Basic Retailing - Spring 2013 Amethyst Johnson, Anna Zamborsky, Audrey Wymer and Joelle Davis May 29, 2013
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TABLE OF CONTENTS
Executive Summary
pg. 3
Describe the Business
pg. 4
Type of Ownership
pg. 6
Market/Target Customer
pg. 7
Company SWOT Analysis
pg. 9
Competition
pg. 10
Location
pg. 14
Merchandise Mix
pg. 14
Pricing Strategy
pg. 17
Promotion Strategy
pg. 18
Management/Personnel
pg. 22
Financials
pg. 23
Inventory Methods
pg. 24
Website
pg. 25
Action Plan
pg. 25
Conclusion
pg. 26
Floor Plan
pg. 27
Appendix
pg. 29
References
pg. 42
Appendix
pg.
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EXECUTIVE SUMMARY
The following business plan will provide an in-depth look into how Jolie Luxe, a Marietta-based boutique, has been developed. A small team of women from different background and interests came together to research, plan, and simulate the creation of this business, and furthermore are pleased to deliver the final result of four months of effort. Jolie Luxe was designed a small women’s clothing boutique located in Marietta Square, precisely at 27 West Park Square, Marietta, GA. In addition to apparel, the establishment carries jewelry, shoes, lingerie, fashion accessories, and a small variety of bath products. Items are hand selected from trade shows and vendor booths in Atlanta, Las Vegas, Los Angeles, and New York City and are carefully picked to follow the latest trends. The company expects a substantial amount of success over its competitors, which include local boutiques such as Lotus Boutique, Fiore Boutique, Francesca’s Closet, and Entourage. This is due to its careful selection and reasonable pricing of its merchandise. Promotional Strategies consists of Direct Selling/Sales Promotion, Personal Selling, Social Media, and Advertising. For advertising, the boutique plans on designing an online look book as well as targeting our customers through ads on social media. Personal selling is one of the most important parts of the strategy. The boutique seeks loyal customers, so this is encouraged through updates on new products, sales and promotions, through emails or sending our customers promo texts if they desire. Monthly newsletters via email will also be sent out as one of our Sales Promotion/Direct Selling strategies, as well as putting store coupons in the Atlanta Journal Constitution. For the Social Media strategy, Twitter, Instagram, Pinterest and Facebook will be utilized.
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The Management/Personnel includes management roles and the personnel. The management rolls are Sales Promotion Manager, Amethyst Johnson, Store Operations Manager, Anna Zamborsky, Controller, Audrey Wymer, and Merchandising Manager, Joelle Davis. For other personnel, one to two sales associates will be hired and their wages will range from minimum wage to $9 per hour. Jolie Luxe strongly believes in employee empowerment so we will train our employees to be self-sufficient and capable of handling customer-related issues. It is projected that the first year’s gross profit will be $160,000 after net sales and cost of goods sold. Net profit is projected to be $27,325, after taxes. Jolie Luxe’s net worth is estimated to be $184,600 according to the first year’s current assets and current liabilities. The company as a whole expects a vast amount of success in its first year, in the form of both profit and knowledge. It will use these valuable gains to reinvest into the company for the following years to come and build on its impact in the Northwest Atlanta area.
