FashionFaced
x
art basel
p o p-u p s h o p 1 1/ 2 1/ 20 1 5 - 1 2/ 1 5/ 20 1 5 m i a m i b e a c h , f lo r i d a
PR EPA R ED BY:
11/ 21/ 2015 - 12/15/2015 fashionfacedxartbasel.com 678.555.2100
SANI A THARANI CHAMPAGNE DI XON TA DRI A ALLEN MEGHA SHARMA N OVE M BE R 1 7, 201 4
SECTION TITLE |
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TA B L E O F C O N T E N TS E x e c ut i v e S u m m a ry
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Business Overview Critical Success Factors The Management Team The Market Financial Plan
M a n a g e m e nt P l a n
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Business Structure Management Team Management Compensation Personnel Compensation Key Advisors/Directors Communication Governmental Approvals
M e rc h a n d i s i n g / P r o d uct P l a n
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Merchandise/Product Description Unique Characteristics Proposed Lines Proprietary Aspects Six-Month Merchandise Plan Merchandise Assortment Market Trips Markup/Markdown Policies
B r ic k a n d M o rta r L o c at io n P l a n
Overview Internet Strategies Online Marketing Strategy Web Development and Hosting Costs Buying and Shipping Methods Future Features
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Industry Profile Market Economic Factors Market Analysis Summary Market Needs Customer Profile Future Markets Competitive Analysis Competitive Advantage Pricing Pricing Strategy Price List Pricing Policies Market Penetration Brand Strategy Advertising and Promotion Sales Strategy Publicity Promotional Events Evaluating Marketing Efforts
F i n a nc i a l P l a n
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Sales Forecast Cash Requirements Break-Even Analysis Projected Financial Statements Monthly Cash Flow Statement Year-End Income Statement Year-End Balance Sheet Ratio Analysis
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Physical Location Location Features Target Market Considerations Leasehold Improvements Other Location Costs Signage
W e b P l a n S u m m a ry
M a r k et i n g P l a n
R eta i l O p e r at io n s
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Reporting Policies Staffing Levels Hours/Days of Operation Inventory Control Security Systems/Shrinkage Control
26 Ap pen dix
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COVER LETTER |
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COVER LETTER| kevin kn aus 1 6 0 0 p e ac h t r e e st nw at l a nta , g a 3 0 3 0 9
Dear Mr. Kn aus,
T h i s l et t e r e nc lo s e s o u r p r o p o s a l f o r F ac e d F a s h io n x A rt B a s e l .
O u r b u s i n e s s i s a p o p u p s h o p w i t h i n t h e A rt B a s e l e v e nt . T h e c o nc e pt b e h i n d F ac e d F a s h io n x A rt B a s e l i s to p r o m ot e n e w a n d u pc o m i n g fa s h io n d e s ig n e r s f r o m a r o u n d t h e wo r l d . W e h av e c a r e f u l ly s e l e ct e d e ac h d e s ig n e r w h o h a s a v i s io n f o r t h e f ut u r e w i t h i n t h e fa s h io n i n d u st ry a n d h a s t h e p ot e nt i a l to g r ow w i t h t h e c u sto m e r b a s e w e a r e at t r act i n g a n d i nv i t i n g . F ac e d F a s h io n i s a g r e at p l at f o r m w e h av e d e s ig n e d to h e l p t h e s e d e s ig n e r s g et n ot ic e d a n d c r e at e b r a n d awa r e n e s s f o r e ac h i n d i v i d u a l .
T h e b u s i n e s s p l a n stat e s d eta i l e d i n f o r m at io n a b o ut F ac e d F a s h -
io n i nc lu d i n g sto r e s et - u p , lo c at io n , m e m b e r s i nvo lv e d i n t h i s p r o c e s s , p r o m ot io n a l m et h o d s , f i n a nc i a l s a n d r eta i l o p e r at io n s .
T h a n k yo u f o r yo u r c o n s i d e r at io n a n d w e a r e lo o k i n g f o rwa r d to yo u r r e p ly .
S i nc e r e ly , San ia Tharan i, C h a m pa g n e D i xo n , Ta d r i a A l l e n Megha Sharma
F a s h io n fac e d , m i a m i b e ac h , f l
FashionFaced
x
art basel
popup shop
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EXECUTIVE SUMMARY |
ex e c ut i v e s u m m a ry
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written by: SANIA THARANI
EXECUTIVE SUMMARY |
BUSINESS OVERVIEW
Fashion Faced x Art Basel will be a four-week brick-and-mortar
pop-up shop located at Art Basel Miami Beach 2015. The store will be an apparel and accessories retail partnership among Sania Tharani, Tadria Allen, Champagne Dixon, and Megha Sharma. The merchandise will be curated throughout the four weeks, providing a rotation of products from five up-and-coming fashion designers hand-picked from across the globe. Each week (or every two weeks, depending on individual collections), new merchandise will be available for purchase at Fashion Faced.
The Art Basel community has been selected for this particular
business because of its firmly rooted foundations in the promotion of new artists. Just as the entirety of the event that is Art Basel creates a culture to develop art across international audiences, Fashion Faced will create a similar culture in fashion that is sure to be receptive among the consumer market present at Art Basel.
