FREY is a luxury independent company producing high quality backpacks with innovative designs for winter sports. “Reclaim reinvent
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CONTENTS M e e t T h e Te a m
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About FREY & Press Release
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Photoshoot
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Customer Profile
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Logo Development
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Colour Palette
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The Product
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External Design
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Inetrnal Prints
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Website
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S w i n g Ta g s & C u s t o m e r R e c e i p t s
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Business Cards
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Socila Media & Hashtags
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Packaging
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App & Mockups
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Competitors
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How FREY Began
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Advertising
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MArket Research - Survey
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Business Plan
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Financial Projections
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Define Our Brand
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Shop Inspiration & Layout Plan
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Shop Report
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Partnershiop
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Network Directory
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MEET THE TEAM
MARKO KIS
DESIGNER/PRODUCT DEVOPMENT
CHLOE HANNAH
DESIGNER/PRODUCT DEVOPMENT
Marko Kis was the designer of the product. His inspiration came form snowboarding and the time that he spent in Austria. As snowboarder his main goal was to design something that can not just be useful but also unique. Using recycle fabrics show us that we care about our nature and we are protecting it so in the future our kids can enjoy winter as we did.
Influenced by artists, illustrators, photographers and graphic print designers. Has recently discovered an appreciation for the combination of graphics, layout and photography.
DANNIELA HARGREAVES
E L I S S A F LY N N
CREATIVE DIRECTER/ SOCIAL MEDIA
I feel that Fashion is a way of expressing our individuality through visual statements; it defines who we are and how we feel about ourselves. The clothes we wear represent diverse and complex contrasts from the eccentric to the introvert, each persona valued equally by the individual who projects it. I am intrigued by what influences the decisions we make and am determined to make be p a r t o f s u c h a v i b r a n t a n d v i t a l i n d u s t r y. 4
CREATIVE DIRECTER/ SOCIAL MEDIA
Inspired by music, dance, and the world around us. Having admired fashion from a y o u n g a g e , e m b r a c i n g t h e o l d a n d t h e n e w, more recently unlocking a desire to work with graphical and digital aspects. With an aim to encourage a more ethical and sustainable future; bor n from innovation.
AMANDA GONDO
SAVANNAH HALL
Amanda is a currently in her second year of studying a BA Hons degree at the Arts University Bournemouth. Fashion has a l w a y s b e e n a b i t p a r t o f A m a n d a ’s l i f e a n d it became more apparent while she was undertaking her foundation diploma in arts and design; she see fashion as a form of art in which you can express yourself. Amanda is now specializing in menswear and hopes purse a career in menswear tailoring.
avannah is a current second year student studying a BA Honours fashion degree at the Arts University Bournemouth. As a child Savannah had a very keen eye for detail and strived for perfection in everything she did. She sees fashion as a way to express her creativity and explore and lear n new things. Savannah specialises in menswear and hopes to pursue a career in luxury menswear tailoring, her dream would be t o o n e d a y w o r k i n S a v i l e r o w.
ELSIE LAU
NIKITA LAZARUS
BRAND MANAGER
BRAND MANAGER
CREATIVE DIRECTER/ SOCIAL MEDIA
MARKETING MANAGER
Loves music, arts and books, as a creative d i r e c t o r, E l s i e h a s t o e n s u r e t h e c o m p a n y r u n s s m o o t h l y. E l s i e b e l i e v e s t h a t b e i n g perfect is not a way to lie in this world because failure and mistakes can be beautiful too.
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My reason for choosing to become a Marketing Director has always steamed from wanting to meet customer needs and wants. I believe in giving our customers exactly what they want with a little bit extra. Working in the Marketing field I feel as if though I would be more hands on by looking more deeply at who our customer would be and how we would cater for them as well as what they want right now and how we would present it to them.
ABOUT FREY & PRESS RELEASE
As a team, FREY have formed a concept of an innovative luxury sportswear backpack for snowboarding and extreme w i n t e r c o n d i t i o n s . P re s e n t l y, w e feel there should be one single bag design to begin with as we a re a s m a l l n i c h e c o m p a n y. O u r bag design will have different features for the varying needs of our consumers. One of our team members designed a survey to examine how we can improve on our backpack design. Our product designers have both worked hard on the details and designs on illustrator to include features like a heat w a r m e r, flares and LED lights. We aspire to ensure safety for our consumers whilst snowboarding with our bags, allowing them more enjoyment and the ease to rest assured that safety equipment has been thought through if matters were to get o u t o f h a n d . A s a s m a l l c o m p a n y, we care about our consumers and want them to feel satisfied when purchasing our products. FREY is the name of a God from the Norse religion from scandanavian origins, who dispenses peace, good weather a n d p ro s p e r i t y. C o n s i d e r i n g o u r concept and brand ethos, we agreed that FREY was a suitable fit to represent our brand.
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PHOTOSHOOT
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As a brand we out went a lifestyle photo and video shoot in the New Forest to create images and a short film to use for promotion and marketing strategies. We focused on the active sports lifestyle of the brand, to go alongside our product; which will be produced in the future.
