View
214
Download
0
Category
Preview:
Citation preview
1
The PackageMatt BatemanLuke KunselmanJustin ZiccardiStephanie Zimmer
1The Package
Gifts for Guys
2
“A man doesn't know what happiness is until he's married. By then it's too late. “ – Frank Sinatra
“"I never intended to be a revolutionary. …But it turned out to be a very revolutionary idea." - Hugh Hefner
The PackageGifts for Guys
Words of Wisdom
3
Men deserve better!
A Knowledge Premium…
Investors deserve the payoff of a great investment.$71 million year 5 value
The PackageGifts for Guys
The Call For Action
The PackageGifts for Guys
Tacky Ties and Gadget Gizmos?
Forget about it.
Is the thought all that really counts?
The Need, and Opportunity
9The Package
Gifts for Guys
Drinking – Smoking – Gaming - Sexuality
The Art of Shaving
Engraved Shaving Set
$85
Cater to the four “vices” of man.
Product and Service Strategy
10The Package
Gifts for Guys
…Explained
Actually, Dr. Freud, a cigar isn’t just a cigar.
The Knowledge Premium
11
“Giftware industry…$55 billion in retail sales…”
-retailindustry.about.com
The PackageGifts for Guys
Industry Size
12
Denver Metro Area-2.3 million people-500,000+ men aged 22-40
The PackageGifts for Guys
Target Market – Size
13The Package
Gifts for Guys
Target Market – Psychographics
Sociable
Renaissance man
Place of Refuge
14
Age: 22Income: $35,000Status: SingleFav. Movie: Ocean’s 11
Age: 40Income: $68,000Status: MarriedFav. Movie: Wall $treet
Mother
Wife
Girlfriend
Sister
The PackageGifts for Guys
Daughter
Target Market
15
Sharper Image – 130 stores
HammacherSchlemmer – 2 stores
Brookstone – 250 stores
Nordstrom – 137 stores
The PackageGifts for Guys
Competition
16
IMAGE
PRODUCT DIVERSITY
The Package
The PackageGifts for Guys
17
•Knowledge Premium
•Unique products
•Unique manufacturers
The PackageGifts for Guys
$65Bisgard Wine Carrier
Competitive Advantage
The PackageGifts for Guys 18
Radio & Print Advertising
Denver Post, Westword
Alice 106, 850 KOA
Package Specialist (Low Cost & Creative)
News4 in the afternoon
9News “What’s Hot” segmentTalk Radio
The PackageGifts for Guys
Key Marketing Strategies
The PackageGifts for Guys 19
Package Sponsored Events
•Billiards Night Shakespeare’s in Denver
•Drink Mixing Night Purple Martini in Denver
The PackageGifts for Guys
Key Marketing Strategies
20
Location, Location, Location;Market Research is the Answer
Inventory supply & scalability(The Testosterone-Aspen Effect)
Low barriers to entry(mitigated by the Knowledge Premium)
Proper Product Mix Will Prevent Poor Performance
The PackageGifts for Guys
Risky Business
Employee Turnover
21
Year
$0
$5,000
$10,000
$15,000
$20,000
$25,000
$30,000
$35,000
$40,000
$45,000
1 2 3 4 5
($000)
The PackageGifts for Guys
Revenue
The PackageGifts for Guys 22
According to comparables…. $750,000-1,200,000 per store, per year.
The PackageGifts for Guys
Revenue
23
(6,000,000)
(4,000,000)
(2,000,000)
0
2,000,000
4,000,000
6,000,000
8,000,000
10,000,000
12,000,000
14,000,000
16,000,000
1 2 3 4 5
High Growth Rate Inhibits
Breakeven until Year 4.
A single store would
breakeven in Year 2.
The PackageGifts for Guys
Breakeven Analysis
24
0
500,000
1,000,000
1,500,000
2,000,000
2,500,000
3,000,000
3,500,000
4,000,000
4,500,000
1 2 3 4 5 60 1 2 3 4 5
The PackageGifts for Guys
Cash Flow (at year end)
25
The Seed Round (year 0)$1,500,000 @ 60% Annual Return = 30% ownership
• Builds/Operates 3 stores for 2 years
The Growth Round (year 2)$5,000,000 @ 50% Annual Return = 40% ownership
• Builds/Operates additional 22 stores
The PackageGifts for Guys
Funding
26
The gifts guys really want
Knowledge Premium: The Package Advantage
$71 Million Market Cap
The PackageGifts for Guys
Conclusion
27The Package
Gifts for Guys
Gaming Accessories
Dark Wood Poker Chip Case
$55
•Highest quality craftsmanship and a smooth rich finish.
•Strong, bright and durable brass handles, hinges and lock secure chips.
28
COHIBA XV $85
The Newest Cohiba For 2001!!! Offering Full Bodied Flavor & A Very Rich Taste, Featuring A Sumatra-Seed Wrapper & CT-Broadleaf Binder!
The PackageGifts for Guys
Smoking Accessories
29
Romeo Bathrobe $70•100 % cotton •Velour on outer side, terry on inner side •Shawl collar •2 patch pockets •Adjustable sleeve length with turn back cuffs •Self fabric belt
The PackageGifts for Guys
Sex Appeal
30
Galleria Multi Color Martini Glasses - Set of 6 $80
Beautiful waves of color are accented by 24 Karat Gold Paint. Each glass is hand painted and handcrafted in the highest quality glass studios in Romania. Each is an unique and special work of art.
The PackageGifts for Guys
Drinking Accessories
31The Package
Gifts for Guys
Salary & Wage Compensation
“The average sales person at Nordstrom’s earns $29,000 through a combination of base salary and commission.”
-BizMonthly.com
“The average Package Expert makes $34,000- $40,000 a year through salary and
commission.” ($21,000 base + 7% commission)
-The Package Team
The PackageGifts for Guys
Testosterone-Aspen
The PackageGifts for Guys
Testosterone-Aspen
•2000 Sq. Ft.
•2 POS Terminals
•Pool Table which doubles as sales display
•Display Tables
•Humidor
The PackageGifts for Guys
Floor Layout
35
The Package2000 sq. ft.
Sharper Image Brookstone Nieman Marcus Avg
Sales per sq. Foot 567 511 474 338 517RevCosts per sq. Foot 575 349 392 439 234Inventory per Sq. Foot 73 91 129 98 100
Three Main Competitors(Fiscal 2001)
The PackageGifts for Guys
Highlighted Comparables Data
Recommended