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KUSTOMYZE. Be YOUniqueMarketing Plan Brief
April 30th, 2014MAR 250 – Section 20407
Submitted by: Jonelle Banaszak, Julian
Maawad, Claire Munguia, Saima Safa,
Liliana Raun
Principles of MarketingProfessor Chiagouris
Table of ContentsI. Executive Summary.................................................................1II. Situation Analysis..............................................................2-21
A) Mission StatementB) Company DescriptionC) Profile of the MarketD) Product CategoryE) Consumer ResearchF) Competitive ResearchG) SWOT AnalysisH) Problem analysisI) Market AnalysisJ) Competitive Analysis
III. Marketing Objectives.............................................................22IV. Positioning............................................................................23V. Competitive Advantage24VI. Creative Strategy Brief27VII. Targeting28VIII. Marketing Mix Strategies &Tactics 30IX. Evaluation – Control and Update44
Executive SummaryThe major points of our marketing plan include many tactics that we
have come up with the overall goal of bettering Kustomyze and helping it
become a profitable company. Our strategies will help Kustomyze gain
nationwide recognition and awareness. Some of our tactics include
promoting in social media such as Twitter, Facebook, and Instagram. We
intend to fully utilize these three platforms of social media to spread the
news about Kustomyze and what goods it has to offer in, not only a primary
sense where we are making the advertisements, but in a secondary sense as
people spread the word themselves. As important as social media is, we also
hope to have Kustomyze spread out into physical, on-site settings as well;
doing this would include setting up tents at concerts, races, raves, and street
fair. Doing this will help us spread the word about Kustomyze while also
getting the name spoken about and seen throughout many different
consumer targets.
Our big idea for Kustomyze is to utilize the ever growing internet
browser network found on Google Chrome. This browser is quickly becoming
the largest of its kind as more people begin steering away from Fire Fox and
Internet Explorer. A unique aspect of this browser is the fact that it also has
what is referred to as the Chrome Web Store, which has millions of users in
traffic each day; this online store is extremely similar to the App store that
can be found on any Apple device in that it offers its users many different,
user-friendly options in a variety of fields. The Chrome Web Store supplies
people with the opportunity to download applications, extensions, and
themes; the subcategory that Kustomyze will take part in is the Productivity
section of the Chrome Extensions. Once downloaded, this extension will
allow people to choose any photo on the internet that they come across and
turn it into a cellphone or tablet case within minutes.
Situation AnalysisA) Mission Statement
Kutomyze’s mission is to provide the means for individuals and
businesses to express their feelings through art for their smartphone or
tablet case. Kustomyze provides its customers only high-quality products
that are made in New York, and it also provides best customer service
coming from the same owner of the company.
B) Company Description
Kustomyze is a dye sublimation company that creates customized
products for its customers. The company is a sole proprietorship owned by
Jon Hand. Kustomyze is capable of customizing a wide variety of products
such as t-shirts, flip-flops, dog tags, mugs, & license plates. However, the
best product line are
smartphone cases and tablet
cases.
Through Kustomyze, you can
be certain that any product you
buy will be long lasting. Thus,
the image will not fade within
months or years, since an attentive Customization Specialist customizes
every single unit in the USA. Through Kustomyze, businesses can be certain
than they will get their
products on time, every
time. Individual consumers
can expect their product to
be shipped within 24 hours,
and business customers to
receive their large order with
7-10 business days. They can
also be certain that the
owner will take care of them in some way with a “quantity discount” with any
large order they purchase, so they can pay less for more; and there is no
minimum order quantity for your order to go through.
C)Profile of the Market
Smartphone penetration in the U.S is now at over 61% with more and
more consumers purchasing iPhones, Samsung’s, iPads, and other devices
daily1. According to ComScore in 2013, 123.4 million people in the U.S owned
a smartphone in which 37.8% own an iPhone. According to a study by the
NPD Group, a leading market research company concluded that revenues
from mobile phones accessories in the U.S increased 32% during the first
1 Robinson, Ryan. "5 Reasons Why You Should Start Your Own Custom Phone Case Business." Case Escape. N.p., n.d. Web.
half of 2012. Mobile phone cases are the most popular accessories category,
growing 69% over the prior year, followed by headphones, which grew 67%.2
Moreover, the NPD conducted a study of “Mobile Phone Accessories
Attach Rate Study,” which based on surveys of more than 2,000 members.
The sample consisted of adults’ age 18 and older, where it found that recent
mobile buyers cited maximum protection and durability (86%) as the top
purchase influence, followed by quality materials (73%). One can argue that
people are willing to pay a higher price for a protective case for their
smartphone and tables, since these devices are valued up to $600 or more,
and in case of any damage it can be very costly to repair it. One could also
argue that the longer a consumer holds on to these cases, the more likely
they will come up with the wish to getting their case customized, like
clothing it gives them a sense of expression about their style.