The business partners themselves will carefully select all
merchandise from each fashion designer’s own collections. Designers will be under contractual agreement that none of their pieces will be sold to a retailer or to the mass market until the closing of the pop-up shop. This will create exclusivity and a limited opportunity to witness and purchase the early works of the future leaders of the fashion industry.
Fashion Faced x Art Basel will have a mission to promote some
of the finest young fashion designers in the categories of menswear, womenswear, and unisex fashion. The business will be located in the South Beach area of Miami, between Collins Avenue and Ocean Drive, and will operate from November 21-December 15, 2015, seven days a week. Hours of operation will be as follows: for November 21, 8 PM-1 AM. Beginning November 22 during Art Basel, full hours 9 AM - 5 PM, weekends 5-9 PM, weekdays 12 PM - 5 PM.
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EXECUTIVE SUMMARY|
CRITICAL SUCCESS FACTORS
○ Carry an assortment of garments to cater to a range of
personal fashion styles. ○ Create a temporary retail space that promotes emerging
talent in the fashion industry and earns fashion a place at Art
Basel every year.
○ Provide customers with knowledge of up-and-coming fashion
designers and their signature aesthetics. ○ Implement strategies for stock turnover that will
guarantee constant newness and a reason for frequent
customer return.
THE MANAGEMENT TEAM
Each member of the management team will provide expertise
knowledge from studying, analyzing, and evaluating her individual field that will contribute the success of the business.
Chief Merchandising Officer Sania Tharani will study trends
and the target market to determine the best fashion designers to showcase and promote at Fashion Faced x Art Basel. Sania will curate the rotation of merchandise to keep a constant flow of newness and encourage repeat customers through a range of product styles. She will ensure that purchase orders are sufficient for consumer demand and will also keep the floor stocked and provide excellent customer service in the event that merchandise is no longer available.
Chief Marketing Director Tadria Allen will utilize her
knowledge of business strategies to best reach our target audience. She will define the customer profile as well as the competitive market and analyze the needs our business has the potential to fulfill. She will know how to advertise to this consumer base and what promotional strategies can be implemented within our budget constraints.
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EXECUTIVE SUMMARY |
Chief Operations Officer Champagne Dixon will essentially be
the manager of the pop-up shop. Her experience in staffing stores and managing employees will provide Fashion Faced with the necessary tools to be a successful customer service-oriented retail shop.
Chief Financial Officer Megha Sharma will predict sales forecasts
and manage budgeting to ensure successful business. She will manage expenses and seek sponsor, as well as distinguish each entrepreneur into titles in order to run the business as a well-trained executive team.
THE MARKET
Because of its setting and nature of Fashion Faced, both the art
and fashion industries will be studied to evaluate business strategies. In recent months, the merging of art and fashion has been more present than ever before. Fashion designers are pairing up with artists for collaborations and the market is just absorbing all of it up. The time is right to bring to light to these talented new designers.
FINANCIAL PLAN
The biggest cost in the start-up of this business will be finding
a retail space in Miami Beach in the midst of Art Basel 2015. Retail spaces go for upwards of $25,000/month. This includes rent, electric, and water. The space itself will come bare, so fixtures will need to be purchased and installed. Merchandise for the business will not be purchased but instead will be provided by the chosen designers on the agreement that Fashion Faced is promoting their brands for free at one of the most highly-anticipated, popular, and largest events in the art and creative world. Furthermore, a portion of the profits from the showcased pieces by each designer will go back to them for the support and development of their new careers in the fashion industry.
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EXECUTIVE SUMMARY |
Approximately $60,000 will be needed in the start-up of Fashion Faced
x Art Basel. Sales projections will be as follows for each designer: Wesley Berryman at $66,800, Elaine Luui at $47,600, JD Noble at $33,800, Azede JeanPierre at $161,600, and Calcattera at $65,200. The team of entrepreneurs will each individual contribute $5,000. Additional funding will be secured via a Kickstarter campaign, with anticipated crowdsourcing coming in at $10,000. Moet will sponsor the Opening Night Launch Party, providing catering and a wait staff.
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MANAGEMENT PLAN |
M A N AG e M E N T P L A N
written by: MEGHA SHARMA
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MANAGEMENT PLAN |
Fashion Faced x Art Basel will be owned and managed by four
individuals: Sania Tharani, Tadria Allen, Champagne Dixon, and Megha Sharma. The business structure will be a partnership amongst the four of us.
Fashion Faced will be small in size, in physical space and
inventory, but also in staffing. As we are focusing mainly on quality over quantity, we do not require a working staff. The four partners will be running and simultaneously working the shop. This strategy will lower the cost of operations while maximizing profits.
Our management team will include the four partners, each
responsible for a different department within the business. Champagne Dixon will be Chief of Operations. She will handle web planning and retail operations, with responsibilities that will encompass managing internet and online marketing strategies, web developing, costs, buying and shipping methods, and future features. Furthermore, she will be responsible for reporting policies, implementing the hours or days of operation, inventory control, and security systems and shrinkage control.
