FASH30067: Fashion Brand Marketing Promote

Page 1


Nottingham Trent University School of Art & Design Hong Kong Design Institute

ifb

2018 / 2019

Module: Fashion Brand Marketing and Promotion

ba

IVE

Module reference: FASH30067 Module Leader: CHAN, Marco

Module Name Declaration This submission is the result of my own work. All help and advice other than that received from tutors has been acknowledged and primary and secondary sources of information have been properly attributed. Should this statement prove to be untrue, I recognise the right and duty of the Board of Examiners to recommend what action should be taken in line with the University’s regulation on assessment contained in its handbook. I confirm that this work has gained ethical approval and that I have faithfully observed the terms of the approval in the conduct of this project.

Signed ………………………………………………………………(Full Name)…………………..………………………… Date ………………………………………………………………………………………………………………………………… (Word Count:_____________)

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Fig 01 The outfit of COS


Executive Summary To analysis the brand situation and brand health audit, in the following part will through the company overview, context about Hong Kong, consumers, competitors and collaborators to know the situation of ‘COS’. According to the research, the data will use to analysis the brand health audit. After the analysis, it will set up a new product line to develop COS. In this report, COS is the target brand. COS was established in Hong Kong since 2012. COS is a minimalism brand, the brand image is clear. In this 6 year, the fame COS is indubitability. In the following part, the research will through different point to analysis.


Fig 02 The detail of the sweater


Fig 03 The outfit of COS


Part 1: Situation Analysis


Company Overview COS launching in 2007, which is founded by H&M. The first store was established in London. In this decade, COS was open in more than 40 country and city including Asia, Europe and America. In nowadays, COS total has 255 stores in the world. Some of the store have an own building like, Seoul, Istanbul, Los Angeles, Paris and Sydney. The building also has their own style, to show the main concept of COS. The clothing provides modern, functional and considered design, the product. The design also combines traditional crafts and innovative technology. COS is a minimalism brand so the is understated, it can let the design more long lasting.


The inspiration of COS is mainly come from nature, art piece, designers, building and furniture. The simple and outdoor building like Kivik Art Center and House em Avanca also is one of the inspirations of COS. Some of the design is come from the art piece like, Component Cubes, Faux by Isabel Yellin. Those of them also is simple and functional. Many clothing also combines the above concepts in the design.

Fig 04 COS Buildings Cheongdam, Seoul

Fig 05 Faux by Isabel Yellin

Fig 06 Kivik Art Museum


Context In Hong Kong, the simple and functional design is popular in Hong Kong, the mass market brand like Uniqlo and GU and luxury like Celine. Hong Kong people are busy, they don't have too much time to mix and match. So, the simple and functional clothing is suitable in the Hong Kong market. But Uniqlo and GU are not fashionable, and Celine is not affordable, so COS is special in Hong Kong. The product of COS is combining fashion, style, and function, the price is reasonable. Hong Kong people are willing to accept this type of style.

Moreover, H&M have a big fame, so Hong Kong people will have more confidence to COS, it is a big success factor of COS. Also, Hong Kong people is willing to receive the internet information. In Hong Kong, many brands love to invite KOL (key opinion leader) to promote a product. They have a big influencer in Hong Kong, most of them also use social media to share their opinion. According to the survey, there show that most of the participant are affect by KOL, they will through the KOL to know the new trend and they are willing to try what KOL promote.


Fig 20 -21The influencer In Hong Kong


Context

In addition, the fashion trend in this a few years also is simple and minimalism. The color is using beige, white, gray and black, this color tone is always use in COS. The silhouette has A-line and oversize, A-line can show the body shape and oversize can show more layer of the clothe. In the detail, there will have some twist and plaid on the design. The minimalism brand love to use some detail and pattern to show the story behind the cloth and their concept. To conclude, the minimalism style still is a trend in fashion, the minimalism is still attractive in the fashion industry.


Fig 07 The earrings


Context COS in Hong Kong have 6 stores in Hong Kong, 4 in Hong Kong island and 3 in Kowloon. 4 of them are in the shopping mall which is Pacific Place, Harbour City, International Finance Centre and Festival Walk. The above shopping mall also is middle to high level, many international brands also establish on there. This location also has many career ladies and middle-class local people shopping. COS in there can attract many tourist and local people to know the brand. COS open in Hong Kong Island is a good location, because there have

many career ladies, most of the career lady willing to shop in COS, because the style of COS can wear in daily life and work. In addition, COS do not use many promotions and don’t have the VIP systems. But the customer of COS is very loyalty to COS. According to the research the customer of COS will shop in COS monthly. COS is successful to let the customer love their product and concept.