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PHOTOSHOOT
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PHOTOSHOOT
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CUSTOMER PROFILE
C • • • • • • • • • • • • • •
onsumer profile: Aimed at men & women Aged 25-40 Active Motivated Yo u n g a t h e a r t Fashion/image conscious High/modest income Intelligent Well educated Loves outdoors Environmentally conscious Te c h n o l o g y l o v e r Sophisticated Appreciates good quality products • C a r e f r e e • Y o u n g a t h e a r t Our consumers are both male and female between the ages of 25-40; they’re very active sporty people who like to maintain a healthy and fit lifestyle. They’re free and young at heart. Our consumer is the type of person who is strong willed and very motivated this will show through the success of their job, as they would be quite comfortable financially and therefore able to afford amazing holidays. The type of person to buy our product has probably travelled a lot through holidays and possibly through work, they are well educated and conscious of the environment around them. They live a very sophisticated lifestyle and are the type of people who appreciate the value and quality of a product and would pay that little bit extra to get a high standard high end product. Although lovers of the outdoors and the environment around them our consumer wouldn’t be shy of technology either as they would most likely have the latest phone, laptop and or camera and would document all their adventures quite frequently using blogs and social media sites such as Facebook, Instagram, twitter etc.
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LOGO DEVELOPMENT
Here at Frey we went about much logo design before we got to our end result byboth branding managers a n d c re a t i v e d i re c t o r. U s i n g symbols that related to our brands ethos and mountain designs we encorpated these with our finalised colour palette and played around with fonts and compostions which looked most appealing.
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COLOUR PALETTE
The colour palette has ben created using key images from our branding and moodboards.
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THE PRODUCT
The shape, function.
the
fabric,
the
One of our ideas was to use recycled fabric f o r t h e i n t e r i o r, h o w e v e r a f t e r d a y s o f research we realised that we cannot have the whole backpack made from recycled fabric. The special requirements and quality of the backpack would be compromised as a result, and therefore can’t be represented by just using recycled fabric. We began looking at other companies that promote t h e m s e l v e s b y s e l l i n g “ u s e d p o l y e s t e r, n y l o n etc” to explore whether we could use these materials too. The other fabric that we considered was carbon fibre; this would be used for the front of the bag for protection, a s i t ’s l i g h t a n d s t r o n g , w i t h p o t e n t i a l t o s a v e t h e w e a r e r ’s b a c k f r o m a n a c c i d e n t . One of the future improvements we are thinking about is safety; we would like to include additions such as, an avalanche air bag, and a special heat system for the back that can last for 3 hours using a small power bank, enabling you to heat up your back and waist. For the outside we have considered using bright colours from our colour palette and strips of reflective fabric. LEDs, a penknife and a small spade could also be incorporated. We will be examining how to include the adjustable accessorises, as our collection expands. Carabineers and belts have been looked at as additions and as adjusters.
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EXTERNAL DESIGN
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EXTERNAL DESIGN
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INTERNAL PRINTS
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INTERNAL PRINTS
The inspiration for the inside prints was based on analysing the outlines, structure and the snowfall patterns created on mountains as well as our brand logo and mood boards. I used the colours chosen from the interior colour scheme to collate the prints with the brand image then made variations using the colours for the exterior the backpack. The shape of the mountains reflects the winter influence of our brand while using a warmer colour pallet. I designed these final prints for the inside of the bag for the customer to choose from when customizing their bag on the app or website.
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WEBSITE
Our main focus would be looking for visuals we sought advice from an old class mate back in collage who lead me to look at a website called Wix to design a website for our brand. We found using W ix was really good, it was fast and responsive, it allowed you to view the website live, it allowed for you to link and social media links without have to write long pieces of coding, it catered well for y o u v i d e o ’s o r m o v i n g i m a g e s , u n l i k e Adobe Dreamweaver where you use a specific line of JavaScript coding to allow your website to read and run v i d e o ’s , g i f s a n d a n i m a t i o n s , i t a l l o w s you to add whatever you want. However W ix doesn’t allow you to fully change any layout plans they may have already created and therefore when designing your website you may be forced to add certain features or not add any features to the website.
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However after a lot of hard work we was finally able to create a website that can be seen on any computer or laptop anytime. One of the best feature W ix has is that it allows you to own a free domain. This website will be the starting p o i n t f o r o u r c o m p a n y, i t w i l l h e l p us build an image for us as we a r e a n o n l i n e c o m p a n y, f o r t h i s purpose alone we would say this website is acceptable, however as the company progresses we hope to progress the website using Adobe Dreamweaver using bootstrap coding as we had first planned.
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SWING TAGS & CUSTOMER RECEIPTS
The logo on i l l u s t r a t o r. that it coul tags and re the outline
the price tag and receipt was created We tried to simplify our logo design, d be incorporated into the brand swi ceipts. In some of the designs we us from our final logo design.
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o s n e
n o g d
In the designs we used lines to make up mountain shapes to reflect our logo. Originally we intended for the swing tags to be laser cut, however it was not a necessity and the logo was too small so it would have lacked visual interest.
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BUSINESS CARDS
BUSINESS
CARDS
We decided to get our business cards laser cut with our brand logo and contact details on it. Laser cutting our business cards fits in with our brand look as we’re going for quite a contemporary feel. We are also creating innovative unique bags and using the laser cutter to create our business cards creates something different and this also reflects our brand idea/identity and bag designs. We chose to use a thicker black card as it cuts better and looked more professional. The business cards stand out and look quite different and eye catching when in your purse or wallet, they a r e q u i t e c l e a r, c o n c i s e and elegant leaving a memorable impact on the c o n s u m e r. A s a b r a n d we wanted to give our customers a little gift for when they purchase one of our luxury sports bags. We decided to create some key rings in the shape of our brand logo, the key rings are laser cut using clear recycled plastics, maintaining are sustainable ethical brand ethos.