DESCRIBE THE BUSINESS
In early 2013, a small team of women with different business backgrounds but a shared passion for fashion came together to create Jolie Luxe. Located in beautiful Marietta Square, Jolie Luxe is a brand new boutique aiming to bring women contemporary fashion with a unique charm. The store features a wide away of hand-selected collections in clothing, jewelry, lingerie, shoes, and more with the stylish young female in mind. What the founders had in mind was the perfect small shop where any girl could enter and be catered to according to her individual needs. Rather than focusing on solely offering goods, Jolie Luxe also aims to succeed at the service of personal styling and incorporates this concept heavily into their business implementation with great significance. With this strategy in mind along with exceptional customer service and
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positivity in the atmosphere, the company seeks to not only attract consumer to it merchandise selection, but involve these individuals with the company on a stronger and more personal level. This quality of service is what Jolie Luxe prides itself on and considers imperative to its own success. By combining this concept with its goods, the company can both physically and mentally deliver its namesake, lovely luxury. Physically, the store itself follows the direction of many popular boutiques. The walls, floors, and decor are based on warm colors, light wood flooring, maximizing space with light, uncrowded accenting, and restored vintage furnishing. The ceiling lighting consists of a few scattered smaller lights with the exception of two large centered chandeliers. The theme of the store insists on carrying a feminine and dainty appearance with slightly rustic accents. At the immediate front of the store are two large display windows, each on separate sides of the main glass door, which feature a number of mannequins wearing the most recent picks. The actual floor is separated into four sections by small wall dividers and each section includes a different mix of merchandise (See Appendix for floor plan images). The floor sections are specifically arranged by the following products: 1) Newly stocked and most current season clothing, 2) Previous season clothing and sales, 3) Jewelry, perfume, and other accessories, and 4) Lingerie and Shoes. Six spacious dressing rooms are available towards the back of the boutique, each equipped with a bench, full sized mirror, and an angular mirror for multiple viewing purposes. In the center of the dressing room area is a feature unique to Jolie Luxe: a fun elevated walkway that individuals can use to get a clearer and better lighted view of their clothing. Finally, there is a small hallway on the opposite side of the back of the store which leads to the restroom as well as the company break room. In this break room, back-up stock and leftover seasonal inventory
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will be stored. The entire store layout and ambience has been designed to reflect our brand externally, and serves as a medium to make our consumers feel comfortable.
TYPE OF OWNERSHIP
Jolie Luxe will be an independently owned boutique. The boutique will be run by its owners: Amethyst, Anna, Audrey and Joelle. The four of women came together in as a partnership. There will have a few paid sales associates and as the store grows, expansion will be discussed as well as increasing employee hires. An independent retailer is associated with ease of entry due to low capital requirements and simple licensing provisions. However, because of the ease of entry competition is expected, but being a specialty store competition is limited since offerings are unique. This in part due to the hand-made selection at various trade shows. Many other clothing stores in the area are chains which simply carry what is selected by their headquarters.
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DESCRIBE THE MARKET/TARGET CUSTOMER
The primary target market that has been set for Jolie Luxe Boutique consists of young women between the ages of 15-25, who are current high school and college students, within and near the South Cherokee/North Cobb County area. Due to the fact that the company’s central location is near college campuses such as Kennesaw State University, Southern Polytechnic State University, and Chattahoochee Technical College, Greek sororities are expected to make up a large percentage of our sales. Such sororities range from, but not limited to, the PanHellenic Council, Multicultural Greek Council, and National PanHellenic council. Below is a list of a few sororities located on the campuses of the Georgia University systems.
PanHellenic Council: ● Delta Phi Epsilon ● Kappa Delta ● Phi Mu ● Alpha Omicron Pi ● Gamma Phi Beta National PanHellenic Council: ● Alpha Kappa Alpha ● Sigma Gamma Rho ● Delta Sigma Theta ● Zeta Phi Beta Multicultural Greek Council: ● Lambda Theta Alpha
High schools are considered a large contributor to the target segment and include:
Public: ● Allatoona High School ● Campbell High School
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● Harrison High School ● Hillgrove High School ● Kell High School ● Kennesaw Mountain High School ● Lassiter High School ● McEachern High School ● North Cobb High School ● Osborne High School ● Pebblebrook High School ● Pope High School ● South Cobb High School ● Sprayberry High School ● Walton High School ● Wheeler High School Private: ● Faith Lutheran Church and School, Marietta (preK-8) ● Shreiner Academy, Marietta (preK-8) ● Cumberland Christian Academy, Austell (K-12) ● Mount Paran Christian School, Kennesaw (preK-12) ● Dominion Christian High School, Kennesaw (6-12) ● East Cobb Christian School, Marietta (K-8) ● North Cobb Christian School, Kennesaw (K-12) ● St. Joseph's Catholic School, Marietta (K-8) ● St. Catherine of Siena Catholic School, Kennesaw (K-8) ● The Walker School, Marietta (preK-12) ● Whitefield Academy, Mableton (preK-12) ● Creative Montessori School[17] Marietta ● Ambleside Academy, West Cobb (Pre-K-12) ● Mt. Bethel Christian Academy[18] Marietta (preK-8)
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● Grace Baptist Christian School, Powder Springs, (preK-12) ● Johnson Ferry Christian Academy, Marietta (5-12)
The secondary target market has been geared to young, professional women between the ages of 18-35, with middle to upper-middle class income within and who reside near the South Cherokee/North Cobb County area. Statistics show that the median age around Marietta, Kennesaw, and those cities in the Cherokee and North Cobb area range from 32.4-35.3. As the population of the younger generation progresses Jolie Luxe expects that such increase will allow greater traffic flow in downtown Marietta. With its central location, the county allows access to the major interstate highways such as, I-285, I-75, I-20 and I-575. In the last thirty years, Cobb County has been growing exponentially. Specifically, the Marietta community is known as Cobb County’s largest developing city. As far as our target market goes, approximately 20% of the population is under 18 years old, about 14.1% ranges from between the ages of 18 to 24, and 39.4% of residents are between 25 to 44 (City of Marietta, 2013).
