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Newsha Dabzadeh

AMM 310

Company Project: S.C.S. Innovations

4/23/2014

Company Project #1

Company Name: S.C.S. Innovations = Sustainable and Comfortable Style Innovations

Company Background: S.C.S. Innovations first began as a start up company with the

goal to make our customers’ lives just a bit easier. We know that time has grown to be-

come a vital aspect of our consumer’s lives, as responsibilities and endless tasks begin

to fill their days. Our company is located in the heart of the Fashion District in Los Ange-

les, California. We make our own designs, patterns, and cut and sew all of our designs

in house. We do this to ensure that all of our workers are working on fair wages and are

in healthy and safe working environments. We keep the environment in mind when de-

veloping our products, reducing our carbon footprint by not overproducing our apparel

and by using organic fabrics that are not only comfortable but easy on mother earth. We

incorporate natural products into our textiles by making use of fibers such as hemp, or-

ganic cotton, bamboo, ramie, and jute. While we strive our best to be organic, we can-

not claim to be 100% organic as we still use fibers such as spandex into our garments.

In this case we keep in mind that the consumer wants a product that not only does good

for the environment, but also one that will be comfortable to wear and wont fail on them.

When it comes to the consumer we keep what is important to them in our minds, so we

know that affordability is important. While the consumer we are selling to is willing to

pay more for products, we reduce our costs by not spending fortunes on our own mar-

keting and branding efforts. We believe that customers will be attracted to our products

naturally when they recognize the need for organic and fair trade apparel for con-

sumers. We are a company that was started recent college graduates, who understands

that today’s college students are not only for products that that are in style, but that are

also fair trade, safe on the environment and on their skin, and are affordable to them at

the same. The customer is beginning to turn to quality over quantity, as the importance

for comfortable clothing has grown to become top priority. We strive to produce sustain-

able, stylish, and comfortable clothing because we believe the customer deserves to

wear product that is not only stylish, but that is also safe on their skin and is also safe

on the environment. We believe that we need to treat the environment with respect, as

mother earth is the only planet and home we have.

Target Customer

Age: 20-24

Income: Middle to high income family

Education: Currently attending university

Lifestyle: Fast lifestyle, with the need to be out the door quickly. Also has the high

need to be comfortable yet stylish. Lot’s of days with hair put up in a bun or pony-

tail, does not spend much time in heels. Has to be able to head from class to their

part time job, and then to the library to finish homework and studies. Has the sup-

port of their family financially.

Location: Suburban and city areas in Los Angeles and Miami

Gender: Female

Occupation: Full time student with a part time job in various industries.

Ethnicity: Various ethnic groups

Religious Views: Religion is not of high priorities to customer when purchasing

apparel

Products Designed

The products designed will hold a high level of comfort without sacrificing style. A con-

sumer will be able to travel from school, to the library, and to work without having to

make multiple changes throughout the day. If a consumer has already a strict uniform

enforced in her workplace, she will be able to change with ease and speediness. Prod-

ucts are designed to last and endure the intense and fast lifestyles held by customers,

without the customer having to worry if a product will snag, rip, or fall apart easily while

doing their daily tasks.

Product and Price Category

Hoodies: Pullover and Zip Up Hoodie: $50-$65

Leggings: Basic Solid Leggings and Print Leggings: $15-$30

Tees: Graphic Tees, Mid Length Sleeve Shirt: $15-$35

Cardigans: Boyfriend Cardigan, Mid-Length Cardigan, Mid-Length Kimono $40-

$60

Jeans: Skinny Jeans, Jeggings, Romper $45-$70

Uniqueness

Our products will be made from natural and organic fabrics to ensure maximum comfort.

For products requiring a blend of fibers, the most economical and high quality fabrics

shall be used. We will be mixing jute and organic cotton fibers to create our hoodies, or-

ganic cotton for jeans, bamboo will be used to create our breathable and moisture ab-

sorbent tees, hemp and organic cotton will be used to create our leggings, and the fine

threads of jute shall be used to create kimonos that feel and look like silk. What sets our

product apart is not only the quality and comfort, but also the fact that customers will

know what they are wearing comes from cruelty free and fair trade areas. Our products

will not only enforce comfort and fashion trends, but also enforcing a sustainable supply

chain and decreasing our footprint in nature.

