brandeis case competition 2016

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T A A A P PA R E LP R O J E C T N E W B I L I T Y F O R

P r e s e n t e d b yBrandeis Gateway Consulting Group

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AGENDA FOR TODAY

Including private label and fast

fashion market analysis, competitor

analysis, and company analysis.

MARKET ANALYSIS

A company is an association or

collection of individuals, whether

natural persons, legal persons, or a

mixture of both. Company

COMPANY ANALYSIS

Introducing BGCG’s new project for

TAA that revolutionize TAA’s product

line and address issues including

operating management, product design

and marketing.

NEW PROJECT

Provide a 5-year-strategy for our project,

including detailed releasing dates and

predicted revenue and gross margin.

PROJECT TIMELINE

01 02 03 04

BGCG

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MARKET ANALYSISPRIVATE LABEL

In 2015 according to BGCG estimation

-0.5%M A R K E T S H A R E

Increased competitors in private label

manufacture in recent years

+C O M P E T I T I V E N E S S

Of private label market manufacture

8%I N C R E A S E I N

H O U R LY WA G E

BGCG

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1646.8BIn the field of fast fashion in 2015

according to research

MARKET VALUE

22.7%U.S. Fashion Market, the biggest

among all countries

MARKET SHARE

10MWorkers in fast fashion industry

14.9M in 1990

20.5 in 2014

IN 15 YEARS

MARKET ANALYSISFAST FASHION

BGCG

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TAA APPAREL a l f red dunner BONOBOS ZARA

Online Store

Distribution in Retailer

Close-to-retail Factory

In-houseManufacture

Low Inventory Access

Social Media

COMPANY ANALYSIS

BGCG

FAST FASHION

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TAA APPAREL a l f red dunner BONOBOS ZARA

Online Store

Distribution in Retailer

Close-to-retail Factory

In-houseManufacture

Low Inventory Access

Social Media

COMPANY ANALYSIS

BGCG

FAST FASHION

E - C O M M E R C E&

FA C T O R Y L O C AT I O Nt o g e n e r a t e m o r e r e v e n u e a n d

m a r k e t s h a r e

M A R K E T I N G&

D E S I G Nt o c a p t u r e m o r e c u s t o m e r b a s e

a n d l o y a l c u s t o m e r s

https:// http://kwhs.wharton.upenn.edu/2016/02/zaras-fast-fashion-business-model/

/

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TAA APPAREL

PROJECTNEWBILITY

I N T R O D U C I N G

L E A R N M O R E

A n e w a p p a r e l c o l l e c t i o n l a u n c h e d f r o m TA A O n l i n e

S t o r e t h a t f u n d a m e n t a l l y c h a n g e s TA A’s e x i s t e d

o p e r a t i o n m a n a g e m e n t , b r a n d i n g , a n d m a r k e t i n g

s t r a t e g y b a s e d o n B G C G p r e d i c t i o n a n d e s t i m a t i o n .

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S E L F - B R A N D I N GA company is an association or collection of individuals, whether natural persons, legal persons, or a

mixture of both. Company members share a

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SELF-BRANDINGP R O J E C T N E W B I L I T Y

A c o m p a n y i s a n a s s o c i a t i o n o r c o l l e c t i o n o f i n d i v i d u a l s , w h e t h e r n a t u r a l p e r s o n s , l e g a l p e r s o n s , o r a m i x t u r e

o f b o t h . C o m p a n y m e m b e r s s h a r e a c o m m o n p u r p o s e a n d u n i t e i n o r d e r t o f o c u s .

C U S T O M E R

Target Customers: 18-35 Male

52%Online shopping

Continue Specialization onMenswear

S I N G L E F O C U S

BGCGhttps://www2.deloitte.com/content/dam/Deloitte/global/Documents/Consumer-Business/gx-cb-private-label-2015-2016.PDF/

Manufacturer

Independent Partner

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DESIGN: SIMPLICITY & COMFORTP R O J E C T N E W B I L I T Y



D E S I G N T E A M C U S T O M I Z E S E RV I C E

BGCG

PROFESSIONALS

&

INTERNS

A service we provided thatmeets our design concept:

comfort fashion for customers

https://www2.deloitte.com/content/dam/Deloitte/global/Documents/Consumer-Business/gx-cb-private-label-2015-2016.PDF/

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D E S I G N & C U S T O M I Z E

R E F I N E D ATA B A S E

C O S T & P R I C E

BGCG

CUSTOMIZATION SERVICESP R O J E C T N E W B I L I T Y



https://www2.deloitte.com/content/dam/Deloitte/global/Documents/Consumer-Business/gx-cb-private-label-2015-2016.PDF/

*Effect Drawing Only Originated from Custom Ink.