COMPANY SWOT ANALYSIS
Strengths ● Hand-selected apparel of the latest fashions ● Offers superior customer service ● Provides personalized styling ● Focused on Relationship Marketing ○ VIP List ○ Walk-in or Appointment Based Lingerie Fitting
Weaknesses
● May not be Able to Accept Walk-ins if Full on Appointment. ● Limited Selection and Style of Clothing ● Low Inventory Turnover
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○ Wishlists Opportunities High traffic locations around a close vicinity Expansion to Atlanta Include premiums
Threats Possibly carry same styles as competitors Many competitors within a 20 mile radius
COMPETITION
Jolie Luxe has an array of competition within a 20 mile radius of our downtown Marietta store. Of these, six have been selected as the most potentially threatening to Jolie Luxe.
Dress Up Boutique: With five locations across the state of Georgia, Dress Up Boutique’s closest location, Woodstock, is 13.0 miles away from Jolie Luxe’s store location. Dress Up is one of the main competitors that offer upcoming trends in fashion and accessories. Since their opening in 2009, owners have set their target market to the general masses. Due to their many locations, Dress Up Boutique’s target market is not limited to a certain area in the state of Georgia. Although they possess a large part of the market with over five locations, they only cater to what the apparel industry considers to be the average size. They also seem to be behind in offering a large surplus in products. As stated on stores website, shop dressup.com, they only offer two to three quantities in each style that is shown online. Once the product is gone, it’s gone.
Strengths: ● Dress Up Boutique is among five locations across the state of Georgia ● They offer upcoming trends in fashion and accessories
Weaknesses: They only cater to what the apparel industry considers the “average size” woman
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Opportunities: ● They are rumored to be expanding the company and opening a new location based in Georgia. ● They capture a larger target market due to its location in the Cobb County area.
They offer two to three quantities in each style. Threats: ● Other markets recognize their standing in the fashion market and increase competitive stance.
Fiore Boutique: Fiore Boutique has opened a new location in the Kennesaw area, this February of 2013. The location is within a 10 mile radius of our store. With the boutique’s new location based in Kennesaw, Fiore is one of the top competitors due to its close proximity to Kennesaw State University’s campus.
Strengths:
Weaknesses: ● Their new location has opened ● The website has not been complete. within a 5 mile radius of As a result, it is not up to part to Kennesaw State’s campus standards and they lose business. ● The store quality is based off ● They are fairly new to the Kennesaw of originality and they carry market and have no experience in the more than the average boutique geographic market of Kennesaw. in the state of Georgia. Opportunities: Threats: ● They offer a variety in clothing ● They may have trouble grabbing the including vintage styles and new attention of those who are outside fashion trends. their target market due to their website not in service at this time. ● People with brand loyalty to other boutiques in the Cobb County area may be hard to snag as customers.
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Lotus Boutique: is based in Atlanta and founded in 2011. Their Kennesaw location is an estimated 19.9 miles from Jolie Luxe’s boutique. The boutique has lately been rumored to be going out of business due to the overwhelming drop in sales.