Fig 08 The location of COS


Consumers The target consumer of COS is women and men, The age around 25-40, income around 15000-25000. The career of them is work in the office, some of them are designer or fashion stylist, those of them also love the simple, minimalists and modern style. The level of them is middle to high. According to the research from Festival Walk COS in 19th October 6:00pm, the customer of the COS almost is career lady, there also have some foreigner customer shopping there, the foreigner looks like work near the Festival Walk. There also have 2 men shopping in there, their fashion style is similar with COS. To conclude, there don’t have many customers even it is 6:00 pm, the customer is same with COS target.


Fig 09 The men customer Fig 10 The foreign customer Fig 11 The local customer


Competitors The competitors of COS are Massimo Dutti, Giordano ladies and Agnes b., both of them also is simple and modern, suitable for career lady and someone like the minimalism brand. They also target the same type of customer. They mainly provide women’s wear but some of they also provide different type of product. Compare with other brand, COS has the most category, COS provide women’s wear, men’s wear, kid’s wear, sim wear, under wear and accessories. Massimo Dutti has provided baby wear. The price of COS is middle between these 4 brands. Both of them also have a parent company or head office. COS is belonging H&M, H&M is a big fashion group in the fashion industry, under H&M there have many

second lines to promote different kinds of products and style. In addition, Inditex is the parent company of Massimo Dutti, Inditex is a company which is make up the business of textile design, manufacture and distribution. It has a long history, Zara and Pull & Bear also are the under Inditex. Inditex has many experiences to operate a fashion company, so Massimo Dutti will be a big competitor to COS. Giordano ladies also is a big competitor to COS. Giordano ladies is belonging to Giordano which is a long history local brand. Giordano is familiar with the Hong Kong market, Giordano mainly targets the mass market. In this a few years, they established a second line Giordano ladies to target the middle-class customer.


Table 01 Compare COS and the competitors

Compare in those brands, COS is the clearest brand identity brand and provide the most type of clothes. Cos has the big advantage compare with the same type brand.


Collaborators COS is belonging to H&M. H&M is a big fashion company group. The main concept of H&M is combining the culture, value and guidelines. H&M is a customer- focused, creative and responsible fashion company. H&M is a leader of the following joint group. H&M will create a local team in every place to know the market, also the management team mainly handle the human resources, sustainability, finance, production, expansion, communication business development and logistics. This is the key success factor of H&M, they will spend time to know the different market and their business culture. In H&M group, there have 9 brands which is CHEAP

MONDAY, WEEKDAY, MONKI, H&M, COS, & other Stories, ARKET, AFOUND, H&MHOME. Those of brand is different style and product, including clothing, cosmetic and lifestyle product. There have more than 7,000 stores in the world. In those brands, COS is the only one minimalism brand. H&M can provide more source in COS, it can make COS can development more different.


Table 02 The brand under H&M

According to the Full-year report 2017 from H&M, the gross profit of H&M is 108,090m SEK in 2017. Compare with 2016, 2017 has increasing 1913m SEK, that’s mean H&M is a health brand. The parent company health audit is very affecting the subsidiary brand.

Fig.12 The gross profit of H&M


Part 2: Brand Health Audit


Fig 13 The dress of COS


Brand Identity Physique Focus on silhouette Absolutely minimalism brand

Externalization

Relationship Customer-focused Related to art piece and nature Customer is loyalty Reflection Strong Shop in store or visit the official website in monthly

According to brand identity prism, there have 6 point to analysis the brand image. In the internalization factor, the personality of COS wants to project a simple, neutral and modern style, they also want to promote a minimalism style, it not only is a fashion style, it also is a lifestyle. The culture of the brand is simple and minimalism, the interior design also apply

this culture. The self-image of them is professional, simple, functional and make the customer feel comfortable and confidence when they are wearing the clothe, the brand is same with the target customer, the target customer mainly is career lady they want to be more professional and the clothes canwear daily life and work, the


