The document outlines plans for Project Woodstock, which aims to launch a home laundry service called Surf Laundry Service. It discusses conducting market research, developing the service mix, testing concepts through a mini pilot, and scaling operations. The goal is to provide superior total garment care, achieve a 25% ROI for franchisees, and serve 1 million households across top cities, generating Rs. 500 crore in turnover.

1. Woodstock
Developing the Home Laundry Service

2. Project Woodstock
Team Composition
Internal
Cross Functional
Team
Diversey HO Human
Lever Projects Resources
Commercial/ Market
Information Research
Tech.
Project Marketing
Coordination
Management (3)
Riverstone Dazzler
Laundry DMA
External Consultants Design Agency HTA Direct
Specialists

3. Project Woodstock
Process
Learn Do Learn
Concept
Evaluation
Benchmarking Business Application
Service Mix Phased
• Consumer Opportunity • Pilot Refine
Development Roll-out
• Industry • STM
& Vision
Target
Consumer
Definition
Feb 99 Jul 99 Dec 99 Jul 00

4. Project Woodstock
Process
Learn Do Learn
Concept
Evaluation
Benchmarking Business Application
Service Mix Phased
• Consumer Opportunity • Pilot Refine
Development Roll-out
• Industry • STM
& Vision
Target
Consumer
Definition
Feb 99 Jul 99 Dec 99 Jul 00

5. Laundry Care Market : Value Chain
Core Universe : SEC A & B, > 4 Mln Pop Towns
Inside Home Outside Home Total
Maid Product Ironing,
Laundry, etc.
Rs/Month 60 76 85 221
Ratio 0.8 1.0 1.1 2.9
20 % spend over Rs 400 per month
4.6 Mln HH, Rs 1200 Cr Market

6. Laundry Care Market
Key Components : Overview
Inside Home Expenditure Outside Home
Maid
27%
Product
34%
Dry Clg.
5%
Product Ironing 58%
Dhobi Ironing
Office/Formal Wear
Wash 27%
6%
Machine Wash Maid Wash 44% Laundry/Dry Clg. 43% Dhobi Wash 10%
56% 90% employ > 1 task Linen/Sarees
Sarees/Shirts

7. Laundry Care Market
Key Components : Pros & Cons
Maid Wash Ironing
Time, Effort Poor Quality Home Service Unhygienic
Saving Irregular
Self Wash
Flexible Laborious
Economic Time Consuming
Machine Wash Laundry
Convenient Cost Outlay Good Quality Costly
Fabric Wear Poor Service

8. Laundry Service Industry
Overview
• Largely an unorganised market with limited reach
• Customer interface through Dhobi (mainly Ironing) and Laundry
Outlets (also other services)
– Dhobis 10000
– Outlets 2000
• Work is outsourced to backend processors (excl. Ironing)
– Manual 1700
– Mechanised 15
Domestic business 70%
• Very few offer total services or home service
Processing conditions are basic, harsh and unhygienic

9. Laundry Care Market
Summary
• Top end metro HHs represent market size of Rs 1200 Cr :
product merely one third of total value chain
• Inside home expenditure on Product and Maid
(60% of total spend)
• Outside home service usership (75%), mainly Ironing
• Service basket comprises ‘valued’ garments - social,
expensive, problems, heavy
• Strong opportunity for value addition in all interfaces
• Current service providers are unorganised and of poor
quality

10. Project Woodstock
Process
Learn Do Learn
Concept
Evaluation
Benchmarking Business Application
Service Mix Phased
• Consumer Opportunity • Pilot Refine
Development Roll-out
• Industry • STM
& Vision
Target
Consumer
Definition
Feb 99 Jul 99 Dec 99 Jul 00

11. Home Laundry Service
Woodstock Concept
To provide the Metro consumers with Superior quality
Home Service of Total garment-care solutions

12. Home Laundry Service
Concept Reactions
Hits Misses
• Door step service • Detrimental to life of clothes
• Superior cleaning • Clothes misplaced or lost
• Better presentation • Loss of control or satisfaction
Role as Homemaker?
• All in one service
• Sunk cost of Washing Machine
• Unique and discontinuous
• Price will exceed budget
Great if affordable and
Can’t give all my clothes
promises kept

13. Home Laundry Service
Core Target
Convenience seekers
30% of SEC A, B
Considers Crunched for
house work as time Above average
Metro based
tedious and Planned income
boring routine
Convenience
Seeks more driven… High usership
time with willing to use/ of durables/ Working
family pay more for machines
services
Attitude Demographics
Need to save time without compromising results