Strengths: ● The boutique located in Kennesaw area is approximately 5 miles from Kennesaw State’s campus and no more than 20 from Chattahoochee Technical University and Southern Polytechnic State University. ● They inspire the development of personal style.
Weaknesses: ● They are fairly new to the Cobb County market and overall, founded in 2011. ● Generally negative customer service reviews. ● Cluttered and dark store - unpleasant atmosphere.
Opportunities: ● They have the opportunity, if the store survives, to expand and offer a greater amount of fashion inventory throughout the store. ● They also have the ability to achieve customer loyalty due to their convenient location.
Threats: ● Rumored to be going out of business in the Kennesaw location. ● It is hard to get ahead of the competition because Francesca’s controls a large part of the market.
Francesca’s (Town Center): A more upbeat and shows maturity in the market when it comes to sales. The boutique was originally founded in 1999 out of Houston, Texas. With the expansion of its company, Francesca’s has proven to be unstoppable over the years.
Strengths: ● Owns a large part of Kennesaw State, Chattahoochee Tech, and Southern Polytech’s target market. ● They offer affordable prices, keeping the college student in mind.
Weaknesses: ● They only offer a limited selection based out of the Kennesaw, GA location ● The store’s location is in a compact space.
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Opportunities: ● Continue expansion across country. ● They have the ability to offer specialized clothing and bring different styles to the forefront.
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Threats: ● If they offered a greater collection online as they do in stores, they would create more buzz about their store.
Entourage: An affordable boutique that offers styles for every girl on the go. They cater towards many markets through the metro Atlanta area and surrounding. They are comfortably based in Athens, GA and have expanded to include one of their stores in the Kennesaw location off of Cherokee Street. Entourage is approximately 11.0 miles from Jolie Luxe’s location.
Strengths: ● Sell same quality as many local Kennesaw boutiques but offer competitive prices. ● They are located just minutes from the Kennesaw State campus ● They offer a spacious store layout Opportunities: ● Expansion; There have been future plans to expand further South in the state of Georgia.
Weaknesses: ● The company offers styles and colors from universities such as University of Georgia, Georgia Southern University, and Clemson but not Kennesaw State.
Threats: ● If they were to expand in the southernmost parts of Georgia they may struggle due to the changes in markets and regional areas.
The Hub Boutique: This store has spurred a great amount of noise in the fashion world. Since their founding in 2011, they have created and opened new outlets for their target market. The boutique is approximately located 7.6 miles for our store location.
Strengths:
Weaknesses:
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● They are conveniently located off of 120. ● The Hub Boutique offers styles and trends from a large variety of designers. Opportunities: ● They are including plans for further expansion in the northern parts of GA.
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● They are further out than the average boutique location set around college campuses.
Threats: ● Starting company and they do not have the necessary experience in the market.
LOCATION
Jolie Luxe will be located in the Marietta Square, at 28 W Park Square, Marietta GA, 30060. The retail space will be 1,500 square feet and will be leased on a yearly basis. Our target market consists of females between 18-35 years of age while the majority of Marietta’s female demographic is around age 25-34. We feel it is essential to our success, as a boutique, to position ourselves in the Marietta square as a good portion of our target market lives near there. We plan to be both a brick and mortar store as well have an online store. We feel that this will aid us in better serving our target market as that age range is technology proficient and often shops/browses online.