Megha Sharma will assume the position of Chief Financial Officer,
with additional duties overseeing the management team, including their compensation. Acquiring key advisors and directors will initially be under her duties; however, this team will be finalized as a group decision with all of the partners. Sharma’s CFO responsibilities will include predicting the sales forecast and cash requirements, producing and analyzing the breakeven chart and calculations, and any other financial projections.
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MANAGEMENT PLAN |
Sania Tharani will be Chief Merchandising Officer of Fashion
Faced. Her responsibilities will be managing and handling products and merchandise, including developing assortment lines and finalizing the merchandise collection that will be displayed at the pop-up shop. She has taken the opportunity to work out the merchandise plan and is in charge of organizing the market trips for this event.
Lastly, Tadria Allen, Fashion Faced’s Chief Marketing Officer,
will finalize the location for the pop-up shop, as well as handle marketing and promotions of Fashion Faced x Art Basel.She will tactfully target our customer base while simultaneously working to appeal to new potential customers.
Other than the four partners, we will have one tailor onsite
through out the month. They will be taking the measurements of any customer who decides to make an order out to the designer for a piece.
Each partner will receive equal parts of the final profits, which
will be 24.5%. The tailor will be receiving the remaining 2% of the profits.
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MANAGEMENT PLAN |
Our key advisors will be Mr. Kevin Knaus, creative strategist,
retail advisor, trend forecaster, and fashion marketing and management professor at the Savannah College of Art and Design. Our second advisor will be Mr. Walter Fulbright, retired entrepreneur and business management professor at the Savannah College of Art and Design. Rounding out our advisors will be Andrina Brunner, VIP Relations Assistant of Art Basel. She will help us bring in VIP guests for our launch party and help us promote our designers.
At the end of closing, each member will complete a daily report
for their respective departments. This will help track the progress of sales and any changes and improvements which may have to be made the next day. A weekly meeting will take place every Sunday before the store opening. All major decisions will be made as a team, but the department head can resolve any individual, departmental conflicts.
The only approval required for this event will be a liquor
license for the launch party. This will be filled out, signed, and approved two months prior to the event with a fee of $25.00.
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MERCHANDISING AND PRODUCT PLAN |
m e rc h a n d i s i n g a n d p r o d uct p l a n
written by: SANIA THARANI
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MERCHANDISING AND PRODUCT PLAN |
MERCHANDISE/PRODUCT DESCRIPTION
Fashion Faced x Art Basel showcases womenswear, menswear, and
unisex apparel and accessory lines from select new and emerging fashion designers. Among the designers chosen for the pop-up shop are Wesley Berryman, Elaine Luui, JD Noble, Azede Jean-Pierre, and Calcaterra. (See appendix for each designer’s lines.) The products available for sale have all been picked to be the best of each designer’s collections, with their full lines available for purchase via the Fashion Faced website.
Just as Art Basel’s intent is to familiarize the target market
with the next generation of great artists, Fashion Faced aims to further these new designers’ market penetration by granting them exposure to some of the creative world’s most powerful influencers and trendsetters.
graduate, is the mastermind behind beautifully constructed
unisex outerwear. Black neoprene coats are his signature.
○ Elaine Luui, also a SCAD Atlanta graduate out of Hong
Kong, is a menswear designer known for her ability to
manipulate prints and create wearable tech.
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○ Wesley Berryman, a Tennessee native and SCAD Atlanta
○ JD Noble, yet another SCAD graduate, brings culture into the mix with her colorfully printed womenswear.
○ Azede Jean-Pierre, based out of New York City, studied at
SCAD Atlanta before launching her own line in 2012. Her
womenswear balances fashion with art and constantly pushes
innovation to the next level.
○ Calcaterra, namesake label of Daniele Calcaterra, is a
womenswear and unisex label known for its avant garde
apparel in stark white, differentiated by fabrication and
texture.
MERCHANDISING AND PRODUCT PLAN |
UNIQUE CHARACTERISTICS
Fashion Faced x Art Basel is a completely exclusive pop-up shop
that carries fashion merchandise not available to the general public in mass markets. Each piece has been hand crafted and designed by the very name on the label. We have carefully curated the designers to represent the best of the upcoming generation.
The opportunity for attendees of Art Basel to purchase these
exclusive items at the beginning of these talented designers’ journeys is very rare and secures relationships with the brands that will soon be dominating the fashion industry. The target market of Art Basel Miami Beach alone is unique in that it is an event accessible only to those with tickets. We believe that this audience of art enthusiasts will appreciate the new labels of apparel for the sake of design rather than name.
In addition, prices have been adjusted to provide seed money to
the fashion designers in the startup of their careers in the industry, essentially giving Fashion Faced an enetrepreneurial spirit and giving back to the emerging fashion community.
PROPOSED LINES
Fashion Faced will carry five primary designer apparel lines, with
secondary accessory lines from the same names. These vendors share a few characteristics in common, aside from the obvious that they are fashion designers in the early years of their careers: forwardthinking designs that show something different from what is being seen right now and a higher standard of construction with an affinity for quality materials and design being among those characteristics.
