Title: Business Plan
1Business Plan
BLOOMDesigner Kids Wear
Presentation by Kriti Mehta Kritika Dawar Miriam
J T Stuti Goel
2Executive Summary
- Splurging for kids is a fun thing to do-toys,
chocolates, games, books, clothesyou name it.
Except that one thing that really struck us- when
shopping for clothes, there is a serious dearth
of good occasion wear for kids. Finding suitable
clothing for marriage functions, birthdays,
festivals etc for kids- all prove to be a task
that sends one running in circles. -
- Our idea is to launch exclusive occasion wear for
kids between 3-12 years-for both western and
Indian clothing, while also providing matching
accessories that may go with the outfits. The
idea for providing occasion wear for kids has not
been exploited to its full potential and since we
intend to provide all the products under one roof
we will have an edge over the other players in
the market. Our mission is to provide high
quality exclusive clothing for kids, in the
perfect blend of fun and fashion and also
providing suitable accessories while offering
world class services and convenience. -
- Catering to the upper middle class, our products
are priced between Rs 999 to Rs 3500, market
skimming being our strategy. Outsourcing our
production, the management will ensure that
products are manufactured keeping ISO 9001
certified and total quality management practices
which will ensure top quality products. Our
manufacturing processes ensure six sigma ratings
thereby claiming negligible defects in our
processes (less than 3.4 in every million). We
propose to start with a capital of Rs. 4 lakhs,
while taking a Rs. 6 lakh loan from SBI. A
property jointly owned by the founders of this
business located at Karol Bagh, now valued by the
bank at Rs. 10 lakh will act as collateral for
the loan. -
- The four partners and promoters behind the group
have exceptional knowledge, expertise and
experience in the field of fashion and designing.
We intend to hire a marketing team and accounts
personnel. The strength of the business lies with
the design team who will create products that
will break the mould of the existing fashion
scenario of kidswear. We propose to start with
two stores- one in Saket and the other in
Gurgaon- both in MGF Metropolitan mall. For
promoting the store, we would offer inaugural
discounts, complimentary gifts for kids while
advertising in cartoon channels and hiring child
artists as our brand ambassador.
3Company Overview
4- Mission Statement
- To provide high quality exclusive clothing for
kids, in the perfect blend of fun and fashion and
also providing suitable accessories while
offering world class services and convenience. - Goals and Objectives
- To provide occasion wear for children. This has
been an opportunity that has not been exploited
to its full potential. There are many brands that
offer kids wear but very few that offer designer
kids wear especially for occasions. Our brand,
thereby wants to make the best use of this
opportunity, by offering a variety of designer
kids wear for different occasions - To provide the benefit of availability of all
products under one roof to the consumers. In
order to match with the outfits available, the
store also provides a range of accessories for
every occasion and theme. - To open up retail stores in all metropolitan
cities of the country
5Values Bloom believes in being present at the
right place, at the right time and providing the
right services to the people. The group has a
dedicated and well qualified team of experts who
have taken the right step in entering into this
market which upholds huge potential Foundati
onal Values Resultant Values Integrity and
honesty Customer Service Innovation Exce
llence Customer orientation Empowerment Accur
acy Achievement Commitment
Community Benefit Enthusiasm Competitive
Edge Responsiveness Market Leader
6Relevant Skills and expertise The four partners
and promoters behind the group have exceptional
knowledge, expertise and experience in the field
of fashion and designing. Following are their
details regarding their achievements so
far Kriti Mehta Kriti started her career in
fashion by completing her Masters Degree in
fashion design in Indian Wear from Pearl Academy
of Fashion, New Delhi. After graduating, she
worked with the renowned brand name Satya Paul
for two years. Within a year she was promoted as
the lead designer under Contemporary print
designs and managed a team of 5. She then took a
break and pursued a one year management course
specializing in fashion retail and marketing. She
then got together with her friends and started
this venture. Kritika Dawar After graduating
from a Delhi University with a degree in
commerce, Kritika wanted to do more with her life
then to pursue an MBA and follow the rat race.