MERCHANDISE MIX
Jolie Luxe has worked long hours planning and selecting its diverse merchandise mix. The boutique is set to feature the latest styles from various popular manufacturers generally obtained through trade shows and wholesale catalogue. In order to satisfy its target market, apparel articles and other goods will pull styles together from a number influences, but keep the
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direction of Jolie Luxe’s “feminine and fashionable” style consistent. A few words to describe these influences are youthful and classy, feminine “new” vintage, street chic, etc. As mentioned, Jolie Luxe’s merchandise will be selected at various trade shows. These include events held at America’s Mart of Atlanta (http://www.americasmart.com as well as Las Vegas’s famous Magic Market Week (http://www.magiconline.com/). Of the founding team, Joelle Davis holds the position as the main Buyer/Merchandiser, and leads the buying trips with one or more executive of the company. Clothing is selected according to what currently in style with young women between the approximate ages of 18 and 30, and is only purchased after a careful analyzation of these current trends. One of the most difficult task in managing the merchandising process of a retail store is being “right on time” with these matters. Many styles, though aesthetically appealing, may not be popular yet with the average consumer. They may work with innovative fashionistas, but relying on this and believing in a potential profit may be risky. Likewise, many trends are just about ready to die out. They have been pulled for so long and people may finally be getting tired of them. These are all reasons why Jolie Luxe’s merchandise is so selectively made after a careful study of trends by our team. Additionally, many items are not purchased in a large bulk order, which leaves room to study consumer purchase behavior. Consistently popular styles and basics are ordered in two full sets (two sets of two smalls, two mediums, and two larges) while more unique pieces are ordered in one set to see how sales carry out. Placing reorders are typically times to be received early- to mid-week in order to be priced, tagged, steamed, and put on the floor by the weekends. Another reason for the particular selection of clothing is due to the close similarities to nearby boutiques. Lotus Boutique, Francesca’s, Fiore Boutique, and Entourage Boutique all dwell nearby and carry a great number of similar manufacturer’s products. Therefore, the
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similarities between styles are very evident. It is important that Jolie Luxe studies its competitor’s seasonal selections so that they can maintain the same desirable styles for the target market, but remain attentive to similar goods with a slight unique twist. Pertaining to actual brands, Jolie Luxe aims to purchase consistently from a selection of vendors, yet occasionally feature items that other vendors offer. To date, the boutique has been in direct contact with the following vendors:
Clothing:
● ● ● ● ● ●
Jewelry:
● ● ● ●
Lingerie:
● ● ●
Shoes:
● ● ● ● ●
Alethea Cocolove Comme Toi Do & Be Ellison Clothing Everly Clothing ax + apple House of Harlow Isobell ZIA Jewelry Coquette Elena Wang Julie France Body Shapers SILUET Chinese Laundry Chocolat Blu Qupid Wanted
● ● ● ● ● ●
Glam Hello Miss Judith March Minuet Paper Crown Seven Times
● Additionally, Jolie Luxe will carry its own house brand of jewelry, called “Parfait Poli” (meaning “perfectly polished”).
● Symphony ● Very J ● Whitney Eve ● Wild Fox
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Soaps/Misc.: Bath:
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● L’Epi de Provence
As mentioned before, these products are not the only offerings delivered by Jolie Luxe. The company prides itself on its extensive customer service efforts which go beyond that of just helping customers find items. To expand on this, all of the managers of Jolie Luxe as well as hired sales associates must have an acute interest in fashion and styling. Upon interviewing, sales associates are assessed on their personal style, favored styles, knowledge of current trends, and style flexibility. Though this may seem trivial, this is a very important step in the interview process. All sales associates will be expected to not only be able to satisfy customers by helping style them according to their personal preferences, but also arrange mannequins and displays according to what will fit the image of Jolie Luxe. Additionally, all associates will be trained to deliver professional bra fittings with no purchase necessary. Yet another extension of Jolie Luxe’s customer offering lies in its “VIP” list. This list serves as a way for the company to extend an even greater relationship with its most valued customers. Basically, VIP members are given benefits such as premiums while shopping, discounts on certain items, and special notice when items they express interest in arrive to the store. Additionally, VIP members are personally invited and given special add-ons to store-based parties and promotional events. In order to become a member of the VIP list, customers must spend a minimum of $200 on a single purchase. Ultimately, it is one of Jolie Luxe’s goals to become positioned in the mind of consumers as a go-to destination for the latest trends and best service. The store plans to dedicate an extensive amount of time towards these efforts in an attempt to make Jolie Luxe both satisfying by its merchandising standards and comforting by its environmental nature.