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MERCHANDISING AND PRODUCT PLAN |
Each vendor does cater to a slightly different customer, such as
those with unisex tastes, minimalist style, effortlessly cool vibes, or a more avant garde sense of fashion.
Merchandise will be acquired directly from the fashion designers
themselves on the basis of consignment, as a portion of profits will be given back to the designers. Our team of entrepreneurs will travel to each designer’s studio four months prior to the opening of the pop-up shop to view existing collections and pieces and write purchase orders for the pop-up shop with styles desired in sample sizes.
Once the designer receives purchase orders, sample sizes will be
produced be the designer himself/herself and delivered to our office address in Atlanta, Georgia. All shipments will need to be received three weeks prior to the opening of the pop-up shop on November 21st.
P R O P R I E TA RY A S P E CTS
Fashion Faced will carry original designs. Prior to writing
purchase orders, contractual agreements for consignment and exclusivity must be made giving the pop-up shop rights to merchandise until the close of its four-week period.
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MERCHANDISING AND PRODUCT PLAN |
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MERCHANDISING AND PRODUCT PLAN |
M E R C H A N DI S E A S S O R T M E N T The merchandise classification breakdown will be as follows:
APPAREL: Unisex
:
40% Tops and outerwear
Womenswear:
15% Skirts, dresses, tops
Menswear:
15% Pants and shirts
Outerwear:
20% Jackets, coats, and vests
ACCESSORIES: Accessories
10% Hats. bow ties, and collars
MARKET TRIPS
Market trips for purpose of acquiring merchandise on a
consignment basis for the pop-up shop will only be made to the five fashion designer’s personal studios. The expenses for these trips will vary based on travel time and distance. Two business partners will go to each designer and write purchase orders, for a total of 10 trips (five designers, two buyers for each trip).
Berryman, Jean-Pierre, Calcaterra are based in New York City; JD
Noble in Atlanta and Luui in Hong Kong. The cost of travel for these trips will be personally expensed and made 3-4 months prior to the opening of Fashion Faced x Art Basel.
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MERCHANDISING AND PRODUCT PLAN |
M A R K U P / M A R K D OW N P O L I C I E S
Markups will be determined based from the designer’s retail price
with a 80% markup. The original retail price will go back into the fashion designer’s pocket, with the markup money covering the popup shop’s expenses and generating profit. Prices are reasonable as the target market attends one of the most prestigious events of the creative world. Celebrities, art collectors, curators, entertainers, and the elite influencers attend and support Art Basel. This being said, Fashion Faced’s markup policy is justified in that the market can comfortably consume the merchandise.
Markdowns will not be taken as Fashion Faced will only carry
sample sizes in store for customers to try on and put in purchase orders. This eliminates unnecessary expenses for the designers. Thus, there will be no need to move product out of stock for inventory sake. We will, however, offer discounts for special promotions.
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BRICK AND MORTAR PLAN |
b r ic k a n d m o rta r / lo c at io n p l a n
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written by: TADRIA ALLEN
BRICK AND MORTAR PLAN |
P H YSI C A L LO C AT IO N Our physical location will be Flamingo /Lummus Miami Beach, Florida.
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BRICK AND MORTAR PLAN |
LO C AT IO N F E AT U R E S
Fashion Faced will be located on the Miami beachfront on Collins
Avenue, two blocks from Ocean Drive and in the heart of Miami Beach. Features within the store for customer convenience will be an ATM, bike/scooter stations, and security.
Inside Space: •Lighting
•Fitting rooms
Space Features: •Bathrooms •Heating •Electricity
•Air conditioning
•Security system
Outside Space:
•Wifi
•Handicap accessible
TA R G E T M A R K E T C O N SI D E R AT IO N S
The location of the pop-up shop will make it easily accessible
via walking and biking. Nearby attractions for our guests include local coffee and tea shops, gourmet restaurants, and an outstanding view of the beachfront. It also close to the Miami Beach Convention Center where Art Basel will primarily be located.
Store hours are also adjusted to accommodate for the Art Basel
attendee and our customer to be able to shop when they have free time.
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BRICK AND MORTAR PLAN |
L E A S E H O L D I M P R OV E M E N TS
Not many improvements are needed due to the location already
being fit for our target market. The size and color are what we feel could be an asset to the shopping experience - a small, white walled and wooden floored space with minimal decor.
Fitting rooms and restrooms are already built into the pop-up
shop space we are renting, eliminating any added expenses for those measures.
OT H E R LO C AT IO N C O STS
The polishing of floors and cleaning of restrooms will be
maintained and expensed at the entrepreneurs’ own budgets, as these are minor costs for cleaning supplies.
SIG N A G E
Signage for Fashion Faced will be very minimalistic and easy to
read. Signs are white with lights to be able to be viewed during out nighttime hours.
Estimated Cost For Signage: $1,500 (20-50% of the total cost when
an order is placed, with the balance due when the sign is delivered.)
