Capstone - Linglong Pop Up Store by Tianyi Wang

NegativeSpace Co. Pop up consultancy in China

DISCLAIMER THIS PROJECT IS AN ORIGINAL IDEA AND PROPOSAL BY TIANYI WANG, A FASHION MARKETING AND MANAGEMENT STUDENT AT SAVANNAH COLLEGE OF ART AND DESIGN (SCAD). IT’S FOR PROFESSIONAL PORTFOLIO PRACTICE CLASS TAUGHT BY PROFESSOR PATRICIA ANNE TAYLOR. ALL IMAGES AND INFORMATION PRESENTED IN THIS PROJECT IS ONLY FOR

Table of Contents

EDUCATIONAL PURPOSE.

Introduction

“In the past year, pop-up shops have proliferated on a mass scale. What

III. NegativeSpace x Linglong Pop Up Plan

I. Introduction Pop up market in China

was once a guerrilla strategy that allowed emerging brands to level the playing field has become a mainstream weapon, adopted by everyone from Louis Vuitton to Kanye West.” (BOF)

Nowadays Pop up store has become a popular strategy throughout the

world. But in China, it’s still a starting market. The purpose of this project is to catch the opportunity and develop a pop up consultancy to introduce and grow the Chinese pop up market.

The project will contain two parts. The first part is the creating of the

pop up consultancy aimed to provide strategic planning and services for opening a pop up for local emerging brands not familiar with the pop up strategy and foreign brands who want to enter the Chinese market. The second part of the project is a case study and a pitch for a Chinese emerging APP brand “Linglong”. It will present comprehensive researches and strategies for creating a pop up retail space and experience that correspond with Linglong’s brand image. 2

II. NegativeSpace Co.

Linglong Company overview

Brand Image

Market analysis

Company About

City Justification

Design Concept

Services

Location justification

Swot

User Profile

Target Customer

Off-line Activity

Pop up Proposal

Competitor

Store Location

Legal Document

Human Resources

Pop Up Store Design

Product Selection

Promotional Plan

Operational Plan

Sales Forecast

45 3

Pop Up Market in China

Pop up store is used largely by international brands to test

potential market and build brand recognition, but in China, it’s still a new and growing concept. There had only been a few pop up stores

NegativeSpace Co.

opened in the past seven years. Nouveau Riche had opened pop up store in 2011; Amazon build temporary building in Shanghai and Beijing in 2014. Besides these, Lane Crawford mall had used their retail center of the mall to hold pop up gift shop and collection debut for Rag and

About

City Justification

Bone and American Apparel in 2010. All these pop ups did not gain

attention of the major media and did not cause great impact in the Chinese market. Chinese local brands are still unfamiliar with the pop up culture. But Chinese market has great potential for using the pop up strategies.

There are more than 50 shopping malls in Beijing and the number’s still growing. The missing of the pop up market is a huge part of the retail and it will be valuable for brands to take it into their multiChinese luxury market starts to get

better. The Luxury companies like Hermes, Hugo Boss, Coach, Salvatore Ferragamo, Richemont, and Burberry have reported growth of sales in the Chinese mainland market for the last quarter of 2016. The willingness and buying power of Chinese consumer is undeniable. The initial phrase of the pop up market also means less competition. It’s a great opportunity for foreign brands to use the pop up store to test and enter the Chinese market, and for local brands to expand their scale.

Beijing is the Capital and cultural center of China. The apparel

studied in Savannah College of Art and Design in US, majoring in

and retail market keeps growing in Beijing. It’s has the highest retail

Fashion Marketing and Management. In her Study, She focused on the

sales of consumer goods in China in 2014 with 963.8 billion yuan, and

retail strategies of fashion industry. She has a good understanding of

highest average annual retail growth rate from 2012 to 2015.

the pop up market in the west, having done a mock project of pop up

Chinese retail landscape evolves larger and larger each year.

channel business approach.

NegativeSpace was founded by Tianyi Wang. Tianyi Wang

store for Gucci and would like to bring the pop up strategy to China.