Having a flair for designing she got selected to
pursue Fashion Designing in Indian Wear from
Pearl Academy of Fashion, which she cleared with
flying colors. She then worked with the famous
designer Gaurav Gupta (Akaaro) for two years. She
then went on and completed a management degree in
retail and marketing.
7Miriam J. Thomson After completing an Honors
Degree in Economics from Jesus and Marys
College, Delhi University, Miriam completed a
short term course in Adobe Illustrator from
London College of Fashion. She also completed a
summer course of stitching and sewing from
Central St. Martins, London. Apart from this she
also pursued a month course on introduction to
Design from IED, Milan. Having a rich exposure
and a multinational experience in this filed, she
then pursued her design degree from Pearl Academy
of Fashion in Indian Wear. She then worked with
Designer Sanchita in FDCI 2008 and Designer Amber
Firoz in Delhi Fashion Week. She also underwent a
one month internship in Arvind Mills. Stuti
Goel After having completed a Hotel Management
degree from IHM, Pusa, Stuti enrolled herself in
Pearl Academy of Fashion to pursue her Masters in
Indian Wear. She worked for the famous designer
Amit GT in FDCI 2008 and Julie Scarland 2009. She
also pursued a month long internship with the
company Yorks. After having gained such work
experience, she went on to pursue a management
degree in fashion merchandising and retailing
from London College of Fashion.
8- Resources Required
- Designing will be done in house
- The company will be employing around 6 employees
to look after the retail outlets. - The company will be outsourcing the finished
products.
9Operations and Management Plan
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11Responsibilities of the Management
- Apparel Design Director
- -Manage a diverse team of product designers,
creating ranges for kidss exclusive occasion
wear. - -managing apparel and graphic designers through
the design and product creation process,
providing direction and feedback. - -Working on Seasonal design stories and creation.
- -Work closely with Sr. designers to translate
seasonal concepts to product lines. - -Attend fit and proto review sessions make
revisions to artwork design tech packs. - -Identify solutions and resolve costing/margin
issues. - -create a strong synergy between design,
development and product marketing.http//www.linke
din.com/jobs?viewJobjobId757405 - Accounts Manager
- -ensuring that funds are spent and managed
according to the goals, objectives and mission of
the organization. - -allocation of expenditures is appropriate to the
function identified for the account. - -allocation of expenditures is appropriate to the
function identified for the account. - Marketing Manager
- -Establishes marketing goals to ensure share of
market and profitability of products and/or
services. - -Plans the organization's advertising and
promotion activities including print, electronic,
and direct mail outlets. - -Guiding the customer service manager to maintain
positive customer service relationships with all
customers. (https//www.jobdescription.com/content
/complet1.asp)
12Industry/Market Analysis
- Children below 18 years account for more than a
third of Indias population estimated at 950
million in 1995. Today, young children (0-6
years) account for 17.5 of Indias population,
an estimated 166 million. - Close to 27 million children are born every year
and it is estimated that the same numbers will
be born every year, as Indias population is
expected to rise (http//wcd.nic.in/udisha/htm/cat
alogue/2.doc) - SIZE AND STUCTURE
- According to the India Apparel Report, 2008
(Images Year Book, Vol IV), the size of kidswear
market is estimated to be at Rs. 30, 510 crore - Although, most of it is dominated by the
unorganised sector, the organised sector
(i.e.brands), however, is growing at an average
of 20 per cent against the 30-35 per cent for the
overall industry. - Clearly, there is a huge potential and space for
more organised players to come in and take a
larger bite of the market
13Customer Analysis Characteristics of the Indian
Kids Wear Market
- Branded kids apparels is one of the most
fascinating and complex facets of retailing - Large variety, segmented customer profile,
changing tastes, childrens buying behaviour,
influence of parents and media makes a huge
difference in the purchase decision - Apparel, by its very nature, thrives on variety
and more so in the case of kids. Besides, kids
have a natural tendency to outgrow their clothes
very fast, necessitating change, which in this
case implies new offerings - A cursory analysis of the kids buying behaviour
indicates that they are an independent customer
group displaying considerable pester power that
they have inculcated and now seem to be exerting.