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SOCIAL MEDIA & HASHTAGS
For the social media, we opened accounts for Tw i t t e r, I n s t a g r a m a n d F a c e b o o k f o r o u r b r a n d starting point. We have posted relevant posts and images on each of the social media accounts, keeping the three consistent and have created a hashtag which is #reclaimyourself. The hashtag has been created from our slogan and will allow our consumers to connect with us and keep u p d a t e d u s i n g t h e h a s h t a g . S o f a r, t h e s o c i a l media accounts have been doing well, we have q u i t e a f e w f o l l o w e r s o n I n s t a g r a m a n d Tw i t t e r, also linking to our promo film on Vimeo.
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#RECLAIMYOURSELF
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PACKAGING
When thinking about creating our packaging we thought clear and hard about the function of our packaging. Since we are an online store we would have to consider how our product would reach the customer a n d h o w i t w i l l re p re s e n t t h e c o m p a n y. We were thinking to us recycled fibres to suite our brand we then did intense research on the fibres we would use to create this packaging and then all the company as well as think of how our packaging would look like.
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We then thought of making the packaging of 100% recycled fibres, the first fibre being hard brown cardboard, our reason for deciding to use hard cardboard is because it is a fibre that is quite light and is easy to get ahold of which means it will be a lot cheaper for the company to start of with. We then looked at how the box would be designed and how the bag would fit into it well. H o w e v e r, w e c o u l d c h a n g e t h e f a c t t h a t i f w e w e re t o p l a c e the bag into a cardboard box on its own, it would not look very presentable and that could damage our brand. we then decided to have a look at how the inside of a box could be designed to securely hold products in place, it was during our research on foam that we found out that recycled polyurethane foam bed laser cut to create a mould for our bags so that they may lay down would comfortable from their journey to our customers without moving or getting damaged. We thought the same way about our accessory boxes as well. 41
APP & MOCKUPS
Looking at how the brand will expand and evolve we have decided to develop some mockups for an app using InDesign and Photoshop. The mockup is just a visualisation of three main screens, the homepage, product list, and product detail page including the option to purchase. However in the future we would like to include other aspects, such as:
• L o o k b o o k • O p t i o n t o p i c k c o l o u r s a n d p a t t e r n s f o r bags • O p t i o n t o p i c k a d a p t a b l e a c c e s s o r i e s • P r o m o f i l m • L i n k s t o s o c i a l m e d i a a c c o u n t s
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We were keen on creating a simple design so as not to appear complicated a n d o f f p u t t i n g t o t h e c o n s u m e r, a l s o incorporating the brands colour palette. We have looked at making it accessible for phones and tablets, with a format that would compliment both screen sizes. The other mockups have been created as visualisations to show how our branding works on a variety of merchandise to support our brand, including posters a n d s t a t i o n a r y. T h e s e c o u l d b e u s e d around our office but also as promotional material, and free gifts as a gesture from the brand to help spread awareness.
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COMPETITORS
Our main competitor on our niche sports bag brand are Dakine and Völkl l. These brand both design and sell sports bags dedicated to winter sports. The main advantage our brand has over these two brands is that we are based in the United Kingdom and there no other brands like ours here. However both brands have been around longer than ours and they have a strong winter sports bag reputation. Dakine is an American outdoor clothing company specializing in sportswear and sports equipment for alternative sports. It was founded in Hawaii in 1979 now it is based in Oregon. The company also sponsors team riders from the lifestyle and sporting fields of skiing, biking, windsurfing, kiting, snowboarding, surfing, and skateboarding. Their products are made in China and they have varied prices started from $ 69 - $1250.00 for their winter sports backpacks. Their most expensive backpack come with features such as a fully integrated ABS Avalanche airbag system. Völkl is a sports equipment manufacturer based i n G e r m a n y. I t i s a s u b s i d i a r y o f t h e J a r d e n Corporation which is an American outdoor sports c o m p a n y. I n i t i a l l y V ö l k l m a n u f a c t u r e d s k i s , b u t has extended its line to snowboards, outerwear and sports bags. Everything with the Völkl brand is the result of tireless research and development efforts. Völkl embodies quality products & German Precision. The price range for their bags start at 79,95€ - 219,95€. After looking at our main competitors in both America and Europe I still feel that our brand still h a s a c h a n c e i n t h i s m a r k e t . V ö l k l ’s m a i n f o c u s is not on sports it specialises in skis and even though Dakine specialises in sports bags I feel we are more unique as we our bags will be made from 70% recycled materials. Our brand also gives a percentage back to the environment and it supports underprivileged children get into sports.