Beijing, she‘s the most familiar with Beijing That’s why we started

Tianyi Wang, the founder of NegativeSpace Co. is from

NegativeSpace Co. is a pop up consultancy base in Beijing,

our business in Beijing in where we can better help our customers

China. Pop up stores are temporary stores for brands to test potential

analyzing market. Future Expansion includes cities like shanghai,

locations and markets before fully committing to a permanent retail

Shenzhen, Chengdu etc..

location. It is a relatively new concept in the Chinese market, many local brands may be unclear about the strategy and concept, and other foreign brands may have problems analyzing Chinese market. And Here’s where NegativeSpace comes in.

NegativeSpace would help building brand recognitions and

engagements. I will work closely with my clients to create cultural moments that are closely aligned with their brands both in the design of a store and in attitude.

Design Concept

Location Justification

Today’s retail market is getting more and more

NegativeSpace Co. offers different options

competitive and many move towards the trend of

of location for companies to consider and

technology and e-commerce instead of brick and mortar

reference. Since pop up stores have different

store. NegativeSpace believes in the presence of physical

concepts and purposes, offering more locations

stores and physical interaction, both people to people

would better serve them. They also have different

and people to surroundings. NegativeSpace aims to create

target customer groups. We will analyze the

these kind of surroundings and environments, which

market together with the companies to help them

interact with people both physically and emotionally.

choose the location that best fits their interests.

We want to provide them with experiences they cannot

find online. We aim to create environments where people what to stay and hang around.

Innovation and concept are keys to the design.

In order to set the concept apart, the pop up stores need to go beyond retail and products. The purpose of them cannot be just selling. It’s about branding and engagement. Experiences are what’s needed to be communicated more to the customers. NegativeSpace wishes to create spaces with the breath of life to bring customers in and keep them stay.

Services Location Concept Design Store Layout Promotional Event Public Relation

Taikoo Li Sanli tun 11 Sanlitun Rd, SanLiTun, Chaoyang Qu, Beijing Shi, China, 100027

Central Area in Shopping mall

Beijing is a metropolis city, there are more

than 50 malls in all directions. And all districts are densely populated, the foot traffic in the mall are large. The central area of the shopping mall are usually spacious and great to build temporary

Taikoo Li is located at Sanli Tun, in Chaoyao district. It’s the

most popular shopping district in between fashionable millennial. It contains many popular bars, restaurants and more than 170 brands from all over the world in all categories. It’s the place for partying and socializing. It’s always crowded. It’s the destination for shopping, dining and entertainment. If your target group is fashionistas who are young and edgy, Taikoo Li is the perfect location.

stores. Here are some of the most popular malls in Beijing: Beijing APM in Wangfujing Beijing Yintai Center China World Mall Shin Kong Palace (SKP) Beijing Indigo Haidian Shopping District K11 (coming soon)

798 art zone 1 Qixing W St, Chaoyang Qu, Beijing Shi, China, 100015

SOLANA Lifestyle Shopping Park

798 is the most famous Beijing art district. The buildings are

in Bauhaus style and are originally factories for electronics industry.

6 Chaoyang Park Rd, Chaoyang Qu, Beijing Shi, China, 100026 Built in European architectural style, filled with rich exotic

feeling and accompanied with trees, flowers and the views of lake and

They’ re later rented by artists and rearranged to galleries, studios,

river, SOLANA introduced lifestyle shopping concept. The environment

and exhibition places, but the industrial look and the style of the

is so nice that it’s a good place for a date or to go for a walk, even if you

building have been kept and become features of the art district. The

don’t want to shop at the time. But with more than 600 brands from all

798 district kept growing since 2002, and there are more than 200 art

over world in all categories, it’s hard for people to leave without buying

institutions and companies related to cultural and artistic interaction

anything. The park also contains restaurants, bars, supermarkets, ice

stationed in the district, and there are more than 300 individual artists

skating playground, film theater and gym. People can fulfill almost

live and work in 798. 798 now is more than a number to Beijing people,

all of their need in it. There’s also different events in the park, for

but has developed into a cultural concept and the “loft” living and

example the light festival and different product launching parties.

working style. This is for companies and brands who wish to do a pop

Also, SOLANA started a child district a few years ago to introduced

up store combined with art elements or targeting at artistic people.

children to art and have different children’s activities and games for them to experience. And SOLANA has become the place for family to go and spend time together. The disadvantages are that, the location of SOLANA is a little far and the foot traffic is not as good as other shopping districts.

