The document provides details on the proposed Artisan Connect e-commerce business. It will connect artisans in developing countries with consumers looking to purchase unique, high-quality home goods. The system will have interfaces for artisans, administrators, and customers. Artisans can manage their profiles and products, while administrators can generate reports and send promotions. Customers will be able to browse products, learn about artisans, and make purchases. The goal is to increase artisans' margins while preserving cultural crafts and empowering artisans, especially women.
3.
Executive Summary
The Need:
Artisans are an endangered species; many see the allure of more lucrative jobs creating a
mass exodus from villages to cities. With this exodus and globalization, there is less interest in
crafting by the offspring of artisans impacting the village’s sustainability. Key challenge facing many of
the artisans is market access and improved margins. Existing companies either return low margins,
Artisan Connect intends to increase the margin, or lack at providing access to necessary markets.
Many of the existing marketplaces are not appealing to target buyers and merely create a transaction
not engagement with the artisans. The artisans’ brands are not built on reputation for high quality as
existing companies are not good at marketing the artisans’ brands to conscious consumer.
The main purpose of Artisan Connect, and thus the system, is to connect supply with demand
and to do so in a way that the artisans will be able to retain the profit they earn instead of having to
give most of it to a middleman. In addition, the online marketplace is a platform to help artisans gain
access to a bigger market of savvy and affluent customers looking to obtain unique and authentic
goods. This online setting also facilitates engagement with the artisans and enables the artisans to
retain a fair portion of the proceeds. Ultimately, it creates a sustainable model that aims to preserve
the dying traditions of the artisans’ crafts.
The Solution:
The system will have three distinct users to cater to the different types of stakeholders: the
administrators, which include marketing report building capabilities, artisans which have distinct
portal to input candidate profile, products and maintain product history logs and accountaing
balances, and customers, which are able to browse, select and order products of their choosing. The
system includes information on the artisan, including biography and detailed descrption of their
products to help create a connection between the customer to the artisan that moves beyond just
transactional.
The administrator interface allows the Merchandising, Customer Relations and Sales &
Marketing teams to manage the customer and artisan accounts. The Merchandising team will be able
to catalog items from artisans and manage the inventory levels of each item. The Sales & Marketing
team will be able to retrieve sales reports to track which items are best sellers and which items are
not very popular with customers.
For the artisan interface, the functionality will enable artisans to manage and track their sales,
view analytical trends on their best seller items and interact with customers. The artisans can also
manage their profile so that customers can learn about their works.
For the customer interface, is intuitive and easy to use so all types of customers are able to
learn about and buy from the artisans. The functionality mirrors other ecommerce websites so
Artisan Connect 3
4.
anyone can use, browse and selected desire items without getting lost or confused.
BUSINESS NEED
Artisan Connect Mission
“Sustaining Ancient traditions. Bringing beauty to modern spaces”. Globalization is threatening the
sustainability of authentic crafts in developing countries. Artisans see more lucrative ways to make a
living through jobs such as call centers, factories, and tourism. And their offsprings are losing interest
in their family businesses and traditional practices. Artisan Connect’s mission is to offer an alternative
for artisans to retain their ancestral way of life and combat globalization that is threatening the
sustainability of authentic crafts. Our ecommerce website helps take the mission to reality by
offering high quality curated offerings to target buyers and creating a community to harness targeted
buyers, increase propensity to purchase, cultivate partnerships, and create legitimacy with artisans.
Business Opportunity
As eloquently put by Ralph Lauren “Things made by hand are rare in this world. Every stitch, every
detail represents a love and a tradition of craftsmanship handed down over generations.”
The market for artisan goods globally in 2013 for handcrafts is $400 Billion and market for online
home décor is expected to reach $23 Billion by 2015 (see Appendix A)
.
1
Additionally, trends point to the fact that people are becoming globally minded “conscious
consumers” who are willing to spend more on products from socially responsible companies. A study
from Nielsen global Survey on Corporate Social Responsibility indicate that the number of socially
responsible consumers have increased from 36% in 2011 to 44% in 2013
.
2
There exists a huge potential for highquality home products from artisans in developing countries.
Affluent, discerning, globally minded “conscious consumers” in the US currently purchase these kinds
of crafts largely through bricks and mortar retailers.