14. Project Woodstock
Process
Learn Do Learn
Concept
Evaluation
Benchmarking Business Application
Service Mix Phased
• Consumer Opportunity • Pilot Refine
Development Roll-out
• Industry • STM
& Vision
Target
Consumer
Definition
Feb 99 Jul 99 Dec 99 Jul 00

15. Home Laundry Service
Business Vision & Opportunity
Woodstock Vision : Redefining Home Garment Care
Customer
first
A to Z Garment Care
Serving 1 million HHs
Top 6 Cities
Turnover of Rs 500 Cr
Excellence Ownership
Micro test/Pilot to validate potential

16. Project Woodstock
Process
Learn Do Learn
Concept
Evaluation
Benchmarking Business Application
Service Mix Phased
• Consumer Opportunity • Pilot Refine
Development Roll-out
• Industry • STM
& Vision
Target
Consumer
Definition
Feb 99 Jul 99 Dec 99 Jul 00

17. Home Laundry Service
Mix Development
Brand Name Surf Laundry Service, ‘Hanger’ Visualisation

18. Surf Laundry Service
Brand Visualisation

19. Surf Laundry Service
Applications

20. Home Laundry Service
Mix Development
Brand Name Surf Laundry Service, ‘Hanger’ Visualisation
Personality Caring Helpmate

21. Home Laundry Service
Mix Development
Brand Name Surf Laundry Service, ‘Hanger’ Visualisation
Personality Caring Helpmate
Proposition Gift of Time

22. Surf Laundry Service
Brand Proposition
Surf Laundry Service takes expert
care of all your garment care
needs… taking the load off your
hands as well as your mind giving
you all that time to do more for your
family

23. Surf Laundry Service
Acquisition Process
Identified target consumer databases (100%)
Introductory mailer to generate awareness (100%)
Detailed service brochure for follow-up (100%)
Call centre to fix appointments (50%)
Sign-up pitch by Direct Sales Agents (20%)
Free trial offer for 2 weeks (20%)
Retained consumer base (10%)

24. Surf Laundry Service
Acquisition Package

25. Home Laundry Service
Mix Development
Brand Name Surf Laundry Service, ‘Hanger’ Visualisation
Personality Caring Helpmate
Proposition Gift of Time
Service Offer Superior Total Garment Care
Excellent Customer Support

26. Surf Laundry Service
Service Offer
• Laundry, Dry Cleaning • Free Regular Home
Service
Regular (48 Hr),
• Specialist Solutions -
Express (24 Hr)
Mending, Darning,
Stain Removal and
Delicates • Toll free customer
Helpline
• Quality, Hygiene
Finish • 100% Money Back
Guarantee
• Membership/
Promotional Schemes • Affordable Pricing,
Monthly Collection

27. Surf Laundry Service
Value Addition
Vs Home Vs Industry
• Controlled process • Cleaning expertise
• Fully optimised • Hygienic
• Customised wash • Professional fabric care
• Soft water • Automated process
• Stain removal • ‘Genuine’ dry cleaning
• Quality finishing • Branding & Scale

28. Home Laundry Service
Mix Development
Brand Name Surf Laundry Service, ‘Hanger’ Visualisation
Personality Caring Helpmate
Proposition Gift of Time
Service Offer Superior Total Garment Care
Excellent Customer Support
Business Process Franchised operations

29. Surf Laundry Service
Operation Flow
Morn./Even. Schedules
Laundry Delivery Laundry Pickup
Call Centre
Hung & Folded Laundry Receipt
DCCS Central Software
Finishing & Garment
Re-aggregating Sorting/ID
Automated Processing Pre-treatment

30. Home Laundry Service
Mix Development
Brand Name Surf Laundry Service, ‘Hanger’ Visualisation
Personality Caring Helpmate
Proposition Gift of Time
Service Offer Superior Total Garment Care
Excellent Customer Support
Business Process Franchised operations
Pricing Premium Market Rates (Shirt = Rs 10)

31. Home Laundry Service
Mix Development
Brand Name Surf Laundry Service, ‘Hanger’ Visualisation
Personality Caring Helpmate
Proposition Gift of Time
Service Offer Superior Total Garment Care
Excellent Customer Support
Business Process Franchised operations
Pricing Premium Market Rates (Shirt = Rs 10)
Viability 25% ROI (Franchisee)

