DA KO TA
EXECUTIVE SUMMARY This report provides an analysis and evaluation of the personal accessories industry, target consumers for our brand, and trend forecasting for our upcoming product line. Methods of analysis include market analysis, demographic and psychographic analysis of our consumer and the use of trend forecasting companies for predicting upcoming trends. Results of our research prove that there is a defined consumer for our brand and our target locations are great for the price point and the aesthetic of our designs.
TABLE OF CONTENTS
Introduction
1
Consumer- Psychographic Consumer-Demographic Queens County, NY New York,NY San Francisco,CA Customer Profile Industry Market Research Size and Scope of Business Age Range Size Range Unique Characteristics Wholesale and Retail Prices Expectations for your Segment Regarding Quality Customer Lifestyle for your Segment Key Brands/ Labels-Competitors Sales Trends Technological Trends Leading Manufacturer Market Conditions & Production Labor Cost Product Requirements Newest Styles, Colors and Treatments Most popular findings, trims and Details Conclusion
INTRODUCTION The Dakota Collection offers a variety of small leather goods inspired by ethnic and tribal influences, handcrafted for individuality and uniqueness in every product. Our product line is geared towards today’s modern woman always on the go. We value simplicity in our design aesthetic; our products are always practical and minimal making them perfect for everyday usage. Colors range from ivory to nude, and since our consumer values intimate details, we have designed prints for the linings of our small accessory bags.
Mission
Dakota is a fast fashion accessories brand that will accurately predict color trends to meet the needs of our trend following, on-the-go woman. We provide fun, unique and affordable accessories that offers our consumer with variety and versatility for every aspect lof her busy lifestyle.
Vision We will become a go-to product for women who are trendy and seek unique items. Our brand will continue to offer the most trendy colors, patterns and embellishments.
Values
We seek to provide value through our products by offering a versatile and unique clutch. We value offering a product that caters to our target market and provides and equal quality for the money spent. Our values include: producing quality products, fulfilling customer demand, staying carbon neutral and partnering with others that value the same ideas and practice.
2
PRODUCT
Camille Envelope
Sarah Key Chain
CATEGORY
Elisa Wallet
Lo Coin Purse
Ta r g e t M a r k e t Dakota’s customer is a female between the ages of 25-35 years old representing some of the milennial generation. She is college educated and has a busy lifestyle are significant characteristics that they share. She lives in or near an urban area, most likely in a house or apartment with her boyfriend or husband. This location influences her desire to be trendy and fashionable; as well as having the option of going out to places that she can get dressed up for. Her income level provides her the opportunity to go out to eat and shop, but to do so reasonably. She is carefree with a relaxed attitude to life. She wears loose and floaty layers. She wears a lot of neutral colors mixed with pastels and a pop of fun color. She is in touch with nature and her spiritual side. She enjoys music festivals. She likes to escape from the city every once in awhile. She loves the culture of India and France. She loves summer and spending her time outdoors.
5
PRICEPOINT Our price point ranges from $15 to $30 dollars.
CONSUMER Psychographic
Using both VALS and Prizm as our research marketing organization we came up with an accurate customer, exploring both demographic and psychographic categories.
The result from VALS survey tells us that our consumer is an innovator and achiever. Meaning that this innovators are succesful and adapters. They are change leaders and are the most receptive to new ideas and technologies.Their purchase reflect cultivated tastes for upscale, niche products and services.
V A L S
Prizm Research
Bohemian Mix
A collection of mobile urbanites, Bohemian Mix represents the nation’s most liberal lifestyles. Its residents are an ethnically diverse, progressive mix of young singles, couples, and families ranging from students to professionals. In their funky row houses and apartments, Bohemian Mixers are the early adopters who are quick to check out the latest movie, nightclub and art exhibition. We chose Bohemian Mix since it represents our costumer profile very well, it’s a combination of young innovators, liberal and adopters that are interested in trendy small pieces at a reasonable price to complete their look without committing to a major purchase. 7
2013 Statistics Bohemian Mix US Households: 2,199,666 (1.85%) Median HH Income: $55,229 Lifestyle & Media Traits Shop at The Gap Watch foreign movies Read GQ Audi S4 Demographics Traits Urbanity: Urban Income Producing Assets: Moderate Age Ranges: <55 Homeownership: Renters Employment Levels: White Collar, Mix Education Levels: College Graduate Ethnic Diversity: White, Black, Hispanic, Mix
8
CONSUMER Demographic As a reflection of the preview research on the Bohemian Mix we selected locations were the highest number of our customer is located. Queens County, NY: Glendale and JFK Airport New York County, NY: Brooklyn San Francisco, CA: Mission District
Queens County, NY
We chose Queens County since it’s the place where most of the Bohemian Mix are found. Queens is the most ethnically diverse urban area in the world most of who are foreignborn, representing over 100 different nations and speaking over 138 different languages. From Queens County we came up with two specific places for our product, one in Glendale and one in JFK Airport.