Kustomyze’s main competitors are privately held companies such as
Case-Mate and Casetagram. Vistaprint is also a competitor in the industry,
but this company is known more as a printing business for promotional
materials, rather than having a unique profile, such as Kustomyze which
exclusively deals with customizing accessories such as cellphone and tablets
cases.
D) Product Category
The market of customizing smartphone case and tablets is a relatively
new industry where companies such as mycustomcase.com and
2 Graham, Lee. "The NPD Group: Mobile Phone Cases Lead 32 Percent Increase in Mobile Phone Accessories Sales." NPD Group. N.p., n.d. Web. 03 Apr. 2014.
casetagram.com actively market the unique idea of customizing your own
case. This new industry has grown so fast, that a consumer can find up to
ten or more different sites that can provide this same service at different
price ranges and quality. Starting a small business in this industry has a low
startup cost of approximately $30,000 leading to a high margin of more than
100%3.
Kustomyze price and markup analysis for smartphone cases and tablet
are reported below. Later within the brief, this information will be compared
to its main competitors.
1. Smartphone Cases:
Available for: iPhone 4/4s, 5/5s/5c & Samsung Galaxy S3/S4.
Jazz: this is the best-selling product in the product line, known for
being basic and a minimalist smartphone case. It is a single-piece
clip-on case, made 100% of plastic.
Production cost: $4.00
Retail price: 14.99
Markup based on cost %:
Jubilee: this case has a silicone inner shell and a hard plastic outer
shell, the Jubilee offers more protection that the jazz.
Production cost: $4.00
Retail price: $19.99
Markup based on cost %:3 Robinson, Ryan. "5 Reasons Why You Should Start Your Own Custom Phone Case Business." Case Escape. N.p., n.d. Web.
Brookley: made of thick rubber honeycomb inner shell, which Is
encased in a hard plastic outer shell. This is Kustomyze’s tough
case.
Production cost: $4.00
Retail price: $24.99
Markup based on cost %:
Malaga: this is a wallet case made of canvas, faux suede, and faux
leather. The Malaga features a bi-fold cover that protects the
phone and its screen, and provided pockets for storage of
MetroCards, cash, credit cards, etc.
Production cost: $7.00
Retail price: $29.99
Markup based on cost %:
2. Tablet Cases:
Available for: iPad, iPad Mini, Kindle, Kindle Fire, Kindle Fire HD, Google
Nexus, Galaxy Note 2, Galaxy Tab, Galaxy Tab 2.
Jazz: this tablet case has a simple design comprise of hard plastic,
similar to the smartphone case. This table case is a minimalist clip-
on cases, designed to be easily interchangeable for the customer
who want to accessorize.
Small Cases (iPad mini) Large Cases (iPad)
Production Cost$12.
00 Production Cost$12.
00
Retail Price$34.
99 Retail price$44.
99Markup% Markup %
Malaga: this tablet case is similar to the Malaga smartphone case,
only that instead of functioning as a wallet, it functions more as a
notebook.
Small Cases (iPad mini) Large Cases (iPad)
Production Cost$16.
00 Production Cost$18.
00
Retail Price$39.
99 Retail price$49.
99Markup% Markup %
E) Consumer Research
We first started through Simmons OneView where we wanted to know
who our targeted demographic is. Simmons allowed us to get a quick
demographic overview of a certain group of people based off a lifestyle
phrase. We narrowed down phrases that we thought people who have
customizable phone and tablet cases might use or identify themselves with.
We started very generally and asked the question of what kind of people
would buy customizable things? Creativity was the first trait that came to
mind. So we looked up the demographics for people who identified with the
statement “I consider myself to be a creative person”4
We found out that about 60.7% of all adults think they’re creative. Out of those 60.7%, about 54% were female, 46% male and the age group demographic is so close between ages 25-34 (18%), 35-44 (18%), and 45-54 (19%).
_______________________Simmons One View. “I consider myself to be a creative person” Simmons One View. <http://oneview.experian.com/main/#> © Experian 2012. (Accessed April 3, 2014). Web Image.
We decided to specify our search, so we cross referenced this phrase with a group of people who identified with having cell phones for personal use only.5
The data is about the same, but zeros in on a more specific group. The 35-44 and 45-54 age groups both make up 19% of the age demographic, followed by the 25-34 year olds with 18%. They are primarily female (57.1%) white (77.4%) individuals who at least graduated high school (31%) or attended some college (31%).
_______________________Simmons One View. “My cell phone is for personal use only” Simmons One View. <http://oneview.experian.com/main/#> © Experian 2012. (Accessed April 3, 2014). Web Image.
