Documentos de Académico
Documentos de Profesional
Documentos de Cultura
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1. E XECUTIVE S UMMARY
K
night Clothing is a minimizing our ecological
new urban impact and respecting both
influenced, high our clients and employees
quality clothing line, equally. It is these core
targeted at an adult philosophies that will give
professional consumer, set us a competitive edge over
to open in the Midtown both smaller local retailers
area of Sacramento, CA. and major urban brands.
Upon opening our primary focus Ultimately, by maintaining these
will be on internet based sales, ideals and adapting them – growing
with the possibility and likelihood of and changing along with our
a brick-and-mortar location existing customers – we aim to create a
in the near future. company that will be appealing to
competitors and customers alike to
At its core Knight is based upon the buy into. Our goal is to be able to
concepts of synergy and harmony; transform our general partnership
our customers are professional into a public corporation within ten
adults who are diverse in terms of years, and give the public the
work, background, and interests chance to take an active role in a
and we strive to bring all of these business they will believe in as
elements together into one line of strongly as we do.
clothing that speaks to the needs
of a conscientious shopper who has At the heart of our strategy as we
many interests. work towards this goal, is our
continued partnership with other
In our Mission Statement, we businesses and participation in
describe a company with lofty local events. We will be seeking to
goals; a group of business owners engage established retailers with
that wish to be actively involved in distribution negotiations, so as to
the community in which they increase market penetration of our
operate, donating to local charities, product and build a rapport with
promoting our local artists, and other companies that have similar
providing our products at the core principals to our own.
lowest possible price. We are a
company founded on the ideal of
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Also critical to allowing Knight to client base that will allow us to
thrive is our marketing through become prominent sponsors for
community participation. By both artistic and charitable
promoting the locals arts, endeavors, thus further giving back
displaying artist work in our office to the community in which we
and gallery location, we plan to started.
achieve a reputation and loyal
2. G ENERAL D ESCRIPTION
An apparel retailer opening in the Midtown area of Sacramento, CA, Knight
Clothing will sell urban themed clothing for the adult consumer in the local
and statewide markets. It was established in the fall of 2008 as a general
partnership, with each of the business founders sharing equally in both initial
investment capital and profits/liabilities. Each will also maintain a
management role within the company.
In keeping with these core philosophies, the founders of Knight Clothing vow
that:
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• We will embrace the importance of the arts in our society and
celebrate our local artists, promoting and displaying their work
whenever possible.
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Figure 2.1, Knight Clothing
Organizational Structure.
2.2 Operations
As a small start up, Knight will have a
simple organizational scheme with a line
structure (Fig. 2.1).
Our Creative Director, Andre Whitmore, will design both our actual garments
and the evolution of Knight’s brand identity. The creative vision behind
Knight Clothing, he is responsible for choosing the elements that go into the
product line and the creation of the Knight Life magazine.
Ann Marie Patterson, Marketing Director, will manage our advertising and
promotions including the Knight Website and blog, scheduling of special
events, and artistic partnerships with other businesses.
We will hire a General Manager who will handle our on-site office
management and directly supervise three commission based sales
contractors. These independent agents will network with other retail
establishments to promote the Knight line, increasing our distribution beyond
our own storefront location.
Other key success factors will include our reliability and quality of our
customer service. We must show a demonstrable history of product
excellence and timeliness of delivery in order to make consumers believe in
our product and develop brand loyalty.
Two Years
As our revenues grow from distribution deals, web-based sales, and other
community partnerships, we plan to seek out a more traditional brick-and-
mortar location for our Midtown store. At this point we should be seeing a
wider ranged penetration of the state market and be looking to expand into
neighboring states. We will have a wider variety of product lines, which will
grant us a greater appeal on the market.
Five Years
With the assistance of our internet sales, we plan to be a known brand on the
national market at this stage and switch our company ownership to either a
private corporation or limited liability company so as to protect the founders’
personal assets.
Throughout this time, we will have continued to network with other retailers,
artists, and charitable organizations, as dictated by the interests our
customers and with the intention of being a potential sponsor for local
events such as Sacramento Fashion Week.