Additionally, business opportunity Artisan Connect hopes to solve is improving artisan’s margins. The
existing artisan margins are 57% of what existing competitors are offering while Artisan Connect
strives to improve this margin to 30% (see Appendix B & C)
.
3
Ultimately, the sales proceeds will be passed on directly to artisans, cutting out middlemen who take
a huge chunk of artisan’s revenue. The online marketplace is also a platform to connect artisans and
customers on a deeper level beyond just a transactional relationship.
One of the biggest social benefits the system will provide is the promotion of social empowerment.
Many of the artisans are women roughly 70%1
. The system will provide these women who are often
lowskilled and homebased an opportunity to earn a stream of income. Through that, they will have a
chance to improve their social mobility status.
1
Dasra (2013). Crafting A Livelihood. Retrieved from http://www.dasra.org/reports_2013/CraftingALivelihood_Report.pdf
2
AC Nielsen (2013). The Global, SociallyConscious Consumers. Retrieved from
http://www.fi.nielsen.com/site/documents/NielsenGlobalSocialResponsibilityReportMarch2012.pdf.
3
Provided by Artisan Connect
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5.
The key problem for many of the artisans is market access and distributors return a small percentage
of profits to artisans. Existing retail stores and catalogs have low margins. Artisans who do have their
own online presence have insufficient traffic to justify the effort in creating and marketing such an
online marketplace. Existing online marketplaces that aggregate artisans are not that appealing to
consumers, provide an eclectic range of offerings, tend to have lowquality items to increase the
profit to the web designer not the artisan and are focused on transactions not engagements. The
artisans’ brands are not built on reputation for high quality and existing nonprofits aren’t good at
building markets of “third world” products to “first world” consumers.
The target market for the ecommerce site is affluent individuals interested in unique quality wares
created by the artisans themselves. Other customers might be interior designers who specialize in
bringing beauty indoors, surrounding spaces with one of kind, special pieces. The ecommerce site
will target many of the United States’ major metropolitan areas where many buyers seek exceptional
and exclusive pieces. Buyers who are both globally aware and conscious consumers will also be drawn
to the Artisan Connect online marketplace. Many of the millennial are also keenly aware of
sustainability and maintaining artisans ancestral ways of life, the Artisan Connect online marketplace
is an ideal area for them to purchase high quality, beautiful and sustainable items.
The competitive players in this space include artisan sites that work with artisans in developing
countries and commercialized home and decor sites. There are a few artisan sites that offer similar
services such as Novica, Ten Thousand Villages, Dsenyo and Etsy. On the commercialized home and
decor side, the players include One Kings Lane, Pottery Barn, Restoration Hardware, Wisteria and
West Elm. (Please refer to Appendix D for more information on the competitors.)
For Artisan Connect, the business goal is to create the capabilities of an online marketplace to sell
high quality products made by artisans. By creating an online marketplace curated with home decor
products, the aim is to drive high volume traffic to the site and convert this traffic to recurring
customers in order to generate sales. Differentiators set Artisan Connect apart is category focus,
brand reputation for quality and curated offerings, building a relationship vs. transacting a product,
sourcing through nonprofits and collectives, maintaining a social mission and creating meaningful
partnerships.
The Artisan Connect ecommerce site strives to make it easy for shoppers to purchase beautiful and
unique products in an online setting that allows them to engage with the artisans, while allowing the
artisans to retain a fair portion of the proceeds. The ecommerce site will further connect artisans
with buyers and allow the administration of Artisan Connect to run maintenance, support and
marketing efforts, allowing the artisans to focus on their goods, keeping the priceless tradition of
regional crafts living on.
Business Process Needs
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6.
The ecommerce system will have a crucial role to play to meet this marketplace demand to enable
the social benefits to trickle down to the benefitting parties. The system will have three interfaces to
cater to the different types of stakeholders, primarily the artisans, administrators and customers, who
will be interacting with the system.