We then used another demographic statement directly relating to the individuality and creativity a customizable case would provide. We used the statement, “I like to stand out in a crowd”. 6
This information tells us that only 21.8% of all adults like to stand out in a crowd. Substantially less than the 60.7% of all adults that considers themselves a creative person. Among these adults, the gender aspect is fairly close, with females at 50.4% and males at 49.6%. 18-25 year olds (21%) and 25-34 year olds (21%) make up majority of the age demographic. Aside from the race (white 69.5%) and education (some college 31%) demographic aspect, this information is radically different than the first statement we analyzed. Based off of this new information, we decided to investigate more demographic statements like these to see if we have a different target market than what we first discovered.
We chose statements such as “My cell phone is an expression of who I am”, “My cell phone connects me to my social world”, “My friendships would not be as close if it weren’t for my cell phone”, and “The extra features on my phone are more important than the phone itself”. We focused our view on someone who would use their cell phone a lot and someone who thinks their cell phone is very important to them. If they place value in their cell phones, then they are willing to invest in a good quality, unique, phone case.
_______________________Simmons One View. “I like to stand out in a crowd” Simmons One View. <http://oneview.experian.com/main/#> © Experian 2012. (Accessed April 3, 2014). Web Image.
Since the demographics are very similar, we took averages of the age, gender, race, income and education. The average age groups are 18-24 (23.25%), 25-34 (21%) and 35-44 (19.5%). The gender is female (52.725%) and male (47.3%). The race is primarily white (69.775%), then African American (14.45%). The average income is $100,000 or more (30%), then $50,000-$74,000 (18.5%). While the education of the average person who identified with those lifestyle statements is less than high school (37.75%) and then some college (31.5%).
The education demographic surprised us, since the average 18-25 year old is not in a grade less than high school. This brought to our attention that maybe a targetable group of people would not be in the Simmons database- the high school group. In our primary research, we decided to survey both college and high school people.
From these statistics, we can derive the types of consumers that are in the market. Based off of these new numbers, we can identify our target audience as the 13-25 year old white female.
We then decided to use MRI+ to find out more about the targeted demographic. We wanted to know how often they bought a phone, because whenever you buy a new phone you also buy a case for it. MRI+ told us that, on average, 45.3% of 18-25 year olds, and 41.3% of people who attended college bought a new phone in the last 12 months.
We identified our target as young adults, still in college or high school. They are at a point in their lives where expressing themselves and
individuality is important to them. And, since most don’t have a full time job at this age, they spend their time mostly on themselves. They individualize themselves through their clothes, music, the way they style their hair, the friends they have, the weekend jobs they work, and many more aspects. They also don’t have to worry about fitting into how the “cookie cutter mold” of society looks like (i.e. business suites, professional haircuts) that most adults have to. The targeted consumers also have the time and resources to go out to activities. The most popular events that young adults go to are concerts, races, and street fairs. The consumer group that we are targeting will be those who fully practice individuality, creativity and truly making something your own. Their psychological attributes will be what drive them to want to customize their smartphones to begin with.
F) Competitive Research
Kustomyze’s key competitors are Gelaskins, Vistaprint, Skin-it, and Casetagram. After we surveryed our targeted demographic, we found these results .
High School students are most familiar with (in order) Vistaprint, Skinit, Gelaskins and Casetagram, then Kustomyze.
G)H) College students are most familiar with (in order) Vistaprint, Skinit,
Gelaskins, Casetagram, then Kustomyze.
I) J) Unfortunately, we cannot find any information reguarding these
company’s financial records or their key demographics. What we can deduce from these surverys is the order in which Kustomyze stands compared to the competition. There is no advertising done to promote these items, but our targeted consumer seems to know about them through word-of-mouth communication, which is evident in a google search for “customizable phone cases” as these are the four websites that came up first and google displays the order of websites by popularity.
G) SWOT Analysis
1. Strengths The products of this company are made in the US and that is important
because this factor can attract more customers who dislike products because
they are made in other countries.
Kustomyze also provides free delivery and this can encourage people to
buy more products without having to pay for shipping. This can increase
sales because without a shipping cost customers have a higher budget to
buy products.
A great strength of this company is that it can produce and deliver
products within a short period of time. This can encourage businesses that
need cases customized for events in a short amount of time.
Kustomyze can produce 12 cases per minute.
2. Weaknesses
The weakness of this company is that the prices of the products are quite
high compared to other similar businesses. This can discourage customers
because they know they can find the same thing for a cheaper price.
Another weakness would be that it’s a sole proprietorship. With only one
person working for the company it makes it harder for the business to grow
and expand.
3. Opportunities
There are a few opportunities that are open for this company. The
machinery used to customize the cases is mobile and this can create
opportunities of going to large events and customizing cases in front of the
customer or event attenders.
The Etsy website also produces opportunities of being promoted through
the website and increasing individual sales.