Vision Statement

Here at S.C.S. Innovations, we strive to provide reliable apparel that can power through

hectic days and various environments similar to its’ wearers, which is why we also are

sure to produce products that are sweatshop free and footprint sensitive. We envision

our company in five years being the go to place for retailers to purchase their sustain-

able and eco-friendly apparel, with high respect and standing in the apparel industry.

Mission Statement

Our company exists to make at least one of our customer’s tasks run smoothly: getting

dressed. Our products synchronize well with one another and are made with a classic

design, taking the questions “Does this match?” “Is this too outdated?” “Am I too

dressed down/up?” out of our customer’s minds and putting them at ease. Our pieces

are timeless and are a necessity in the closets of all young college students. We also

recognize that this generation of consumers is not only concerned about style and price,

but also about what is behind the products they buy. For this reason, we are sure to use

organic fabrics in our designs. Our products are also created under fair trade practices,

with the belief that fashion should not only be trend setting but also cruelty free to peo-

ple and to our environment. Our mission at S.C.S. Innovations is to provide sustainable

comfort and style through organic fibers such as hemp, jute, and flax. .

Operations Core Strategy

S.C.S. Innovations will be based on a operations core strategy. Our company is ahead

of the game with the affordability of our clothing without sacrificing quality, design, or in-

creasing our footprint on the world. With well developed relationships with our own man-

ufacturers of fabrics and materials, we are able to quickly execute and produce a high

selling product. Our design team is also highly educated and are able to quickly pick up

a successful trend amongst our target market in order to have a high response rate.

Company Project #2

Primary Store Type

Specialty store

Three Retail Customers

Victoria Secrets: PINKUrban OutfittersH&M

Strategic Business Units

Women’s Everyday wearProducts: Leggings, Shirts, Hoodies, Cardigans, Jeans

Fashion Report Using Primary Data: Survey Suggestion

Timestamp

How important is comfort for you in your daily wardrobe?

What would turn you to buy clothing made from organic materials?

What would turn you to pur-chase fair trade and cruelty free clothing?

Describe what you wear on a daily basis.

4/13/2014 22:20:43

Highly impor-tant If it is affordable If it is affordable

Jeans, tank top, button up or vest and sneakers

4/13/2014 22:21:34


Generally I'll wear jeans and a long shirt, and depend-ing on the weather either a cardigan or a jacket on top. I also wear a head-scarf.

4/13/2014 22:22:25 Not important

If it is fashion-able/trendy

If it is fashion/trendy

Gap Beanie, Ur-ban Outfitters Corner Shop Be-linda Tee In Plum, Theit Bossi Bag In Fawn, Asos White Skinny Jeans, Vans

4/13/2014 22:26:35


Jeans or leggings. Loose fitting top. Cardigan in case it gets cold! Flats or boots

4/13/2014 22:36:16

Somewhat im-portant



School: jeans, boots, shirt, cardiganRunning errands: leggings, shirt, nikes or converseWorking out: shorts, nikes, t-shirtGoing out: dress, heels, pants, blazers, flats, cute shirts

4/14/2014 2:36:16

Highly impor-tant


I always pur-chase organic fashion

Work-white but-ton down collar shirt, black jeansSchool/daily-skinny jeans,baby-doll tops, Lacey tank-tops, cardigan, jean skirts,leggings,cas

ual dresses

4/14/2014 0:46:35

Highly impor-tant



T-shirts and shorts

4/14/2014 1:00:36


Jeans that fit me just right, Nikes, and a comfortable shirt but some-times I wear boots...

4/14/2014 10:08:16


Tees, tank tops, cardigans, jeans, sandals or flats

4/14/2014 12:03:25


Scrubs and work out clothes.

4/14/2014 15:21:18

Highly impor-tant If it is affordable


Sweats or leg-gings, a cotton shirt and Toms

How important is comfort for you in your daily wardrobe?

