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Abdur Mukit Bin ROUF Fuzion Crafts international Waste to wealth creation. Abdur Mukit Bin Rouf [email protected] 9706962203 New Bakurpara PO& dist-Goalpara

FUZION CRAFTS INTERNATIONAL

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Page 1: FUZION CRAFTS INTERNATIONAL

Abdur Mukit Bin ROUF

Fuzion Crafts international

Waste to wealth creation.Abdur Mukit Bin Rouf

[email protected]

New BakurparaPO& dist-Goalpara

Page 2: FUZION CRAFTS INTERNATIONAL

Market Potential

Total Handicraft Market Potential in India is Rs.40,000 crores

• Export Target for Indian Handicrafts for 2012-13 (EPCH): USD 3300 Million ~ INR 16500 Crore (Worldwide market for Indian Handicrafts)

• Total Value of Handicrafts Produced in India last year: INR 26214 Crore.

• Hence domestic Market size ~ INR 10000 Crore • The Market size (opportunity) is ~ 2600 Crore

Rupees.

Distribution of share in East:• 43 % of the handicrafts are in Eastern India and

hence highly skilled labours can be employed very cheap especially in the North-East. Over 50% of craft production are from women.

• A considerable percentage goes from North East Region and generally from unorganized small players or individual artisans.

Page 3: FUZION CRAFTS INTERNATIONAL

The Need and Our Solution

• Un-organized handicraft market

• Difficulty in marketing products by individual artisans

• High demand and low supply

• High demand for new designs

• Need for better life for artisans earning as low as INR 30/day

Need

•We are organized

• Products will be marketed by Fuzion Crafts through various channels

• Gap between demand and supply filled by training artisans and reaching out to the customer

• Constantly develop and improvise on new designs. Currently, Fuzion Craft has more than 20 products with more than 70 designs.

• Artisans trained and paid wages of at lease INR 100/day which is double their present earnings.

Our solution

Page 4: FUZION CRAFTS INTERNATIONAL

Raw Material- our uniquenessWaste to wealth creation

Page 5: FUZION CRAFTS INTERNATIONAL

ImpactOur Artisans

Earning conditions in neighboring villages- they earn Rs.30 to 50 & with us at least Rs.100/day

Training to specially abled and girls rescued from forced domestic labour

More than 450 women from 4 villages want to join us as on Jan’2013

Page 6: FUZION CRAFTS INTERNATIONAL

ProductsBlessing Lamps ( premium)Premium Products

Tribal Crafts

Collected crafts

Page 7: FUZION CRAFTS INTERNATIONAL

How we sell now

Page 8: FUZION CRAFTS INTERNATIONAL

Business Model- Successful companies

Fabindia (turnover Rs 500 crore) has 166 stores across 72 cities

Mother Earth (turnover Rs 80 crore)

Rangsutra (turnover Rs 8 crore)

Started in January 2011

currently has ~2 lac signed users & is growing at ~25% per month

80 countries, has 90,000 page views and has over 3,000 fans on Facebook

11.34% Growth, $204 every day in advertising revenue

$ 300 Million Valuation Above are My Opportunities

Anokhi (turnover Rs 70 crore) has 22 stores in India and stockists in many countries

Etsy Raises Merchant Revenues to $538 Million in 2011 (+71%)

Page 9: FUZION CRAFTS INTERNATIONAL

Marketing Channels

9

Marketing Channels

National and International

trade fairs- 4 nos.

Personnel selling in Hotels

and Resorts

Own WebsiteTie-up with websites like Craftsvilla &

Alibaba.com on 15% comision Retail

stores ,Stores in Guwahati

Page 10: FUZION CRAFTS INTERNATIONAL

Marketing Strategy

10

Dec-Jan’2012

• Fuzion’s website launch

• Social Media

Nov- feb’2012

• Trade Fairs (B2B sales):

• IITF-Delhi• After

nov’12• Dilli Haat• Surajkund• Hyderabad

-shilparamam

• Mumbai• Personnel

selling in Hotels and Restaurants

Feb-April ’2013

• Retail outlets like Shoppers Stop, Pantaloons, other lifestyle stores

• Store setups in Guwahati

Advertise

Fuzion’s product

s

B2B sales in

National and

International trade

fairs

Largely to capture

local customer

s primarily

non-internet

savvy

Craftsvilla currently has ~2 lac

signed users & is growing at ~25%

per month

Ratio

nale

Stra

tegy

Page 11: FUZION CRAFTS INTERNATIONAL

Financials

Page 12: FUZION CRAFTS INTERNATIONAL

Investment Rationale• Problems we are solving - Better livelihood, Employment, specially abled, rural upliftment.• Biggest Strength -We are making Money from abundant natural waste/weed.• Women empowerment -even the marginalized and underprivileged can do business.• Artisans Problems -Taking the hassles of marketing for the rural artisans

• SCOPE:-• 43% of the handicrafts are from the east and are mostly unorganized.• There are 128 tribes in the north east and they have different clothing identity and craft.

• FUNDING REQUIRED:Total Funding Requirements : (approx.) 33 Lakhs + 9 lakhs for machinery = 42 lakhsTo be Provided in 3 tranches in First 3 years:Year 1: 25 Lakhs Year 2: 11.5 LakhsYear 3: 5.5 Lakhs

ST Financing Line of Credit Required: 20 Lakhs (approx.)

• Once the business reaches scale (3 centres) it is self sustainable and financing• Attractive Returns after 1-2 Years of Operation

Finally,

•Gives much needed reward to the artisans of N-E India !!

Page 13: FUZION CRAFTS INTERNATIONAL

• Work on the last slide.• Put investment rationale for the investor from business perspective.• Make tha pics bigger.• Take out the business model slide and put the flow chart.• Comparative landscape between the bigger companies- data and larger

picture.

• Put investment – type of funding. And usage of funds.

Page 14: FUZION CRAFTS INTERNATIONAL

Thanking You

14

TeamAdvisors

& Mr. Ranjit Dey- master craftsman award winner from the President ( 18 yrs experience)

Page 15: FUZION CRAFTS INTERNATIONAL

Abdur Mukit Bin ROUF

Fuzion Crafts international

THANKING YOU !!!!There are more interesting parts.

Page 16: FUZION CRAFTS INTERNATIONAL

Business Process

Ours is a Scalable business model as we could scale up any time by organizing training for the unorganized village workforce.

We provide training and also raw materials to the women in villages. We run a full time production base using part-time employment of a scattered population. We are a organized production unit procuring raw materials, developing designs, providing

training, controlling quality and marketing products which otherwise is difficult for individual artisans.

Collect wasteWater-hyacinth

Quality check Collect the finished job

Prototype & design

Training to people

Work on job work basis

Sales & MarketingLooks after Trade fairs, B2B,

Website tie ups, etc

6.52% of the Production cost provides Indirect labour

51.55% of the Production cost is paid to the Artisans

18.2 % of the Production Cost goes for indirect employment