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Entrepreneur retailpresentation.ppt (1)


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analysis of why we are entering into an era where art and picture framing is a lucrative business opportunity and how our new concepts and innovations are disruptive giving us a unique competitive advantage

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Entrepreneur retailpresentation.ppt (1)

  1. 1. ENTREPRENEUR PRESENTATION Fancy Art, *NFP *Not Fancy Prices Framed art is in every home and office, a multi-billion dollar industry; it is a big ticket item and even thoughwe live in an image conscious society, it is the only industry remaining, that is not mature and fully developed; most people will tell you that they have never done custom framing, because it is perceived as being too difficult to do and very expensive. The problem is that the industry uses an antiquated distribution system, made up of many layers of middlemen, each taking a profit and ratcheting up the price.
  2. 2. But what if instead of Difficult & Painful - it was made Fun & Easy There would be a huge untapped market waiting to be served. Think about this, if the internet is a barometer of human emotion, then what are its most popular sites: “Facebook”, “Instagram”, “Pinterest”, “YouTube” and many more, the one thing that they all have in common are pictures. Further, according to a recent study: “The human mind interpolates a picture 64,000 times faster than it decodes written words”. That means that when someone walks into your space, they are already forming first impressions about your lifestyle and values. Today, everyone wants a way to express their individual identity and what better way to do that, than with the their art
  3. 3. So how do you take something that is perceived as being difficult and painful and make it fun and easy? It all begins with the presentation; most frame shops are small, with a limited selection and poorly merchandised, whereas our galleries are spacious. with a vast array of framed art, to arouse the customers perceptions of the types of things that they can create for themselves.
  4. 4. There are thousands of unframed artworks for customers to choose from, we will even let them borrow pieces, take them for a test drive in their setting before making a commitment. Again, first impressions are very important and we want our customers to feel comfortable and at ease in making their decision.
  5. 5. Once the artwork is selected, whether from us, or purchased elsewhere, we can offer options for framing that they won’t find anywhere else. Our patented racking system displays thousands of frame samples, where most frame shops, even large competitors, have only a few hundred; notice that the frame samples are accessible, not behind a counter, so that it’s easy to try different frames and compare, until they have created the perfect combination for their taste and budget. It is important to note that as they are doing this, they become vested in the outcome and price becomes less significant.
  6. 6. Corroborating this, Dan Airelly, a prominent behavioral psychologist when interviewed on PBS television by economics reporter Paul Solomon on what motivates people, said that “people will spend up to five times as much for something that they feel that they have created as opposed to buying something readymade. Another important difference is that in most frame shops, they have dollars per foot printed on the back of the frame samples, so if you saw $20 or $30 a foot, it might discourage you from going any further; Fancy Art, *NFP uses a numbering system, that goes from 01 to 15 and the higher the number the more expensive the frame; then, when we scan it into our handheld computer, if the price is a little more than what you wanted to spend, you will go back and find a lower number, but it hasn’t scared you away; it’s the same reason they give you chips when you go to Las Vegas.
  7. 7. Once the artwork is composed to their liking our Fancy Art Order Management System, makes the experience fun and easy. Our proprietary handheld point of sale device makes it fast and easy for them to try different things and tweak it to their taste and budget. Then the order(s) are transferred over to the store computer, which prints an invoice and creates a record of the sale and archives all of the particulars, so that if they ever want to lookup or replicate a previous order, it can be done easily.
  8. 8. Now here is where it gets interesting, once the customer has paid and left, the associate can double check the order and update their record, then they push a button and the order(s) is transferred via the internet to the local hub where most of the work will be done. At the hub, the frame, the matting, the glass and most other ancillary services will be fabricated and then returned to the shop for final assembly and finishing. This means that the shop owner doesn’t have to buy or allocate space for a lot of expensive equipment, so they can afford to be in a more upscale location, they don’t have to order materials or have left over stock to store, they don’t have to have the learning curve to know how to do the many different technical aspects and they don’t have to have the employees that would normally be necessary to do that work. Most important, by funneling everything to a central hub, it gives us efficiencies and economies of scale that can’t be beat.
  9. 9. As proof, we took the same picture, first we framed it, then we went to store ‘B’ and had them frame it as close to ours as possible, then we clipped out a 50% off coupon from another large competitor and had them frame it. Here are the result, our price was $146.85, Store ‘B’, charged us $273.00 and Store ‘C’, famous for advertisisng with a 50% off coupon, charged us $264.70. We usually get a “WOW” when we show this to people. Want to know who stores ‘B’ and ‘C’ are? Just ask!
  10. 10. In summation, art and framing is ubiquitous, it appeals to every age group from 4 to 94, it’s gender neutral, it can be understood in any language and appreciated by every ethnic, religious and racial group.
  11. 11. The World of Art is Vast and So are its Opportunities: ⬜ Artwork Sales ⬜ Custom Framing ⬜ Custom Mirrors ⬜ Canvas Transfers ⬜ Digital Printing ⬜ Art Restorations ⬜ Art Appraisals ⬜ Consigned Art The opportunities are vast and there are many different profit centers
  12. 12. As long as we have living spaces, we will want to have something on the walls to decorate them; framed art is needed in every home and every office; catering to a clientele who appreciate the finer things of life and has the discretionary income to afford them; a high ticket item with high profit margins; low staffing requirements; eliminates the need to tie up money for unnecessary space, equipment and materials; exclusive franchise territories; a friendly and low stress work environment; and finally, complete support nearby to answer your question and assist you to maximize your potential. you’re in business for yourself, but not by yourself.
  13. 13. • Fancy Art, *N.F.P. • Our franchise fee is $24,500.00 and Actual results will vary from location to location. The franchisee will have a 200% markup from our recommended pricing on framing and 100% on all other products and services. We will collect a 7% royalty on gross sales. This is a projection for a hub –n-spoke business model. There can be a hub in any high population density area. cities such as New York, Chicago and L.A could support two or three hubs and since each hub is local, supporting anywhere from 10 to 30 satellite locations, they are able to tune in to the tastes and style of their region, while still being connected to a national network. All of the frame mouldings would be cut to the order(s) specification and shipped to the local hubs from our national distribution center.
  14. 14. - The End - Of The Beginning If You Got The Picture Contact us For More Information Frame Your Future – Starting Today 1-877/FncyArt (362-9278) The end of this presentation, but hopefully just the beginning of our journey together. We look forward to forming a mutually beneficial relationship. We have been developing and refining this concept for over 20 years, so we are confident that we can satisfy any question and/or concerns you may have.