kcréa régional

Oral Presentation

Kcréa Régional - Toulouse

19th February 2013

Organisation

Manuela VilaWareHouse

Manager

Marion

CasasnovasAdministrative

Assistant

Elodie OliveFashion

Designer

Erwan PetrusCommunication

Manager

Lucile RuizSales

Manager

Romain

Bourmaleau

CEO

Loïc

Tardy

Consultant

Secil

Karatas

Consultant

2

Content

1. Market

1. Marketing mix

2. Human resources

3. Financial statements

4. Risks analysis

5. Futur

3

1. Market: Customers’ behavior

No customers’ loyalty

17

83

Clothes Expenses

Lingerie

Other Cholthes expenses

- €

20 €

40 €

60 €

80 €

100 €

120 €

140 €

15-24 25-34 35-44 45-54 55-65

138 €

99 €112 €

116 €

68 €

Budget

20-30 years old Would buy an innovative bra online

4

1. Market: A Competitive market

Well known competitors

Communication war

Strong Relationships

5

WHATMAKES USSTRONG ??

1. Market: Our KFS

INNOVATIVE

&

FASHIONABLE

SPECIALIST

E-SHOP

&

DEVELOPING CUSTOMER LOYALTY

GOOD QUALITY/PRICE RATIO

&

COMMUNICATION

AVOID PRESSURES FROM RETAILERS

KFS

7

1. Market: Product Positioning

***

***

** Middle range product

******

8

1. Market: Our Target

Target Customer Base

- Women

- Between 15 and 35 years old

- Comfort, convenience

- Good quality/price ratio

Secondary Target

- Men

- Women

9

2. Marketing Mix: Product

3 PIECES

Classic

Plunging

Half BraStraplessCUPS

Molded cups

3 shapes

From size A to F

10

Fastened system

2. Marketing Mix: Product

- An iron hook on each side of the band

- Sizes:85-110

• Color scale: 9 colors

• Textile: Coton, Elasthane and Polyester

Complete Bra 30 €

Band 10.2 €

Cups 15.9 €

Braces 3.9 €

Shorty / Tanga 11.9 € / 8.9 €

11

They make the product

JCM Company

Know how

Knowledge

Notoriety

From the raw materials to the final goods

2. Marketing Mix: Production

12

Online Shop

Easy to use

Collections & News

Live updated

CMJF

Nwn

cp

Loyalty

Notoriety

Total Availabitily

24/24

7/7

Delivery in 48H in

France

2. Marketing Mix: Place

13

Multi-Level Marketing : Sellers get commissions

Private sales

2. Marketing Mix: Place in N+2

14

0 20 40 60 80100

17

15

15

100

100

100

Communication budget

Turnover

N+3

N+2

N+1

w

vcEMLJF

Web advertising

- Banners on websites.

- Commercial

advertisements on video

websites

- Social networks

Trade fair

- Salon international de la

lingerie

- Salon du textile

%

%

%

2. Marketing Mix: Promotion

15

f

Bra unhooker contest

Social Buzzing

Word-of-mouth

Photo contest

2. Marketing Mix: Street Marketing

16

5 employees in the HQ

1398 €/ employee

N+1

5,71employees

- 5 permanents

- 1 part time: 0.71 permanent

1 part time

1500 € *0.71indexed on the job grid

3. Human Resources

17

N+2

5,71 employees

Increase of the salary

Indexed on the CCN

Independent salesperson with a « VDI » contract.

Not employed

The part time will become permanent

Recruitment of 1 warehouse assistant

1398 €

N+3

Same staff.

7

3. Human Resources: N+2 & N+3

18

N+1 N+2 N+3

Turnover 252 152 € 378 228 € 461 438 €

Total charges 255 382 € 338 716 € 375 610 €

Charges % 101% 90% 81%

Profit (bef. Tax) -3 230 € 39 512 € 85 829 €

BEP X NOVEMBER OCTOBER

BEP is achieved soonerBreakeven point

4. Fiancial Statements: Profit and Loss

19

Opening cash flow: 50 000€

Investment: 27 495€

No trade receivable29,666

64,300

91,519

0

10,000

20,000

30,000

40,000

50,000

60,000

70,000

80,000

90,000

100,000

Year 1 Year 2 Year 3

Closing Fund

No loan

ROI increasing

ROCE: positive profitability from 2nd year

Fixed Assets

Equity

Current Assets

Current

Liabilities

Balance Sheet

4. Fiancial Statements: Cash Flows

20

Forecasts within 3 years

Ratios N+1 N+2 N+3

Turnover growth in % -- 50% 22%

Net profit /Turnover % -1% 12% 16%

Net cash flow -20 334€ 36 351€ 57 053€

EBIT/Sales % -1% 10% 19%

ROE -7% 27% 36%

21

WHATABOUTTHE RISKS ?

?

Risks analysis

Metric Product

Cheynet

Shantou Xinfa Lingerie Accessories Firm

Dongyang Shen Nong Textiles Co., Ltd.

JCM

Company

23

Futur

Full customization

New type of customer

Jewelry for underwear

Same price policy

Referenced with some well known

retailers

Media

Web communication

Price

Promotion

Product

Place

24

VIDEO

25

Conclusion

Answer to

opportunities

Answer to

the market’s

KFS

Financially

feasible

26

28

Lingerie Market

What is the lingerie market ?

Daywear like knickers, corsetry, bras, nightwear,

pajamas and baby-doll

France, one of the first sellers of lingerie in Europe

with 2.6 € Billion of turnover (2011)

Average budget in the country => 97.4 € (2011)

Results of the Survey:

Loyalty & Purchasing Frequency

Loyalty

Frequency

Results of the Survey:

Budget & Removable parts

Budget

Removable Parts

Results of the Survey : Internet

Breakeven

33

Year 1 Year 2 Year 3

TURNOVER (excl. Tax) 252 152 € 378 228 € 461 438 €

Total variable costs 119 596 € 173 926 € 209 921 €

Contribution margin 132 556 € 204 303 € 251 517 €

Rate of contribution margin 53% 54% 55%

Total fixed costs 135 786 € 145 204 € 177 457 €

Break even point 258 296 € 268 818 € 325 566 €

1st year BEP isn’t reached2nd year : in november3rd year: in october

BEP is achieved more and earlier!

Finance

34

Unit Margin per product N+1 N+2 N+3

Cup 1,76 € 2,95 € 5,64 €

Band -0,74 € 0,38 € 1,75 €

Straps -3,51 € -2,47 € -2,56 €

Shorty 0,00 € 1,15 € 2,91 €

Tanga -1,31 € -0,21 € 0,86 €

44%

20%

17%

7%5%

7%

Salaries Cost of sales

Promotion Transport fees

Warehouse Others

Costs

Year 1