4. Threats
There are many other companies that do the same thing as Kustomyze
and are those companies are better known and more established.
The fact that Kustomyze’s products are made in the US is not enough of
an incentive to gain more customers.
G) Problem analysis
The problem that this company faces is the lack of people who
recognize the company and the products that it offers. More often than
not, a company will get consumer traffic on its website if said website
has advertisements online and if the name has been heard of through
the grapevine. People prefer ordering from companies they trust; if the
company has yet to show consumers its strengths, the company will
have a harder time making sales in comparison to its competitors.
Kustomyze also needs to offer more than simply free delivery and US
made products in order to gain customers because a majority of the
time, these things just simply aren’t enough.
H) Market Analysis
The targeted market are young adults, age 18-25 because they
view their phone cases as a fashion accessory and a way to express
themselves.
Businesses are also markets that we are targeting. We hope to get
businesses that have events in which they need customized products
to give out to employees or their customers.
I) Competitive Analysis
There are many advantages that Kustomyze has. One of them being
that its products is made in the US, which is why the quality of the
Kustomyze’s products is much higher than similar companies in its
industry. However, Kustomyze has a lot of competitors in its industry.
Below we will discuss some of Kustomyze’s main competitors and what
differentiated them from Kustomyze.
1. Vistaprint:
Vista print is an online vendor that supplies customized material.
Vistaprint strongest marketing mix strategy is Promotion, where good
deals and promo codes are offered on their homepage such as 250
business cards that were originally $20 are on sale for $10. Vistaprint
also has a strong online presence with social media in networks such as
twitter (with 42,900 followers), Facebook (with 921,129 likes), and
google+ (with 25,000 followers) and Pinterest (with 2,209 followers).
Product: the phone cases that Vistaprint offers are light weight but
effective to keep your phone safe.
Price: the prices at Vistaprint are a little higher than Kustomyze,
which will help Kustomyze. It cost $20 at Vistaprint and $14.99 at
Kustomyze.
2. Skinit:
Skinit is a company that customizes devices for your electronic devices.
Skinit strongest marketing mix strategy is Promotion, where it offers
seasonal collections such as the new spring collection for this spring. The
new designs will appeal to the customers, which will make them want to
get a new customized phone case. They offer free shipping for purchases
over $40. Skinit also has a strong online presence with social media in
networks such as: Twitter (6594 followers), Google+ (241 followers),
Facebook (401,197 likes), and YouTube (141 subscribers).
Products: Skinit offers many types of cases and skins for phones.
Skinit’s advantage is that they offer covers for almost all
kinds of phones and devices whereas Kustomyze only offers
for a couple of phones and devices.
Price: The prices of Skinit cases are more than Kustomyze. The price
of a regular case from Skinit is $24.99, which is $10 more than
Kustomyze’s price. This gives Kustomyze an advantage and this
will allow Kustomyze the ability to enter the market and grow
as a business.
3. Gelaskins:
Gelaskins is a company that manufactures removable art prints for
electronic devices (IPhone, IPod etc.). Gelaskins’ strongest marketing
strategy is its product, where it offers its customers the ability to
customize a variety of covers for electronic products ranging from
laptops to IPads and IPhones. The website is extremely easy to navigate
and also provides products that have images/writing already on them. It
also gives a person the option to customize his or her own electronic
device case with an image/writing of their choice. The unique part of
Gelaskin is how convenient it is to customize a phone sticker and the
short amount of time it takes to do so. Gelaskins also has a strong online
presence with social media in networks. Gelaskin is prominent online in:
Twitter (13,300 followers), Facebook (407,739 likes), and YouTube (1,731
followers).
What is especially impressive in regards to their social media is their
Facebook page. They offer a unique technique in which they show
some incredibly well done artist drawings/paintings/pictures that, once
clicked, has a link in which it will give you options to have that image
placed on a variety of different electronic devices. This is a great idea
because it allows the creation process to be more convenient and will
give its customers a reason to follow/like Gelaskins page, especially if
they feel an image may appear in the future that they may like.
For its Instagram page, even though it can’t offer links like it can on
Facebook, it does say the name and the artist of all the images shown.
This allows a person to find the artist online if he or she wants to use
one of their artworks to customize his or her phone, laptop, or any
other miscellaneous item.
Gelaskin also has a YouTube channel in which they show consumers
how to attach their product onto the consumer’s device as well as
simply to promote Gelaskins as a whole. This is a great tactic because
it makes the process a little more personal.
Gelaskin tries to accommodate a wide variety of different styles
and images for its consumers. They do not have a particular season in
which sales increase, however, they could improve their sales by
promoting at concerts or events that happen throughout America-
especially if these events run seasonally. Regardless, they already do
an excellent job of advertising online. They do not offer any
promotional offers like buy one get another 5% off, but they do have
gift cards, which one can purchase for family members and friends.