Highly important 9 82%

Somewhat im-portant

1 9%

Not important 1 9%

What would turn you to buy clothing made from organic materials?

If it is affordable 7 64%

If it is comfortable 0 0%If it is fashionable/trendy 4 36

%I always purchase organic fashion

0 0%

What would turn you to purchase fair trade and cruelty free clothing?

If it is affordable 6 60%

If it is comfortable 0 0%If it is fashion/trendy 4 40

%I always purchase fair trade appa-rel/products

0 0%

Describe what you wear on a daily basis.■ Scrubs and work out clothes.

■ School: jeans, boots, shirt, cardigan Running errands: leggings, shirt, nikes or converse Working out: shorts, nikes, t-shirt Going out: dress, heels, pants, blazers, flats, cute shirts

■ Generally I'll wear jeans and a long shirt, and depending on the weather either a cardigan or a jacket on top. I also wear a headscarf.

■ Jeans, tank top, button up or vest and sneakers■ Tees, tank tops, cardigans, jeans, sandals or flats ■ Work-white button down collar shirt, black jeans School/daily-skinny jeans,baby-

doll tops, Lacey tank-tops, cardigan, jean skirts,leggings,casual dresses ■ Gap Beanie, Urban Outfitters Corner Shop Belinda Tee In Plum, Theit Bossi Bag

In Fawn, Asos White Skinny Jeans, Vans ■ Jeans or leggings. Loose fitting top. Cardigan in case it gets cold! Flats or boots ■ T-shirts and shorts ■ Sweats or leggings, a cotton shirt and Toms Jeans that fit me just right, Nikes,

and a comfortable shirt but sometimes I wear boots...Analysis

From the results I can ascertain that the main thing college students age 20 to 24 look for is comfort. In the results, only two stated that they comfort was either not important or slightly important to them. When asked what would make them purchase organic or fair trade clothing, there was a mixed response of “if it was affordable” and “if it was fashionable and trendy”. If a Google search was done for organic clothing, the majority of results show plain, basic, and boring clothing which could have resulted in a negative image of organic clothing amongst young consumers. However, If you show someone who shops at Urban Outfitters two similar Urban Outfitters designs, and told them one was organically made, the consumer will choose the organic option. I will thus make sure that clothing is not yet at Anthropologie price points, but rather at around H&M and Urban Outfitters retail price points. When seeing what people wore most often on a daily basis, the clothing stated the most were jeans, t shirts, cardigans, and leggings. Based on this, I know what clothing to produce the most of in order to appeal to customers who are constantly on the go and attend school. I was originally focused on dresses and ki-monos, but I now realize that the casual clothes that most customers would rather shop for are jeans and cardigans and thus must incorporate them into my line.

Retail Customer Merchandise Strategy

Victoria Secrets: PINK“Grow and maximize profitability of our core brands in current channels and geographies.” ("Victoria's Secret 2013."

Victoria’s Secrets merchandising strategy focuses on maximum profitability of their core brands, extending brands into new channels, and to return value to their shareholders. They hope to increase sales productivity and have expense control. They work closely with their merchandise vendors on innovation, quality, speed, and costs. With Victoria’s Secret focus on innovation and expense, my apparel production company will be a per-fect match as we are not only coming with a new type of product that customers will ap-preciate, but we also keep affordability and style in mind: something that they will appre-ciate. It will also help them grow and move past just North America.

Urban Outfitters“Our core strategy is to provide unified environments that establish emotional bonds with the customer.” ("Ur-ban Outfitters Inc--Form 10-K."

Urban Outfitters focuses on establishing a relationship with the customer through e-commerce, mobile applications, and catalogs. With their omni-channel strategy, cus-tomers have a seamless and easy shopping experience. They are very focused on be-ing technologically ahead of the game as it helps them better serve their customers and fill out more orders. The buyers of the company also stay in close touch with the ever changing trends and tastes of the target market, through attending regional trade shows and keeping up with media influences. My store will be a good fit for Urban Outfitters as we also focus on the trends amongst our similar target markets, and stay technologi-cally and sustainability advanced.