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WEB PLAN SUMMARY |
w e b p l a n s u m m a ry
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written by: CHAMPAGNE DIXON
WEB PLAN SUMMARY |
OV E R V I E W
Our domain, www.fashionfacedxartbasel.com, will perform as a
marketing platform to draw in consumers to attend the pop-up shop launching event to purchase one-of-a-kind apparel and accessories and to spread awareness of the emerging fashion designers and their collections. The website will also provide detailed information on the pop-up shop’s overall agenda, location, the days and hours of operation, contact information, and the featured apparel along with detailed information on the designers’ berands.
The website will also provide the option for consumers to sign
up to receive reminders of the pop-up shop launch event and days of operation. Its overall purpose is to be information-friendly and to set the desired tone for the event showcasing it as an exclusive, limited time “you wouldn’t want to miss out” experience by creating anticipation and a “must-go-see” connection between consumers and the event. The website will launch October 21, 2015 one month from the date that Fashion Faced x Art Basel pop-up shop will launch. It will remain active until January 15, 2015, one month after the event is over and all purchase orders have been fulfilled.
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WEB PLAN SUMMARY |
I N T E R N E T ST R AT E GI E S E-Business model- Advertising Model that provides content and services such as the Fashion Faced x Art Basel blog.
www.fashionfacedxartbasel.com format layout will be minimalistic, clean and modern including a primary page also serving as a home page stating the name of the event, the events duration date from start to finish and a visual countdown to when and what time the pop-up shop will launch and then a visual count down to the end.
F E AT U R E D TA B S
○ About: provides a detailed description on the event and its overall purpose and the essential goal
○ View Collections: to preview the featured collections and
the selected apparel that are only being offered at the
popup shop event in look book format and the option to
view each piece individually.
○ Featured Designers: provides a brief bio on the designer and a detailed description on their collection ○ Contact Us: features an active email address and phone number available to assist with any questions or concerns.
○ Blog: navigates directly to the blog
There will also be links that will direct the viewer to the
events social media accounts on Twitter and Instagram to acquire further information and stay updated with Fashin Faced’s progress as an exclusive pop-up shop.
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WEB PLAN SUMMARY |
O N L I N E M A R K E T I N G ST R AT E GI E S
The online target market is a male or female who seeks out and
frequently attends exclusive, artistic events. He/She is very active and interactive on social media and appreciates innovation in design. His or taste level is modern with an affinity for trendy apparel and accessories.
To drive traffic to the website and event, we will use social
media platforms such as Instagram, our website, and Twitter to interact with our online consumer base. We will be creating a hashtag to measure our social media influence. Interesting visuals will be produced to post on social media to keep our conumers engaged and eager to shop the collections. We will also utilize SEO, search engine optimization.
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WEB PLAN SUMMARY |
W E B D E V E LO PI N G H O ST I N G
Domain Name: www.fashionfacedxartbasel.com
The Fashion Faced website will be created with website developer
site Squarespace. Chief Operations Officer Champagne Dixon will create and maintain the website.
C O STS
Designing a website via Squarespace will cost approximately $72
dollars for the span of the three months that our online shop will be active.
B U Y I N G A N D S H I P PI N G M E T H O D S
Buying for the website will fall under the same buying plan as
the physical pop-up shop, meaning that merchandise will not actually be purchased, but rather be on consignment. Any orders made via the website will be sent through the system directly to the designer, who will fulfill orders on a first come, first serve basis.
Shipping of purchase orders will be handled by individual
designers, including cost of shipping, which will be incurred by the customer, just as any other eommerce retailer.
F U T U R E F E AT U R E S
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Designer interviews and customer feedback will be added.
SECTION TITLE |
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MARKETING PLAN |
m a r k et i n g p l a n
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written by: TADRIA ALLEN
MARKETING PLAN |
I N D U ST RY P R O F I L E
We plan on targeting audiences of fashion, art, and music
individuals all around the world. The idea is to showcase emerging designers at Art Basel to promote the next generation of fashion designers. Our target consists those who value quality, exclusivity, and uniqueness therefore, purchasing online within these four weeks will be prohibited with the collections displayed. However, customers are welcome to visit specific designers’ websites, purchase or view other merchandise. The designers’ collections are all different but collectively have a distinct feel of maturity and skill level that our consumers will appreciate.
Our consumers purchase products due
to their value on investing in quality art – in this case fashion – while maintaining a strong perception artist’s growth and beginning the beginning stage.
They are believers of the creative art world and
strongly encourage individuality, expression, and future trends.
M A R K E T E C O N O M I C FA CTO R S
The audience of Art Basel is very diverse in backgrounds and
social class. In this specific Miami area and time, are tourists all around the world who love experiencing new and upcoming artwork.
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MARKETING PLAN |
M A R K E T A N A LYSI S S U M M A RY
The target audience is on regional level with emphasis on local
artists within the collegiate fashion community. The primary target includes fashion forward enthusiasts who have a desire of seeking new art concepts and designs. Demographically, they are within their midtwenties to late forties with steady income in the upper and middle class. Psychographics include target consumers lifestyle being one of flexibility and an income that allows time for travel and shopping. They respect fashion trends and detail with a passion for art in all forms with a great sense of culture and fashion history. They aren’t necessarily trendsetters but fashion analysts who look forward in future trends and creative designs.