• Price: Gelaskins’ basic case is around the market average as far as
price is concerned. However, compared to Kustomyze, there is a
huge price difference. Gelaskins retail price for its basic case is
$35.00 while Kustomyze’s retail price for its basic case stands at
$14.99. This could work in advantage for Kustomyze if they were
to get to the same level in popularity as Gelaskins and its
competitors. Kustomyze’s costs are much less and more appealing
to consumers.
4. Casetagram:
Castagram is a very unique customization company because it
makes it extremely convenient for an individual to choose photos
from his or her Facebook or Instagram in order to create a
customized phone case. . Casteagram’s strongest marketing strategy
is its promotion where, similar to its competitors, Casetagram has a
very strong internet presence. They show all their unique
customization products as well as discounts that they are promoting
through a number of online sites.
Something we found extremely unique in regards to Casetagram’s
Facebook page was that they offered distinctive ways to cook
scrambled eggs or other cool facts/tools. This had absolutely nothing to
do with their company and what they sell, but it made their Facebook
page more interesting to look through. With this idea, they hope that
while a person is scrolling down through their feed, he or she will also
be attracted to the products-phone customizations- that the company
offers while curiously sorting through all the other “fun-to-do” topics.
Casetagram also offers wonderful promotions such as “$10
Casetagram Monday” to give their consumers a unique way to
purchase their products.
In addition, on its Instagram page, it shows a lot of phenomenal final
products that they have made and unique photos to make is Instagram
interesting and exciting to look through.
Product: Casetagram offers a very unique product customization. Not
only does it allow you to get phone cases for your phone but it also
allows you to customize that case with photos from your Facebook and
Instagram or you can just upload photos from your computer. What is
unique about this customization process is that it puts your images in
squares and allows you to choose where you want that specific picture
to be placed. The layout of the images that you want to have on your
phone covers is what makes Casetagram different from its
competitors.
Price: Casetagram prices, like its competitors, are around the same
price. With a basic case for Casetagram being $39.94 while a basic
case for Kustomyze is $14.99. This dramatic difference in prices is an
advantage that can work in Kustomyze’s favor once it gains popularity
in the industry, since its prices are more appealing to the consumers.
Marketing Objectives
A) Increase sales
Take our first fiscal year sales and attempt to increase them by 10%.
Utilize the purchase of the Google Chrome extension, which we would
like to get up to 500 downloaders in order to get people to use
Kustomyze in a wider variety of ways and purchase giving us the
opportunity to grow to 400 sales per fiscal year.
After people purchase their iPhone or Android cases, there will be a
checkable box (already checked, that people can uncheck if they so
choose) that will give Kustomyze the opportunity to send them
promotional emails. We would like to increase the amount of people on
this list by roughly 30%-40%.
Keychain card for members will increase loyal customers who will
return to use their code on the website by 5%-10% and will get a larger
amount of the population to see the Kustomyze name in every day
activities.
B) Increase Market Shares
Increase brand market shares by roughly 5% after the first fiscal year
and 10% after the next two to five years.
Increase the number of Kustomyze Instagram followers by at least 20-
30 every month and #Kustomyze tags by roughly 15-35, resulting in
an overall greater awareness of the product and the services it
provides.
Have a minimum of 300-500 likes on Facebook after the first fiscal
year.
To get Kustomyze to become the family and trusted name for
customization services due to its efficiency and convenience,
especially through the Google Chrome Extension.
C)Return on Investment
To achieve a return of investment of approximately $23,000.79 (not
including fixed cost), which is %, at the end of at least two fiscal years.
Positioning
A) Brand nameWe represent the CCMG Marketing Corporation. We are
promoting a product that represents uniqueness, individuality, and
freedom delivered by Kustomyze.
Kustomyze allows its consumers to express their ideas through a
creative, yet elegant method. Kustomyze uses only the best methods
and materials to make personalized designs or images a reality
through state of the art technology Kustomyze
B) Brand Problem
Kustomyze solves the problem in the accessorizing industry of
your electronic products by creating high-end quality customization at
great valued prices all produced in the United States. Kustomyze
focuses on entering the market by providing what its competitors are
not focusing on, which is high quality produced products. Kustomyze is
trying to target the individual or business that does not want cheap,
low quality merchandise but merchandise that will last a long time and
will attract the attention of other individuals.
C)Positioning Statement
For people who range from roughly the ages of 18-25,
Kustomyze is a company that focuses on supplying quality, sturdy, and
attractive device cases.
D)Tag Line
Kustomyze: Be YOUnique
The Kustomyze tag line associates itself with positioning on the basis
that Kustomyze wants nothing more than to supply its consumers with
merchandise that they can be proud of. Having an organization that
understands that no two individuals are the same is essential when trying to
sell them unique cases. Kustomyze understands that each person has their
own story to tell the world and would like to help them share these.
