Blue Ocean Gallery
Blue Ocean:Self sustaining model;Enhance BOG efforts;Non-profit:Diversifying fund;Build Community;DTES:Job creation;Engage...
Blue Ocean:Retail Continuity Plan;Entry to new market;Non-profit:Funding concerns;Lack of marketing;DTES:Unemployment;Disc...
OverviewOpening Doors to the DTES Partner with socially consciousgalleries Provide DTES artists with space Sale of card...
Market Analysis
Fine Arts Market BC 260 art dealerships Tend to be small Canada Profits of $50,000: ⅔ Losses of $50,000: ⅓ Overall:...
Industry Average ExpensesOperatingExpenses• Cost of Labor• InventoryCosts• Rent• CustomerServiceCost ofGoods Sold
Fine Arts Market Economic characterization Anomalous No reliable assessment of commercial value Risky investment
Fine Arts MarketArt gallery fosters relationships and trustMedium for salesImportance of dedicated employee
StrategySWOC AnalysisPartnerships
Opportunities• Engage community• Marketing for BOG& partners• Diversify funding forBOG• Job creationChallenges• Establishe...
PartnershipsLocal socially responsible galleries/shops
PartnershipsThrive
PartnershipValue From• Expertise• Artist connectionsValue To• Representative ArtworkExposure• ‘Community Map’
ProductDiversificationIndustry AnalysisProductsValue Created
Insufficiency in Art Sales Unpredictable Low Contribution Margin
Greeting Cards Industry Retail $750 million 52% - Thank you &Birthday cards Wholesales 60 Companies Dominated by Car...
Product Diversification Art Pieces Retail Greeting Cards Wholesale Greeting Cards
Thank You Cards
Value Created Complement Blue Ocean Service Job Creation Enhance Exposure for Clients Artists Blue Ocean Gallery Bl...
ImplementationsEmployeesMarketingGallery Design
Employees Sales Coordinator Afternoon Hours: Gallery Operation Morning Hours: Business Development Customized Roles
Marketing Target Markets Retail Art Pieces & Greeting Cards Wholesale Greeting Cards Active Marketing Strategy Events...
Online Marketing Gallery Website Social Media
Gallery Design ESC vs. retail continuity plan Apparent retail space Large enough for samples Considerate of Blue Ocean...
CCSPWorkshopRoomCS P CSP
FinancialsOperating ExpensesStartup CostsBreakeven Analysis
Operating ExpensesArtistRoyalties, 0MarketingExpense, $2,500.00Insurrance, $2,300.00Cost ofLabour, $39,000.00LegalFees, $3...
Startup CostsStart Up CostLCD Screen $1,500.00Sales Software $200.00Graphic Design $1,000.00Furniture $3,000.00Remodeling ...
4-Year BreakevenType Product Units Sold/Month(First Year)Retail Art Pieces 8.8Retail Greeting Cards 84.2Wholesales Greetin...
Revenue Necessary$-$10,000.00$20,000.00$30,000.00$40,000.00$50,000.00$60,000.00$70,000.00$80,000.00$90,000.00$100,000.00$1...
Cumulative Profit$(20,000.00)$(15,000.00)$(10,000.00)$(5,000.00)$-$5,000.00$10,000.00$15,000.00$20,000.000 1 2 3 4 5Cumala...
RisksLegal RisksFinancial RisksSecurity Risks
Legal Risks Right to Publicity Moral Rights Right to Privacy Freedom of Expression Art catalogue: tradeoff
Financial Risk Turn full time position into volunteer position toavoid the vast majority of operating expenses Last reso...
Security Risks Large items: theft conspicuous Small items: few on display, low inventory levels Low risk Install dummy...
Future Growth Event hosting Thrive program expansion Product differentiation ESC workshops Job creation Online Shop
Blue Ocean Gallery Opportunity for great social benefit Enhances the DTES community and BOG’sconnection to it Financial...
Thank YouAnne Simpson, Mark Simons, Nereus Joubert, Tingting Zhang
Implementation – saleschannels Art Retail cards Wholesale cards Active community outreach
Additional Considerations Legal entities Marketing budgets Grants & funding
Change ManagementClients BOG clients currently use space that is occupiedby art gallery Will often traverse it once gall...
