dynamic pricing • Price transparency
121TIME leverages online media to bring a SUPERIOR CUSTOMER EXPERIENCE to generate sales and penetrate distribution networks
Wide assortment • Broad selection and ability to customize
Trust and guidance • Customer controls purchasing experience Quality/price ratio • Superior value • Upselling © 2006 121TIME
CONFIDENTIAL & PROPRIETARY
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3. Product 1. Place
Mass-customization
5xP
Distribution (Market size not covered)
A fully Web-based &
5. Price Dynamic pricing & up-selling
integrated OPERATIONS, minimizes working capital + risk; maximizes flexibility, control and profitability
2. People Superior Customer Experience
4. Promotion Communication
Š 2006 121TIME
CONFIDENTIAL & PROPRIETARY
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Competitiveness > Operations Made-to-order manufacturing • Largely minimizes risks and costs Low & flexible cost structure (compresses value chain) No distribution => • Shorter time to market • Increases creativity
A fully Web-based & integrated OPERATIONS, minimizes working capital + risk; maximizes flexibility, control and profitability
Minimized working capital • No inventory of finished products • Suppressed waste/spoilage, and avoids product returns
© 2006 121TIME
Integrated supply chain • Eliminates layers • Real-time information reduces forecasting risks
The online advantage • Asset efficiency – increased ROA, sales/employee • Capital efficiency – low capex, low customer acquisition cost
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