Competitive Advantage
The market for customization of electronic cases in the industry has
exploded in recent years. With more and more companies, big and small,
beginning to supply phone cases to consumers- especially online- it is getting
nearly impossible to keep track of all of the competition. Regardless of the
opposition, the market is relatively easy to break into. Kustomyze achieves
this by producing all of its own materials to make it’s customized accessory
covers, as well as manufacturing them all in the States. This allows
Kustomyze to separate itself from its competitors who may manufacture
their products in the United States, but receive their materials from countries
like China or Malaysia due to the fact that they or a lot cheaper. This allows
their profit margin to greater, but in the long run, consumers may feel
pressured to order in their own nation to “keep the money circulating,” in a
sense.
1. Determinant Attributes:
High quality – Made in the US
Low Price:
All these companies have different prices for the same basic iPhone case
which Kustomyze refers to as the “Jazz case.” We could assume that their
quality is as high as Kustomyze since all the materials are made in USA.
However, it not worth for the consumer to pay up to 50% to 167% for about
the same quality customization you can get from Kustomyze at a cheaper
cost.
Kustomyze v. Competitors
Price for customized basic IPhone case 5/5s (most popular)
Competitors Basic caseKustomyze Jazz
Case
NameRetail Price Retail Price
% Difference
Vistaprint.com 22.49 14.99 50%Skinit.com 29.99 14.99 100%gelaskins.com 35.00 14.99 133%Casetagram.com 39.95 14.99 167%zazzle.com 39.95 14.99 167%Mycustomcase.com 39.96 14.99 167%custom.case-mate.com 40.00 14.99 167%
2. Design/Style
Due to its quickness in creation and the availability to be
produced at multiple locations, we have the opportunity to produce
customize cases at locations/events in which people may want to
capture. This is especially true for the age group we are targeting,
females from 16 to 30 years old- who would more than likely want to
show them off to their friends, family, and colleagues.
The events we are looking to target are concerts (electronic, hip
hop etc.), marathons, and even political events (rallies). Since our
product only takes a matter of minutes to create, this will be appealing
to our customers who do not want to waste their time waiting for this
type of product to be created/customize in a few weeks’ time. In
addition, by customizing on-site at events, we believe that people are
more likely to purchase a product, which could be priced just slightly
more than its competitors.
Creative Strategy BriefA)Target Description
Our basic target market is younger females roughly from the ages of 14-25.
Although the female gender market is barely higher than the male, it still exists.
This target description does not mean that this is our sole sales market, only that
this is the best range of ages to market to for the highest projected amount of
sales and income.
B)Key Competition
The number of competitors for this specific consumer market is growing more and
more rapidly. Between companies that specialize in selling this product, companies
that do this in addition to their main sales, and individual sellers- especially those
available through Etsy- a person really has a wide variety of companies to choose
from. The specific brands we have chosen as our main competitors include
Castegram and Gelaskins.
C)Brand Advantages
Kustomyze has a number of advangtages over its competitors, a few of which
include being made in the USA, having free shipping available to its customers,
having the ability to manufacture and ship items, and having the cheapest
available cases across the spectrum.
D) Positioning Statement
For people who range from roughly the ages of 18-25, Kustomyze is a company
that focuses on supplying quality, sturdy, and attractive device cases.
E)Brand Personality
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The personality we are aiming to achieve is along the lines of a very warm and
welcoming company. The personality of our brand should follow very closely with
the tone that is listed as follows.
F)Tone
CCMG has come to the conclusion that Kustomyze needs to have a very welcoming
and friendly tone. Although it is important to convey the vibe that any order put in
will be done as efficiently as possible, we believe it is more important to have a
sense of customer relatablity. People love to feel important, so if we treat each
person like they are our most important customer, we are guaranteed returning
consumers.
G) Special Media Considerations
As a company, we have decided the most important media for Kustomyze to utilize
would be the internet, more specifically, Facebook, Instagram, and Twitter. Being
as these are the largest social media websites, it would make sense for us to utilize
these resources to the best of our abilities. Other media we would like to consider
would be newspaper inserts, although this would come secondary to internet
media.
H) Regulatory Issues
We, as a whole, have come to the conclusion that there are no regulatory issues to
be discussed as we take the journey to make Kustomyze a widely recognized
name.
TargetingEverybody has a smartphone, and with that, everyone needs a smartphone case. Kustomyze not only provides a high quality case, but it also gives you the option to create a unique, functional, and portable work of art that’s totally your own.
1) Age
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According to surveys conducted by CCMG to a sample of 125 females from Bishop Kearney High School, we found that our first target market is High School students from 13-17 years of age. According to surveys conducted by CCMG to a sample of 100 females and male from Pace University, we found that our second target market is college students from 18-23 years of age.
