OUTSMART of Jibbitz


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OUTSMART of Jibbitz

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  • - You can handle some of them within available time to do the business.- If think small, market size is too small to keep the business doing.
  • OUTSMART of Jibbitz

    1. 1. IM621 Value innovation with IT / Prof. Kim, Soung Hie<br />OUTSMART ofJibbitz<br />Team#6Yang Seong Soo<br />Moon Sung Jin Son Hee Joo Yun Sahyuck Ham Seung Wan<br />
    2. 2. 2<br />Out SMART idea of JIBBITZ<br />0<br />Contents…<br />Company Overview<br />AS-IS innovation<br />TO-BE innovation – our idea<br />
    3. 3. 3<br />Company Overview - JIBBITZ<br />Ⅰ<br />In 2005, Sheri Schmelzer spent the rest of the day filling holes in the family’s 12 pairs of Crocs.<br />In February 2006, while Seri designed, Rich strategized. They decided to sell the charm through jibbitz.com<br />When her husband, Rich came home, He could get the idea thathe could make big profitfrom that. And he’d filed a patent<br />Rich soon found a way to get plastic Jibbitz manufactured in China. And they moved the operation out of their home<br />one of Crocs&apos; founders spotted Lexie’sJibbitz at the local pool, handed her his business card, and said, “Have your mom call me.”<br />In December 2006, Crocs bought Jibbitz for $20 million, with the Schmelzers staying on board. <br />
    4. 4. 4<br />Company Overview – CROCS<br />Ⅰ<br />Crocs Inc. makes footwear for men, women, and children<br />General info & Recent Highlight<br />Product Features<br /><ul><li> Headquarter- 6328 Monarch Park Place Niwot, Colorado
    5. 5. regional headquarters - Niwot  the Americas - Singapore  Asia - the Hague  Netherlands & Europe
    6. 6. Recent Highlight - Crocs Inc. signs with top teams in NASCAR (a new driver of earnings)</li></ul> - Acquisition of new companies Jibbitz<br /> - 2007’s 4Q earnings up 236% year over year, $112 million<br />The unique resin material, croslite <br />Ideal for casual wear, as well as boating, hiking, fishing, and gardening<br />A soft, lightweight, non-marking, slip & odor-resistant shoe<br />CustomerSatisfaction<br />125 Countries<br />
    7. 7. 5<br />Company Overview – CROCS business status <br />Ⅰ<br />Crocs Inc. has made excellent growth but there are many risks <br />Business Highlight<br />Risks<br />[Growth Rate(%) / 2007]<br />1<br />Seasonality<br />2<br />Decline in popularity<br />[Distribution of Sales]<br />3<br />Competition<br />
    8. 8. 6<br />AS-IS Innovation - 2. Lessons From Jibbitz<br />Ⅱ<br />Control the speed<br />Think Big<br />Control the speed about the biz idea.<br />Even if you have too much of good ideas,<br />timely providing is more important.<br />Rich Schmelzer understood that <br />without the infrastructure to handle <br />potential demand efficiently, he had <br />to limit his commitments to customers<br />Think big and consider the extension of biz model. Small market size make biz<br />uneasy to keep doing. <br />From the beginning, Jibbitz&apos;sgrowth<br />potential was limited only by the <br />soaring growth of Crocs itself, but <br />not all new ventures are so lucky.<br />
    9. 9. 7<br />AS-IS Innovation - 2. Lessons From Jibbitz<br />Ⅱ<br />Consider your infrastructure<br />Think targeted marketing<br />Do not neglect your biz infrastructure and consider reengineering<br />Jibbitzheld its payroll to just 40 <br />employees even as it grew in <br />overseas markets and outsourced <br />production to China. <br />Keep your organization&apos;s structure <br />Simple, then you can make your biz<br />grow easily. <br />Build a goal & think targeted marketing<br />One way Rich Schmelzer kept operations under control was by relying on word-of-mouth marketing and Jibbitz.com; he avoided spending on traditional ads.<br />Non-traditional marketing could be<br />enough to Jibbits<br />
    10. 10. AS-IS Innovation - 2. Lessons From Jibbitz<br />Ⅱ<br />Take the long view<br />Sheri and Rich Schmelzer were planning Jibbitz product extensions into anything<br />having holes, such as, anklets, wristbands and cell phone charms.<br />Definitely you should think about the<br />future of the company in order to survive in more competitive market & population declining environment.<br /> Product extension<br />8<br />
    11. 11. 9<br />TO-BE Innovation - Our Idea<br />Ⅲ<br />ERP<br />Tryvertising<br /><ul><li>Make DW to conduct Cost & Profitability</li></ul>management and do BSC<br /><ul><li>Time-saving
    12. 12. Effectively manage supply chain in the </li></ul> world<br /><ul><li> Increase effect of Word of Mouth
    13. 13. Get ideas through review
    14. 14. Increase User Experience (UX)</li></ul>SEM<br /><ul><li> Draw people in many platforms</li></ul> (Participation) <br /><ul><li>Provide value-oriented service
    15. 15. New value chain based on</li></ul> governance<br />Design -Store<br />SNS / UGC<br /><ul><li> Respond to mass customization
    16. 16. Meet customer needs with agility
    17. 17. Long-tail / Open platform
    18. 18. Give customers unusual </li></ul> value proposition<br /><ul><li> Provide customers with </li></ul>revenue as customer value<br /><ul><li> Produce new product </li></ul> regardless of season<br /><ul><li> Utilize Collective Intelligence
    19. 19. Reflect ideas in design stage
    20. 20. Real-time customer response
    21. 21. Make strong followers(Loyalty)
    22. 22. Voice of the customers is </li></ul> the great collaboration<br /><ul><li> Improve brand valuethrough </li></ul> relationship<br /><ul><li> Provide production process</li></ul> (Transparency)<br />Smart Phone<br /><ul><li> Provide continuityand </li></ul>multi-channel<br /><ul><li> Real-time decision making</li></ul> with using EMS<br /><ul><li>Convergence</li></li></ul><li>Thank you~<br />