Prism Personality Simple Neutral Modern style Culture Internalization

Minimalism Simple Lifestyle

Self-image Professional Simple Functional

clothes of COS is also make customer feel comfortable to wear and make them feel confidence. In the externalization factor, the physique of COS is more focus on silhouette, since COS attract many career ladies to buy. The design in the store also is simple. COS is an absolutely minimalism brand. The customer relationship of COS is customer-focused, the design is

related to art piece and nature. Even COS don’t have many promotions, but the customer also loyalty to them. The customer reflection of COS is very strong, most of them will shop in COS in monthly, because COS just promote their concept or some photo on social media, so the customer need to shop in store or visit the official website.


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Fig 14 The COS magazine


Strength In the strength, COS has a clear brand identity, so the brand image also is very clear. The products of COS also are high quality, it can make the customer willing to spend money to buy the products. In the Hong Kong market, COS is very suitable for Hong Kong, it can match the situation of Hong Kong. The trend of this a few years also is minimalism, so COS have a good business environment. Moreover, H&M also is a strength of COS, H&M have many experiences to operate a fashion company. In the H&M group, only have the one collection is minimalism style, so H&M can spend many sources to COS, it is an advantage. The behavior of target customer also is the strength of COS, they are very loyalty to COS.

Weakness In the weakness, COS don’t have too much advertising, it they can do some event or advertising to promote their brand. It can attract more customer.


Opportunity In the opportunity, COS have a clear brand identity, so they can develop more products. Minimalism is a style, it can use on daily life and life style, so COS can open a coffee shop or book store, to promote more about minimalism and COS. In addition, COS also can hold some event is about COS, like the workshop, to let the customer know more about COS. The H&M don’t have this type of event to promote the brand, so if COS do this, it can deepen the brand image.

Threats In the threats, COS is a minimalism brand. Although nowadays the fashion trend is minimalism style, if the trend is change it is a threat of COS, so COS need to do something to let the customer know they are selling a lifestyle is not only buying clothes. Moreover, Hong Kong has many competitors in current market, they also have fame in foreign country.


Fig 15 The COS building in Sydney


Part 3: Market Targeting


Market Segmentation In COS, there have many types of customer, even though they have a same style or same income, they also have different lifestyle, purchasing power, social-economic group.

Table 03 The segmentation of COS customer


Target Market Base on the market segmentation, the target market of COS will follow the choose the second group which is the women the age around 25-40 and the career is career lady or related to design. They also are the main customer in third group and this is a concentrated marketing. Because they are having a big purchasing power, also they are the most loyalty target group of COS, if COS release the new product can match to their psychographics and behavior. They will


Market


Positioning The positioning map is comparing the price and the brand identity, the brand identity of COS is clear, and COS is very unique. Compare with other brand, COS is the top of the brand identity. The price of COS also is affordable. In those competitors, the price of COS is middle. Cos is cost-effective.

The product types in COS is the most, COS has womenswear, menswear, Kids wear and babywear, the category is deep. All the product also in same style. In all the competitors, COS is the most popular, since they have a clear brand identity and costeffective. The style is very match to Hong Kong market.


Fig 16 Himlatrappan by Gert WingĂĽrdh, 2013


Part 4: Marketing Strategy


Marketing goal

In conclusion, COS is mature in its area. COS can do more to improve the brand, to catch more customer in the target. In this stage, COS can develop a new product line. It can match more target customer, also can enhance the inherent customer shopping frequency. The new product line can blend in with daily life.


Marketing Mix

Fig 17 The outfit


Product In COS, there have womenswear, menswear, Kids wear and babywear. They have good enough in the fashion industry, but COS is not just selling clothes they also selling a lifestyle and concept. In recent year, COS also started selling lifestyle product.

The new product is set up a tea shop call ‘COS TEA’. The main product in ‘COS TEA’ is organic herbal tea. In the target customer, they have many stresses and also focus on their healthy. The organic herbal tea can make them feel relax and most of the herbal tea also have medical efficacy. Like Jasmine tea can reduce the anxiety and Rose tea can have a beauty efficacy. The herbal tea also is a new trend in Hong Kong. In past decade, Hong Kong have many Café and the handmade drink shop. But nowadays, there have some herbal tea shop started in Hong Kong.