Parkview Green 9 Dongdaqiao Rd, Chaoyang Qu, Beijing Shi, China, 100020

Parkview Green is an artistic shopping mall located in the CBD

area. CBD is the Beijing central business district, a primary area for finance, media and business service. Many companies’ headquarters are located in this district and business elites with good wages and buying power live and work here.

Parkview Green mall located in this superior area and it’s a

landmark building in Beijing. Its architecture design is unique. It’s pyramid shape has attracted many attentions and appreciations, and guaranteed the lighting and the micro-climate system in the building. Sustainability is written in their green concept. The building materials are environmental friendly and have certified by American “Leadership in Energy & Environmental Design Building Rating System”. Besides, it also won several prizes including 2010 MIPIM Asia and 2011 FuturArc Green Leadership prize.

Parkview Green’ s total area is around 200,000 square meter,

including commercial office area, a 56,000 square meter shopping mall, and a six-star boutique hotel. There’s also an art gallery, and artistic installations are around the building everywhere.

It’s an spacious, artistic, green and multifunction building with

a large customer base.

Linglong Company Overview

Linglong is an online salon and community for women to share their

lives.

Itâ&#x20AC;&#x2DC;s rooted in mobile devices, the main part is the mobile app. Later,

they developed website and created an account on WeChat public platform. (WeChat public platform allows people and brands to update articles and images to the WeChat users.)

People can create boards and comments underneath. There are three

main categories of the boards, Discussion, Questions and Ask me about it. People can create discussions, ask questions on any topic they want. People

NegativeSpace Co. X Linglong

exchange knowledge, experience and interests. The target customers are modern females who are seeking change and a more fullfilling life.

Linglong also sell unique products. Many of them are produced by

the users of the app, who are emerging and independent designers. Others are carefully chosen. They are innovative and practical products based on customer reviews. The categories ranges from books, wines and snacks to accessories, fashions and livings.

Linglong is a salon that encourage women to participate and enjoy

life.

Over 300,000 Wechat followers Daily active : 10% Active APP user: almost a million App users: 10 million Offline activates: 20

Linglong Web + Mobile Page

Brand As a Symbol

Brand As a Product Online Community Online Retailer Socializing Platform

Brand As a Person Educated Passionate

Brand As a organization

Perseverance

Lifestyle

Offbeat

Care

Curious

Fashionable

Brave

Unique

Seeking Excitement

Inclusive

Seeking Better life

Pioneer

Linglong User Profile

Myra 22 years’ old College graduates Work in Brand Operation in a IT company

SWOT ANALYSIS Strengths Clear target customer group Satisfis women’s need for socializing Combination of online salon and - commerce Large consumer base Valuable content Good user experiences

Opportunities Retail marketin China is growing Lifestyle concept’s emerging Users expect more offline activities

Loves adventures and climbing

Weaknesses Platforms are not fully integrated

Dreams to Spend Valentine’s Day in Antarctica Started a travel project to Antarctica Interviewed 10 people

Low user activity

Arranging the ships and boats

Replicate content

Brought 10 people to Antarctica

Hard to search content App base

Threats Similar App and online salon developed Many new lifestyle retail store developed

Chinese customer seeking products from foreign niche brands

Linglong Pop Up Target Customer

Linglong’s target users are females age 17 to 60. They are

independent, knowledgeable and interesting. They care about details and want their lives to be exquisite. They believe in themselves and know that they are different and Unique. And they respect the differences in the world. They would not judge others in regard to their gender, age, religion and nationality. They are seeking changes and excitements in life, desiring growth and a better life both physically

Linglong User Profile

and emotionally. They might be person who’s already an expertise in any area of study, but mostly, they are ordinary people we meet every day that wish to achieve values described above.