Change ManagementSolution Clear communication for reason Stress benefits, generating casual employment Ensure gallery d...
Change ManagementCurrent Employees Different from any endeavor BOG has undertaken Should not increase load on other empl...
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Blue Ocean Gallery

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  • anne Thank you alona. Good afternoon everyone. We’re really happy to share this business plan with you today. 6 months back we didn’t know what this would evolve into But what we’ve come up with in response to signals from the industry, the community and BOGs position, we are excited for this opportunity that has. So we’ll try to contain our excitement and present this proposal for Open Door Gallery.. anne We’ll take you through the challenges first presented to us and our initial reactions. Which then turned into great opportunities after conducting our market research, and MORE market research, creative brainstorming leading to innovative solutions. Encompassing this process will be our proposed Strategy (mission, Partnerships) Implementation (operations, employment, marketing, gallery design, products), Finances, and what your Future could look like.
  • Anne BOG, non-profits, DTES-took all of these and thought how can we address all of themanne -which led us to opportunities, and how an art gallery can address all of those challengesPower of art to transcend barriers. We see the gallery as a way to;Increase reputation positive feedback loop (enhance ESC, future bids, funding concerns, marketing). Uses DTES strengths (ABCDevelopment). ODG strengths (Thrive—well aware of the benefits that art as a medium for service delivery). (reduces scaryness of entry into new market)Enhance efforts, not duplicate or compete. (disconnections)Complement ESCStrengthen community presenceEnhance DTES art scene
  • Anne BOG, non-profits, DTES-took all of these and thought how can we address all of themanne -which led us to opportunities, and how an art gallery can address all of those challengesPower of art to transcend barriers. We see the gallery as a way to;Increase reputation positive feedback loop (enhance ESC, future bids, funding concerns, marketing). Uses DTES strengths (ABCDevelopment). ODG strengths (Thrive—well aware of the benefits that art as a medium for service delivery). (reduces scaryness of entry into new market)Enhance efforts, not duplicate or compete. (disconnections)Complement ESCStrengthen community presenceEnhance DTES art scene
  • Economies of scopeCapitalNetwork supply
  • Mark
  • Blue Ocean Gallery

    1. 1. Blue Ocean Gallery
    2. 2. Blue Ocean:Self sustaining model;Enhance BOG efforts;Non-profit:Diversifying fund;Build Community;DTES:Job creation;Engagement;Challenges
    3. 3. Blue Ocean:Retail Continuity Plan;Entry to new market;Non-profit:Funding concerns;Lack of marketing;DTES:Unemployment;Disconnection;Opportunities
    4. 4. OverviewOpening Doors to the DTES Partner with socially consciousgalleries Provide DTES artists with space Sale of cards to local andcorporate businesses
    5. 5. Market Analysis
    6. 6. Fine Arts Market BC 260 art dealerships Tend to be small Canada Profits of $50,000: ⅔ Losses of $50,000: ⅓ Overall: Profits of $15,000
    7. 7. Industry Average ExpensesOperatingExpenses• Cost of Labor• InventoryCosts• Rent• CustomerServiceCost ofGoods Sold
    8. 8. Fine Arts Market Economic characterization Anomalous No reliable assessment of commercial value Risky investment
    9. 9. Fine Arts MarketArt gallery fosters relationships and trustMedium for salesImportance of dedicated employee
    10. 10. StrategySWOC AnalysisPartnerships
    11. 11. Opportunities• Engage community• Marketing for BOG& partners• Diversify funding forBOG• Job creationChallenges• Establishedcommunity• Funding concerns• Employment• Retail continuityplan vs. BOGoperationsStrengths• Optimal location• Lower costs• High demand forspace• CooperativecommunityWeaknesses• Lack of networks• Lack of experience• Brand recognition• Sales/logisticsuncertainties
    12. 12. PartnershipsLocal socially responsible galleries/shops