32. Customer Profile
% Mix
3/Week
Rs 780
2/Week
Rs 540
1/Week Rs 300
HH Mix Revenue Mix

33. Cost Outflow Analysis
Pick-up and Delivery Costs
Call Centre Others
9% 1%
Depn
10%
ROI Wages
11% 52%
Running/MT
17%
Cost per unit = Rs 3.5
Cost per contact = Rs 17
Wet Cleaning Costs Dry Cleaning Costs
Rental -
5000 Sq Ft Others
Plant Utilities
5% 2% Packaging
Others Wages/Salaries 10%
Plant 20%
17% 25%
Wages/Salaries
14%
Utilities
16%
Depn & ROI Consumables
22% 14% Depn & ROI
Consumables 40%
15%
Cost per unit = Rs 11.7 Cost per unit = Rs 24

34. Revenue Inflow Analysis
Total Revenue
Wet Cleaning
80%
Special
Dry Cleaning
Services
14%
6%
Revenue per household per month = Rs 380

35. Home Laundry Service
Mix Development
Brand Name Surf Laundry Service, ‘Hanger’ Visualisation
Personality Caring Helpmate
Proposition Gift of Time
Service Offer Superior Total Garment Care
Excellent Customer Support
Business Process Franchised operations
Pricing Premium Market Rates (Shirt = Rs 10)
Viability 25% ROI (Franchisee)
Real life mix test/STM to refine mix : MQ ‘00

36. Project Woodstock
Process
Learn Do Learn
Concept
Evaluation
Benchmarking Business Application
Service Mix Phased
• Consumer Opportunity • Pilot Refine
Development Roll-out
• Industry • STM
& Vision
Target
Consumer
Definition
Feb 99 Jul 99 Dec 99 Jul 00

37. Surf Laundry Service
Mini Pilot Plan
Sales & Service Team Laundry Unit
Contracted crew = 8 3 P, Full range
£ 7000 £ 5000
Training : 5 sessions/head
Consumer Base
Garment Tagging (US) 100 HH/2 localities I. T. : DCCS ( Riverstone)
Branded Service
Monthly feedback (MR)
Call Centre Dry Cleaning Unit
Contracted crew = 3 New Machine ex-US
£ 7000 £ 17000
Market operation commences : Jan 2000

38. Project Woodstock
Process
Learn Do Learn
Concept
Evaluation
Benchmarking Business Application
Service Mix Phased
• Consumer Opportunity • Pilot Refine
Development Roll-out
• Industry • STM
& Vision
Target
Consumer
Definition
Feb 99 Jul 99 Dec 99 Jul 00

39. Business Overview
Price Sensitivity
Avg. Price (Rs/Unit) 14 16 18
NPS (Rs Cr) 250 284 318
TRAC (Rs Cr) (29) – 28
RGM (%) – 11 21
TRAC (%) (10.4) – 9
Price (Rs) TRAC (Rs Cr)
+1 +14

40. Business Overview
Household Base (Mln) 0.5 1.0
Turnover (Rs Cr) 250 500
Investment (Rs Cr) 156 312
No. of Units 100 200
Franchisee Manpower 14500 29000

41. Surf Laundry Service
Next Steps
Mini Pilot Mix Dev.
Mini Pilot
Micro Test
Business Model & Financials
Organisational Structure
Pilot Franchisee Selection & Commissioning
Bombay Pilot Launch
Nov Dec Jan Feb Mar Apr May Jun July
1999 2000

42. Surf Laundry Service
Power of a Million
Cash rich, time poor
Captive franchise, high life time value
Extension into other home services
Direct individual consumer understanding

43. Surf Laundry Service
Key Success Factors
• Customer Service
– Culture
– Systems
• Home Servicing Logistics
• Garment Tracking
• Optimising Cost/Quality
• Technical Competency
• Franchising

45. Surf Laundry Service
Value Addition
Vs Home Vs Industry
Controlled process Cleaning expertise
Fully optimised Hygienic
Customised wash Professional fabric care
Soft water Automated process
‘Genuine’ dry cleaning
Stain removal
Branding
Quality &
finishing Scale

46. Surf Laundry Service
Value Addition
Home Vs Industry
Controlled process
Fully optimised
Customised wash Cleaning
expertise
Soft water
Hygienic
Stain removal
Professional
Quality fabric care
finishing
Automated process
‘Genuine’ dry cleaning
Branding & Scale