Cherry Owner of “Wild Cherry” 29 years Old Design graduates Quit her job Owner of flower/coffee shop Not afraid of growing Old Love to try out new things Loves Bicycle Riding and Swing Dance Loves Chinese painting and cooking Thai food Clients include Vogue, Mercedes, Tiffany and Van Cleef Offers floral classes in her shop Her shop turned into a bar at night She would host Swing dance party in her shop occasionally Loves to go to events like Herräng Dance Camp in Sweden 16

Story Exchange Market X Chinese International Fashion Week 60rmb/person 09/30/2015 2pm – 8pm

Since many users have the troubles of finding themselves

getting trapped in their routines and complained about lives being dull, and there’s nothing interesting in their lives. Linglong hosted an event to show that you are living in a world where interesting things do happen, and you just need to have the eyes for it. By joining the market, Linglong will provide you virtual money, which can be used to buy people’s stories. You can also sell your own stories to a stranger.

Offline Activities

You can interact with others, make friends, talk about lives, and re-find

the virtual money in the end.

Linglong has done over 20 offline activities, but they are not

the pleasure of lives. There will also be gifts you can purchase using

unified. Since Linglong doesn’t have a physical store or physical meeting point, those offline activities are hosted in different areas and many relies on outside café, shops and restaurants. The activities are not managed with a unified concept or theme neither. It’s hard for people to know what to expect next. Linglong have organized film watching when Prada’s presenting the “Past Forward” by David O. Russell, with only 3 people. They have hosting the Flower Arrangement Lesson and afternoon tea with 20 people; and they have also arranged dinner with famous authors with 10 people. The offline activities are organized base on what event is happening around the cities, relied more on the third party instead of being taken full control by Linglong.

Photo Lessons by Phone 80rmb/person 08/26/2016 7:30pm to 9pm

Jiayi, a girl that’s good at using phone to take atmospheric

portraits photography started a discussion board on Linglong to share her experiences of traveling alone but still taking great photos of herself. Many people are interested. Therefore, Linglong host an offline activity. It invites Jiayi, and Victor, photographer for GQ to teach the techniques of taking portrait photography.

There are two successful activities though that are more

thoughtfully planned, and worth to study.

Pop Up Proposal Goals Increase Customer involvement Build brand recognition Build customer loyalty Attract potential customers

Concept Justification

The concept of the Linglong pop up store is to provide a

lifestyle moment to interact with the online users. The pop up store is containing two parts, the retail room and the event room. The retail room is going to sell curated products selected from Linglong’s online

Event Planing

Flower Arrangement Lesson

Wine Tasting Chinese Traditional Wines Cocktails Flower Arrangement Lesson Late Night Running Offline Meeting for Most Active Users Designer Debuts

There are 35 discussion boards about “Flower”and “Flower

Shop”. Over 2000 people have respond to the topics. A few users shared their experiences of learning flowering arrangement and their decisions on quit their original jobs and opened flower shops. It became a lifestyle that represents not to compromise to reality and following dreams. For many people, it’s about happiness in an ordinary life and an escape/break from their pressured daily life. Many users commented and seeking for lessons.

Wine Tasting Chinese Traditional Wines Cocktails

platform. The event room is used for offline activities, for online users to physically meet and talk to each other. A café will be presented in

Wine is important in Chinese culture; it’s named one of the

the event room too, offering coffee, tea, desert and Chinese traditional

seven things people cannot live without from the traditional culture.

wines. Linglong would also offer free books in the event room, so on

And there are many different types of wines in China base on different

the days when there is not an event, people can come in, take an

regions. Many Linglong users have their own wine labels, produced

afternoon tea, choose a good book to enjoy their time. All the books

their own wines, and sell them on Linglong platform. LingLong create

are carefully chosen by the linglong team, and they are for purchase

weekly featured content for the most discussed and interacted

too.