Ten Years
By Knight’s ten year anniversary, we plan to be a business that is appealing
to other business minded individuals. By going public on the market, we will
give our customers and competitors a chance to own the business they will
have come to respect. This will allow us to pass the reigns of the company
onto people who share the ideals we founded the company on.
3. C OMPETITIVE A NALYSIS
K
night Clothing’s competitive advantage is best expressed in the
Company Mission Statement; low priced, high quality urban designs
that one can wear in a work environment. We also have an active
policy of support for local artists and charities and minimal environmental
impact.
Our competitors can be broken into three main groups; other local clothing
retailers, majorurban brands, and the department and chain stores that
feature urban brands and styles.
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3.1 Local Retailers
The are several apparel stores that present direct competition because they
embrace some or all of Knight’s core philosophies and share a midtown
based location and/or present a strong web presence. By seeking out
distribution with established retailers, focusing on a specific need in the local
market, and keeping our pricing low, we will have a strong advantage against
these competitors. Moreover, many of these local boutiques do not have the
capability for online sales, which will also be to our benefit.
Further inspection shows that their selection is limited and somewhat costly
and their online store is not optimized for consumer use. However, they
have a better selection in their brick-and-mortar location than that
represented online and have a reputation for excellent customer service and
the promotion of local fashion designers, amongst their clientele.6
Our focus on our Internet sales, the professionalism of our website, and
availability of lower cost products will be a critical advantage with this
competitor. They may also be an ideal candidate for distribution
negotiations.
Shoefly
Shoefly focuses strictly on shoes and accessories. While they receive high
marks for selection of styles and customer service, they are criticized by
customers for price7 and have no discernable web presence beyond business
directories. They also do not note any active policy of community
involvement.
Rocawear
Founded by Shawn "Jay-Z" Carter of Rocafella Records, Rocawear prides itself
on the inclusion of international themes in their product design.11 Like most
urban brands, they consider their target market to be younger shoppers who
are very into hip-hop music and culture. They feature a variety of product
lines that are available on their web site and in various retail establishments.
Their pricing is on the higher end of average market value.
Coogi
Based out of Australia, Coogi is one of the competitors that are not fronted
by a major recording artist, though they do have a solid following based on
the reputation of the founder and fashion designer, Jacky Taranto.13 With
their focus being on a high end product, both in terms of quality and price,
affordability is going to work to our benefit on the local market.
Upper Playground
One of the smaller major urban brands, Upper Playground shares some
company philosophies with Knight Clothing, as well as a Midtown location.
They promote and partner with artists on their website,14 and receive positive
11
“About Us.” Rocawear. < http://www.rocawear.com/shop/aboutus.php>. 10 Dec 2008.
12
“About.” Sean John. 2008. < http://www.rocawear.com/shop/aboutus.php>. 10 Dec 2008.
13
Khan, Jon "Coogi Clothing - Upscale Urban Style." Coogi Clothing - Upscale Urban Style. 3
Nov. 2008. EzineArticles.com. <http://ezinearticles.com/?Coogi-Clothing---Upscale-Urban-
Style&id=1645719>. 6 Jan 2009.
14
“News – Artists Updates.” Upper Playground. 29 Dec 2008.
<http://www.upperplayground.com/ news/category/8>. 30 Dec 2008.
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reviews from their local customers for customizing their retail stores for the
community.15 Our lower pricing will be to our advantage in competing with
their local store, but we feel they may be a great candidate for distribution
partnership or mutual advertising.
4. M ARKETING S TRATEGY
K
night will have a multi-segment market but with a single market
approach, due to the nature of our designs, the interests of the market
in Midtown and the diversity of the company founders.
4.2 Price
Because we are able to cut costs by keeping much of our production process
and advertising in-house, distributing via other retailers while emphasizing
internet sales, and maintaining an office and gallery with a lower overhead
than a traditional storefront, a price that is below market value will be the
most effective strategy for KnightClothing at its conception.