2) Gender/ EthnicityKustomyze belongs to the customization industry, which is gender neutral. Kustomyze will target all backgrounds and ethnicities. Anyone that finds a need to protect their cellphones or tablets, they will think about the buying a case. During the purchase decision process, they will think about the design and Kustomyze can offer then a quality customized case that at the same time expresses their art…
3) LifestyleWe identified our target as young adults, still in college or high school. They are at
a point in their lives where expressing themselves and individuality is important to them. And, since most don’t have a full time job at this age, they spend their time mostly on themselves. They individualize themselves through their clothes, music, the way they style their hair, the friends they have, the weekend jobs they work, and many more aspects. They also don’t have to worry about fitting into how the “cookie cutter mold” of society looks like (i.e. business suites, professional haircuts) that most adults have to. The targeted consumers also have the time and resources to go out to activities. The most popular events that young adults go to are concerts, races, and street fairs. The consumer group that we are targeting will be those who fully practice individuality, creativity and truly making something your own. Their psychological attributes will be what drive them to want to customize their smartphones to begin with.
4) Behavioral Segmentation:For our first target market 14-17 years of age, we found that:
The average high school student owns 4 cases for their cellphone. This works in advantage of Kustomyze, because it shows that it is likely to have returning customers.
75.2% of this sample own an iPhone, followed by 12.8% own a Samsung Galaxy. In addition, 40.8% of this sample owns an iPad, followed by 32.8% that do not know own any. This is an advantage because Kustomyze mainly caters to these types of cellphones and tablets.
From 1 (least important) to 4 (most important): protection is (4), quality (3), appearance (2), price (1). Protection and quality are rated as the most important qualities, and 43.2% preferred a case made in the U.S. followed by 10.40% made in China. This is an advantage because Kustomyze’s cases are made in the U.S, which translates to better protection and quality in the mindset of most consumers in comparison to a case made in China.
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From our sample: 48% knows Vistaprint, 30.4% knows Skinit, 8% knows Casetagram and Gelaskins, followed by 3.2% that know Kustomyze. Therefore, our most important competitors are Categram and Gelaskins because their sales margin are the closest to Kustomyze.
We plan to promote our brand on concerts, race, and street fairs, which according to our surveys it will be a good idea since 55.2% of high school students attend 1 concert per year, 80% of high school attend 1 race per year, and 42.4% attend between 2 to 3 street fairs per year. These are good social events for Kustomyze to increase brand awareness, and at the same time produce cases to increase sales.
Chrome is the most used browser by high school students, which works in advantage of our Big Idea of creating a chrome web extension about KZ. Be YOUnique.
For our first target market 14-17 years of age, we found that:
The average college student owns 3 cases for their cellphone. This works in advantage of Kustomyze, because it shows that it is likely to have returning customers.
77% of this sample own an iPhone, followed by 11% own a Samsung Galaxy. In addition, 51% of this sample owns an iPad, followed by 24% that own a nook. This is an advantage because Kustomyze mainly caters to these types of cellphones and tablets.
From 1 (least important) to 4 (most important): quality (4), appearance (3), protection (2), and price (1). Quality and appearance are rated as the most important qualities, and 64% preferred a case made in the U.S. followed by 4% made in China. This is an advantage because Kustomyze’s cases are made in the U.S, which translates to better protection and quality in the mindset of most consumers in comparison to a case made in China. In addition, appearance is up to the choice of the consumer which Kustomyze offers.
From our sample: 55% knows Vistaprint, 33% knows Skinit, 15% knows Casetagram, 18% knows Gelaskins, and 7% know Kustomyze. Therefore, our most important competitors are Categram and Gelaskins because their sales margin are the closest to Kustomyze.
We plan to promote our brand on concerts, race, and street fairs, which according to our surveys it will be a good idea since 49% of college students attend at least 1 concert per year, 81% of college students attend at least 1 race per year, and 44% attends at least 2 to 3 street fairs per year. These are good social events for Kustomyze to increase brand awareness, and at the same time produce cases to increase sales.
Chrome is the most used browser by high school students, which works in advantage of our Big Idea of creating a web chrome extension for KZ. Be YOUnique.
Marketing Mix Strategies & Tactics – Implementations
A) For the $10,000 budget
$10,000 BUDGETONLINE BRICK AND MORTAR
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Target Tactic Cost Tactic Cost
Individual
1. Advertising online: Facebook, twitter/google ads and better social media.
$500.00
3. Going to events (concerts, races, street fairs, & flea markets)
$ 500.00
2. Redesign Etsy profile
$500.00
4. Key tag discounts $ 275.00
Businesses 5. Thank you email + Sample packages (box design) $
1,000.00For Both 6. Improve website $
7,000.00
1. Social Media
Facebook:
a. Promotion: As of October 3, 2013 around 500 million people have Facebook
accounts. Weekly business pages on Facebook get 645 million views as well as 13 million
comments. In 2013 there were one million active advertisements on Facebook. This
information alone shows the mass audience we could reach at an extremely low price.