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HOW FREY BEGAN Around 6 years ago one of our designers began competing professionally in snowboarding, but had noticed repetitive issues with storing his essentials in an appropriate bag. After an unfortunate accident it occurred to him that safety was also a huge aspect that needed to be reconsidered when buying sports equipment, this is where FREY comes in. FREY began as a group of Level 5 BA Fashion students with similar desires to create a new innovative luxury product and brand, targeted at a niche market. With a mutual interest in the creation of a sports bag, the team agreed to aim specifically at Winter sports, with a starting point of snow boarding. Exploring re l a t e d w o rd s a n d n a m e s l e d t h e m t o F R E Y; w h i c h is the name of a God from the Norse religion from Scandinavian origins. FREY dispenses peace, good w e a t h e r a n d p ro s p e r i t y, c o n s i d e r i n g t h e c o n c e p t and ethos of the brand, it was agreed that FREY was a suitable name to represent the brand. From a concept and a name, the branding managers and a creative director began developing logo i d e a s . E x p l o r i n g t h e m e s o f w i n t e r, F re y a n d s p o r t s they came up with a few variations including our carefully selected colour palette. The FREY colour palette was taken from some of our key images and decided on as a group with the luxury brand in mind. The designers have developed the designs from working sketches to full technical flats in a variation of colour ways. Research has led them to a choice of fabrics and components, some technologically innovative and some recycled. FREY Social media pages have been set up on F a c e b o o k , Tw i t t e r a n d I n s t a g r a m t o e n g a g e w i t h t h e i r c o n s u m e r s , a n d g a i n p u b l i c i t y. T h e b r a n d i n g managers have begun expanding the brand through the development of Swing tags, customer receipts/ thank you notes, and business cards. Creative Directors conducted a film and photo shoot in the New Forest to create lifestyle images and a film for Social Media and the publication, with the option to later create a brand Lookbook. Marketing and branding managers have put together a coherent business plan for the brand, including 5-year projections. The consumer profile has allowed FREY to tailor their designs and branding to their specific demographic. 46
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ADVERTISING
We have created mock ups for advertising considering where our brand should be seen by the public, and how to promote ourself using these techniques. In these mock ups we have used bus stops, billboards and posters to generated publicity for our brand. We have examined where in the urban environment these advertisements would best sit to reach our consumers. The images we have used from our shoot in the New Forest are simple, fitting our brand well.
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MARKET RESEARCH - SURVEY We decided to conduct this survey for primary research purposes and identifying our customer and where we would be placed within the market.
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The results of this survey provided information of the age category with most people who took the survey were aged between 18 - 24. Participants are paying between ÂŁ50 - ÂŁ100 for a sports b a g f ro m w e l l k n o w n c o m p a n i e s o c c a s i o n a l l y, some are willing to pay a higher price for an environmentally friendly and sustainable bag depending on how much more. A large proportion of the participants take part in winter sports or know someone who takes part in those activities. They look for appearence followed closely by practicality and quality in a sports bag. Logo 1 was the preferred logo as it is more visual and shows what the brand is about.
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BUSINESS PLAN Frey is our brand and our product is a backpack for winter sports with a difference. It is going to be made with fibres that make it comfortable and lightweight yet is durable to be able to withstand harsh weather conditions. We are sourcing eco-friendly materials. The design will be innovative and new yet practical for purpose. Our winter sports backpack is in the higher price range than what is out in the market at the moment. We are confident that our ecofriendly materials, the comfort, the lightweight, the durability of the bag and longer guarantee being offered to our customers will make our customers feel better about spending that extra. Customers want better quality and are willing to pay for it. Our first unique selling point is that our bag is made durable and lightweight. Secondly that we are offering a longer guarantee than what is currently being offered in the market.
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-We are a new brand going up again established brands. The market does not know our brand. We need to build trust in our brand. -We are priced high compared to what is out in the market.
-Our bag is a of very good q u a l i t y. W e a r e u s i n g m a t e r i a l s t h a t are durable and lightweight for this type of bag. Our design is modern yet practical. -There will be a range of different styles and colours to choose from to suit your individual needs. We will also be looking at increasing our product range, as the market requires. -Being a new brand is strength in a market that is looking for new and innovative bags of this type. -We are offering longer product guarantees than what is currently being offered in the market. We are offering clients after sales service.
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-Having shops in all the major malls and in central London. -Having an online shop. -Groupon is another avenue that we can use. -We could approach airlines, as there are many bags that get lost and damaged. -We could approach insurance companies were stolen or damaged bags need to be replaced. -There are export opportunities to Europe, Canada and the United States.
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-In the UK market we are up against brands of bags that have been in the market for a while and are therefore well established.
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Being a new brand we need to bring about brand awareness. We would start by approaching the major luggage stores and major stores that stock these bags and make a pitch to them. We would have to offer it to them at a price that will still ensure that we retain our profit margin. We also have the opportunity of bringing about brand awareness b y u s i n g G r o u p o n a n d Te l e v i s i o n s a l e s c h a n n e l s . We can also bring about brand awareness by using social media.
Benefit B
Benefit A Shipping
Guarantee
Free
Best product guarantee that is currently offered in the market
No hidden extra costs
Lightweight and comfortable
Ye s
Free
After Sales Service
Product repairs
Free
Design Features
Lightweight and comfortable
Durable
Safety Features
Costs are seen up front
1 year
Eco-friendly
Product materials
Benefit C
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Durable and can withstand harsh weather
Can withstand harsh weather conditions
To s t a r t w e a r e j u s t e i g h t p e o p l e w h o a r e d o i n g e v e r y t h i n g a n d we are covering the jobs of the different departments between us. At the moment we are working together to ensure we have the best product. We are outsourcing some functions and there a r e o t h e r f u n c t i o n s t h a t w e d o n o t r e q u i r e r i g h t n o w, a s w e a r e too small. The ideas and the designs are ours and as we grow w e c a n s e e o u r b u s i n e s s g r o w i n g t o t h e s t r u c t u r e b e l o w.