Our consumers enjoy the concept
of creative processes and details within fashion. They also take pride in contributing to art that has potential in changing or enhancing new rules of fashion.
MARKET NEEDS
We plan on meeting the needs of our customers by balancing new
art with quality unique designs. We are going to offer some of the best diverse artists’ collections that exemplify fashion forward concepts. There are not a lot of ways new designers out of college can promote their business or designs without it costing a lump sum of money. This opportunity in Art Basel will allow contributors to come be a part of these brands while paying it forward and enjoying luxury fashion goods. Art Basel not having emerging fashion designers prior to will open up a new consumer base that expands the variety of this showcase.
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MARKETING PLAN |
C U STO M E R P R O F I L E
The overall characteristic of our consumers are art and fashion
enthusiast that are excited and welcome innovative designs. They are very open-minded individuals who take fashion, style, and quality seriously. They have a passion for unique styles and partake in any exclusive opportunity. Their buying behaviors are simple: they buy what they like and look at a purchase as an investment and an added addition to their collections. Income of our target market is usually individuals who make around six figures, middle and upper class. We target both male ad female art enthusiast around
the ages of twenty
eight to mid forties. Our customers are those who love travel and will travel when it comes to showcases as well as for a chance to be a part of new millennium fashion.
F U T U R E M A R K E TS
This opportunity will open up doors for the designers to be seen
and showcased around the world. It also will help from a financial stand point for each designer to expand their brand and pay for costs.
C O M P E T I T I V E A N A LYSI S
Our plan is to basically piggyback off designer’s clients already
in place as well as creating a broader clientele for them. Having a featured designer will create enough traffic and buzz for our store that will guarantee profitability just because of the name and the success the designer already holds.
Though this featured just started
in the business as a blossoming designer, the amount of followers and prestige audience she already ha created will allow us to be competitive and ahead of other featured galleries in Art Basel. With names such as Michelle Obama, Solange Knowles,
and Anna Win tour
being an audience of this designer, funding for this event will come easily and with much generosity.
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MARKETING PLAN |
We are the only Fashion Retailor that will be participating in Art Basel as well as the first to implement emerging Fashion Designers. Indirect competitors will be artists with galleries near by. However, we plan to entice our customers with using art in the form of Fashion informing them of the store providing the same efforts as a gallery but with actual art you can wear daily.
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STRENGTHS:
WEAKNESSES:
- Menswear, womenswear, and unisex lines -Quality -Authenticity -Exclusivity -Excellent Customer Service -Exlcusive merchandise -Well-designed and enjoyable retail space -Lifestyle-oriented OPPORTUNITIES:
-First time at Art Basel -No brand reconigition for deigners -Cannot leave walk out of store with a purchase, must wait for shipping of orders
-New designer innovation -Exposure and profitability for designers -Broad international clientele Unique pieces CoDevelopment of consumer/brand relationships
-Art Basel taking all the crowds -Mature buyers not interested in unisex garments -Other boutiques on Ocean Drive
THREATS:
MARKETING PLAN |
C O M P E T I T I V E A DVA N TA G E
Factors included in the chart are the location of our store being
closer to the end of strip, which allows for customers having to walk entirely throughout strip. Company reputation involves us only being in Art Basel introducing designers for the first time however, with customers of their own. Art Basel participants usually advertise the same do to the organization keeping its exclusive feel. Our services provided are one we pride on and that will leave consumers leaving with a full on experience and informative information on new designers that they wont get at other galleries. The designers charge No shipping due to the amount of the garments purchase unless being altered. Quality of each designer resembles one of experience and professionalism that will give our customers a feel of maturity and expertise.
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MARKETING PLAN |
PRICING PRICING STRATEGY
We are revolving our pricing strategy around the development
and beneficial finances that will assist designers on furthering their Fashion careers.
SHORT TERM GOALS
Pricing the garments selected from each designer collection will
fund as well as create a customer clientele for designers to have for future references.
LONG TERM GOALS
Our prices will increase based on the new consumers of Art
Basel participants who are now familiar with the brand will buy more merchandise from selected designers. This results in a broader customer base that will allow for a higher markup and greater selections.
PRICE LIST
Merchandise Pricing will vary depending on the designer. Price
points will be between four hundred and two thousand dollars. Other cost will include shipping, materials, alterations, etc. but has the responsibility of each designer, which will be explained in the contract. NO discounts will be offered during the period of stay in Art Basel.
PRICING POLICIES
Pricing Policies will be solicited based on the designers, which
they will be held accountable for.
Within our Pop Up show customers
will be able to order selected sizes (only one from each size within one purchase). Sales and returns will be up to designers’ discretion outside of the pop-up shop.
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MARKETING PLAN |
MARKET PENETRATION BRAND STRATEGY
The culture includes a diverse, expressive feel with emphasis
on art and Fashion. The atmosphere will allow and welcome personality and positivity and will be exemplified throughout employees, the design and layout of the store.