Glendale Zip Code: 11385 Population: 99,602 Median Age: 35.6 Median Income: $48,000 Consumer Spend: $1,614 MM Consumer Spend ($/HH): $46,021 Retail Sales for Small Leather Goods: 21,482,000 The highest age range can be found between the ages of 21 to 34 (24%), exactly where our target market positions. Historic Downtown Glendale has been named by USA Today & Sunset Magazines one of the country’s ten best places for shopping. Historic Downtown Glendale is a beautiful shopping neighborhood with its white picket fences and mature shade trees welcoming visitors to the bungalows-turned-specialty shops, Old Towne boasting brick-trimmed sidewalks and glowing gaslights leading the way to the famous antique stores and ethnic eateries. The neighborhoods span 10 square blocks, which can easily be strolled in an afternoon. I think this is a good opportunity to introduce our product since this location is very attractive to tourist and tons of Glendale’s residents frequently visit this attractive shopping neighborhood. 9
JFK Airport
JFK is a great location for our product line, since it handles 49.3 million passengers a year. The airport also set a new international passenger record with 25.1 million passengers- about 1.1 million more passengers and a little more than half a million additional seats than the previous year. This means the airport is growing as the years go along, again a great opportunity to introduce our product. There are many competitors already established in JFK, many stores selling similar products such as Bijoux Terner, Fossil Accessories, Coach and Michael Kors, according to Figure 2. JFK has a high percentage of impromptu purchase of 47% with an average price of $66 dollars, giving us the opportunity of targeting those impulsive buyers with our price points being lower than the competitors, not forgeting our different and trendy designs.
Figure2. Retail Purchase Percentage in JFK
According to Figure 3, the primary customer for JFK are Europeans taking advantage of the change Dollar vs Euros, that is $1 to 1.35. The highest age range shown by 60% is between 25 to 44 and with incomes of $40,000 and up. Figure 3, shows
Figure 3. Demographics in JFK Airport
10
New York County, NY
Brooklyn, NY Zip Code: 11201 Population: 54,866 Median Age: 30.7 Median Income: $90,000 Consumer Spend: $ 1,683 MM Consumer Spend ($/HH): $66,129 Retail Sales for small leather goods: 217,100,000
The location chosen from New York County is Brooklyn, inside this location there are many neighborhoods that are developing in both residential and commercial side. DUMBO being one of them, it has all the elements that make a neighborhood great, including a good mix of retail and commercial space, cultural dining and shopping, and easy access to transportation via water taxis and the Brooklyn and Manhattan bridges being one of them. By looking at their background information they have a good consumer spending 1 Million dollars, the median age suits our costumer profile since they have a 27% of population ranging from 25 to 35 the same range our profile expresses. Working Class Studio already sells to a store located in Dumbo, called Journey Home, it is a great location to introduce our collection and expand the offerings of Working Class Studio.
11
Mission District, CA Zip Code: 94103 Population: 23,016 Median Age: 36.4 Median Income: $30,000 Consumer Spend: $39,400 Consumer Spend ($/HH): $43,767 Retail Sales for small leather goods: 52,780,000
San Francisco, CA
The location chosen from San Francisco county is the Mission’s District because its known for its vibrant Latino culture, colorful murals and hip, artistic spirit. Our customers live in this area and love buying from local artists and attending music concerts. The Mission District is growing rapidly since it is experiencing a second coming with a new crop of restaurants, boutiques and more. You’ll also notice plenty of cafés, thrift shops and used-book stores that cater to the college grads, artists, activists and other alterna-types that have historically been rawn to the Mission. As for competition there is a store called Ethos, it sells all kinds of accessories that are very unique and exclusive. Also a Macy’s is located in the heart of Mission District. Both venues are a competition for our brand but we offer a lower price point than this two stores and very basic and funky accessories. We believe that there is a market for small leather accessories since they don’t offfer much already.
12
COMPETITORS WITHIN REGION
San Francisco, CA MISSION DISTRICT
BellJar Boutique Belljar is a clothing store in Mission District, this diverse shops slogan is “Gorgeous Little Things,” and the items for sale—flowing dresses, dangling turquoise earrings, small personal accesories —live up to the billing. The atmosphere is very romantic, bright, and whimsically beautiful. Belljar has small personal accessories with the same price range as our collection.
$15
$30
14
Brooklyn, NY Dumbo
The STEWART/STAND Design Store has been located in DUMBO Brooklyn since 2007. Featuring a unique mix of local, up-and-coming designers and classic, globally recognized contemporary designs, the STEWART/STAND Design Store has an array of gifts and home goods for all budgets and styles.
$14.99
15
Queens
JFK Airport
Juicy Couture The STEWART/STAND Design Store has been located in DUMBO Brooklyn since 2007. Featuring a unique mix of local, up-and-coming designers and classic, globally recognized contemporary designs, the STEWART/STAND Design Store has an array of gifts and home goods for all budgets and styles.
$48.00
$98.00 $28.00 16
Queens, NY Glendale
Wonderful Things Boutique
Wondrous Things is a lifestyle shop that has been providing a unique and fun shop experience since 1989 .They include a wide variety of products, fun and sophisticated clothing accessories, jewelry collections, gifts for home and much more. They carry Vera Bradley which is one of our direct competitors for our product line.