H&M“H&M’s business concept is to offer fashion and quality at the best price, and its strategy is to always have the best customer offering in each individual market.” (“H&M Annual Report”)

H&M focuses it’s brand to offer the very best for its’ customers, from quality, price, trends, and sustainability. H&M prides itself as being one of the recognized brands for taking steps towards sustainability. H&M also works in closely with production offices to ensure good working conditions are in play. H&M would be my ideal customer as their value go along side by side with my own: style, price, sustainability, and proper condi-tions in production offices and factories.

Works Cited

"H&M Annual Report." Annual Report 2013. H&M, n.d. Web. 17 Apr. 2014. <http://about.hm.com/content/dam/hm/about/documents/en/Annual%20Report/Annual-Report-2013_en.pdf>.

"Urban Outfitters Inc--Form 10-K." Form 10-K. N.p., n.d. Web. 17 Apr. 2014. <http://www.sec.gov/Archives/edgar/data/912615/000119312514125999/d667513d10k.htm>.

"Victoria's Secret 2013." Final Prospectus Supplement. N.p., n.d. Web. 17 Apr. 2014. <http://www.sec.gov/Archives/edgar/data/701985/000119312513397670/d607733d424b3.htm>.

City Demographics

Retail Customer: H&M

Store locationsSanta Mon-ica, CA

Los Angeles, CA

Costa Mesa, CA

Pasadena, CA Irvine, CA Average

90401 90067 92626 91105 92618

General Characteristics

Female 50.80% 62.80% 49.70% 52.60% 46.70% 52.52%

Age 20-24 years old 7.00% 1.70% 7.80% 3.70% 6.30% 5.30%

One race 97.30% 98.30% 97.00% 96.90% 94.70% 96.84%

Householder, living alone, renting, female, 20-24 16.6% 24.2% 13.3% 10.9% 18.3% 16.66%

Social Characteristics

Precent of Age Group in School 49.1% 28.9% 51.80% 56.9% 52.2% 47.78%

Marital status - single (never married, divorced, or widowed) 20-34 57.5% 81.9% 65.80% 65.5% 52.2% 64.58%

Economic Characteristics

Employed, female 66.0% 51.9% 70.1% 67.6% 62.2% 63.56%

Household income $100,000- 11.7% 12.2% 15.1% 19.6% 26.6% 17.04%

$149,000

Household income $150,000-$199,000

7.4% 4.2%4.6% 10.6% 6.3% 6.62%

Household income over $200,000 8.0% 27.6% 3.0% 11.5% 3.9% 10.80%

Demographics Analysis

The following cities were chosen because the people who live there tend to be in middle and upper classes, and thus are able to afford our clothing. There is a high amount of females who live in the cities as shown from the census, with the lowest percentage only being 49.7%. This informs us that there will be plenty of women who would come to purchase our products. There is low percentage of 20 to 24 year olds in those locations however, with the average only being 5.3%. This could be a problem, however our clothing is geared to those who live busy lifestyles and so someone who is older than 24 years old could appreciate our products. The percentage of those who live alone is low, with the average being 16.66%. While low, this could mean that those who are not living alone have more money to be spending on themselves and thus are more capable of purchasing our products. There is a fair amount of people within the age group who are currently attending school, with the average being 47.78%, this means that there are plenty of college students who will be looking for comfortable and stylish apparel. There is also a high amount of females in the age group is also single and never married, meaning that they also have money to spend on themselves rather than on a spouse or household. Also the amount of those in the age group who are employed is high, the av-erage being 63.56%, meaning that they have a reliable source of income that they will be able to spend on personal expenses such as clothing. Also because a majority are living at home, the amount of money the target customer has to spend on themselves is higher. The incomes of such individuals was also looked at and out of the three incomes analyzed, the majority have an income of $100,000 to $149,000. Coming in second at an average of 10.8% were those with an income of above $200,000. This is good news for the company for it tells us that those living in such areas are living on a high income, and thus have money to afford higher priced items. This ensures us that our products will be able to sell in those areas and that demographics will not be the problem for products not selling.

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