topics of the week. “Wine” was featured six times. There are over 30 discussion boards talking about wines, and over 800 hundred people As for event planning, Linglong’s going to research the hottest

have joined, commented and liked the topics. They’ve discussed their

topics on the online salon and host events that interested their

favorite drinks, favorite bars and their knowledge on wine tasting and

users the most. They are also going to invite the most active users

cocktail. Many boards and topics have portrayed their hopes to taste

and most admired users to give lectures and classes in the pop up

and share wines with friends who have common interests. Therefore,

stores. Since many Linglong users have admired others’ lives, activities

the pop up stores would be a great place to fulfill people’s wishes.

and communications are held for them to experience these different lifestyles and experiences.

Competitors Direct Competitors

The direct competitors of the Linglong pop up store are also

located in the sanlitun area and share similar values and concepts with Linglong pop up stores. The director competitors are stores that values

Indirect Competitors Sanlipop, FNJI,Drivepro, Kid Blue, Page One Bookstore, The Beast Town, Diptyque, Too Cool For School, AnyShopStyle (Base on the location of the linglong pop up store)

lifestyle too and combined cafe and leisure experiences in their retail store.

Algorithmstyle Lifestyle Fashion Boutique + Restaurant + Furniture store

Algorithmstyle is a lifestyle collective boutique opened in July

2016. It contains a store and a restaurant and sells unique products from niche brands all over the world. Everything in the store, from clothes, accessories, to plants and dining furnitures are for sell. It offers

Artemis

exclusive shopping and dining experiences all together. Artemis Lifestyle Boutique + CafĂŠ

Artemis is a lifestyle retail store that sells products from more

than 40 brands, mainly from Europe. Many of them are exclusive in China. It also has a wide range of product categories, from fashion, home decor to pet furniture.

Algorithmstyle

Store Location

Transportation

The Linglong pop up store will be opened at off-street

Sanlitun located in the northeast of Beijing, within the 3rd Ring

Human Resources

The pop up experience employee structure will begin with a head

of Beijing Sanlitun area. Sanlitun is the most popular shopping

road, close to the center of Beijing. Since it is popular for people to visit,

district in between fashionable millennial. By putting the pop

it’s surrounded by means of transportation. There are three subway lines,

up store off street, it will still share the same foot traffic but

no. 2, no. 6, and no, 10, and 15 bus lines that goes into the area. Taxi is a

distinguish it from the commercial shopping in the mall, and

common way of transportation too.

9:30 to 7:00. The night shift is from 7pm to 2 am. For the morning shift,

be two coffee and desert makers to serve people. There will be three

bring a more relaxed and casual experience to the store. Parking is hard to find in the area, there are two parking lots with

Area Attraction

more than 800 parking spaces under Taikoo li mall, and 5 more parking

Taikoo li Mall

Driving is not recommended in the area.

Café + Restaurant

lots for other nearby malls but they are always full. Traffic is bad too.

manager that will oversee all of branding and the market strategy for the space. The store opens from 10am to 2 am. The morning shift is from since we offer Coffee, wines and snacks in the event place, there will sales associates to help customers in the retail room and they are also responsible for cleaning up the event room. For the Night shift, two coffee and cocktail makers, one sales associate, and an assistant managers will be responsible for the whole store.

Bars + Clubs Film Theater Art Installation

Legal Documents

Physical Takagism

Notification of name approval

Health and safety certificate

Sanlitun is the place for people to socialize and

Business license

entertain themselves. The Shopping experience is the one

Food distribution license

of the best in Beijing. Taikoo li mall contains more than 170

Alcohol distribution license

brands, like Balmain, Balenciaga, Uniqlo, Y3, Gucci, Lavin and the

(The whole process will take around 6-8 weeks )

list keeps going. Many international brands have chosen it as their enter point and first stop in China, and the number’s still increasing. Nightlife is another feature of the area. It’s open 24 hrs. As long as you want to stay in the area, there’s always some bars that are open no matter how late it is.