$20.00 $49.00
17
CUSTOMER PROFILE FREE SPIRITED/ INNOVATOR /ADAPTERS
20
Carrie Age: 25 Status: Single Income: $55,000 Education: Bachelor Degree Buying Behavior: Impulsive Buyer
Carrie recently gratuated from UCLA and she is now a junior accountant manager at a Public Relations Firm in San Francisco. She is always on the go because her job involves meeting with clients and attending events. She loves art and supports local artists and local businesses. Her work does not require formal attire, so her style is free-spirited with hints of bohemian influence. Carrie is very social and loves to be involved in cultural events. She is a young working woman and only takes care of herself, therefore she goes shopping on her weekends and spends money on unique items that she canâ&#x20AC;&#x2122;t resist. She likes to have accessories in her closet that women her age wonâ&#x20AC;&#x2122;t have. She will buy trendy items or unique statement pieces. She does a lot of online shopping and is always on the lookout for new trends. She is an impulsive buyer. She is 25 years old and lives in the Mission District in San Francisco, CA. She is single. Her income is $55,000 and she has a bachelors degree. Competitive brands in the area are Lava 9, BellJar, and Therapy.
21
Elizabeth
Age: 30 Status: Married Family Income: $100,000 Education: Bachelor Degree/ Masters Buying Behavior: Cautious shopper
She is a stay at home mom and has recently left her job to take care of her baby. Her husband works in Finance and they often travel on weekend getaways with the baby. She studied Graphic Dsign and loves arts and music. She currently works from home and designs business cards and other graphic design projects as a freelance artist. Elizabeth is a stay at home mother and she usually buys specific items when she needs them but she will always spend money shopping on trendy items to build her wardrobe. Even though she has a busy lifestyle, as a new freelance artist, her schedule is flexible and allows her to manage her shopping time as she wishes. She is 30 and lives in the DUMBO neighborhood in Brooklyn, NY. Her family income is $100,000 and she has a masters degree from NYU.
22
Olivia Age: 35 Status: Married Family Income: $150,000 Education: Bachelor Degree Buying Behavior: Impulsive Buyer
She is married to a photographer and owns a small yoga studio in Glendale, NY. She is very busy running her business, but she stays in touch with her spiritual side and practicing yoga is part of her daily life. She will always take time for herself to hit local shops and get pampered. She prefers thrift shops or smaller boutiques. She always wants to be trendy with her own style. She doesnâ&#x20AC;&#x2122;t like having what every woman has. She stays away from mainstream labels. She also enjoys going on roundtrips with her husband and practices outdoor activities. She has a Bachelorâ&#x20AC;&#x2122;s Degree in Nutrition from Syracuse University, but found her passion for yoga right after graduating college. Her family income is $150,000. Her shopping behavior is impulsive.
23
Industry& Market Research
Scope and size of your segment of the fashion Industry Industries revenue for leather good is forecast to reach at the end of this year $1.95 billion and a growth of 18% in 2014.
Age Range According to International Trade Center they import and wholesale, primarily fine Ladies Small Leather Goods. They focus on good quality products. And their end users are the age range of 25-45.
25
Size Range The size of our market is 6.18% of the entire accessories market.
`26
Wholesale and retail price points for your segment Researching our competitors brand we found that Urban Outfitters has a wide variety of personal accessories starting from $8.00 for the cardholder and moving up to the complete wallet to $40.00 dollars, made of vegan leather and cotton for the lining materials, both fabrics that we are interested in using for our fabrication. Also looking at Target accessories they have a variety of prices starting from $4.00 dollars since the material is canvas and cotton, there were other products marked in $16.00 dollars, using vegan leather. (Photos placed in page 16)
Unique Characteristics Women understand small leather goods now and they make a good gift and self-purchase item. While most small leather goods bought last year were as self-purchases, about 18% were bought as gift.
27
According to Leather Impression Inc. a wholesale company for leathergoods in Orlando, FL, the wholesale price for small leathergoods vary inmensly, looking for items very similar and with the price point that we aim to launch, the wholesale price range from $2 for a key chain of leather to $5 for a card case, and a small wallet for $7.50. Everything depends on the material chosen, the style and how simple or complicated is the accesory, this wholesale prices refer to vegan leather and a basic design.
Expectations for your segment with a regard to quality, fabrication and fit Good quality for the price they are getting. More self conscious of price but still want something stylish and durable withouth the commitment of a major handbag. According to Accessories Magazine, zip-around wristlets for security and ease are a favorite and costumers are looking for small leather goods that can fit various things,
Customer Lifestyle within segment Our young costumer is very fashion conscious and usually an impulsive buyer when is about small things and not a high price point. Our mid-age customer is more quality driven but they donâ&#x20AC;&#x2122;t have preferred brands or labels, they still are price conscious consumers.
