The document proposes a new luxury shoe line called Stiletto that aims to solve the problem of transitioning between style and comfort for professional women. It will feature removable heel technology and multiple styles. The team includes former executives from Prada, PWC, and other luxury brands. The marketing plan involves promoting to early celebrity adopters online and through social media initially in the US market. Financial projections estimate $11 million in revenue over 3 years with a 58% IRR by achieving 3% market share of the $189 million US luxury heel market.

1. 1
Stiletto
Practical Luxury for Today’s Modern Woman
© Digital Luxury Group, DLG SA, 2011
Photo Source: http://www.thecelebrityhome.com

2. The Problem
 Difficult transition for female executives and
professionals between everyday activities while
being stylish and comfortable with their foot ware
The Ask
$1,000,000

3. The Solution
 High quality Italian fashion line featuring
multiple styles and sizes
 Proprietary heel removal technology
(patent pending) for fitting both style and
comfort

4. Columbus Egg: The Team
 Patrizia Prestia, Design & CEO (Former PRADA)
 Nick Davis, Marketing (PWC)
 Mariano Maraniello, Sales (Former Yoox)
 Daniele Pes, Strategy (Enterpreneur)
 Livio Paradiso, Engineering (MIT)
 Enrico Pietralunga, Finance (Former Merryll Lynch)
 Partners: Consorzio produttori delle Marche (TOD’S supplier), MIT

5. Strategy
Why us? Why now?
 Red ocean or blue ocean?
 Luxury competitors have not innovated in functionality,
keeping design the only source of differentiation
 The lower end of the market pitched on shoe functionality
and price
 We are creating a new market by combining fashion cotour
with a proprietary new technology solving a big problem for
women

6. Marketing Plan
 Sales channel: B2C website
 Early adopters: Jessica Alba and other celebrities already
endorsed and enthusiasts. They will promote the product
 Engaging people online using YouTube and social media
campaign, sending them a stylish heel pocket mirroring “$1
shave club”.
 After 50,000 units; pivot to in store sales at boutique stores and
high end retailers using professional sales people to get
contracts!!!!!!

7. The Shoes Market
• Shoes Market is 48 billions $ /year
• Luxury shoe Market has $20 billion
BRA JAP
in revenue
GER 5.7% 2.8%
7.9%
• Near 50% of the luxury expenditure
is made in the US IT 8.3% USA
48.8%
FR 9.6%
• Although will sell globally, we will
UK
begin the marketing campaign in 17.0%
the US, we from the first launch.
© Digital Luxury Group, DLG SA, 2011
Photo Source:: http://1.bp.blogspot.com/

8. Stiletto:
economical highlights
 Assumptions
 Luxury US heel market is 7,4 % of the total shoes market, e.g.
$189.000.000 / year
 Per unit selling price: $600, mean price for luxury shoes
 Market penetration: 3% after 3 years
3 Year plan IRR: 58%
Revenues $11,388,000
CAPEX $1,000,000
Operations $4,740,000
Variable
$4,327,440
costs

9. In Closing