Product The source of the herbal tea also is the problem the customer concern, but it is organic and does not have any pesticide, the customer can feel free to enjoy the tea. It is matching the target market, also match the concepts of COS which is come from nature.

The brand life cycle of ‘COS TEA’ is introduction stage, there will sell 5-7 types of organic herbal tea first, because the new product needs to focus on the main product. The tableware like the cup and tray will use from the COS selling. It can attract people to buy or the lifestyle products. In the next stage is growth, it will add more types of tea and selling the special flavor of bread.


The Design of COS TEA

The floor plan of COS TEA


Price The price of the herbal tea is around 470ml. The price is around HKD $35-40. This price is according to the CHECK CHECK Cin which is a shop selling a medical efficacy drink, the price is around HKD $28-35. The ‘COS TEA’ will near the COS so the customer also have a big purchasing power, the price set on HKD $35-40 is reasonable to them.

Fig 19 The life product of COS


Place The place of ‘COS TEA’ will open near the COS. Since the target market of ‘COS TEA’ is the inherent customer, the advantage of shop near the shop is they can drink a tea after shopping, or if they want to drink a tea they can go to COS to shop, it can enhance their shopping frequency Moreover, at the introduction stage if the shop too far to the current shop, it will reduce the interest of the customer. The first store will open in Central which is on the Queen's Road. There have many offices near the COS, when they feel stress they can buy a tea then keep the energy to facing the work. There also have many tourists, it also can attract them.


Promotion 1. PR event + Social media The PR event of COS is holding a grand opening on the opening day. On that day, if any people purchase in ‘COS TEA’, then they can get a reusable bag, the quota is 100. Since the tote bag of COS is almost HKD $300-$400, the design and reusable bag is similar with the tote bag, it can attract the people to visit the ‘COS TEA’. On the bag, there have a big logo, it also can promote the brand. This event will promote on COS Facebook fan page. Because COS only have one international fan page and all the event and information also will post on that fan page.


COS TEA Grand opening

Date : 01/06/2019 Time : 14:00 Place : The Pottinger, 73 Queen's Road Central, Central

Give Away Purchase a cup of tea, get a reusable bag


Promotion 2. Instore event Since COS always hold some event, lecture and pop-up store, their target customer is more focus on experience. So, the instore event is set up a booth instore and let the customer try the product of ‘COS TEA’, to attract them to purchase in future and also the customer can have a feedback to ‘COS TEA’. The feedback is very useful to develop in future. The period of the instore event is around 2 weeks, 2 weeks is enough to promote the new product line to the inherent customers.


Ingredient

Leaflet

Herbal Tea Machine


Promotion 3. Leaflets


The leaflet will put on the cashier and the instore booth, the leaflets is let the customer to know the product detail, it can deepen the impression of ‘COS TEA’. The leaflet is following the minimalism style, it can attract the people who love that style.


Part 5: Implementation Timeline


Implementation Timeline

Jan-19

Feb-19

Mar-19

Apr-19

May-19

Jun-19

To know the herbal tea market Prepare to establish the 'COS TEA' Instore event/booth Hand out the leaflet Post the grand opening event on the social media Analysis the instore event/booth feedback Start relase 'COS TEA'

Table 04 Implementation Timeline of COS TEA

In the first month, COS need to know the herbal tea market first, because it is a new product of COS and also is a new trend in Hong Kong. In the second month, COS can start to prepare to establish ‘COS TEA’, In the fourth month, it needs to know the market it is match to the research, so the instore event will start in late April, there also will hand out the leaflet and let the customer know more about ‘COS TEA’. After the instore event, it will collect many feedbacks, analysis the feedback is useful in the ‘COS TEA’ development. In May, the grand opening event will post in COS Facebook fan page and Instagram. In June, COS TEA will release in the market. In the first day, there will have a grand opening, when the customer purchase in ‘COS TEA’, then they will have a reusable bag as a gift.


Fig 18 The leather hat of COS


Conclusion

To conclude, allover all COS is good and strong brand, they also have many opportunities to make the brand better. COS also have many potentials to develop. So, COS can do more in Hong Kong to promote the brand. COS is suitable in Hong Kong market, it is the key success factor. COS should be using the source of H&M to improve the brand.


