1. The Royal Botanic Gardens Victoria proposes a licensing partnership with Heat Group to develop and sell bath and body products using the RBGV brand. 2. The RBGV brand has a strong reputation globally and licensing its brand could generate over $44,000 in additional annual revenue from soap sales in Victoria alone. 3. Developing bath and body products would allow Heat Group to expand its product lines, gain access to over 1,300 independent retailers, and leverage the global recognition of the RBGV brand for potential export opportunities.

1. Royal Botanic Gardens Victoria
Business proposal for Heat Group
Strictly Confidential

2. The best time to plant a
tree was 20 years ago.
The second best time is
now. –Chinese Proverb

3. The PROPOSAL
Dear Gillian,
Let’s turn up the Heat and start 2017 by building on your strategic four pillars, 2 pillars specifically:
1.Domestic Business
2.Acquiring and developing brands
I represent the Royal Botanic Gardens Victoria and as part of my role I look to open up dialogue
with Australian businesses that might partner with the Royal Botanic Gardens Victoria in licensing
the Royal Botanic Gardens Victoria brand in a commercial wholesale or retail capacity.
Our partner must be the right fit as the RBGV brand is steeped in history and has a very strong
cultural and scientific reputation globally.
The Royal Botanic Gardens Victoria (RBGV) are a not for profit cultural institution who have 170
years of history. Two garden locations, the Melbourne Garden (South Yarra) and the Australian
Garden (Cranbourne) a multi award winning garden. With multiple international awards and a global
reputation of being one of the best, obviously we like to think the best garden in the world, with over
1.8 million visitors a year, there might be something worth considering when I suggest a licensing
opportunity.

4. The BRAND
2016 was a very busy year not only did the Royal Botanic Gardens Victoria unveil the Cato Brand
Partners designed branding across both corporate and commercial.
2016 was also year of analysing categories within our retail/licensing business, outlining which ones
would offer the most ROI for us in the forms of both volume sales and brand positioning, designing
how our brand worked commercially and developing product.

5. The PRODUCTS
One of the first categories highlighted as worth the investment was bath and body.
Starting with a logo soap working with a current branded supplier we produced 6 fragrances in a
clear wrapped soap bar retailing at $5.95.
The success of this line gave us the confidence to develop a gardeners range with our own
unique formula.
The range consists of hand moisturiser, balm and soap with natural roughage.
Moisturiser RRP $26.95 Balm $24.95 Agave pouch Soap $16.95 Paper wrap soap $9.95

6. The PRODUCTS

7. The CONCEPT
So where to for 2017, well I am hoping that you might see acquiring a license to further develop
the Royal Botanic Gardens Victoria brand within the bath and body market as a great
opportunity.
As you have said “acquisitions are an important part of your strategy for the next five years. The
Australian retail market is very competitive and having your own brands being more in control of
your own destiny. This allows you to choose how much you invest and there are export
opportunities.”
I know that you are looking to grow the domestic business and this range not only has the
opportunity to allow you to add to your current accounts offer, but also gives you the opportunity
to approach the 1200 or so independent hardware stores that now are part of the Metcash
organisation or any of the 542 listed nursery’s in Victoria alone.
A quick sales forecast for the soap bar by gaining 80% of the Victorian nursery market at a retail
price of $6.95 with a wholesale price $2.87 giving the retailer a 55% margin (my cost per bar
shrink wrapped is $2.10 for 180gm). A min order initially could be 6 units across 6 fragrances
total order $103.32 across 433 stores is $44,737.50 in additional revenue in one state with
ongoing re-orders.
The Royal Botanic Gardens Victoria commercial brand also offers recognition in over 93
countries globally, with Germany being the second largest importer outside of Australia for one of
our current licensee’s. Making setting up an export market a lot easier when you already have
brand recognition.

8. The CONCEPT
Take Cath Kidston business as a model, the private company’s revenue in 2014 was $114 million
pounds with a net profit after tax of $20 million pounds. They sell a lot of hand creams purely
based on textile patterns designed by Cath Kidston and have more recently looked at an
aggressive international expansion starting in Asia.

9. The OPPORTUNITIES
The Royal Botanic Gardens Victoria has an archive of historical and botanical illustrated artwork
not to mention over 1.8 million dried specimens that will take any designers breath away. I get
goose bumps every time I visit the collection for inspiration, there is always something new to
discover, not to mention the history that is connected to each discovery.
Flower painter Euphemia Henderson c1847

10. The OPPORTUNITIES
Dried specimen collected 1965 Royal Botanic Gardens Victoria Toile designed by
Tamara Schneider

11. I have included a copy of our new Retail Strategy and also the Corporate plan, so that you can
get a better understanding of who we are and what we are about.
If you would like to see our annual report please let me know and I can email it to you.
I have also provided some samples, of what we have done and where we are going.
Please use, the only good product is a used one.
The soap dish is handmade by Samantha Robinson. Samantha is a current licensee and has
used the Wehl sisters flower paintings as inspiration for the flower decal. Each piece is unique
as each flower decal is placed on by hand and each time a different flower and position.
I really hope that this has brought some happiness to the start of 2017 and you can envision the
potential of the Royal Botanic Gardens Victoria brand.
I look forward to shouting you a coffee, tea or ice cream and a walk through our South Yarra
garden to further discuss this opportunity.
Kind Regards
Rachel O’Brien
Co-ordinator, Product Planning & Development
Royal Botanic Gardens Victoria
Birdwood Avenue, Melbourne Victoria 3004
The BEGINNING

12. Thank you

13. Rachel O’Brien
Birdwood Avenue
Melbourne Victoria 3004
Australia
T +61 (03) 9252 2443
F +61 (03) 9252 2442
E robrien@rbg.vic.gov.au
www.rbg.vic.gov.au