AMANDA CIEDE BROOKE PUMO
FRANCES PACE
MARNI KIMELMAN
Part One page 3
Table of Contents)
Part Two
page 12
Part Three
page 36
History)
SCANDALS
Founded in 1970 by Dick Hayne
Started as a single store selling few items such as plants, records and clothing A few years later, Free People was changed to what we know as Urban Outfitters In 1984 they added a new wholesale line and readopted the name Free People The first Free People storefront was opened in 2002 in Paramus, NJ Launched the official website a few years later and it has grown in popularity ever since https://www.freepeople.com/help/our-story/
Cultural Appropriation Backlash with cochella accessories and use of model
Model over Professional dancer campaign backlash
2016
2014
https://www.huffingtonpost.com/2014/05/16/free-people-ballet_n_5338983.html http://www.refinery29.com/2016/04/107982/free-people-cultural-appropriation-festival-collection-coachella
Identity) FREE PEOPLE is much more than a clothing brand. A unique and unwavering bond with our customers sits at the heart of our lifestyle community. We delve into the lifestyle of our girl, encouraging self-confidence and self-expression; the ability to identify what she loves is our secret to offering her the best product assortment and experience possible. We hope that you, too, will join us in our pursuit of acceptance and love.
https://www.freepeople.com/help/our-story/
www.urbn.com/ https://blog.freepeople.com/about-us/
Values)
Free People, as a brand is deeply invested in having real relationships with their consumers. With an extremely close knit community already in place, the brand is always looking for new ways to grow and elevate this unique relationship. This relationship remains in tact partly because their values directly align with those of their consumers. Confidence, intelligence, and creativity are among those values shared throughout the FP community. They pride themselves in having unique in store experiences, and providing an eclectic assortment of products and amazing customer service, they provide just that.
Customer Base) femininity) Courage)
TARGET MARKET- a 26-year-old girl, smart, creative, confident and comfortable in all aspects of her being, free and adventurous, sweet to tough to tomboy to romantic. A girl who likes to keep busy and push life to its limits, with traveling and hanging out and everything in between. Who loves Donovan as much as she loves The Dears, and can’t resist petting any dog that passes her by on the street.
Spirit) http://www.urbn.com/our-brands/free-people/fp-girls
Scope) product assortment
“Free People’s revenue per square feet stands close to $1,900 and it has increased substantially over the past couple of years. Interestingly, its wholesale revenues (including a small contribution from Leifsdottir) have increased at a compound annual growth rate of over 15% between 2009-2014.”forbes, 2015
https://www.forbes.com/sites/greatspeculations/2015/09/04/why-urban-outfitters-freepeople-needs-more-attention/2/#a1a6a9d62e89
clothing: Dresses Tops and tees Sweaters Jackets and outerwear Jeans Pants Skirts Jumpsuits and rompers Shorts Swimwear Intimates active
Shoes:
Accessories:
beauty:
Boots Flats Clogs Sandals Moccasins Sneakers Heels
Jewelry Hats Scarves Bags Belts Socks and tights hair
wellness cosmetics skincare body
Vegan
size) 115 stores in USA 133 stores in USA, UK, and Canada Opened 14 new stores from 2015 to 2016 total revenue in 2017- $662.7 M trailing twelve months revenue (TTM)- $693.5 M
https://www.freepeople.com/stores/
Sales Trends) Total Revenue Growth is increasing at a slow rate E-commerce Sales Growth is increasing at a slower rate Wholesale sales growth has fluctuated since 2013 Retail sales growth is increasing at a slower rate
https://retail-index.emarketer.com/company/data/5374f24b4d4afd2bb444659f/5374f2dc4d4afd2bb44476d8/lfy/false/urban-outfitters-inc-free-people
Mission Statement) We’re a passionate, creative, entrepreneurial bunch who think outside the box and are all about providing a unique shopping experience while inspiring and connecting with our customers.
https://blog.freepeople.com/about-us/
end of Part one
Amanda Ceide
Brooke Pumo
Frances Pace
Marni Kimelman
Table of COntents)
i. Mission ii. Market Segments iii. Competitors iv. Trends
We’re a passionate, creative, entrepreneurial bunch who think outside the box and are all about providing a unique shopping experience while inspiring and connecting with our customers.
i
Market Segmentation) ii
Women’s Clothing https://www.statista.com/outlook/244/109/fashion/united-states
TOtal Market Views
2016-2018 Totals and Projections through 2022 https://www.statista.com/outlook/244/109/fashion/united-states
Closer Look
-Revenue in the “Fashion” segment amounts to US$90.2B in 2018. -Revenue is expected to show an annual growth rate of 8.1% resulting in a market volume of US$123.4B in 2022. -The market’s largest segment is “Clothing” with a market volume of US$63.6B in 2018. https://www.statista.com/outlook/244/109/fashion/united-states
2016: $51.0B 2017: $57.1B 2018: $63.6B Projections: 2019: $70.0B
2021: $82.1B
2020: $76.3B
2022: $87.4B
Free People Fiscal Revenue
Free People's Place in the Market 2016
FP
Free People's Place in the Market 2017
Market TTL
https://retail-index.emarketer.com/company/data/5374f24b4d4afd2bb444659f/5374f2dc4d4afd2bb44476d8/lfy/false/urban-outfitters-inc-free-people
FP
Internal View
Market TTL
Competitors and Market Totals
2016 Total Market: $51.0B
Competitors Place in the Market
External View
FP: $609.6M Madewell: $341.6M Reformation: $25M (as of 2014) Abercrombie: $3.5B
TTL Market
Madewell
Reformation
Abercrombie
FP
COmpetitors) iii
Strengths - high qualtiy products - promising young company - denim recycling program
Weaknesses
Opportunities
Threats
- low brand recognition - very small marketing campaigns
- new campaigns in the works -expanding markets on the West Coast
- competitors who have lower prices and better brand recognition
Strengths - strong marketing campaigns - B-Corp - REF Recycling programs
Weaknesses - clothing is placed at a higher price range - limited stock on all items and limited sizing
Opportunities - store expansion
Threats - other brands that specialize in sustainability - trend evolution
Strengths - global brand recognition - omnichannel opperations
Weaknesses - pre rebranding brand preception
Opportunities
Threats
- international expansion - athleisure line expansion
- other brands with higher customer loyalty - wallets becoming more stretched
Trends) iv
Product Trends
Athleisure Trend
Vegan Leather Trend
Embroidery Trend
Camo/ Cargo Pant Trend
Statement Earring Trend
Lifestyle Trends
Beauty
Wellness Cooking
Technology Trends
Vegan Leather Technology WHAT IS IT? Vegan clothing is free of any animal-derived ingredients. The vegan fashion trend is growing and there are a lot of great options out there today: Faux leather, nylon, polyester, organic cotton, denim, and acrylic are just a few examples. Pleather used to look highly plastic and synthetic, but with improving textile technology, materials can look almost as real as genuine leather.