Pop Up Store Design

Product Plan

TOTAL LIVING ITEM: 70 Table 1

Fashion Apparel Women’s top

Fashion

Category

Brands

Products

Color / Sizes/ style

Price

Shoes

Truble Maker

Tassel Loafers

5 colors/5 sizes

¥ 660 / $ 95.7

Mondrian Heel

2 colors/ 5 sizes

¥ 880 / $ 127.5

Marry Jane Shoes

3 colors/ 5s sizes

¥ 860 / $ 124.5

Velvet Boots

2 colors/ 5 sizes

¥ 1080/ $ 156.5

Square Scarf

4 styles

¥ 475 / $ 69

Stripe Scarf

2 styles

¥ 345 / $ 50

Small

4 styles

¥ 398 / $ 58

Large

5 style

¥ 698 / $ 101

Full Moon Earring Circle

4 colors

¥ 99 / $ 14.35

Pork Meat Earring

2 colors

¥ 69 / $ 10

Pipe Knot Earring

4 colors

¥ 99 / $ 14.35

Square Sugar Earring

3 colors

¥ 69 / $ 10

Half Moon Earring

2 colors

¥ 119 / $ 17

Marble Pink Earring

2 colors

¥ 69 / $ 10

Scarf

Brooch

Fashion Accessories

Jewelry

CharleenDesign

Macon & Lesquoy

Meetoo

Oyster Kiss

Sugar String Earring 3 colors

¥ 99 / $ 14.35

Marble Shape Earring

¥ 99 / $ 14.35

3 colors

Knot Earring

¥ 129 / $ 18.7

Mountain Earring

¥ 99 / $ 101

Circle Earring

¥ 80 / $ 11.6

Pipe Curve Necklace

¥ 139 / $ 20

Full Moon Necklace

¥ 219 / $ 32

Pipe Straight Necklace

¥ 139 / $ 20

zoon Earring Serious

4 styles

¥ 180 / $ 26.10

Breakfast Earring

4 styles

¥ 180 / $ 26.10

Fashion Accessories

Jewelry

Oyster Kiss

Knot Earring

¥ 129 / $ 18.7

Mountain Earring

¥ 99 / $ 101

Circle Earring

¥ 80 / $ 11.6

Pipe Curve Necklace

¥ 139 / $ 20

Full Moon Necklace

¥ 219 / $ 32

Pipe Straight Necklace

¥ 139 / $ 20

zoon Earring Serious

4 styles

¥ 180 / $ 26.10

Breakfast Earring Serious

4 styles

¥ 180 / $ 26.10

ZaoWU

Black Gold Earring Serious

4 styles

¥ 183/ $ 26.5

Yeah Jewelry

Lilliput Earring

2 colors

¥ 139 / $ 20

Stars string Earring

2 colors

¥ 289 / $ 42

Stars Earring

2 colors

¥ 149 / $ 21.6

Sitting on the moon 2 colors Earring

¥ 139 / $ 20

Sea & Pearl Earring

2 colors

¥ 249 / $ 36.1

Pearl Escape

2 colors

¥ 299 / $ 43.3

Girl at the Corner Necklace

2 colors

¥ 220 / $ 32

TOTAL FASHION ACCESSORIES ITEM: 289

Fashion Apparel from 1995 NYC

Apparel from HOWL

Fashion Accessories Jewelry from Oyster Kiss

Fashion Accessories

Shoes from Truble maker

Jewelry from 造物

Scarves from Charleen

Jewelry from Yeah Jewelry

Jewelry from Meetoo Pins from Macon & Lesquoy

Full Moon circle

Marble Shape 38

Pipe Knot

Marble Pink

Square Sugar

Sugar String

Pork Meet

Half Moon

Pipe Straight

MarbleNecklace

Necklace

Full Moon

Pipe Curve

Necklace

Living Traditional Wines & Sake

Flowers from 扫叶山房

Flowers from Others

Living Table Top From 匠心之笔

Table Top From 意外设计

Kitchenware From 山舍

Footfall Conv. % Avr.Basket

MKUP (50%)