Joint CEO
Finance Director
Budgets
Creative Director
Marketing / Sales Director
IT
Human Resources
Manufacturing Director
Payroll
Social Media Groupon
Recruitment
Salaries Shops manufacture
Staff
television online
The CEO
These are the partners who oversee the business. They will ensure that their vision for the business is being implemented and followed. They will be responsible for the management decisions. All the different department heads report to the CEO. The CEO ensures the smooth running of the business and ensures that the different departments a r e r u n s m o o t h i n g a n d f o r t h e b e t t e r o f t h e c o m p a n y.
The Creative Director
This director designs the bags. This director works out the size, colour and design of each bag.
The Manufacturing Director
This director will take the different styles, colours and designs of the bags into consideration to work out the manufacturing cost of each of the different styled bags. This would be the labour costs, material costs and machine costs.
The Marketing and Sales Director
This director will work out what the costs are for marketing the products using social media, television sales and Groupon sales. This information will be forwarded to the F i n a n c e D i r e c t o r. T h e M a r k e t i n g D i r e c t o r w i l l w o r k w i t h t h e m a n u f a c t u r i n g d i r e c t o r, t h e finance director and the creative director to work out the selling price of the bags. The sales of the bags are very important and the price of the bag is your income that pays for all the expenses and determines the profit you make.
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Human Resources
Human resources ensure that the best staffs are recruited for the business. This department also ensures that the different departments are well staffed. All the other departments rely on Human Resources.
IT
A l l d e p a r t m e n t s r e l y o n I T. I T e n s u r e s t h a t t h e s y s t e m s u s e d f o r t h e r u n n i n g o f t h e business is up and running, free from viruses, safe from the outside world. The Finance Director This director takes into account all the expenses that will be incurred by each department, all expenses that will be incurred in the making of the products and then works out how many bags would need to be sold in the year in order for the business to be able to pay all its expenses and see the desired profit. The cost to make one bag is £20 – this includes the following: M a t e r i a l s ( e c o - f r i e n d l y, l i g h t w e i g h t m a t e r i a l / t h r e a d / g l u e / z i p s / h a n d l e s / c l i p s ) Machine costs (cost of buying and maintenance costs) Labour costs (salaries) M a r k e t i n g c o s t s / Tr a n s p o r t C o s t s Overheads (rent / electricity / water) Further funding costs would include the initial business set up costs. M i n i m i s e , m o n i t o r, a n d c o n t r o l t h e p r o b a b i l i t y a n d i m p a c t o f u n f o r t u n a t e e v e n t s - i . e . financial markets, project failures, production issues, legal liabilities, credit risk and accidents. Corporate management will be the heads of all departments who will each control their departments. They will invidually control their department and look at ways to reduce legal liability and risks to the business. Each department head would know the risks their department faces and they can overcome these while ensuring that the budget and targets are met. Projects may fail when they are not thought out properly or market research are not done p r o p e r l y.
Costing
If costing is done incorrectly or if materials end up more expensive than originally thought this can cause the business profits to drop or more bags will have to be sold in order to overcome this.
Online Shopping
System problems and downtimes can cause online sales to drop.
Legal Liabilities
The vision of the business must be implemented at all times. Good business practice should be followed. We must always give to the customer what is promised. After sales s e r v i c e a n d g u a r a n t e e s m u s t b e c l e a r a n d p r e c i s e . P r o d u c t l a b e l l i n g m u s t b e c l e a r.
Production issues
Production issues can be affected by staff illness, machinery breakdown or poor management.
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FINANCIAL PROJECTIONS For us to start our brand we need a total to of £450,000.00 this will over all our cost from salaries, rents, taxes and licenses, manufacture and product costs, shipping and travel coats and advertising. In order to raise this money we will be applying for a bank loan, fund raise, re mortgage our houses, used s a v i n g s a n d h a v e a n i n v e s t o r. T h e i n v e s t o r w o r k b e g i v e n 1 5 % o f o u r c o m p a n y for £150,000.00. Operating expenses Sales and marketing
Year 1 £15,000.00
Year 2 £15,300.00
Year 3 £15,912.00
Year 4 £16,866.72
Year 5 £18,216.06
£6,000.00
£6,120.00
£6,240.00
£6,360.00
£6,480.00
£7,650.00
£7,956.00
£8,433.36
£9,108.03
£21,420.00
£22,276.80
£23,613.41
£25,502.48
£2,550.00
£2,652.00
£2,811.12
£3,036.01
£1,530.00
£1,560.00
£1,590.00
£1,620.00
£5,100.00
£5,304.00
£5,622.24
£6,072.02
£318.24
£337.33
£364.32
£293.44
Depreciation Insurance
£7,500.00
P a y r o l l a n d P a y r o l l £21,000.00 Ta x Property taxes
Maintenance, rep a i r, a n d o v e r h a u l Utilities
Administrative fees
£2,500.00 £1,500.00
£5,000.00
£300.00
£306.00
I n t e r e s t e x p e n s e £2,243.50 on long- term debt
£1,791.06
£1,316.00
£817.19
Other
£1,000.00
£1,020.00
£1,060.80
£1,124.45
£1,214.40
To t a l o p e r a t i n g expenses
£62,043.50
£62,787.06
£64,595.84
£67,575.82
£71,906.76
We are going to get a loan from Barclays bank to help pay for our start-up costs. We aim to get a loan for £50,000.00 and the rest of the money would come from investors and fundraising. The business loan we will get will be a 60 month (5 years) loan. The interest rate would be 5.00% and we would be paying £941.02 every month to cover our loan. The monthly rate would be 0.41%.