The specific functionality of the system will need to include the following features. The customer
interface will display the appropriate information on the curated products such as product
description, product dimensions and size, images, information on the artisans who made these
products for shopping and browsing. The customer will fill his or her shopping cart with the desired
product(s). When the customer is ready to make the purchase, the system will either allow new
customers to create an account or prompt returning customers to log in with their credentials to
complete the transaction. Customers are also able to track orders to determine when they will be
receiving the items. The customer shopping experience will be similar to many online shopping sites
and it will be intuitive and easy to use.
Each artisan will have access to the system with personalized login credentials to set up his or her own
page complete with artisan’s basic contact information. In addition, the system will let the artisan
enter a short blurb on the artisan describing his or her works, crafts techniques. Using this interface,
the artisan can also enter in product information and images to showcase the types of crafts available
for sale. The system will enable the artisan to manage a few processes such as manage and track sales
payments, shipping orders and order fulfillment requirements. When an order has been placed by a
customer, the artisan will be informed via email. The artisan will enter the expected shipping delivery
times and status into the system. Finally, the artisan can view sales payment information when the
payment has been posted.
The system will also have an interface for the Sales and Marketing administrators to retrieve sales
reports on a periodic basis. Administrators will be able to generate any type of reports that they wish
to review on for analytics purposes. The key report that will be used heavily will be the sales reports
to identify and determine which items are best sellers that artisans should be making more of. Using
this data, administrators will be able to send monthly recommendation reports to the artisans via the
system. The sales report will also provide accounting information such as sales proceeds generated
for each artisan in that month and enable administrators to post monthly payments to artisans.
Finally, an important aspect of the system’s functionality is that administrators to created targeted
email promotional newsletters highlighting new artisan’s works to encourage more site visits and
purchases.
TECHNOLOGICAL NEED
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12.
Inputs Source Outputs Destination
Time interval for
analysis
New promotion
information
Items request
Time interval & Artisan
Account
Marketing staff
Marketing staff
Marketing staff
Marketing staff
Sales reports
Promotional
information
Promotional emails
Items request email
Invoice
Payment record
Marketing staff
Promotions Data Store
Customer
Artisan
Artisan
Artisan Data Store
Use Case Name: Artisan Group Administration
Actor: Artisan
Description: This use case describes how Artisan Connect staff administrates Artisan information.
Trigger: Artisan contacts Artisan Connect staff.
Type: External
Preconditions
1. The system is online and available.
2. Artisan staff is authenticated and signed in.
Normal Course Information for Steps
1. Artisan information
1.1 If the artisan is new
1.1.1 The system accepts new artisan information
1.1.2 The system creates artisan record in data store
1.2 If the artisan existing
1.2.1 The system retrieves existing artisan Information from
data store
1.2.2 Existing information is presented
1.2.3 The system accepts updates on artisan
1.2.4 The system updates artisan record in data store
2. Inventory information
Do until inventory information is captured
2.1 The system accepts inventory information including pictures,
description and cost
2.2 The system creates a record of the inventory listing in the
Inventory Data Store
End Loop
3. Updating Inventory Information
Do until updates are captured
I: Artisan Information
O: Artisan Record
I: Existing Artisan
Information
O: Artisan Information
I: Artisan Info Update
O: Artisan record update
I: Item(s) Information
O: Inventory record
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17.
Data Dictionary
a) Data Structures
Artisan Data
Store
The Artisan Data Store will store information on each Artisan group such as
the Artisan organization name, address, description, reviews and ratings. It
will also contain details on the Artisan’s bank account to facilitate monthly
wire transfers for transactions that have taken place.
Date Created
Artisan ID Artisan Pictures
Artisan Organization Name Artisan Profile Description
First Name Last Name
Street Address 1 Street Address 2
City State
Zip code Country
Phone Number Email Address
Amount Paid Monthly Payment Status
Inventory Data
Store
The Inventory Data Store will contain a complete catalog of all the product
items that are available on the online marketplace. It will house product ID,
product description, product images, review and ratings.
Date Created Product ID
Product Name Product Category
Product Description Product Color
Product Size Product Pictures
Product Price
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20.