28
Key Brands / LabelsCompetitors The competition within our segment category is very large, the leader of the small leather goods in the industry is Coach InC. but with a much higher price than our product, resulting in a better quality product and design. Designer brands such as Michael Kors and Kate Spade had a very strong year in small leather goods, they serve as a gateway into a designer brand for consumers not willing to spend on the handbag. Looking at competitors with the same price point as we do is Target with their brand Merona and Urban Outifitters with their brand BDG, both stores are located in Queens County, New York and in Mission District in San Francisco.
29
Our four locations, Queens, JFK, Brooklyn and Mission District, has all the identified competitors, all four of them have Macyâ&#x20AC;&#x2122;s which encompasses Kate Spade, Coach and Michael Kors, they have Target which carries the Merona brand and finally Urban Outfitters stores that has BDG brand.
COACH Coach is a leading American design house of modern luxury accessories. Their product include fine accessories and gifts for women and men, including handbags, men’s bags, women’s and men’s small leather goods, footwear, outerwear, watches, weekend and travel accessories, scarves, sunwear, fragrance, jewelry and related accessories.
Coin Purse $48
Card Case $48
The price point for this specific category of smaall leather goods range from $38 to $300 Small Wristlet $58
Coin Purse with Key Chain $58
Small Wallet $98
Kate Spade Crisp color, graphic prints and playful sophistication are all hallmarks of this brand from handbags and clothing to jewelry, shoes, stationery, eyewear, baby, fragrance, tabletop, bedding, and gifts.This is a worldwide recognized brand that is located in 80 stores in the USA and 100 internationally. The price point for this specific category of smaall leather goods range from $38 to $300
Wristlet $78
30
Michael Kors Michael Kors is a rapidly growing global luxury lifestyle brand led by a world-class management team and a renowned, award-winning designer. Since launching his namesake brand 30 years ago, Michael Kors has featured distinctive designs, materials a craftsmanship with a jet-set aesthetic that combines stylish elegance and a sporty attitude. Mr. Korsâ&#x20AC;&#x2122; vision has taken our Company from its beginnings as an American luxury sportswear house to a global accessories, footwear and apparel company with a presence in 74 countries. As a highly recognized luxury lifestyle brand in North America with accelerating awareness in targeted international markets, we have experienced exceptional sales momentum and have a clear trajectory for significant future growth. Over the years, we have successfully expanded beyond apparel into accessories (including handbags, small leather goods, eyewear, jewelry and watches) and footwear. The price point for this specific category of smaall leather goods range from $ to $300
Coin Purse $108
31
Small Envelope (Inside purse) $149
Small Wallet $90
Target Corporation owns and manufactures Merona brand merchandise. The Merona label includes men’s and women’s apparel, swimwear, shoes, handbags and accessories, very similar as our price points and customer target. The disadvantage of this brand is that is not exclusive and have very basic designs and styles.
Target Merona
The price point for this specific category of smaall leather goods range from $5 to $35
Small Wristlet $22
Coin case $8.99
Urban Outfiters BDG
Small Wristlet $12
Card Case Wallet $6.99
The brand’s initials BDG stand for Bob, Dale and Greg Keystone, who are brothers and the creators of the line. BDG is made for and sold exclusively at Urban Outfitters. They have a line of both clothing and accessories. The disadvantage of this brand is that their designs and styles are basic and the quality of their product is average. The price point for this specific category of smaall leather goods range from $6 to $40
Card Case $6
Small Wallet $8 32
Sales trend for your product market The following chart show the sales of the year 2012 for all womens accessories, if you refer to highlighted row it specifically concentrates in the small leather goods in which the year ended with sales of $1.8 billion dollars. It had a growth of 15% for the past year, the total units sold were 110 million and the average unit retail is $16 dollars. All the facts show us that this category keep growing in everyway, the forecast for the finishing year of 2013 is $1.95 billion and its expected to grow 18% on the following year according.
Small Leather Goods Womens Small Leathergoods Channel Category Dollar Share Distribuition
Total Women Accessories Costume and Bridge Jewelry Fashion/Sport Watches Handbags Small Leathergoods Belts Gloves Hats Sunglasses Umbrellas Slippers Hosiery Scarves
33
2012 Dollars (billions) $30.5 $10.7 $1.9 $9.0 $1.8 $0.4 $0.4 $0.4 $1.5 $0.3 $0.8 $2.9 $0.4
Dollar %Chg 12 vs 11 5% 3% 18% 6% 15% 2% -8% 1% -11% 14% -2% 4% 4%
2012 Units (Millions) 2,600 821 56 197 110 30 48 26.6 84 26 52 1100 33.5
Average Unit Retail $16 $13 $34 $46 $16 $12 $8 $11 $18 $10 $15 $3 $11
Technologcal Trends
Silicone Material
The personal accessories industry has been greatly impacted by technology, especially with the use of new materials such as silicone that can be washable, vegan cork that is recycled, and metal that is wet resistent. There has also been a greater interest in sustainability, with ideas such as the repurposing of unconventional materials. There are companies using old cassettes as the outer core of coin purses, lined with fabric and closed with a colorful zipper. This is a great impact on our product, since each new technology offer something that we donâ&#x20AC;&#x2122;t, not aesthetic wise but in functionality.