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O P E R A T I O N S T R A T E G YWe p r e d i c t t h a t w i t h o u r n e w o p e r a t i o n m a n a g e m e n t s t r a t e g y, TA A A p p a r e l

w i l l a c h i e v e l o w e r i n v e n t o r y a c c e s s a n d h i g h e r p r o f i t m a r g i n .

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20%higher price

H I G H E RVA L U AT I O N

3-4/year 12/year

I N V E N T O R YT U R N O V E R

High demand for increasedspeed to market

Q U I C K R E S P O N S E

BGCG

OPERATION MANAGEMENTP R O J E C T N E W B I L I T Y

We p r e d i c t t h a t w i t h o u r n e w o p e r a t i o n m a n a g e m e n t s t r a t e g y, TA A A p p a r e l w i l l a c h i e v e l o w e r i n v e n t o r y a c c e s s

a n d h i g h e r p r o f i t m a r g i n .

http://www.invespcro.com/blog/online-consumer-shopping-habits-behavior/

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20%higher price

H I G H E RVA L U AT I O N

3-4/year 12/year

I N V E N T O R YT U R N O V E R

High demand for increasedspeed to market

Q U I C K R E S P O N S E

100% 6 months ahead

up to 50% in early season

D E S I G NT I M E L I N E

Bangladesh America

CLOSE-TO-MARKETL O C AT I O N

BGCG

OPERATION MANAGEMENTP R O J E C T N E W B I L I T Y

We p r e d i c t t h a t w i t h o u r n e w o p e r a t i o n m a n a g e m e n t s t r a t e g y, TA A A p p a r e l w i l l a c h i e v e l o w e r i n v e n t o r y a c c e s s

a n d h i g h e r p r o f i t m a r g i n .

Lower inventory accessHigher profit margin


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M A R K E T I N G S T R A T E G YWe predict with four parts of the marketing strategy, TAA Apparel will become one

of the best fashion brands in U.S. with large and loyal customer base

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MARKETING STRATEGYP R O J E C T N E W B I L I T Y

O N L I N E S T O R ER E WA R D

P R O G R A M S O C I A L M E D I A D I S C O U N TPA R T N E R

62%U.S. customers shop online

at least once a monthOnline shoppers

refer to at least one social media site before shopping online.

84%BGCG

1%CASH BACK

Emai l subscr iber :

10% OFFnext purchase

Free two-day shipping & return

Enlarge Customer Base

We predict with four parts of the marketing strategy, TAA Apparel will become one

of the best fashion brands in U.S. with large and loyal customer base


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5 Y E A R P L A NWe p r e d i c t t h a t w i t h o u r n e w o p e r a t i o n m a n a g e m e n t s t r a t e g y, TA A A p p a r e l


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Mid 2017Marketing for Newbility

Collection

2017Pre-Launch

Recruiting for Design Team

Acquiring Domestic Factory

2019Introducing

Customization Service

Acquiring Additional

Factories

2018Newbility Release

Opening Online Store

2021 and afterPrice Raise

2020Opening Retail Store

Acquiring Additional Factories

BGCG

TAA APPAREL 5 YEAR PLANP R O J E C T N E W B I L I T Y

$25.0 M $27.4 M $30.6 M $34.7 M $40.1 M

We p r e d i c t t h a t w i t h o u r n e w o p e r a t i o n m a n a g e m e n t s t r a t e g y, TA A A p p a r e l


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Q & AS E C T I O N

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APPENDIXY O U C A N W R I T E H E R E

APPENDIX 1.1 Financial Estimation

APPENDIX 1.3 Marketing StrategyAPPENDIX 1.4 Marketing Strategy II

APPENDIX 1.5 Marketing Strategy IIIAPPENDIX 1.6 Market Pressure Analysis

APPENDIX 1.2 Average Cost of Labor

BGCG

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APPENDIX 1.1 Financial Estimation

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APPENDIX 1.2 Average Cost of Labor

1.https://www.tradegecko.com/blog/zara-supply-chain-its-secret-to-retail-success2.http://blog.scmglobe.com/?page_id=1513

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APPENDIX 1.3 Marketing Strategy


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APPENDIX 1.4 Marketing Strategy II


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APPENDIX 1.5 Marketing Strategy III


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APPENDIX 1.6 Market Pressure

http://www.invespcro.com/blog/online-consumer-shopping-habits-behavior/https://www2.deloitte.com/content/dam/Deloitte/global/Documents/Consumer-Business/gx-cb-private-label-2015-2016.PDF

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APPENDIX 1.7 Online Apparel MarketAnalysis (Capital IQ)