# Data Flow Data Element # Data Flow Data Element
2 Customer
Account
Customer Username +
Customer Password
3 Customer
Order
First Name + 3 cont. Customer Order Credit Card Expiration Date +
Last Name + Transaction Date +
Street Address 1 + Transaction ID +
Street Address 2 + Product ID +
City + Product Name +
State + Quantity +
Zip code + Total Amount +
Country + Shipping Address 1 +
Phone Number + Shipping Address 2 +
Email Address + City +
Credit Card Number + State +
Credit Card Type + Zip code +
CVC Number + Country+
4 Shipping
Information
Shipping Address 1 + 4
Cont.
Shipping Information Zip code +
Shipping Address 2 + Country +
City + Shipping Tracking Number +
State + Shipping Status+
5 Artisan
Information
Date Created + 5 Cont Artisan Information Artisan Profile Description +
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21.
Artisan ID + Artisan Organization Name +
# Data Flow Data Element # Data Flow Data Element
5 Artisan
Information
First Name + 5
Cont.
Artisan Information State +
Last Name + Zip code +
Street Address 1 + Country +
Street Address 2 + Phone Number +
City + Email Address +
Artisan Pictures +
6 Artisan
Payment
Information
Artisan ID + 6
Cont.
Artisan Payment
Information
First Name +
Artisan Organization Name
+
Last Name +
Artisan Profile Description
+
Amount Paid +
Monthly Payment Status
7 Product
Information
Date Created + 7
Cont.
Product Information Product Color +
Product ID + Product Size +
Product Name + Product Pictures +
Product Category + Product Price +
Product Description +
8 Promotion
Information
Date Created+ 8
Cont.
Promotion Information Promotions Description+
Promotion ID+ Promotions Picture+
Promotions Title+
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22.
9 Sales Activity
Report
First Name + 9
Cont.
Sales Activity Report Credit Card Number +
Last Name + Credit Card Type +
Street Address 1 + CVC Number +
Street Address 2 + Credit Card Expiration Date +
City + Transaction Date +
State + Transaction ID +
Zip code + Product ID +
Country + Product Name +
Phone Number + Quantity +
Email Address + Total Amount +
1
0
Item Sales
Report
Product ID +
Product Name +
Product Category +
Product Price +
Artisan ID +
Artisan Organization Name
+
c) Data Elements
# Data Element Description Data Type Base /
Derived
Data
Element Owner
1 Date Created Date the profile of Artisan is
created
DATETIME Base Artisan Data Store
2 Artisan ID Identification number of the
Artisan’s profile
Char (32) Base Artisan Data Store
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23.
3 Artisan Organization
Name
Name of the Artisan Varchar (60) Base Artisan Data Store
4 Artisan Description Description of Artisan Varchar (200) Base Artisan Data Store
5 First Name First name of contact person
at the Artisan organization
Varchar (25) Base Artisan Data Store
6 Last Name Last name of contact person
at the Artisan organization
Varchar (25) Base Artisan Data Store
7 Street Address 1 Address of location of
Artisan organization
Varchar (60) Base Artisan Data Store
8 Street Address 2 Address of location of
Artisan organization
Varchar (60) Base Artisan Data Store
9 City City location of Artisan
organization
Char (32) Base Artisan Data Store
10 State State location of Artisan
organization
Char (32) Base Artisan Data Store
11 Zip code Zip code of Artisan
organization
Varchar (32) Base Artisan Data Store
12 Country Country where Artisan
organization is based
Varchar (60) Base Artisan Data Store
13 Phone Number Phone number of Artisan
organization
Numeric Base Artisan Data Store
14 Email Address Email address of Artisan
organization
Varchar (60) Base Artisan Data Store
15 Artisan Pictures Picture files of Artisan
organization
Ole Object Base Artisan Data Store
16 Amount Paid Amount of monthly sales
proceeds paid to Artisan
Numeric Base Artisan Data Store
17 Monthly Payment
Status
Displays if payment has
been made to Artisan Group
Char (32) Derived Artisan Data Store
18 Date Created Date the product is
cataloged
DATETIME Base Inventory Data
Store
19 Product ID Identification number that Char (32) Base Inventory Data
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24.