Vegan Cork
Recycled candy wraps
34
Leading Manufacturers
-Beijing Stronger Rich Imp.& Exp. Co. Ltd., CHINA -Richforth Garments Company, CHINA -North Peak Trading Co. Ltd, TAIWAN -Shenzhen Tyson Technology Co. Ltd. CHINA -Xiamen Easy Industry & Trade Co. Ltd. CHINA -Shantou New Starlight Plastics Co.Ltd. CHINA
Product Requirements Price Constraint
Market conditions & Production labor costs A huge labor force that is willing to work for cheap wages, however as wages there are creeping up you can expect to see the sweat shops of the world being relocated
Ranges from $10-$1000â&#x20AC;&#x2122;s and above. Price depends on fabrication and brand. Comfort Comfort is essential for personal accessories for a number of reasons - product has to fit on a regular womanâ&#x20AC;&#x2122;s purse. -lightweight. -resistant to daily wear. -enough space to fit change/cards/cash depending on the product. -enough space to fit your fingers and reach for the contents inside your product. -safe enough to place money or cards. Uniqueness Personal accessories can have details that add uniqueness to the product. These details can be embroideries, studs, decorative zippers or thread, among other accents.
35
Newest styles, preferred colors, finishes and blends
In the personal accessories industry there is a vast amount of finishes and materials being used. Wallets and coin purses are being made mostly in leather, animal skin, but the introduction of the new alcantara material is going to have a break through in the market. Trending styles are functional and easy to use, but always keeping a functional shape that has just the right amount of space to carry on a regular womenâ&#x20AC;&#x2122;s handbag.
Materials
Alcantara is a complex polyester/polyurethane with unmatched sensory, aesthetic and functional properties. It has many benefits, its breathable, softh touch, washable, stretch version, unlitimited colors and textures.
Ultra soft texture, one of the most versatile materials there is in the market.
Perforated materials are the cornerstone of Alcantaraâ&#x20AC;&#x2122;s accessories offerings
Alcantara is already used for small accesories and tech cases.
Blends Other materials new for the accessorie line are mixed metals or silvers.
36
Shapes Some new shapes appeared on the forecast for SS 14 but other are reintroduce into the market like the organic shape coin purses, but there is a major influences of the paper technique, origami.
Geomtric shapes, inspired by origami.
Rounded and soft shapes.
Heart shape coin purses.
Styles Surreal aesthetics gain prominence
37
Woven texture wallets and small accesories
Metallic card cases
Colors
38
Most Popular Detail, Finding & Trims
Snaps
Hardware
Key Ring
39
Tassels and Grommet
Hook and Zipper
Spikes
Lasercutting
Wristlet
Product Launch
Inspiration Board
Concept Board
Dakota Collection
Line Sheet
Product Line Sheet
Microsuede Organic Printed Cotton Sarah Keychain Ref: 1002 Wholesale Price: $ 8.00
Small Keychain with an attached small coinpurse, available in wax-coated canvas with Microsuede accents. Lined with printed organic cotton.
Metallic Wax-Coated Canvas
Microsuede Organic Printed Cotton Lo ID/Cardholder Ref: 1002 Wholesale Price: $ 10.00
ID and cardholder with an attached lobster clasp and keyring, available in wax-coated canvas with Microsuede accents. Lined with Metallic printed organic cotton. Wax-Coated Canvas
Microsuede Organic Printed Cotton Camille Makeup Bag Ref: 1002 Wholesale Price: $ 12.00
Small makeup bag with, available in wax-coated canvas with Microsuede accents. Lined with printed organic cotton.
Metallic Wax-Coated Canvas
Microsuede Organic Printed Cotton Elisa Wallet Ref: 1002 Wholesale Price: $ 18.00
Asymetrical wallet with pockets for cards and money, available in wax-coated canvas with Microsuede accents. Lined with printed organic cotton.
Metallic Wax-Coated Canvas
Each accessory is made with canvas and microsuede on the exterior with a colorful repeat patter for the lining. There are four different color ways including; blue, yellow, pink and green. We chose these colors and fabrics through Stylesight and what was trending for 2014 forecasts. Our product line includes a small keychain, wallet, id holder with keychain and a cosmetic bag for your purse. We will offer all styles in all colors. Each accessory will come with a tassle as well.
Sourcing Dakota accessories will be made overseas in China by Zhejiang Kunda industrial & Trade Co., Ltd. They specialize in making handbags and small accessories. The closest ports are Ningbo, Shanghai and Shenhen. The minimum order quantity is 200 pieces. The factory has the ability to make 500 pieces in a day. The ZK Indistrial & Trade Co. is a verified and a Gold supplier on Alibana.com. This is the premium membership through Alibaba. After looking and comparing costs on Alibana, it would cost no more that $2.00, depending on the size of each accessory.
