Group 18 Business Model- Revenue Side

Bristol, Cuozzo, Holz, Lyman, Patibandla, Sexton

kinz

Customer Pain/Need

Company Overview/ Business Mission

Handout cardsSkinz mission is to become the leading purveyor of

interactive footwear that encourages the active participation of its wearers in its design and dissemination primarily through the Skinz’ website, kiosks and social networking venues. Through direct customer input our products and offerings will stay on the cutting edge of tween and young teen fashion.

Product Scope

Talking Points• Skinz will be selling a “participatory footwear

experience”- not a new kind of shoe.• Buyers will be engaged in choosing and perhaps

designing the look of their shoes.• The website experience will be a part of every new

purchase.• Social networking and group interaction will be

encouraged and incented.

Shoe and Skin Prototypes

Market Scope

Skinz initial market scope:

Athletic/casual footwear and footwear fashion for tweens and young teens ages 9 to 14 in the United States and Canada

Customer Interfaces

Mall Kiosk

Skinz

Website

Basis for Differentiation

Talking PointsDifferentiation through product and service• The unique shoe/skin system differentiates Skinz

from other footwear products• Business model based on selling more Skins instead

of shoes• Real as well as virtual communities created among

users• Existing users drive new business through networking

Fulfillment and Support

Talking Points• Primary customer interface via the Skinz Website• Secondary interface via online vendors such as

Amazon• Goal of getting display space and Point of Sale

displays in retail stores, particularly specialty and gift stores

• Live interaction with customers through Kiosks in the malls and in other high traffic shopping centers

Design

Door

mat

Core Processes/Systems

Rapid “Design to Doormat”

Eye-popping designs

Insights from data

Customer communities

3rd Party relationships

ViralMarketing

Core Competencies• Create “eye-

popping designs.

• Cultivate a community

• Rapid “Design to Doormat”

• Deliver a great customer experience

Value Network – Suppliers

• Shoe manufacturing (outsourced)

• Skin material manufacturing (outsourced)

• Logistics (supply chain, shipping)

• Legal

Value Network – Partners• Third-party designers

(kids and professionals)• Boutique shops / shoe

retailers (sales channel partner)

• School groups to push skins. Fitness clubs that offer kids programs.

• Advertisers to get into strategic media markets.

Business Boundaries

RETAIN INTERNALLY• Research• Design services• Marketing• Strategy

OUTSOURCE• Shoe manufacturing• Legal services• Shipping (USPS)

Forecasting Method

Revenue Forecast

Year 1 Year 2 Year 3 Year 4 Year 5 $-

$20,000,000

$40,000,000

$60,000,000

$80,000,000

$100,000,000

$120,000,000

ConservativeMidrangeAggressive

Year 1 Year 2 Year 3 Year 4 Year 5 $ 266,893 $ 1,831,197 $ 5,996,400 $ 12,591,600 $ 32,227,500 $ 533,785 $ 2,898,767 $ 12,591,600 $ 25,782,000 $ 52,761,600 $ 800,678 $ 3,441,028 $ 18,887,400 $ 52,453,800 $ 97,106,400

Offering

Development Plan

Critical Risks

• Team• Competition• Adoption patterns