There will be a distinct display where
professionalism meets detail in regard to customer service: the way an employer approaches a customer, giving them freedom to shop while informing them of designers’ concepts. We want customers to feel comfortable and relaxed with the same feel of walking through an art gallery where one has time to reflect on a design. The aim is for a fresh, innovative approach to every detail within the location that draws consumers in to our overall style that is also explained in each designer’s pieces.
ADVERTISING & PROMOTION
Promotional tactics will include word of mouth and all social
media platforms that are free of charge. Other advertising will include
○ Website:
○ Launch Party:
○ Ad on Art Basel Page:
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MARKETING PLAN |
SALES STRATEGY
The tracking of items sold will be reviewed by designers due to
our pop-up shop only including sample pieces. However to calculating our percentage of sales we will create a excel sheet recording sizes, and styles sold to ensure our profitability is a guarantee.
To provide professional customer service we will greet customers
while giving them space to look around freely. Champagne and water will be compliments of our liquor sponsor Moet. Lookbooks will be presented at each table or section of designers that will include a biographies, concepts, and inspirations drawing the customer closer to each brand. We will have a mixture of light music that will further enhance the customers shopping experience.
PUBLICITY
When soliciting publicity we will heavily rely on social media
and the Art Basel Page. Word of mouth and the clientele each designer already has will also be able to be publicized through their specific fan base. Our featured designer will create the most publicity due to their specific contributions already exhibited in the fashion community.
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MARKETING PLAN |
P R O M OT IO N A L E V E N TS
We will have one promotional event the first day of the pop-
up shop launch. This will include Food, live music, and the chance for shoppers to view the collection first. This will also include appearances from the designers themselves. It will be an informal social able event that will embody what the designers and brands are all about.
(More information included above in Pricing Strategies).
Evaluating Marketing Effort- Marketing efforts will mostly be held through free outlets and kept to a minimum due to the exclusivity we are wanting to portray. Our Most expensive Marketing efforts consist within the promotional launch party in relations to catering, live entertainment, and give ways. We will penetrate the market by spending in increments of a garment sold without exceeding five pieces to ensure money will be made back from the launch party.
E VA LU AT I N G M A R K E T E F F O R TS
Marketing efforts will mostly be held through free outlets and
kept to a minimum due to the exclusivity we are wanting to portray. Our Most expensive Marketing efforts consist within the promotional launch party in relations to catering, live entertainment, and give ways. We will penetrate the market by spending in increments of a garment sold without exceeding five pieces to ensure money will be made back from the launch party.
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FINANCIAL PLAN |
f i n a nc i a l p l a n
42
written by: MEGHA SHARMA
FINANCIAL PLAN |
Our shop is a store within a store, often rented for Art Basel
activities as it is right on South Beach, Florida. The location for 230sqft is nine- thousand and seven hundred dollars. All furnishings will be rented from “S&L Store Fixtures”. We will have a rectangular 3- tier table which will be used to display novelty items and accessories. This will cost us exactly three hundred dollars. We will also need five garment showcase shelves, one for each designer. This will cost us two hundred and thirty-five dollars each, therefore a total of one- thousand one hundred and seventy-five dollars. The shop will require seven pieces of signage in total, one black and white plastic nametag for each designer and two tabletop displays for the designers with accessories. The nametags will be designed based on the designer’s brand and brand name and logo; all in white font on a black background and three-dimensional. Each of these cost fifteen dollars each and the tabletop displays are thirteen dollars each.
For the launch of
Fashion Faced x Art Basel, we will be hosting
an opening event, where Moët champagne and Hors d’oeuvres will be served. This is a one-day event; therefore we are placing an order of ten plates with twenty servings on each plate. This on a whole will cost us a total of one hundred and ninety – five dollars and fifty cents. For drinks we have Moët sponsoring us. They will be providing the champagne and two servers. We will however pay for additional non – alcoholic beverages and tip each server fifty dollars for the evening.
We have purchased a liquor license as well, which is a separate
document for the county in Florida. This is a twenty – five dollar fee.
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FINANCIAL PLAN |
In order to fund this even all four members including Sania, Tadria, Champagne and Megha will be investing three thousand dollars from our personal accounts along with MoĂŤt who is sponsoring us five thousand dollars. Leaving us with a budget of seventeen thousand total.
EXPENSE
COST
TOTAL
Retail Space Fixtures - Table Fixtures - Showcases (x5) Signage - Designer Display
$9,700.00 $300.00 $235.00 $15.00
$9,700.00 $300.00 $1,175.00 $75.00
Plates (x5) Signage - Designer Table
$13.00
$26.00
Top Display Plates (x2) Signage - Outdoor Food Moet - Drinks and Tips Liquor License
$123.00 $19.95/plate $150.00 $25.00
$123.00 $199.50 $150.00 $25.00 $11,773.50
Fashion Faced x Art Basel will be promoting five new and upcoming
designers, including Azede Jean – Pierre, Wesley Berryman, Calcattera, Elaine Luui and JD Nobel.
The shop will hold one item from each style
on display as sample pieces; therefore no purchases on our behalf will be needed. The overall price range for all merchandise is between three hundred and fifty and three thousand dollars.