44
Cost Sheet
DAKOTA COMPANY COST SHEET Style # Style Name Description
Nov 7, 2013
1003 eNVELOPE
FABRICS Fabric 1 Fabric 2 Fabric 3 TOTAL FABRIC COST
Date
Microsuede Canvas Cotton (Inside)
Components Tassels Key Rings Zippers Lobster Clasp Thread Woven label TOTAL COMPONENT COSTS PACKAGING Hangtags Price Tkt
$/yard* $ $ $
$/unit $ $ $ $ $ $
$/unit $ $
3.19 3.11 2.74
0.07 0.10 0.10 0.12 0.027 0.04
0.02 0.01
Yield**
Total 0.054 $ 0.0067 $ 0.056 $ $
Quantity**
Quantity
$Total $ $ $ $ $ $ $
0.07 0.10 0.10 0.12 0.05 0.04 0.48
$Total 1 $ 1 $
0.02 0.01
$
0.03
1 1 1 1 2 1
TOTAL PACKAGING COSTS PACKING Cartons (260 units inside each) Tape Labels TOTAL PACKING COSTS
$/unit
LABOR Patternmaking Marking Cutting Sewing Admin
$0.010 $0.006 $0.06
Quantity
1 1 1
$Total
Cost/Min
3
$Total $ $ $ $0.080 $ $
TOTAL LABOR *Includes pressing & packing unless otherwise noted.
$
OTHER Freight Duty TOTAL OTHER
$Total
GRAND TOTAL
0.17 0.02 0.15 0.35
0.05
$0.010 $0.01 $0.06 $0.08
0.0024 0.0024 0.0240 0.2400 0.5000 0.7688
0.065 0.00325 0.068
1.773587
1% 1% 10%
DAKOTA COMPANY COST SHEET Style # Style Name Description
Nov 7, 2013
1004 Key Chain
FABRICS Fabric 1 Fabric 2 Fabric 3 TOTAL FABRIC COST
Date
Microsuede Canvas Cotton (Inside)
Components Tassels Key Rings Zippers Lobster Clasp Thread Woven label TOTAL COMPONENT COSTS PACKAGING Hangtags Price Tkt
$/yard* Yield** Total $ 3.19 0.0096 $ $ 3.11 0.0032 $ $ 2.74 0.0097 $ $ $/unit Quantity** $ 0.07 $ 0.10 $ 0.10 $ 0.12 $ 0.0035 $ 0.04
1 1 1 1 2 1
$Total $ $ $ $ $ $ $
0.07 0.10 0.10 0.12 0.01 0.04 0.44
$/unit $ $
$Total 1 $ 1 $
0.02 0.01
$
0.03
0.02 0.01
Quantity
TOTAL PACKAGING COSTS PACKING Cartons (260 units inside each) Tape Labels TOTAL PACKING COSTS LABOR Patternmaking Marking Cutting Sewing Admin
$/unit
$0.002 $0.006 $0.06
Quantity
1 1 1
$Total
Cost/Min
minutes
2
$Total $ $ $ $0.080 $ $
TOTAL LABOR *Includes pressing & packing unless otherwise noted.
$
OTHER Freight Duty TOTAL OTHER
$Total
GRAND TOTAL
0.03 0.01 0.03 0.07
0.05
$0.002 $0.01 $0.06 $0.07
0.0016 0.0016 0.0160 0.1600 0.5000 0.6792
0.065 0.00325 0.068
1.349604
1% 1% 10%
DAKOTA COMPANY COST SHEET Style # Style Name Description
Nov 7, 2013
1005 wALLET
FABRICS Fabric 1 Fabric 2 Fabric 3 TOTAL FABRIC COST
Date
Microsuede Canvas Cotton (Inside)
Components Tassels sTIFF INTERFACING Thread Woven label TOTAL COMPONENT COSTS PACKAGING Hangtags Price Tkt
$/yard* $ $ $
3.19 3.11 2.74
$/unit $ $ $ $
0.07 0.02 0.069 0.04
$/unit $ $
0.02 0.01
Yield**
Quantity**
Quantity
Total 0.093 $ 0.0040 $ 0.081 $ $ $Total $ $ $ $ $
0.07 0.02 0.14 0.04 0.26
$Total 1 $ 1 $
0.02 0.01
$
0.03
1 1 2 1
TOTAL PACKAGING COSTS PACKING Cartons (260 units inside each) Tape Labels TOTAL PACKING COSTS
$/unit
LABOR Patternmaking Marking Cutting Sewing Admin
$0.014 $0.006 $0.06
Quantity
Cost/Min
5
1 1 1
$Total
$Total $ $ $ $0.080 $ $
TOTAL LABOR *Includes pressing & packing unless otherwise noted.