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PRICING STRATEGY
Jolie Luxe finds a great importance in being able to cater to the average young woman. Therefore, the boutique seeks to be able to make women from every background be able to look dashing at an affordable price. To begin, merchandise is ordered from various vendors and then multiplied by a certain reasonable percentage to reach the sale price. The upcharge covers expenditures such as facility overhead, employee wages and salaries, transportation fees and more, while allowing Jolie Luxe the ability to achieve the greatest net income. It is Jolie Luxe’s general retail objective is to maximize profit. In saying this, the store does not price the lowest in the market in order to reach the most sales. Its products are priced based on a cost-oriented strategy: all merchandise has a percentage (or in the case of clothing, a percentage scale) that it is multiplied by rather than being set more flexibly. To be specific, clothing sales prices will be calculated by multiplying the Unit Price by anywhere between 190225%, and then rounding up to the nearest whole dollar. For example, a shirt purchased at wholesale price for $12.50 will be priced between $24.00 and $29.00. Jewelry will be marked up by 225%, making an $8 unit priced necklace become $18 at sale price. Lingerie will be marked up at 225%, soaps by 200%, and shoes by 250%.
PROMOTION STRATEGY
Advertising: Jolie Luxe’s plan is to build a long term relationship with our customers through advertising. As four retail professionals, we want to inspire our customers and always give them reasons to return to our location. With a budget set at $4500 for advertising, the set objective is
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to use the accumulated funds to build awareness via methods such as our online look book and internet ads on Facebook. Our online look book will be a catalogue of the merchandise that is not only offered in the store but a few items that are exclusively offered online. As a result, this will draw customers to our website who are not in close proximity to our store location. The look book will be updated with the new shipment that is received in the store at the time. As mentioned earlier, Jolie Luxe will connect with Facebook to provide local ads to attract potential customers to our website. The boutique has chosen to pay for these ads as a “pay per click” plan. This plan allows Jolie Luxe to have complete control over the life of the campaign and the funds that are coming out of the advertising budget. As a pay per click plan “you can be charged based on the number of times your ad simply appears in the network regardless of how many or how few potential prospects actually click on your ad.” (Fore, 2012).
Personal Selling Personal selling is all about listening to the customers’ wants and needs, connecting with them and making sure their needs are met, and inspiring them to make that purchase and continue to remain a loyal customer. All employees who become a part of Jolie Luxe’s phenomenal clothing boutique will be trained and knowledgeable of our sales promotion. The staff will acquire knowledge that will increase skills in personal selling, whether it is by utilizing email to provide updates about the new products that are coming to the store or attaining a phone number so that Jolie Luxe may send optional promo texts to their phone. The company believes the best option to improve customer loyalty is to push and announce our new sales and promotions that we have going on in the store before the week begins and continue throughout.
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Every week the boutique will have a set of promotions going on and we will notify our customer base via our social media outlets, text, and email.
Sales Promotion/ Direct Selling With top quality fashion styles and unforgettable customer service Jolie Luxe will provide each and every customer with the personal attention that is needed as they step through the doors of the boutique. For our customers to get a jump start on our sales promotions offered in the store, the boutique will send out a monthly newsletter via email to conserve paper and “Go Green.� There will also be a placement of store coupons in the Atlanta Journal Constitution. The promotional coupons will only be available via the Sunday final edition. With the coupons Jolie Luxe hopes to lower the economic risk of trying the latest fashions that we sell at our location as well as increase brand recognition. Jolie Luxe will also set aside a day out of each month where students will receive a 20% discount off any merchandise, including sale, in the store with their student ID card. The new promotion will be set in place annually where we will raffle out an outfit that is put together by our creative staff. This raffle will take place once at the beginning of every season during the year. Each customer that would like to participate will be offered a ticket each time they make a purchase in the store for the available period. There will not be a limit to how many tickets each customer can earn. The direct selling approach will consist of passing out fliers on college campuses so that Jolie Luxe is spreading brand awareness.