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4.4 Promotions
The first step in Knight’s promotional plan is our opening, which will coincide
with the Second Saturday Artwalk and Sacramento Fashion Week. 22 Due this
critical timing and our proximity to theatre companies, other art galleries,
and Midtown’s active night life, we will be able to take advantage of free
and/or low cost publicity from the related websites and large crowds typically
gathered at such events. By presenting a store-front fashion show, and
promotional pricing for the event, we anticipate garnering a number of
repeat guests our first day.
Finally, Knight will be promoting itself in-house via its own smaller magazine,
“Knight Life,” and company website which will feature information on store
promotions, ongoing design concepts, and upcoming public events relevant
to the business.
22
“Schedule.” Sacramento Fashion Week.
<http://www.sacramentofashionweek.com/fall2008/schedule.asp>. 17 Nov 2008.
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5. A PPENDICES
5.1 Primary Market Research Data
During Q4 2008 Knight Clothing conducted consumer interviews regarding
preferences in clothing including styles, annual spending, retail company
philosophies, and demographics. These interviews were conducted in person
near Knight’s “brick and mortar” location and several potential competitors
and online via forms, emails, and message boardstargeting the Sacramento
area.
Men Women
Other/ Other/
Age Group 25-35 35-45 25-35 35-45
Decline Decline
82 75 64 %of 93 78 64 %of
18% 16% 14% total 20% 17% 14% total
African American 19 23 14 12% 21 24 16 13%
Ethnicity
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Conceptual Interest
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Market Research Survey –
page 1
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Market Research Survey – page 2
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5.2 Promotional Materials
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The graphics here highlight Knight’s vision of its future, featuring
mockups for advertising and events we plan to use as we approach a
greater share of the statewide and eventually national market and
introduce a larger number of product lines.
5.3 Works Cited
“About Us.” Rocawear. < http://www.rocawear.com/shop/aboutus.php>. 10
Dec 2008.
“About Us.” United State Online.
<http://www.unitedstateonline.com/newweb/aboutus.html>. 10 Dec
2008.
“About.” Sean John. 2008. < http://www.rocawear.com/shop/aboutus.php>.
10 Dec 2008.
“Consumer Expenditures in 2007.” Bureau of Labor Statistics. 25 Nov 2008.
<http://www.bls.gov/news.release/ cesan.nr0.htm> 30 Nov 2008.
“News - Artists Updates.” Upper Playground. 29 Dec 2008.
<http://www.upperplayground.com /news/category/8>. 30 Dec 2008.
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“Schedule.” Sacramento Fashion Week.
<http://www.sacramentofashionweek.com /fall2008/schedule.asp>. 17
Nov 2008.
“Space.” MARRS. Dec 2008. <http://marrs-sactown.com/?page_id=18>. 20
Nov 2008. Path; Download Macro Brochure.
“Urban Retailers Struggle To Keep Up With Trends.“ Trading Markets. 28 Jan.
2008.
<http://www.tradingmarkets.com/.site/news/Stock%20News/1034278/
> 21 Nov 2008.
Baldassare, Mark. “Forum: Fastest Growing Region in the State.” Public Policy
Institute of California. 15 Apr 2001. <
http://www.ppic.org/main/commentary.asp?i=240>. 20 Nov 2008.
Buchanan, Leigh. “The Dirtbag Demographic.” Inc. Dec 2002.
<http://www.inc.com/ magazine/20021201/ 24897.html>. 24 Nov
2008.
Clifford, Stephanie. “Goodbye Seduction, Hello Coupons.” New York Times. 9
Nov 2008.
<http://www.nytimes.com/2008/11/10/business/media/10adco.html>.
30 Nov 2008.
Khan, Jon "Coogi Clothing - Upscale Urban Style." Coogi Clothing - Upscale
Urban Style. 3 Nov 2008. EzineArticles.com. 6 Jan 2009
<http://ezinearticles.com/?Coogi-Clothing---Upscale-Urban-
Style&id=1645719>.
Learned, Andrea. “The Six Costliest Mistakes You Can Make in Marketing to
Women.” Inc. Jan 2003.
<http://www.inc.com/articles/2003/01/25019.html>. 16 Nov 2008.
Yelp Business Directory. 18 Dec 2008. <http://www.yelp.com>. Customer
reviews for Sacramento retailers on Yelp. 20 Dec. 2008.
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