On the following page is a breakdown of all the merchandise we
will be bringing in at retail price (ascending in order of price and classified by designer).
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FINANCIAL PLAN |
AZEDE JEAN-PIERRE Classification
# of Styles
# of Units/Style
Retail
Pants
2
1
$900.00
Dresses Jackets Hats
2 2 1
1 1 1
$3,000.00 $1,900.00 $1,400.00
TOTAL
7
7
W E S L E Y B E R RY M A N Classification
# of Styles
# of Units/Style
Retail
Outerwear
4
1
$650.00
Pants
2
1
$1,600.00
TOTAL
6
6
Classification
# of Styles
# of Units/Style
Retail
Tops
4
1
$500.00
Skirts Dresses
2 2
1 1
$850.00 $1,200.00
TOTAL
8
8
C A LC AT T E R A
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FINANCIAL PLAN |
E L A I N E LU U I Classification
# of Styles
# of Units/Style
Retail
Jackets
4
1
$700.00
Pants Shirts
1 2
1 1
$600.00 $450.00
TOTAL
7
7
JD NOBLE Classification
# of Styles
# of Units/Style
Retail
Skirts
4
1
$500.00
Tops Accessories
4 12
1 1
$350.00 $110.00
TOTAL
20
20
The evening of the launch we predict the highest sales.
Afterwards, we plan on selling at least two pieces from each designer per week.
If we are able to that we will be making a net profit
of $14,710.00 in sales after our first week; which will allow us to breakeven the first week and making a profit of $3,059.50. All merchandise has been marked up 80%. Below you can see the price sheet for all merchandise costs and their retail prices.
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FINANCIAL PLAN |
47
FINANCIAL PLAN |
B R E A K E V E N A N A LYSI S
As we are playing the role of the middlemen via consignment
between the customers and designers, we do not have a variable cost. The breakeven analysis helps calculate how many units we must sell before covering the costs and making a profit. Given that our spending budget is $17,000.00 and total costs, which are also our fixed costs are $11,773.50, we will immediately start making profits after our first sale.
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FINANCIAL PLAN |
M A N A G E M E N T A N D E M P LOY E E C O M P E N S AT IO N
The management team including Sania, Tadria, Champagne, and Megha
are all equal partners. Profits will equally be distributed amongst the four members. One security guard will be hired to maintain security throughout the space. He will be compensated with 2% of our profits.
If we were to use the sales forecast:
2% of $108,760.00 = $2,175.00
98% / 4 partners = 24.5% each
108,760.00 – 2,175 = $106,585.00
106,585 x 0.245 = $26,113.33
Each member would be making $26,113.33.
Looking back at our total costs, which are $11,773.50, $5,000
is coming from our liquor sponsor, leaving us to pay the remaining of $1,693.38 each. After this expenditure, our final profits will be $24,419.95.
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RETAIL OPERATIONS PLAN |
r eta i l o p e r at io n s plan
50
written by: CHAMPAGNE DIXON
RETAIL OPERATIONS PLAN |
REPORTING POLICIES
Staff meetings will be held weekly to address any issues that
may occur. Policies for reporting will be handled based on department needed to address the issue (i.e. anything in the realm of product assortment would go to Sania).
STA F F I N G L E V E LS
Additional sales employees will need to be hired for the
short durtion of the month.. Staff will consist of the team of four entrepreneurs themselves – Sania, Champage, Tadria, and Megha - as well as one security guard on duty during business hours. To ensure that all customers can be attended to, and for added security, at least two staff members will be working in the store at all times.
H O U R S A N D DAYS O F O P E R AT IO N
Opening Night Launch Party: Saturday, November 21, 2015, 8:00 PM
to 1:00 AM, Monday-Thursday: 12:00 PM to 5:00 PM, Friday-Sunday: 5:00 PM to 9:00 PM
**During the dates of Art Basel, December 4-7, hours of operation
will be 9:00 AM to 5:00 PM.
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RETAIL OPERATIONS PLAN |
I N V E N TO RY C O N T R O L
There will only be sample sizes available in store for each
designer collection. Physical inventory will be taken at the beginning and end of each business day to ensure that no pieces are missing.
S E C U R I T Y SYST E M S / S H R I N K A G E C O N T R O L :
There will be one professional security personnel provided by
Art Basel during the four days of the event stationed at the entrance with a view of persons entering, exiting, and browsing the shop. For the remainder of Fashion Faced’s days of operation, at least two staff members will be in store at all times to reduce risk of theft.
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APPENDIX |
a p pen dix
53
APPENDIX |
FashionFaced
x
art basel
popup shop
54
11/ 21/ 2015 - 12/15/2015
APPENDIX|
W E S L E Y B E R RY M A N
55
APPENDIX |
E L A I N E LU U I
56
APPENDIX |
JD NOBLE
57
APPENDIX |
A Z E D E J E A N - PI E R R E
58
APPENDIX |
C A LC AT T E R A
59
APPENDIX |
60
APPENDIX |
s a m p l e p u rc h a s e o r d e r
61
FashionFaced
x
art basel
popup shop
12 / 21 / 15
miami,florida