Identifies the product Store
20 Product Name Name of product Varchar (60) Base Inventory Data
Store
21 Product Category Category of product Varchar (60) Base Inventory Data
Store
22 Product Description Description of product Varchar (200) Base Inventory Data
Store
23 Product Color Color of product Varchar (60) Base Inventory Data
Store
24 Product Size Dimension measurements of
product (in inches or cm)
Varchar (60) Base Inventory Data
Store
25 Product Pictures Pictures of product Ole object Base Inventory Data
Store
26 Product Price Price of product Numeric Base Inventory Data
Store
27 Date Joined Date when customer signed
up for account
Char (32) Base Inventory Data
Store
28 Customer ID Identification number to
Identify customer account
Char (32) Base Customer Data
Store
29 Customer Username Username to log in to
customer account
Varchar (60) Base Customer Data
Store
30 Customer Password Password set to log in to
customer account
Char (32) Base Customer Data
Store
31 First Name Customer’s first name Varchar (25) Base Customer Data
Store
32 Last Name Customer ‘s last name Varchar (25) Base Customer Data
Store
33 Street Address 1 Customer’s residential
address
Varchar (60) Base Customer Data
Store
34 Street Address 2 Customer’s residential
address
Varchar (60) Base Customer Data
Store
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25.
35 City Customer’s city of residence Char (32) Base Customer Data
Store
36 State Customer’s state of
residence
Char (32) Base Customer Data
Store
37 Zip code Customer’s residential zip
code
Varchar (32) Base Customer Data
Store
38 Country Country location of
Customer
Varchar (60) Base Customer Data
Store
39 Phone Number Customer’s phone number Numeric Base Customer Data
Store
40 Email Address Customer’s email address Varchar (60) Base Customer Data
Store
41 Credit Card Number Customer’s credit card
information
Numeric Base Customer Data
Store
42 Credit Card Type Identifies if it’s Mastercard,
Visa or American Express
Char (32) Base Customer Data
Store
43 CVC Number Customer’s credit card’s CVC
number
Numeric Base Customer Data
Store
44 Credit Card
Expiration Date
Customer’s credit card’s
expiration date
Numeric Base Customer Data
Store
45 Transaction Date Date transaction is created
and processed
DATETIME Base Order Data Store
46 Transaction ID Identification number to
Identify the transaction
Char (32) Base Order Data Store
47 Shipping Address 1 Customer’s preferred
shipping address
Varchar (60) Base Shipping Data
Store
48 Shipping Address 2 Customer’s preferred
shipping address
Varchar (60) Base Shipping Data
Store
49 City Customer’s preferred
shipping address
Char (32) Base Shipping Data
Store
50 State Customer’s preferred
shipping address
Char (32) Base Shipping Data
Store
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26.
51 Zip code Customer’s preferred
shipping address
Varchar (32) Base Shipping Data
Store
52 Country Customer’s preferred
shipping address
Varchar (60) Base Shipping Data
Store
53 Shipping Tracking
Number
Tracking number of
shipment
Varchar (60) Base Shipping Data
Store
54 Shipping Status Status on shipment Varchar (60) Derived Shipping Data
Store
55 Date Created Date when the promotion is
created
DATETIME Base Promotions Data
Store
56 Promotions ID Identification number to
identify promotion created
Char (32) Base Promotions Data
Store
57 Promotions Title Title of the promotion
created
Varchar (60) Base Promotions Data
Store
58 Promotions
Description
Description details of the
promotion created
Varchar (200) Base Promotions Data
Store
59 Promotions Picture Images used in the
promotion created
Ole Object Base Promotions Data
Store
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31.
Future Enhancements
As the site starts to attract a customer base and gains site traffic momentum, the system needs to
evolve to meet future requirements. In anticipation of demand and growth in the foreseeable future,
the initial version needs to be built on to include the following features as part of its roadmap.
One of the future enhancements proposed is to include promotion code functionality. This feature
will be a good opportunity to promote sales during the numerous holiday seasons. When the number
of customers start growing, there will be a good amount of customer data that will be captured by the
system. This data will provide good insights to identify customer purchasing trends based on past
shopping activities. At this point, it would be good to use this data to push out product
recommendations to consumers using analytics logarithm built into the system.
Future version of the system should also include a search capability giving customers an optimized
way to use the site. Customers will be able to search by products, region, artisans and more. This
feature will be extremely useful when the catalog of products sold on the site starts to increase
rapidly.
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