Social Media Presence Jolie Luxe will create a Facebook page and Twitter account in order to increase brand awareness and attract more consumers through our promotions. The boutique will not only gain
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brand recognition in Cobb County but create an online presence through the cyber world. Jolie Luxe will use the Twitter account to “hashtag” #JolieLuxe. “Hashtags” are a way for Twitter users to see other posts with the same “hashtags.” Twitter “hashtags” can also start trending on Twitter locally and worldwide. By effectively using the #JolieLuxe hashtag along with other popular “hashtags” the brand can easily gain recognition among our target market Twitter users. Jolie Luxe can also use sales promotion in their Social Media marketing efforts by offering the first 100 “friends,” “followers,” or people who “like” their social media pages a 10% off coupon to the local store in Marietta. Jolie Luxe will also include other social media outlets such as Instagram and Pinterest media plan. A concept Jolie Luxe plans to put forth on our Instagram and Pinterest accounts is the “Look of the Day.” The consumer will post photos of their fabulous selves in the many clothing styles and designs Jolie Luxe has to offer at the boutique.
Launch Plan
Schedule 4 Weeks Before Launch
Goals PR/Publicity: Create Awareness
3 Weeks Before Launch
Advertising: Create Brand Awareness and Recognition
Tools Press Conference with major Newspapers; Atlanta Journal Constitution, fashion magazines, Style Atlanta Magazine, Lash Magazine; fashion blogs, Fashion - 411 major television networks; Style, E! News; Radio, B 98.5, V103.3 Pass out fliers on local campuses in Cobb and Cherokee County (Kennesaw State University,
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2 Weeks Before Launch
1 Week Before Launch
Social Media: Get Consumers Involved and Increase Curiosity Sales Promotion/ Social Media: Increase Incentive to Try
OPENING DAY
Event Sponsorship/Advertising/ Publicity: Generate "buzz"
2 Weeks After Launch
Social Media: Drive Traffic to Website/Personal Selling: Push New Menu Items
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Southern Polytechnic State University and Chattahoochee Technical College) Launch Facebook and Twitter pages and engage with potential customers; Give away gift cards to “Friends” and “Followers” of Jolie Luxe. Put coupons in magazines and advertisements. (See above). Host Fashion Show on opening day. Hand out free samples and coupons. Invite newspapers and television stations (see above). Drive traffic to official Jolie Luxe website and train employees to push new promotions that are currently available in the store.
MANAGEMENT/PERSONNEL
The four of us will be working in the store with separate roles, but we all share management responsibilities. We’ll constantly be communicating about the functions of the business and our goals. Amethyst is the sales promotion manager for Jolie Luxe which includes promoting our store and getting our name out there and monitor our social media. Anna is going to be the operation manager which entails the daily store functions and some HR responsibilities. Audrey is the controller for Jolie Luxe and will be responsible for the financial responsibilities. Joelle is our merchandising manager who will maintain Jolie Luxe inventory and do all the
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buying and selling for the store. The four of us will be able to manage the store by rotating shifts, but eventually we’ll want to let our employees manage most operating responsibilities. We will start with only hiring one to two sales associates to begin with and then later on we’ll hire more, if needed. As the store grows we’d like for our sales associates to also be personal stylists. We believe this will give Jolie Luxe a competitive edge against other boutiques in the area. The four of us will be given a small salary and the sales associates will be paid hourly. Sales associates will start at minimum wage, but based on their experience and expertise in retail then their wages will be adjusted. We are planning on hiring high school students and college students to fill the sales associate positions. Jolie Luxe values their employees and believes in employee empowerment, so that is one employee is out Jolie Luxe will run and operate smoothly. Everyone will be educated and trained on different roles and tasks in the business and the employees will be happy.
FINANCIALS
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INVENTORY METHODS
It is our goal to have as much inventory on the floor as possible, with little merchandise left in the back room. Reordering will be made when styles run low. Additionally, we will try to time inventory to arrive towards the beginning of the week. This will ensure that everything can be on the floor by the time the weekend arrives.
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WEBSITE
Jolie Luxe’s website plans on having an interactive section where a person can create an outfit from clothes, accessories, and shoes from the stores up to date merchandise selection. The layout of the home page will consist of a navigation bar on the upper part of the webpage. The navigation bar will include the following tabs: Home, Tops, Bottoms, Dresses, Outerwear, Lingerie, Bags, Jewelry & Accessories, Ask Us (this is a link to a style advice page), and appointments. At the footer of each page will be a link to the “Contact Us” section and a FAQ section. Additionally, the home page will feature specific outfits/item as well as any sales that are going on.
