What makes our sneakers different from the rest? Our sneakers capture timeless designs rooted for the evolving generation. Our unique styles driven by are driven leisure, and instantly become classics.
Feasibility Business Study
KICKS &KROISSANTSnathan El Kordi-HubbardRicardo TaylyleMaltzChad Goldsmith Jonathan El Kordi-Hubbard, Ricardo Taylor, Kyle Maltz, Chad Goldsmith
OUR VISION“It is our goal to provide our customers with the most unique retail experience possible.”
BUSINESS OVERVIEW: WHAT IS KICKS &KROISSANTS? A new physical retail store specializing in the electronic sale of sneakers, merchandise, and food. Click and Brick e-commerce store. Allowingcustomers to make purchases digitally and pick them up in the store.
CUSTOMER SERVICE BLUEPRINT Arrive at Customer Go sit at Kicks & contact and table Kroissants greeting Order Receive merchandise products and food etc.
HOW WILL THE PRODUCTS BE SOLD? Touch screen ordering on table mounted e- menus Orders are transmitted to the kitchen and customer service via the software interface Tapcode Technologies. Orders are processed, accounted for, then delivered
PRODUCTS: SNEAKERS We will carry specialty sneaker accounts from Clae, Gourmet, Nike, New Balance, Puma, Saucony, Supra, and Vans.
U.S. SNEAKER MARKET Athletic shoes dominate the US market with 41.5% market share The United States footwear industry has a market value of $62.1B By 2014 it is estimated market value will rise 11.9% to $69.5B (Datamonitor). Table: United States Footwear Industry Market Value in billions (05-09e)
PRODUCTS: MERCHANDISE We will carry apparel and accessory accounts from KR3W, LRG (Lifted Research Group), Manhattan Portage Neff, Nixon, and The Hundreds.
PRODUCTS: FOOD We will serve a variety of croissants, cookies, muffins, scones, coffee, teas, specialty and soft drinks.
HOW WILL WE GET THE ACCOUNTS? Networking Word of mouth Reaching out and contacting the regional and local distributors. Cannotcrossover accounts. Bodega: Adidas, Concepts: Nike SB The food will be bought wholesale.
THE TARGET MARKET Target age group of 14-34 Makes up 42% of the total population in Boston (246,477/589,141) 70.6% are tech savvy (U.S. Census Bureau) Average disposable income of $123,833 Appealing to their notion of looking to large urban cities for a sense of inspiration.
OUR LOCATION Kicks &Kroissants will be located on Newbury Street in Boston, Massachusetts. “Boston’s most enchanting street” The focal point of shopping in Boston. Newbury Street shows an individuality and uniqueness that lacks in other commercial areas.
WHY BOSTON? Boston embodies a rich urban retail environment not found in many American cities With 9 universities within 7 miles of Newbury Street it makes our target market very accessible. BerkleeCollege of Music, Northeastern, Simmons, Emerson, Boston University, Harvard, MIT, Boston College, and Tufts.
DIRECT COMPETITION: SATURATED Bodega (10 min walk) Strictly shoes & merchandise Concepts (57 min walk) Strictly shoes & merchandise Johnny Cupcakes (5 min walk) Strictly pastries & apparel.
FINANCIAL INTERPRETATIONS: IS THIS A POSSIBILITY? Daily Customers for • Total Revenue: $296,100 each season: Fall 30-40 Sneakers 2,700 units @ Winter 10-20 Spring 30- $80 40 Summer: 50-60 Merchandise 1,700 @ $36 Looking for a start up Food 5,400 @ $3.50 capital (investments and • Cost of goods sold is loans) of $500,000 $135,000 Total Fixed Expenses + Buying 3,000 pairs @ $36 Cost of Merchandise = Buying 2,000 units @ $11.25 $427,000 Buying 6,000 units @ $0.75 $73,000 for “wiggle room” • Gross Profit (TR – CoGS) after selling inventory is $161,000
OUR FUTURE Expecting 2nd year growth of 30% and 15% annually thereafter. Year 2 profits of $209,300 Year 3 to future profits of an extra $24,150 annually ($233,450) Kicks &Kroissants is an exciting opportunity to engage in the next generation of retail.