    13. 13. PartnershipsThrive
    14. 14. PartnershipValue From• Expertise• Artist connectionsValue To• Representative ArtworkExposure• ‘Community Map’
    15. 15. ProductDiversificationIndustry AnalysisProductsValue Created
    16. 16. Insufficiency in Art Sales Unpredictable Low Contribution Margin
    17. 17. Greeting Cards Industry Retail $750 million 52% - Thank you &Birthday cards Wholesales 60 Companies Dominated by Carltonand Hallmark Target Market Women: 85%
    18. 18. Product Diversification Art Pieces Retail Greeting Cards Wholesale Greeting Cards
    19. 19. Thank You Cards
    20. 20. Value Created Complement Blue Ocean Service Job Creation Enhance Exposure for Clients Artists Blue Ocean Gallery Blue Ocean Group DTES Art Community
    21. 21. ImplementationsEmployeesMarketingGallery Design
    22. 22. Employees Sales Coordinator Afternoon Hours: Gallery Operation Morning Hours: Business Development Customized Roles
    23. 23. Marketing Target Markets Retail Art Pieces & Greeting Cards Wholesale Greeting Cards Active Marketing Strategy Events Art Carts Advertisements Promotions
    24. 24. Online Marketing Gallery Website Social Media
    25. 25. Gallery Design ESC vs. retail continuity plan Apparent retail space Large enough for samples Considerate of Blue Ocean clients Remodelling necessities
    26. 26. CCSPWorkshopRoomCS P CSP
    27. 27. FinancialsOperating ExpensesStartup CostsBreakeven Analysis
    28. 28. Operating ExpensesArtistRoyalties, 0MarketingExpense, $2,500.00Insurrance, $2,300.00Cost ofLabour, $39,000.00LegalFees, $3,000.00AccountingFees, $3,000.00Delivery, $1,000.00
    29. 29. Startup CostsStart Up CostLCD Screen $1,500.00Sales Software $200.00Graphic Design $1,000.00Furniture $3,000.00Remodeling $4,000.00Legal Fees $1,000.00Accounting Fees $500.00Total Start Up Cost $11,200.00
    30. 30. 4-Year BreakevenType Product Units Sold/Month(First Year)Retail Art Pieces 8.8Retail Greeting Cards 84.2Wholesales Greeting Card Packages 4.9
    31. 31. Revenue Necessary$-$10,000.00$20,000.00$30,000.00$40,000.00$50,000.00$60,000.00$70,000.00$80,000.00$90,000.00$100,000.00$110,000.00Year 1 Year 2 Year 3 Year 4 Year 5WholesaleCardsRetail CardsArt SalesGovernmentFunding
    32. 32. Cumulative Profit$(20,000.00)$(15,000.00)$(10,000.00)$(5,000.00)$-$5,000.00$10,000.00$15,000.00$20,000.000 1 2 3 4 5CumalativeProfitsYears
    33. 33. RisksLegal RisksFinancial RisksSecurity Risks
    34. 34. Legal Risks Right to Publicity Moral Rights Right to Privacy Freedom of Expression Art catalogue: tradeoff
    35. 35. Financial Risk Turn full time position into volunteer position toavoid the vast majority of operating expenses Last resort, terminate project and rent to othergallery or group of artists
    36. 36. Security Risks Large items: theft conspicuous Small items: few on display, low inventory levels Low risk Install dummy camera
    37. 37. Future Growth Event hosting Thrive program expansion Product differentiation ESC workshops Job creation Online Shop
    38. 38. Blue Ocean Gallery Opportunity for great social benefit Enhances the DTES community and BOG’sconnection to it Financially profitable
    39. 39. Thank YouAnne Simpson, Mark Simons, Nereus Joubert, Tingting Zhang
    40. 40. Implementation – saleschannels Art Retail cards Wholesale cards Active community outreach
    41. 41. Additional Considerations Legal entities Marketing budgets Grants & funding
    42. 42. Change ManagementClients BOG clients currently use space that is occupiedby art gallery Will often traverse it once gallery is in space Computer room in close proximity Disruption possible inadvertently and deliberately
    43. 43. Change ManagementSolution Clear communication for reason Stress benefits, generating casual employment Ensure gallery does not detract from client’samenities
    44. 44. Change ManagementCurrent Employees Different from any endeavor BOG has undertaken Should not increase load on other employees orcause inconvenience Ensure gallery nor perceived as a hindrance Facilitates BOG’s goals

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