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FUNDING Loan Amount
£50,000.00
A n n u a l i n t e r e s t r a t e 5 . 0 0 % Te r m o f l o a n ( m o n t h s ) 60 M o n t h l y r a t e 0 . 4 1 % P a y m e n t £ 9 4 1 . 0 2 To t a l A m o u n t P a y a b l e
£56,461.20
The table below shows the costs of manufacturing one of our bags. All the materials needed to make a single bag cost £141.00, to construct the bags in bulk it would work out to be £50 a bag. The bag would be sold for £300.00 which means we make a profit of £109.00. C o s t o f m a t e r i a l s £ 1 4 1 C o s t o f m a k i n g t h e b a g
£50
S o l d f o r £ 3 0 0 P r o f i t
£109
This graph shows our projections for sales for our 5 year plan. It does not include the base year as t h a t ’s t h e m a i n y e a r t h a t w e w i l l be promoting our products and trying to make it known. In year 1 our target is to make a total of £101,000.00 in sales which means we have to sale 336 bags. In year 2 we aim to increase our target from year 1 by £2,028.00 or more. From then on it would increase by £4,137.13 in year 3. £6, 453.91 in year 4 and £9,121052 in year 5 . In year 3 we plan to have raised enough money to have our own pop up in Shoreditch or Dover Street which will last for 6 months. With our interest from year 5 plan our putting down a deposit in Jonhlewis to rent store space to open our first concession. By year 10 we plan to have our own store up and running.
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DEFINE OUR BRAND Step 1-Mission statement: Our companies mission is to design and make a variety of sports bags using ethical and environmentally friendly materials and practices. We aim to use a minimum of 70% recycled sustainable waist for our product, labels, packaging and marketing. Our brand is a company that gives back so as a brand we aim to give a percentage of our profits to underprivileged kids to get them into sports, we also aim to donate some of our profits into a charity that helps improve our environment. Our product is both beneficial to the buyer and our environment in that we offer a luxury sports bag that retains the style and quality of your typical high-end bag yet is made ethically out of recycled materials. When we will launch our Business: We will be launching our brand in June 2017; this gives our brand time to make some sales before the winter season, which starts, from the beginning of November to the end of March. We have chosen this time period to give us enough time to get our business up and running, it will also give our customers enough time to purchase the necessary bags and accessories they need to partake in their winter sport activities. Why our company started: We started our company after noticing the lack of winter sports bags incorporating s a f e t y f e a t u r e s a n d t h a t b e n e f i t t h e e n v i r o n m e n t a s w e l l a s t h e u s e r. O u r c u s t o m e r s a r e people who enjoy the outdoor lifestyle and therefore enjoy the environment around them. We decided to create a company that lets people enjoy the environment around them whilst providing a wearable lightweight comfortable environmentally sustainable bag. What our service provides: Our brand provides a range of sports bags that incorporate safety features such as safety whistles, small torches, reflective strips and insulated memory foam heat pads. We aim to provide stylish contemporary bags that are safe for the user and our environment. Not only does our brand provide great luxury products but we also donate some profits to charities, taking small step to create a better more sustainable environment. Secure fashion funds: We will be securing funds through promoting our brand on Kickstart and funding circles to raise money and to find potential investor to help bring our company to life. We will also take out a bank loan to fund the rest of our business this w i l l h e l p u s p r o m o t e a n d a d v e r t i s e o u r c o m p a n y, c o v e r t h e c o s t s o f m a t e r i a l s , e q u i p m e n t and other expenses. As a company we though about getting in contact with some famous winter sports athletes such as Brad Martin or Elena Hight to see I they would wear our bags, this will help promote our bags and hopefully create more sales and generate more m o n e y f o r o u r c o m p a n y.
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h t t p s : / / w w w. k i c k s t a r t e r. c o m / d i s c o v e r / c a t e g o r i e s / f a s h i o n ? r e f = c a t e g o r y _ modal&sort=magic h t t p s : / / w w w. f u n d i n g c i r c l e . c o m / u k / ? & u t m _ s o u r c e = g o o g l e & u t m _ m e d i u m = c p c & u t m _ campaign=brand&gclid=Cj0KEQiAisy1BRD7_YSgpduD2cEBEiQAPR3UuA9t3UqCMWHSLLjS7_W8H51EgJ99JoSFxhmdEVOz04aAgZX8P8HAQ Guide to running our business: Our business headquarters will be based in the UK, as we are contemporary British designers, however our products will be made in a range of European countries to ensure our bags are made amongst ideal technology to create the hardwearing recycled fabric we need for our bags. These countries are also ideal as the bags can be tested in the right kinds of environments and weather conditions. When starting our business we will start off small to keep our overheads low and we will also be doing a lot of networking to get our company heard in apposite light. Our company will outsource as much as possible as this will keep the costs down and help ensure our business can have the best start and stay successful for as long as possible. Projections for the next 5-10 years: Our brand will start off as an online business through our main website (http:// n i k i t a l a z a r u s 2 8 1 . w i x . c o m / o u t d o o r- b a g s ) W i t h i n t h e f i r s t y e a r w e p l a n t o b u i l d s o m e publicity for our brand by going to winter sports conventions once or twice a year such as the Skiexpo Finland, which is the largest winter sports fair amongst the Nordic countries. We will also plan to go to the ski and snowboard Show in Earls Court London, this will help get us some brand promotion and hopefully more of a customer base for our brand. After 5 years our aim is to re-evaluate our business and profit margins and if our business is doing well enough we will donate a percentage of our profits to go back into the environment and a percentage of our profits will be donated to a charity that helps support underprivileged children get into sports.