- Additionally, kids are highly self conscious and
can be easily affected by peer pressure, at a
very young age, and thus can be very demanding,
often at the cost of the parents peace of mind
if not their pockets. It is not uncommon to hear
a kid throw a tantrum to the effect I dont
want to wear this.
14- Todays kids are more fashion conscious, and are
ready to experiment with clothing. - Increase in the amount of disposable income, and
retail blitz has brought a sea change in the
Indian kids apparel market. - With kidswear being considered as a part of the
lifestyle segment and a strong emphasis being
placed on brands, this segment proves to be a
potential successful business (http//www.scribd.c
om/doc/18795157/Indian-Kids-Wear-Market) - Children's clothes in India started out as
miniature versions of popular adult wear.
Internationally, children's wear has its own
trends forecasting, trade shows and a production,
marketing and publicity set-up that rivals the
adult business. (http//www.scribd.com/doc/1879515
7/Indian-Kids-Wear-Market) - A huge volume of kids apparel in India is being
dominated by local and unorganized players. This
gives an excellent opportunity for the organized
players to lay a strong foundation in this
segment. Indian market is now moving towards an
international look in terms of childrens
apparel. (http//www.scribd.com/doc/18795157/India
n-Kids-Wear-Market)
15Competitors
- So far, the organised market was dominated by
Lakhani-owned Gini Jony Apparels with a 30 per
cent market share, followed by Weekender Kids and
Ruff Kids - Pantaloon has entered into a 5050 JV with Gini
Jony to set up a retail chain to market kids
apparel. - Raymond recently introduced its maiden kidswear
brand - Zapp!, with its first outlet running
in Ahmedabad. - DS Corporation, which owns 14 retail stores in
India for children, and has brands such as Ruff
Kids and Ruff Baby, is set for a major expansion
plan. - Whats more, even jeans companies such as Spykar,
Pepe Jeans and Killer are trying to climb onto
the bandwagon. - International kids wear brand such as Tommy
Hilfiger, Freelook Junior, Adam Kids and Walt
Disney are making efforts to foray into India
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17STP
- Segmenting the market on the basis of demographic
characteristics i.e. age of kids, - 3-6 yrs
- 6-9 yrs
- 9-12 yrs
- Our products are targeted at the middle and upper
middle class segment of the society with our
products price range between Rs 999 and above - The positioning strategy will be based on our
efforts to make the parents as well as kids aware
of our brand offerings and creating interests as
well as desire to purchase our products
18Positioning
- Following methods can be followed to create
effective positioning - For Parents
- Awareness about our product offerings stressing
upon the Occasion Wear product lines (both
Indian as well as Western) - One stop shop for designer occasion wear solution
for every kind of occasion. Festivals, weddings,
theme parties, birthdays the point is to take
the burden off the parents shoulders in providing
them solutions to dress up their kids which other
competitors are not offering - For kids
- Highlight our Brand Name in all promotional
campaigns. Kids these days love wearing branded
clothes - Associate our brand with something they can
relate to a famous cartoon character can be an
example or a famous child artist can be hired as
a brand ambassador
19Marketing Mix
- Product
- Our core product offerings are designer occasion
wear for children, for both Indian as well as
Western Wear - We also offer matching accessories with apparels
like hairclips, earrings, bangles, belts, shoes,
caps and bags - Our products depict latest trends and designs as
designed by our own designers matching industry
standards and keeping in view the needs of our
target customers, thereby making them visually
appealing to the kids - The fabrics used in our clothing are pure forms
and synthetics and nylons are not used at all - All our products and processes are ISO 9001
certified and total quality management practices
followed by our company ensures top quality
products - Our manufacturing processes ensure six sigma
ratings thereby claiming negligible defects in
our processes (less than 3.4 in every million)
20Main Product Lines
- Indian Wear
- Girls
- Lehenga Choli
- Salwar Suit
- Churidar Kurtas
- Blouses and Sarees
- Stitched Sarees/Lehengas
- Kurtis
- Indian Wear
- Boys
- Kurta/Pyajamas
- Sherwanis
- Dhoti/Kurtas
21Product Lines
- Western Wear
- Girls
- Tops
- T-Shirts
- Shirts
- Skirts
- Shorts
- Jeans
- Trousers
- Jackets
- Pullovers and Cardigans
- Western Wear
- Boys
- Tuxedos
- Shirts
- Trousers
- Jackets
- Waist Coats
- Jackets
- Pulllovers
22Place Distribution
- Our distribution pattern is fairly simple. All
manufacturing takes place in house in our
factories conforming to strict quality standards
of production thereby ensuring high final product
quality - Raw materials are acquired from well known and
established suppliers - The warehouses are located inside factory
premises as we do not carry much inventory levels
due to the nature of the fashion industry as
trends and designs keep changing quickly - Currently, we have two retail outlets in the
region of Delhi NCR region. Both outlets are
located in Metropolitan mall in Saket and
Gurgaon.