$
OTHER Freight Duty TOTAL OTHER
$Total
GRAND TOTAL
0.30 0.01 0.22 0.53
0.05
$0.014 $0.01 $0.06 $0.08
0.0040 0.0040 0.0400 0.4000 0.5000 0.9480
0.065 0.00325 0.068
1.9203
1% 1% 10%
DAKOTA COMPANY COST SHEET Style # Style Name Description
Date
Nov 7, 2013
1002 Coin Purse
FABRICS $/yard*
Yield**
Total
Fabric 1
Microsuede
$
3.19
0.013 $
0.04
Fabric 2
Canvas
$
3.11
0.0045 $
0.01
Fabric 3
Cotton (Inside)
$
2.74
0.016 $
0.04
$
0.10
TOTAL FABRIC COST Components $/unit
$Total
Quantity**
Tassels
$
0.07
1 $
0.07
Key Rings
$
0.12
1 $
0.12
Zippers
$
0.10
1 $
0.10
Thread
$
0.0058
2 $
0.01
Woven label
$
0.04
1 $
0.04
$
0.34
TOTAL COMPONENT COSTS PACKAGING $/unit
Quantity
$Total
Hangtags
$
0.02
1 $
0.02
Price Tkt
$
0.01
1 $
0.01
$
0.03
TOTAL PACKAGING COSTS PACKING $/unit Cartons
Quantity
$Total
$0.0046
1
$0.0046
Tape
0.006
1
0.006
Labels
$0.06
1
$0.06
TOTAL PACKING COSTS
0.0706
LABOR
Cost/Min
$Total
Patternmaking
$
0.0016
1%
Marking
$
0.0016
1%
Cutting
$
0.0160
10%
$0.080 $
0.1600
Admin
$
0.5000
TOTAL LABOR
$
0.6792
OTHER
$Total
Sewing
Minutes
2
Freight Duty TOTAL OTHER
GRAND TOTAL
0.065 0.05
0.00325 0.068
1.288955
Branding & Packaging Clothing Label The clothing label will be made of 100% Cotton with our logo placed on the middle. The label will be placed on the interior of each product.
Shopping Bag The shopping bag will be made entirely of recycled paper with Dakota logo on the middle of the bag, this is going to be the same size of the bag so it can be very much visible when customers carry the bag.
40
Hangtag
The hangtag will be made out of recycled paper and all the information will be placed with letter press. The hangtag will have the Dakota logo and the website. The shape of the hangtag was inspired by the print in the interior of our product.
Price Ticket
The price ticket will be made of 100% recycled paper in the same shape as the hangtag. The content of the price ticket will have five components, the bar code, price, style,
41
Stationary
BUSINESS CARD - ENVELOPE
Business Card
Envelope
42
Website Dakotsâ&#x20AC;&#x2122;s website consist on photos, information about the company, contact information, our social media and it is one of the many ways our customer can shop the product and new releases.
43
Marketing Strategy As stated in the ... 90% of Internet users know at least one social network and it continues to grow each year. For our marketing strategy we chose to be featured on various Social Media sites , such as Instagram, Facebook and Twitter. All this sites are opportunities of free advertising and publicity for our brand
Dakotaâ&#x20AC;&#x2122;s Facebook page will focus on the company and brand information, locations and contact number , as well as a direct link to our website. Also uploading our product photos, new colors and prints. Finally , educating our costumers on new releases and promotions. 44
Dakotaâ&#x20AC;&#x2122;s Intagram site will feature photos of our products with stilizing ideas and the customer lifestyle and the uses our customer gives to the product. Also informing about upcoming relsease, new arrivals and promotions.
Dakotaâ&#x20AC;&#x2122;s Twitter site will feature live status updates, promotions and new arrivals.
45
Product Marketing
TRADE SHOWS Working Class Studio already participates in some trade shows around the US specifically for our product category the Dallas Total Home and Gift and the New York International Gift Fair. This is a great opportunity to reach the market and improve, since in a single exhibition the company can showcase and demonstrate their latest products, service, study activities of rivals and examine recent market trends and opportunities. We recommend the Accessory The Show since it focus entirely in personal small accessories.
The Dallas Total Home & Gift Market takes place four times a year. January 23 to January 26 March 27 to March 30 September 07 to Septmber 10 October 23 to October 26 Thatâ&#x20AC;&#x2122;s because Dallas Market Center exhibitors offer more of what buyers seek inside an efficient one-stop marketplace: the latest home accessories, gifts, furniture, holiday and seasonal items, gourmet food, floral, stationery, toys and jewelry/fashion accessories. In total, more than 20,000 gift and home dĂŠcor product lines. They hold 50-plus markets each year attended by more than 75,000 buyers from across the globe. The disadvantage about this specific trade show is that there is a huge range of diversity, from flowers to food to fashion, in a way our brand can benefit from it since we can target a different market since 75000 buyers are watching but we would like to focus more on a trade show where accessories are shown alone.