SALES FORECAST PRODUCT P ROMOT IO NA L P L AN P R E -L AU N C H

SEPTEMBER

OCTOBER

L AU N C H

NOVEMBER

P OST-L AU N C H

DECEMBER

COST

O FFI CI AL W EB

¥1 , 5 0 0/ $ 21 7. 39

W ECHAT

¥1 0 , 0 0 0/ $1 449. 25

W EI B O

¥1 0 , 0 0 0/ $1 449. 25

P OSTER

¥2, 0 0 0/ $ 28 9. 8 5

EM AI L

¥1 , 5 0 0/ $ 21 7. 39

P R ESS R EL EASE

¥20 , 0 0 0/ $ 28 98 . 51

TOTA L : ¥45 , 0 0 0/ $ 6, 5 21 . 64

O P E R AT I O N P L A N

Footfall Conv. % Avr.Basket

MKUP (50%) PRODUCT Fashion Fashion Accessories Living Coffee + Desert

COGS % 0.1 0.2 0.1 0.6

PRODUCT PLAN

OCTOBER

L AU N C H

NOVEMBER

Fashion Accessories Living

P OST-L AU N C H

DECEMBER

Le g al Docume n t

¥3, 0 0 0/ $ 434. 78

Re n ov ati on

¥5 0 , 0 0 0/ $ 7, 246. 27

F i x ture

¥5 0 , 0 0 0/ $ 7, 246. 27

Re n t

¥90 , 0 0 0/ $ 1 3, 0 43. 29

HR w age s

¥40 , 0 0 0/ $ 5 , 797. 0 2

TOTA L : ¥233, 0 0 0/ $ 33, 767. 63 TOTAL E XP E N SE : ¥ 278, 0 0 0/ $4 0 , 2 89. 27

AVERAGE REAL AVR.PRICE ¥ 837.00 Fashion ¥ 477.00 ¥ 146.30 Accessories

Living

COST

3675

5880

TOT.REV 0.3 0.3 ¥ 441,000.00 ¥ 400.00 ¥ 400.00 TOT.REV TOT.REV ¥ 220,500.00 ¥ 441,000.00 ¥ 705,600.00 Week 1 ¥ 220,500.00 ¥ 352,800.00 ¥ 44,100.00 Week 2 Week 3 ¥ 88,200.00 ¥ 44,100.00 ¥ 70,560.00 ¥ 147,000 44,100.00 147,000 ¥ 88,200.00 ¥ 141,120.00 73,500 264,600.00 73,500 ¥ ¥ 44,100.00 ¥ 70,560.00 0.05 ¥ 264,600.00 Week 2 3675 0.3 ¥ 400.00 TOT.REV ¥ 441,000.00 ¥ 220,500.00 Week 2 ¥ 44,100.00 ¥ 88,200.00 ¥ 44,100.00 ¥ 264,600.00

0.08 ¥ 423,360.00 Week 3 5880 0.3 ¥ 400.00 TOT.REV ¥ 705,600.00 ¥ 352,800.00 Week 3 ¥ 70,560.00 ¥ 141,120.00 ¥ 70,560.00 ¥ 423,360.00

5880 0.3 ¥ 400.00 TOT.REV ¥ 705,600.00 ¥ 352,800.00 Week 4 ¥ 70,560.00 147,000 ¥ 141,120.00 73,500 ¥ 70,560.00 0.08 ¥ 423,360.00 Week 4 5880 0.3 ¥ 400.00 TOT.REV ¥ 705,600.00 ¥ 352,800.00 Week 4 ¥ 70,560.00 ¥ 141,120.00 ¥ 70,560.00 ¥ 423,360.00

¥ 2,293,200.00 ¥ 1,146,600.00

¥ 1,146,600.00 ¥ 2,293,200.00 ¥ 1,146,600.00

¥ 1,146,600.00

AVR.PRICE

P R E -L AU N C H

SEPTEMBER

MKUP (50%) COGS Fashion PRODUCT % Fashion Accessories Fashion 0.1 Living TAIKOO LI FOOT TRAFIC PER WEEK Fashion Accessories 0.2 OFF STREET TAIKOO LI FOOT TRAFIC PER WEEK Coffee + Desert Living 0.1 PERCENTAGE OF CONVERSION TRAFFIC/FALL FOR LINGLONG Coffee + Desert 0.6