23Growth trends and Future Potential
- The kids wear market in the country is mainly
divided into two parts organised and unorganised,
with the latter having a larger part of the
market share. However, the organised sector is
catching up due to their inherent advantages in
their product offerings (i.e. quality, designs
and trends) as well as increasing craze of brands
amongst children - According to Global market review of childrens
wear Forecasts to 2012, the top ten global
markets (which includes India) would account for
an estimate of US 92.6 billion in childrens
apparel retail sale - Indian kids apparel brands are creating a niche
by themselves by changing the face of Indian kids
wear in India - Industry experts predict that the market will
further grow to reach Rs.45, 000 crore by 2013,
with branded apparels contributing to a major
share.(http//www.scribd.com/doc/18795157/Indian-K
ids-Wear-Market) - The volume of market share of kid?s apparels in
the total apparel market is at 24.9, as against
a 15 share in 2005. (http//www.scribd.com/doc/18
795157/Indian-Kids-Wear-Market) - Urban kids apparel market comprises about 60 of
the total kidswear market. A research states that
more than 30 of the country?s population is
below 15 years of age. The density of population
makes kidswear to be one of the fastest growing
segments in the Indian market scenario
(http//www.scribd.com/doc/18795157/Indian-Kids-We
ar-Market) -
24Pricing
- Our pricing techniques mainly follow Market
Skimming techniques - As most of our products are made from high
quality fabric and depict latest designs and
trends in fashion, they are priced a bit on the
higher side to avail profit - The remaining product offerings which are basic
to industry standards and some accessories are
priced according to the value they offer to the
consumers, thereby targeting the lower middle
class as well as to compete with other players in
the market
25Promotion Strategies
- Inaugural Discount on purchases for the first
month in order to increase brand awareness - Complementary gifts for kids for the first few
days of opening of the store - Further gift vouchers for purchases exceeding a
certain limit - Advertising strategies would mainly aim at
promoting brand awareness amongst the parents as
well as children as both play an equal part in
purchasing decisions - Colorful television ads on cartoon channels or
during special kids events in order to attract
kids - Interactive advertisement on internet (on kids
websites) and TV . - Designing advertisements in a way so as to
project a cooler image of kids wearing our brand
of clothes in those commercials - Hiring famous child actors as our brand
ambassador
26Financial Plan
27Nov Projections have been increased by 5 and Dec
have been increased by 15.
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29COSTING PER UNIT
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31BREAK EVEN ANALYSIS
32References
- http//www.apunkachoice.com/scoop/fashion/20041026
-0.html - http//www.scribd.com/doc/18795157/Indian-Kids-Wea
r-Market - www.corbis.com
- http//www.ventureintelligence.in/blog/2006/11/kid
s-wear-market.html - http//www.financialexpress.com/news/capturing-chi
ldrens-apparel-market-in-india/184879/ - http//www.financialexpress.com/news/capturing-chi
ldrens-apparel-market-in-india/184879/0 - http//www.scribd.com/doc/18795157/Indian-Kids-Wea
r-Market
33Thank you!