Reference and Bibliography


Reference and Figure No. Fig 01 The outfit of COS COS, (2018). [image] Available at: https://www.cosstores.com/en_gbp/index.html [Accessed 31 October 2018]. Fig 02 The detail of the sweater COS, (2018). [image] Available at: https://www.cosstores.com/en_gbp/women/womenswear/knitwear/product.relaxed-jersey-sweatshirt-blue.0718320002.html [Accessed 31 October 2018]. Fig 03 The outfit of COS COS, (2018). [image] Available at: https://www.cosstores.com/en_gbp/women/new-arrivals/product.cotton-poplin-collar-white.0736244001.html [Accessed 31 October 2018]. Fig 04 COS Buildings Cheongdam, Seoul COS, (2018). [image] Available at: https://www.cosstores.com/en_gbp/explore/cos-buildings.html [Accessed 31 October 2018]. Fig 05 Faux by Isabel Yellin artsy, (2018). [image] Available at: https://www.artsy.net/artwork/isabel-yellin-faux [Accessed 31 October 2018]. Fig 06 Kivik Art Museum COS, (2018). [image] Available at: https://www.cosstores.com/en_gbp/explore.html [Accessed 31 October 2018]. Fig 07 The earrings COS, (2018). [image] Available at: https://www.cosstores.com/en_gbp/women/new-arrivals/product.abstract-stud-earrings-silver.0652496001.html [Accessed 31 October 2018]. Fig 08 The location of COS COS, (2018). [image] Available at: https://www.cosstores.com/en_gbp/store-locator.html [Accessed 31 October 2018]. Fig 09 The men customer Author’s Own Source Fig 10 The foreign customer Author’s Own Source Fig 11 The local customer Author’s Own Source Fig 12 The gross profit of H&M H&M. 2018. Fashion and quality clothing at the best price | H&M GB. [ONLINE] Available at: https://www2.hm.com/en_gb/index.html. [Accessed 31 October 2018]. Fig 13 The dress of COS COS, (2018). [image] Available at: https://www.cosstores.com/en_gbp/women/dresses/product.tie-up-wool-wrap-dress-dark-grey-melange.0701529001.html [Accessed 30 October 2018]. Fig 14 The COS magazine COS, (2018). [image] Available at: https://www.cosstores.com/en_gbp/explore.html [Accessed 30 October 2018]. Fig 15 The COS building in Sydney COS, (2018). [image] Available at: https://www.cosstores.com/en_gbp/explore.html [Accessed 30 October 2018]. Fig 16 Himlatrappan by Gert Wing rdh, 2013 COS, (2018). [image] Available at: https://www.cosstores.com/en_gbp/explore/things/architecture/kivik-art-centre.html [Accessed 30 October 2018]. Fig 17 The outfit COS, (2018). [image] Available at: https://www.cosstores.com/en_gbp/explore/magazine-aw18.html [Accessed 30 October 2018]. Fig 18 The leather hat of COS COS, (2018). [image] Available at: https://www.cosstores.com/en_gbp/women/accessories/product.circle-leather-coin-purse-black.0712905001.html [Accessed 25 October 2018]. Fig 19 The life product of COS COS, (2018). [image] Available at: https://www.cosstores.com/en_gbp/COSxHAY.html [Accessed 25 October 2018]. Fig 20 The influencer in Hong Kong instagram, (2018). [image] Available at: https://www.instagram.com/hannachanx/?hl=zh-hk [Accessed 25 October 2018].


Fig 21 The influencer in Hong Kong instagram, (2018). [image] Available at: https://www.instagram.com/angela.yuen/?hl=zh-hk [Accessed 25 October 2018]. Table 01 Compare COS and the competitor Author’s Own Source Table 02 The brand under H&M Author’s Own Source Table 03 The segmentation of COS customer Author’s Own Source Table 04 Implementation Timeline of COS TEA Author’s Own Source COS - cosstores.com CA. 2018. COS - cosstores.com CA. [ONLINE] Available at: https://www.cosstores.com/ca/en/. [Accessed 25 October 2018]. giordano ladies Official Website. 2018. giordano ladies Official Website. [ONLINE] Available at: https://www.giordanoladies.com. [Accessed 25 October 2018]. Massimo Dutti HONG KONG SAR | 香港特別行政區. 2018. Massimo Dutti HONG KONG SAR | 香港特別行政區. [ONLINE] Available at: https://www.massimodutti.com/hk/. [Accessed 25 October 2018]. agnès b. official site. 2018. agnès b. official site. [ONLINE] Available at: https://www.agnesb.com/dispatch. [Accessed 25 October 2018]. Medicalinspire.com. (2018). 【以花入茶】5款常見花茶有何功效?減壓、消炎、降血 壓皆可。. [online] Available at: https://medicalinspire.com/web/posts/19960 [Accessed 5 Nov. 2018]. Bhasin, H. (2018). 4 types of Market segmentation and how to segment?. [online] Marketing91. Available at: https://www.marketing91.com/4-types-market-segmentation-segment/ [Accessed 5 Nov. 2018].