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SHOP INSPIRATION & LAYOUT PLAN
Future plans for our brands shop, firstly we will sell our products online until we are more established, Inspirational mood boards which have been created to inspire us for our future shop and themes within it, these will be combined with our colour palette to create a minimalistic yet modernised sport shop. Lay plans and 3d designs of how our future shop have been finalised including inside and outside views. We want to keep a fairly neutral colour scheme with flashes of our earthy colour palette. Displays featuring mannequins will display our bag among a range of other sporting products which could be released within future collections.
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SHOP REPORT S H O P R E P O R T: G A P • PRODUCT KEY PIECES £30-50 COLOUR RANGES N a v y B l u e , N e o n Ye l l o w, J e t B l a c k , G r a s s G r e e n a n d W h i t e FA B R I C S N y l o n , l y c r a f i b r e s , Wa t e r p r o o f c a n v a s , c o t t o n , j e r s e y m a t e r i a l s SIZING 6 - 1 8 L a d i e ’s S m a l l – X X X L M e n ’s QUALITY T h e s p o r t s w e a r g o o d q u a l i t y, e s p e c i a l l y t h e n e w c o l l e c t i o n t h e y h a d t h e y d a y. T h e q u a l i t y of some of the sports bags we had a look at were not as strong as we thought it would b e ; a s a g r o u p w e t h o u g h t t h e q u a l i t y w o u l d b e a l o t b e t t e r. C O U N T R Y O F O R I G I N / M A N U FA C T U R E Unknown (We had forgotten to check this) •
PRICING ARCHITECTURE
• PLACE INSTORE: S H O P L AY O U T The layout which GAP had done for their store was very moder n and neat, what gave the shop a fashion forward look was how they displayed their mannequins in the window and how they displayed them around the shop. VISUAL MERCHANDISING T h e s t o r e v i s u a l s w e r e v e r y f a s h i o n f o r w a r d . Yo u c o u l d t e l l t h a t G A P p u t a l o t o f t h o u g h t into how they displayed their mannequins and how they presented the clothing on the garments. From my perspective I would say that GAP really thought about how they could project to the public their future plans for the company just by using visuals. The visuals also added character to the brands name, allowing us to see GAP in a different light. W I N D O W D I S P L AY S The W indow display was very create, yet simple at the same time. They have displayed their mannequins running at different lengths this played a massive role in showing the p u b l i c h o w f l e x i b l e t h e g a r m e n t i t . S e e i n g G A P ’s w i n d o w d i s p l a y w a s t h e m a i n r e a s o n Marko, Chloe, Amanda, Savannah and I walked into the store, which proves that their window display is drawing the public in. AMBIANCE The vibe we received was not anything different from what other store atmospheres were like, although they displayed the products well and brought about a positive outcome we p e r s o n a l l y t h o u g h t t h a t i t w a s n o t a n y t h i n g n e w. PERSONNEL We didn’t interact with any staff members in GAP to speak on how they get trained… However from the tasks that we saw a few members of staff carry out we found that they
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c a r e d f o r t h e s t o r e a n d h o w i t w a s b e i n g p r e s e n t e d t o t h e c o m p a n y. MUSIC GAP didn’t have any special playlist they just played the radio. ONLINE: GRAPHICS The website didn’t have any special graphic features, I think they tried to keep it very simple as possible. In our eyes I think that the website was built for the main purpose of allowing customers to shop online. Another possibility could be that they didn’t want to take away from their brand ethos. L AY O U T The layout of the website is quite a simple and very cliché layout… GAP has gone for a simple look where they have the menu bar at the top and has another menu bar flowing down the page giving the customer a chance to see the different categories. Apart from the side bar and menu bar it has the different thumbnails which show the customers the garments, the Thumbnails were used as hyperlinks which allows more than one image to s h o w. T h i s w i l l b e p r e s e n t w h e n t h e c u s t o m e r h o v e r s o v e r t h e i m a g e s t h e y ’ r e i n t e r e s t e d in. E A S E O F N AV I G AT I O N I found the Website easy to navigate, the way things have been laid out suggest that they wanted to make it as easy as possible for their customers to use. S P E C I A L F E AT U R E S ( E . G V I D E O C O N T E N T ) Recently we have not seen any videos or special features • PROMOTION POINT OF SALE None of us purchased anything or saw anyone else to witness how they deal with their customers at a sale point. PA C K A G I N G GAP still tends to use the navy blue paper bag with the white font text to as their packaging. We thought this is what GAP has chosen to keep as a trademark. ‘LOOK BOOK’/MAGAZINE W e h a v e n ’ t l o o k e d a t M a y G A P M a g a z i n e ’s o r l o o k b o o k s . EVENTS We aren’t aware of any Gap events EDITORIAL We didn’t have a chance to look at any editorial pieces. SOCIAL MEDIA F r o m s o m e o f t h e a d s o n T V a n d A d ’s b i l l b o a r d s , m a g a z i n e s , a n d o n l i n e a d s o n F a c e b o o k GAP has really made an effort to reach their customers in every way possible when it comes to social media. CONSUMER PROFILE I w o u l d s a y t h a t G A P ’s c u s t o m e r p r o f i l e w o u l d b e p e o p l e f r o m t h e a g e s i f 2 5 - 4 0 y e a r o l d .
