SlideShare a Scribd company logo
Appeal
Providingnew look to consumers by new style and qualityat low prices.
Business Model
2
Business Concept
 Appeal is a manufacturer of quality clothing which targets males
of age 20-40.
 Marketing is supported with advertising and promotion
campaign.
 Developing brand awareness and building strong relationship
with retailers.
 Product differentiation by marketing strategies, exclusiveness
and high brand awareness.
 Classy, high quality, versatile and low price clothing.
 Head office is in Delhi and production unit is in Sonipat.
3
Consumer Segment
 Appeal is targeting low income consumer and customer have
diverse background.
 Appeal’s customer is a versatile man who can fit into any
environment.
 Appeal’s main focus is on male aged 20-40.
Resources
 The company is seeking long term business loan for the purpose
of developing its product line.
General Assumptions
2016 2017 2018
Plan Month 1 2 3
Current Interest Rate 10.00% 10.00% 10.00%
Long-term Interest Rate 10.00% 10.00% 10.00%
Tax Rate 25.42% 25.00% 25.42%
4
 This funding will cover operating expenses and product
development.
Cost & Revenue Structure
Other 0 0 0
Expected Performance in 3 years
2016 2017 2018
Sales Rs.600000 Rs.1750000 Rs.3,000,000
Gross Margin Rs.96000 Rs.332500 Rs.750,000
Gross Margin % 16.0% 19.0% 25.00%
Operating Expenses Rs.240000 Rs.700000 Rs.1,200,000
Collection Period (days) 60 45 34
Inventory Turnover 1.50 4.80 6.00
5
Projected Profits
Value Propostion
 Brands have become an increasingly significant factor in apparel.
 The company’s name, Appeal is a competitive advantage in itself.
 The name is not attached to any particular group of customers
and it allows entry into different segments of industry.
 Another advantage is the company’s marketing strategy
0
100000
200000
300000
400000
500000
600000
700000
800000
2016 2017 2018
ChartTitle
6
.
Distribution
 Appeal plans to use a direct sales force, retailers and internet to
capture market.
 These are most appropriate channels because of time to market,
reduced capital and fast access.
 On arrival clothing is stored in a warehouse.
 Initially the company will use a consolidated warehouse before
acquiring a warehouse of its own.
 Appeal will also export to other countries.
7
Customer Relationship
 The brand Appeal provides zero question return policy for a
month.
 It will also deploy tablets in the retail outlets so that the
customer can provide the feedback there itself.
 The outlets will also send the private messages to collect
feedback for the service.
 Appeal a maintain a personal database and through this the
brand will hope to grow in future.

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Appeal buisness model_vaibhav_bajaj[20161214]

  • 1. Appeal Providingnew look to consumers by new style and qualityat low prices. Business Model
  • 2. 2 Business Concept  Appeal is a manufacturer of quality clothing which targets males of age 20-40.  Marketing is supported with advertising and promotion campaign.  Developing brand awareness and building strong relationship with retailers.  Product differentiation by marketing strategies, exclusiveness and high brand awareness.  Classy, high quality, versatile and low price clothing.  Head office is in Delhi and production unit is in Sonipat.
  • 3. 3 Consumer Segment  Appeal is targeting low income consumer and customer have diverse background.  Appeal’s customer is a versatile man who can fit into any environment.  Appeal’s main focus is on male aged 20-40. Resources  The company is seeking long term business loan for the purpose of developing its product line. General Assumptions 2016 2017 2018 Plan Month 1 2 3 Current Interest Rate 10.00% 10.00% 10.00% Long-term Interest Rate 10.00% 10.00% 10.00% Tax Rate 25.42% 25.00% 25.42%
  • 4. 4  This funding will cover operating expenses and product development. Cost & Revenue Structure Other 0 0 0 Expected Performance in 3 years 2016 2017 2018 Sales Rs.600000 Rs.1750000 Rs.3,000,000 Gross Margin Rs.96000 Rs.332500 Rs.750,000 Gross Margin % 16.0% 19.0% 25.00% Operating Expenses Rs.240000 Rs.700000 Rs.1,200,000 Collection Period (days) 60 45 34 Inventory Turnover 1.50 4.80 6.00
  • 5. 5 Projected Profits Value Propostion  Brands have become an increasingly significant factor in apparel.  The company’s name, Appeal is a competitive advantage in itself.  The name is not attached to any particular group of customers and it allows entry into different segments of industry.  Another advantage is the company’s marketing strategy 0 100000 200000 300000 400000 500000 600000 700000 800000 2016 2017 2018 ChartTitle
  • 6. 6 . Distribution  Appeal plans to use a direct sales force, retailers and internet to capture market.  These are most appropriate channels because of time to market, reduced capital and fast access.  On arrival clothing is stored in a warehouse.  Initially the company will use a consolidated warehouse before acquiring a warehouse of its own.  Appeal will also export to other countries.
  • 7. 7 Customer Relationship  The brand Appeal provides zero question return policy for a month.  It will also deploy tablets in the retail outlets so that the customer can provide the feedback there itself.  The outlets will also send the private messages to collect feedback for the service.  Appeal a maintain a personal database and through this the brand will hope to grow in future.