Bibliography

Pinterest. (2018). Pinterest. [online] Available at: https://www.pinterest.com [Accessed 5 Nov. 2018]. 香港01. (2018). COS推出10週年限量男女裝系列 再次體會「簡約」時裝的應有質感. [online] Available at: https://www.hk01.com/知性女生/69411/cos推出10週年限量男女 裝系列-再次體會-簡約-時裝的應有質感 [Accessed 4 Oct. 2018]. 香港01. (2018). COS中環新店開幕 品牌發言人大談「民主式時裝」. [online] Available at: https://www.hk01.com/好生活/20172/cos中環新店開幕-品牌發言人大談-民主 式時裝 [Accessed 20 Oct. 2018]. The Economic Times. (2018). Segmentation - What is Segmentation ? Segmentation meaning, Segmentation definition - The Economic Times. [online] Available at: https://economictimes.indiatimes.com/definition/segmentation [Accessed 3 Nov. 2018].


Appendix







First Interview Name: Iris Yau Occupation: Career lady Income: 20000 – 25000 Family Status: Single

Name: Winnie Cheung Occupation: Sales Income: 25000-30000 Family Status: Single

Q: Do you like COS? A: Yes.

Q: Do you like COS? A: Yes

Q: Do you always shop in COS? A: Yes, because my office is close to COS, I will walk in COS when I was lunch time and sometimes I will buy top or skirt.

Q: Do you always shop in COS? A: Not often

Q: How often you will purchase in COS? A: May be monthly or two months. Q: How much you will spend in one time? A: HKD 500 – 1500 Q: What attract you to buy COS? A: The silhouette is simple, easy to mix and match, can wear every time. Q: About your daily life, what is your hobby? A: When I was free I will bake or cook, I want to make myself more health, I don’t want to eat outside.

Q: How often you will purchase in COS? A: Half year per once Q: How much you will spend in one time? A: HKD 1500-2000 Q: What attract you to buy COS? A: I love the simple colour clothing, the colour of COS is very simple. Q: About your daily life, what is your hobby? A: I will go to gathering with my friend. Name: Flora Wong Occupation: Teacher Income: 25000-30000 Family Status: Single Q: Do you like COS? A: Yes

Name: Helen Mo Occupation: Interior Designer Income: Not convenient disclosure Family Status: Married Q: Do you like COS? A: No Q: How do you feel the brand image of COS? A: I know that brand, but I never walk in, this is my first time. The brand is quite simple.

Q: Do you try to buy COS? A: No, COS is not matching my style.

Q: Do you always shop in COS? A: Yes Q: How often you will purchase in COS? A: Two week to one month. Q: How much you will spend in one time? A: $500-$1000 Q: What attract you to buy COS? A: Since I am a teacher, can’t wear to over to school. But the cloth of COS has many detail, so I like COS, it can make me feel confidence.


Q: About your daily life, what is your hobby? A: I will go to do yoga, it can keep my body keep slim and make me feel health. Name: Emma Wong Occupation: Teacher Income: 25000-30000 Family Status: Married/No child Q: Do you like COS? A: General Q: Do you always shop in COS? A: I will go with my sister (Flora Wong), some time I will purchase. Q: How often you will purchase in COS? A: Maybe Monthly or more than one month. Q: How much you will spend in one time? A: Around $500 Q: What attract you to buy COS? A: Some of the clothe is quite beautiful. Q: About your daily life, what is your hobby? A: I will go to do yoga with my sister (Flora Wong), sometimes I will do water sports in summer.


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