Technology Trends
Global synthetic leather market volume by application, 2015 (%)
PINATEX PiĂąatexÂŽ is made of fiber from the leaves of the pineapple plant. These leaves are discarded from the pineapple harvest, so the raw material requires no additional environmental resources to produce.
The vegan leather industry is set to hit $85 billion globally More than 1.5 million Americans over the age of 17 are now vegan
https://www.grandviewresearch.com/industry-analysis/synthetic-leather-market
https://www.forbes.com/sites/greatspeculations/2016/10/06/the-athleisure-trend-is-here-to-stay/#5e9523ed28bd
Marketing Trends
In 2013 we started to create more branded content to feature in the BLDG 25 blog. We’re a lifestyle brand and using platforms like Instagram, Facebook, Pinterest, etc. help us enforce that. We hold pop-ups within some of our stores where we teach wellness classes almost every day for a month. Our instagram is how we reach a majority of our customers and we capitalize on that
One of our biggest marketing successes have been our pop ups that include: Self -love Sundays Movement Mondays Training Tuesdays Wellness Wednesdays Thoughtful Thursdays For you Fridays
Marketing Trends
A marketing segment we are trying to become more involved in is micro movies to place withing the BLDG 25 blog These micro movies help us share our brand vaules with our customers and more easily communicate our message of becoming a more established lifestyle brand this is a video: roll over to get play feature
End of part 2 Amanda Ceide
Brooke Pumo
Frances Pace
Marni Kimelman
Amanda Ceide Brooke Pumo Frances Pace Marni Kimelman
Click Me I Play!
i. FP SWOT Analysis
Table of Contents)
ii. 2016-2017 Revenue iii. 6 Month Buying Plan iv. Assortment Planning
FP SWOT Analysis) i
strengths -Welcoming Environment -Unique and Wide Product Assortment -Workout and Wellness Popup Shops -Customer Loyalty -Strong Social Media Presence
Weaknesses -Limited Number of Sizing per Item -Very Limited Advertisments -Limited Store Locations -Very Small and Specific Target Market
Opportunities
threats
-Global Expansion and More Recognition -Continuing to Build presence on Social Media -Building on their Customer Relations
-Competitors with a Higher and Stronger Customer Base and Brand Recognition -Wallet Share
2016-17 Revenues) ii
2016 Revenue Total $83,033,000,000 FP Total $165,100,000 Clothing Revenue $50,993,100,000 Clothing 61.40% Clothing/Revenue 61.4% Clothing $101,371,400 Tops and Tees 25% Tops and Tees $25,342,850
2017 Revenue Total $92,890,000,000 FP Total $173,100,000 Clothing Revenue $57,145,900,000 Clothing 61.50% Clothing/Revenue 61.5% clothing $106,456,500 Tops and Tees 25% Tops and Tees $26,614,125 % Change 5.02% t and t ‘18 projection $27,949,171
6 Month Buying Plan) iii
Important Numbers
Planned Sales for Period
$27,949,171
% Planned Increase
5%
Last Year Sales
$25,342,850
Total Receipts at Retail
$31,691,286
Important Numbers
Planned Reduction $
$4,192,376
Planned Reduction %
15%
Turnover
2.97
Six Month Buying Plan
6 Month buying plam
16000000
14000000
12000000
10000000
8000000
6000000
4000000
2000000
0
August
September
PLANNED MONTHLY SALES
October
PLANNED MONTHLY REDUCTIONS
November
PLANNED PURCHASES AT RETAIL
December
PLANNED PURCHASES AT COST
January
COst and retial pricing
Cost & Retail 16000000 14000000 12000000 10000000 8000000 6000000 4000000 2000000 0
August
September
October
PLANNED PURCHASES AT RETAIL
November PLANNED PURCHASES AT COST
December
January
assortment Plan) iv
assortment plan
Tees
top door
mid door
all door
camis and tanks
all door
mid door
top door
shirts
top door
all door
mid door
overlapping
top door
mid door
all door
Tees $5,704,432 18%
23%
Turtle Necks $3,802,954
Assortment Buying Plan
tees
Crop Tops $3,169,129
turtle necks 12%
Camis and Tanks $4,753,693 Off The Shoulder $316,913 Shirts $6,655,170 Other $7,288,996
crop tops camis and tanks
21%
10%
1%
15%
off the shoulder shirts other
Little store
big store
Rockefeller Center, NY
Richmond, VA
average depth
Comparing big and little stores by the average depth- meaning the average units that are being distributed between stores.