ACTION PLAN
Jolie Luxe’s action plan starts with creating a business plan. As the business plan goes forth, Jolie Luxe will research the target market and choose the most effective location to cater to the markets needs. The marketing plan will include the financials that will help the boutique stay in budget and perform the necessary task to penetrate the market. Next, Jolie Luxe will plan to interview and meet with suppliers to collaborate on the merchandise contracts for the boutique. Afterwards, the co-founders will discuss lease options with the leaser and sign the lease for the rental space. Jolie Luxe will begin setting up an LLC as well as writing up an operating agreement. The boutique will arrange to meet with architects, discussing remodeling, as well as setting up utilities for our rented space. As Jolie Luxe goes into the next phase of the business plan, the boutique will consider remodeling the space is and begin creating an advertising plan that will again penetrate the target market. Jolie Luxe will set up payment options as well as set up the inventory systems for the base of the store. For the final touches,
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Jolie Luxe will purchase items such as mannequins to display the merchandise and start setting up the layout. Additionally, they will train personnel, receive shipments of merchandise to sell, put the merchandise on the floor, and finally open on June 7 th 2013!
CONCLUSION
Careful planning has allowed us to create a business plan that will encourage Jolie Luxe to thrive in Cobb and South Cherokee areas. This brand new boutique offers a completely customized approach to enjoying the boutique experience. Customers will satisfy the need for fashion anytime of the day. By utilizing the connection our target market has with social media and their constant need to be plugged in, we can reach them quickly and often in order to drive them to our store. We know what our market is looking for in their fashion options and boutique atmosphere. Jolie Luxe was created to not only fit all of those needs, but go above and beyond to please every consumer walking in our store by offering products and services that set this boutique apart from the rest Many boutiques in the fashion industry today are often very similar in products and characteristics. We have the opportunity to deliver something unique. With this business plan, Jolie Luxe is prepared to set unbelievable standards that surpass the expectations and limits of our closest competitors.
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FLOOR PLAN
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APPENDIX Facebook Page
Twitter Page
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Website “Home Page”
Website “Tops”
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Price Tag
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PowerPoint Slides
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REFERENCES
Dress Up. (n.d.). Retrieved March 26, 2013 from http://www.shopdressup.com/ Entourage Boutique (n.d.). Retrieved March 26, 2013 from http://shopentourageclothing.com/index.php/about Fiore Boutique (n.d.). Retrieved March 29, 2013 from http://www.myfioreboutique.com/shop/index.php Francesca's. (n.d.). Retrieved March 26, 2013 from http://www.francescas.com/category/customer service/about us.do Hub Boutique (n.d.). Retrieved March 26, 2013 from http://www.thehubboutique.com/about_us.html Lotus Boutique (n.d.). Retrieved March 26, 2013 from http://www.lotusboutiqueatl.com/aboutus.html Francesca's Holdings Corporation Reports Financial Results for the Fiscal Fourth Quarter and Year Ended January 28, 2012 (NASDAQ:FRAN). (n.d.). Investor Relations - Francesca’s. Retrieved April 21, 2013, from http://investors.francescas.com/releasedetail.cfm?ReleaseID=657011
Berman, B., & Evans, J. R. (2013). Retail management: a strategic approach (12th Ed.). Upper Saddle River, NJ: Prentice Hall. City of Marietta Georgia - Home. Retrieved April 16, 2013, from http://www.mariettaga.gov/city/cityhall/committees/mrc/communityprofile/demographics Free Website Builder | Create a Free Website | WIX. (n.d.). Free Website Builder | Create a Free Website | WIX. Retrieved April 15, 2013, from http://wix.com Halp. (n.d.). MAGIC MARKET WEEK.MAGIC MARKET WEEK. Retrieved April 12, 2013, from http://magicmarketweekpoweredbyshopthefloor.com/activ-portal/ Photo editor | PicMonkey: Free Online Photo Editing. (n.d.). Photo editor | PicMonkey: Free Online Photo Editing. Retrieved April 14, 2013, from http://picmonkey.com
Polyvore. (n.d.). Polyvore. Retrieved April 12, 2013, from http://www.polyvore.com