47
Drawing 35,000 attendees from all 50 states and 80+ countries, NY NOW (formerly NYIGF) is produced twice annually by GLM Shows and is open to the trade only. The market hosts 2,800 exhibiting companies showcasing the very best lines across the home, lifestyle and gift spectrum. It is held twice a year on the following dates, February 1-6 , 2014 August 16-24, 2014 This show is recognized for its quality, being trend driven, major global influence and being fashion forward, it explorews with extraordinary depth and breadth the very best lines across the home, lifestyle and gift spectrum New York International Gift Fair is a great opportunity for Dakota we could be compiting with the most recognized brand in the country, examine the trend and
48
AccessoriesTheShow creates the world’s largest and most vibrant marketplace for juried accessories each and every season. Their mission is to provide designers and retailers with an inspiring and enjoyable place of networking. Designers are able to conduct business with their better customers and prospects from around the globe in a refined and elegant environment while giving retailers the opportunity to discover everything from the latest trends to updated classics. We recommend this trade show since it focus primarly on accessories it has an extensive selection of materials, shapes and sizes. It shows 1000+ accessories collections in over 30 product categories, with this we can identified our competitors and put our brand on the business of accessories. This venue takes place in two sites, New York and Last Vegas with their respecitve dates, NEW YORK – JAVITS CENTER January 5-7 | February 24-26 | May 4-6 | August 3-5 | September 21-23* LAS VEGAS – THE SANDS / VENETIAN HOTEL February 17-19 | August 18-20* The Show offers an enhanced booth package that is $47.50 per square foot. Included in the booth fees are the following: 7’ 10” high stretched white fabric booth system One Booth Sign 1 side chair 1 wastebasket Four 75 watt halogen light fixtures mounted on a track, plus electrical power for these fixtures Listing in the printed and online directory Material handling Total cost would be determined by your overall square footage.
49
Product-Launch
In-store Merchandising and Display The ideal display of our products would be in two different places, hanging from the wall near the register, since it is a small product that can grab your attention while you are checking out, and the second place would be on the tables around the stores.
51
Media Kit
52
Catalouge
53
Launch PARTY Our launch party will be at our flagship store; Journey Home in Dumbo (Brooklyn, New York) because they have offered to let us use their space for free to get more attention for Dakota. The guestlist will be no more than 50 and we will be invitied ediotors, stylist and buyers from stores that we could imagine our products in. Catering plus cocktails will be provided by Taste NYC and will be about 10$ a person ($500 total for food and drinks) since we will be picking up the food and drinks ourselves and setting up a table with cocktails on trays with our prints with napkins, small plates and glasses that we will be renting. We will also be doing DIY flower arrangements using mason jars and canvas wrapped around with purple hydrangas inside osting around $50 and flowers will be provided by Buds in a Vase. Music will be provided by DJ Mick Boogie which will cost about $100 an hour ($300 total for our three hour party). Our launch party with have a lot of important people in the accesory industry at our party to make it a night to remember. These are all aspects that our customer will be drawn to and help recognize that our brand is fun and trendy.
54
55
CONCLUSION Overall, we consider that we have an opportunity within the current needs in the market. Based on our research, the accessory industry is projected to grow 12% from this year’s sales to next year’s sales. The Dakota Collection brings to the table a new and affordable line of accessories that will be unique and accessible for today’s women.
Appendix Tech Packs
Coin Purse
Envelope
Key Chain
Wallet
REFERENCES http://www.panynj.gov/airports/pdf-traffic/ATR2012.pdf http://www.panynj.gov/airports/jfk-shops-restaurants-services.html http://assets.accessoriesmagazine.com/wp-content/uploads/2013/03/ACC_03_Spreads_Cencus_ Page_05.jpg http://www.accessoriesmagazine.com/65951/accessories-magazinethe-npd-group-inc-releases2012-census-report http://www.claritas.com/MyBestSegments/Default.jsp?ID=20&menuOption=ziplookup&pageName=ZI P%2BCode%2BLookup# http://www.claritas.com/MyBestSegments/Default.jsp?ID=37&id1=1027&id2=16 p://www.census.gov/manufacturing/m3/index.html http://factfinder2.census.gov/faces/tableservices/jsf/pages/productview.xhtml?pid=ECN_2007_ US_44A1&prodType=table http://www.census.gov/econ/census07/index.html http://www.census.gov/econ/isp/sampler.php?naicscode=44-45&naicslevel=2 http://www.target.com/c/handbags-women-s-accessories/-/N-5xtbo#?lnk=gnav_ women_1_28&intc=736560|null https://www.katespade.com/Investor-Relations/investor-relations,default,pg.html http://phx.corporate-ir.net/phoenix.zhtml?c=235654&p=irol-irhome http://www.census.gov/manufacturing/cir/historical_data/mq315a/index.html http://www.stylesight.com/fashionoffice/landing_pages/node.php?node=4878&gender=w http://www.coach.com/online/handbags/genWCM-10551-10051-en-/Coach_US/CompanyInformation/InvestorRelations/ http://www.coach.com/online/handbags/-walletswristlets_newarrivals-us-ushttp://www.stylesight.com/fashionoffice/board-dynamic.php?ref_node=node4878&boardnum=38511&mypage=1 http://www.stylesight.com/fashionoffice/board-dynamic.php?ref_node=node4878&boardnum=35346&mypage=1 http://www.stylesight.com/fashionoffice/board-dynamic.php?ref_node=node4878&boardnum=29561&mypage=1 https://corporate.target.com/annual-reports/2011/index.aspx?contentId=WCMP04-061600