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PARTNERSHIPS
We are excited about our Brand and our products but we are new to the world of business and so we have realised that we would need to partner with an established company who can bring their wealth of knowledge to the table to take our product, our brand and our company to the next level. In searching for a business partner we are looking for the following: A company that is already established and is in the retail market. A company that will be able to market and sell our goods. A company under whose name our brand will be made known. A company that is financially stable. Who has been in business for years and whom we see as going to be in business for many years to come. A company that can assist with finances to assist in us with initial set up and running costs. In retur n for the services listed above we are willing to part with 20% of our business. T h i s w o u l d m e a n t h a t 2 0 % o f o u r p r o f i t s w o u l d g o t o o u r b u s i n e s s p a r t n e r. We have therefore chosen John Lewis. John Lewis was establish in 1864 and is one of the leading retail companies in the United Kingdom. We are confident that John Lewis can help us achieve the brand awareness and customer base that we need to see our b u s i n e s s g r o w. The Risks of a partnership Partnerships are expensive as it costs you a part of your business. In our case 20% of our business. With partnerships it is important that you do not work on assumptions, it i s i m p o r t a n t t h a t a l l p a r t i e s a r e a w a r e o f t h e e x a c t r e s p o n s i b i l i t i e s w i t h i n t h e p a r t n e rship. If partnerships go wrong there is negative impact on both parties. To a n e x t e n t t h e r e i s a l o s s i f i d e n t i t y a s y o u a r e i n d i r e c t l y w o r k i n g t o d e l i v e r t o t h e expectations of the partnership. The day-to-day demands of delivering to the partnership can put a strain on the comp a n y. Funding We are looking at John Lewis investing ÂŁ250,000 into the business. This will help us with all our start up costs as well as getting our first orders out. In retur n for the ÂŁ250,000 we are offering 20% of our business to John Lewis.
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Network Directory Packaging: EPS Recycling Manager: Lucy Shen (Ms) Te l : + 8 6 2 1 - 3 4 9 7 8 8 1 8 e x t 1 1 6 8 Fax:+86 21 34978808 ext 1168 Cell phone: +86-13917990653 Email: Lucyshen@intco.com.cn Country: China
M i d U K R e c y c l i n g LT D : The Recycling Centre W h i t l e y Wa y N o r t h f i e l d s I n d u s t r i a l E s t a t e Market Deeping Lincs PE6 8AR Te l e p h o n e : 0 8 0 0 3 1 0 1 8 1 5 sales@midukrecycling.co.uk ShotechPressPteLtd Blk1020,#01-3500 Ta i S e n g A v e n u e S i n g a p o r e 5 3 4 4 1 6 Te l : + ( 6 5 ) 6 2 8 2 2 5 5 5 +(65) 6287 7555 Fax: +(65) 6382 1840 Email: info@shotech.com.sg W e b s i t e : w w w. s h o t e c h . c o m . s g
Wessex Packaging: MitchellRoad, ChurchfieldsIndustrialEstate, S a l i s b u r y, W iltshire, SP2 7PY Te l e p h o n e : ( 0 1 7 2 2 ) 4 1 2 3 3 3 Fax:(01722)411905 E m a i l : i n f o @ w e s s e x - p a c k a g i n g - s a l i s b u r y. c o . u k
Posting: R o y a l M a i l : h t t p : / / w w w. r o y a l m a i l . c o m / p e r s o n a l / h e l p - a n d - s u p p o r t / I - n e e d - t o - c o n t a c t royal-mail P o s t O f f i c e : h t t p : / / w w w. p o s t o f f i c e . c o . u k / c o n t a c t - u s Fedex: C u s t o m e r S e r v i c e : 0 3 4 5 6 0 0 0 0 6 8 h t t p s : / / w w w. f e d e x . c o m / g b / c o n t a c t / w r i t e f e d e x . h t m l
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Partnerships: John Lewis: Partnership card services: 0345 300 3833 Partnership card application queries: 0345 300 3830 H o u s e o f F r a s e r : h t t p : / / w w w. h o u s e o f f r a s e r. c o . u k / c o n t a c t / c o n t a c t , d e f a u l t , p g . h t m l Advertisement: Google: 0800 169 0470* Emotio: W illiam Old Centre, Ducks Hill Road, Northwood, HA6 2NP 020 8385 5050 i n f o @ e m o t i o . c o . u k h t t p : / / w w w. e m o t i o - d e s i g n - g r o u p . c o . u k / S e r v i c e s Facebook: https://en-gb.facebook.com/business/products/ads Yo u Tu b e : h t t p s : / / w w w. y o u t u b e . c o m / y t / a d v e r t i s e / e n - G B /
Tr e s p a s s Ve r m o n t H o u s e , 1 4 9 Ve r m o n t S t r e e t , Kinning Park, Glasgow G41 1LU, United Kingdom Silverfish UK Ltd – Units 3a-3c Wood Acre Court Saltash Parkway Industrial Estate Burraton Road Saltash Cornwall P L 1 2 6 LY United Kingdom Dakine eustore@dakine.com (email) Vo l k l w w w. v o l k l . c o m / c o m p a n y / c o n c e r n / c o n t a c t - u s . h t m l ( o n l i n e c o n t a c t p a g e ) Völkl USA | Ski | Contact Us volkl.com Una Burke info@unaburke.com emmett@unaburke.com +44(0)2088714678
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