3675 0.3 ¥ 400.00 COGSTOT.REV ¥ 441,000.00 ¥ 220,500.00 0.1 Week 1 0.2 ¥ 44,100.00 0.1 147,000 ¥ 88,200.00 73,500 0.6 ¥ 44,100.00 0.05 ¥ 264,600.00 Week 1 3675 0.3 ¥ 400.00 TOT.REV ¥ 441,000.00 ¥ 220,500.00 Week 1 ¥ 44,100.00 ¥ 88,200.00 ¥ 44,100.00 ¥ 264,600.00

AVERAGE REAL ¥ 837.00 ¥ 477.00 ¥ 146.30

Week 1 AVR.UNIT 53 185 301

AVR.PRICE

AVERAGE REAL GROSS MARGIN: ¥ 1,146,600.00 Fashion ¥ 837.00 Accessories ¥ 477.00 TOTAL EXPENSE: ¥ 278,000 Living ¥ 146.30

TOTAL PROFIT : ¥ 868,600

Week 3 AVR.UNIT 84 296 482

Week 4 AVR.UNIT 84 296 482

TOT. 274 962 1567

301

PROFIT AND LOSS STATEMENT

TOTAL REVENUE: ¥ 2,293,200.00 TOTAL COST OF GOODS: ¥ 1,146,600.00

Week 2 Week 1 AVR.UNIT AVR.UNIT 53 185 53 301 185

Week 1 AVR.UNIT 53 185 301

The linglong pop up store has ¥ 873,600 profit. I think that’s Week 2

Week 3

Week 4

due toAVR.UNIT the high foot traffic of the Sanlitun area and cheap AVR.UNIT AVR.UNIT TOT.

53 84 84 274 HR and fixture cost in China. I am confience with the result, 185

296

962

301 us extra budget. 482 Even if the 482 which gives traffic does not 1567 meet

the expectation, and the profit is less than the perdiction, the pop up store will still end up with a profit, and and would still acheive goals to increase customer involvement, user experinces and bulit brand recogniation.

RESOURCES https://www.businessoffashion.com/articles/intelligence/has-the-pop-up-shop-bubble-popped https://36kr.com/p/5042411.html http://www.yellowtrace.com.au/category/interior-design/page/5/ http://www.newzealanddesignblog.com/ https://detail.1688.com/offer/539736655357.html https://detail.1688.com/offer/534758372510.html https://detail.1688.com/offer/538342328278.html https://detail.1688.com/offer/535476185931.html https://detail.1688.com/offer/533808254163.html https://detail.1688.com/offer/45558319285.html http://www.tmtpost.com/1344851.html http://www.taikoolisanlitun.com/zh-CN/ http://yuanqu.ccitimes.com/index.php?m=yp&c=com_index&userid=120 http://www.parkviewgreen.com/eng/ http://www.solana.com.cn/ https://www.zhihu.com/question/21745986 http://fashion.eladies.sina.com.cn/shopping/2011/0413/084620890.shtml statistic_id409315_cost-of-rent-of-selected-retail-streets-in-asia-2014 statistic_id279004_cities-with-the-highest-retail-sales-of-consumer-goods-in-china-2014 statistic_id279004_cities-with-the-highest-retail-sales-of-consumer-goods-in-china-2014 statistic_id233826_revenue-of-retail-chains-in-china-in-2014-by-region http://www.salonwith.com/index/detail/9107/2#postpos https://m.salonwith.com/?salonid=26247 http://www.salonwith.com/?salonid=24934&qaid=0 http://www.salonwith.com/?salonid=25097&qaid=0 http://www.salonwith.com/?salonid=27985&qaid=0 https://h5.youzan.com/v2/showcase/goods/search?kdt_id=15057130&q=HOWL&p=2

NegativeSpace Co. X