Facebook also has a marketing team that will place your advertisements in strategic
positions where they believe people with similar interests will be interested.4
b. Price: Facebook is very helpful when it comes to advertisement on its site.
Since advertising revenue is one of its main sources of income they have managed to
keep the process easy and convenient to use. This is extremely helpful for small
business like Kustomyze because it allows an opportunity to reach a large target
audience without paying a huge price for it. The price usually depends on what your
competitors in the market are willing to pay, but in general the prices are extremely low
i.e. $1.20 to $2.00. In addition, another appealing aspect of Facebook is that you can set
a maximum limit on how much you want to spend a day. We believe to start this
process we would like to see an investment of $100 if the general cost of advertising is
around $1.50 to give us the total cost of $150. From there we will see how this 4 "Ad Set Cost & Budgeting." Facebook. Facebook.com, n.d. Web. 23 Apr. 2014.
31
advertisement is working and how we can better tackle using Facebook’s advertising
tools.
c. Penetration: As you can see below Facebook has a wide variety of different
types of advertising options.
Cost per mille (CPM): This bid type is best for getting people to view your ad
Cost per click (CPC): This bid type is best for getting people to click your ad
Optimized cost per mille (oCPM): This bid type is best for showing your ad
to the people who are most likely to take action on your ad. For example, liking
your Page or clicking a link
Cost per action (CPA): When available, this bid type is best for getting
people to take action on your ad. For example, liking your Page or clicking a
link.
However, we decide to go with the best option that will help Kustomyze would be
one that optimized cost per mile (oCPM). oCPM. This will be extremely beneficial when it
comes to our advertisement on Facebook because Facebook optimizes your ads by
showing it to individuals who will most likely perform the desired action that you want to
perform. 5
Twitter:
a. Promotion: When advertising with Twitter they offer three types of advertising
opportunities: Promoted Tweets, Promoted Accounts, and Promoted Trends. However, for
our budget we will only perform Promoted Tweets. The key is to know how these Twitter
adverts will work. For Promoted Tweets they are tweets that you have already tweeted
and are tweets that you want to promote, which will appear on people’s timelines and
5 "Start Creating, Sharing & Exploring Great Visuals Today!" How Many People Use Facebook 2013 (Update- 3 October 2013). N.p., 24 Oct. 2013. Web. 28 Apr. 2014.
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search results. In addition, you can target your ads towards people with similar interests,
gender etc.6
b. Price: What is great about this advertising technique is that you only pay when
users click, reply, retweet, or favorite your tweet (advertisement). Promoted Tweets
usually cost between $.50-$4.00 per engagement.7 To tackle this advertising tactic we
will invest around $140 worth monthly if the price to advertise is around $2.50 to gives
us a total of $350 of final cost for this type of advertisement.
c. Penetration: Twitter, like its counterpart, Facebook is another great way to
distribute your company, Kustomyze, to a broad audience for a low price. Twitter in 2014
has 240 million active users. This number is still growing today with 135,000 users
signing up everyday. From these numbers alone you can see the potential Twitter has to
offer. In addition in 2013 Twitter’s annual advertising revenue is $405,500,000; which is
a huge number especially for small businesses like Kustomyze.8
Instagram:
a. Promotion: the way we are going too tackle advertising on Instagram will end
up costing us nothing. Our idea is to create a Kustomyze account on Instagram and
promote Kustomyze final products or cool/unique pictures that could be customized into
a phone case. With 100 million people on Instagram it is a great way to get into the
market and advertise our product and company to the world.9
b. Price: They way we will be advertising using the hashtag will cost us nothing at
all, which is perfect due to our company’s small budget.
c. Penetration: By creating a hashtag trend it will allow for Kustomyze to become
a commonly known name and eventually a trending one on Instagram. This will be
6 "Analytics." Twitter for Business. Twitter.com, n.d. Web. 21 Apr. 2014.7 Alleger, Jason. "Blog Entries." Penna Powers Brian Haynes. Penna Powers Brian Haynes, 11 Dec. 2013. Web. 22 Apr. 2014.8 "Twitter Statistics." Statistic Brain RSS. N.p., 1 Jan. 2014. Web. 28 Apr. 2014.9 Systrom, Kevin. "Instagram." Blog. Instagram.com, n.d. Web. 25 Apr. 2014.
33
beneficial because it will allow people to know what Kustomyze is and maybe even
recommend it to friends who are looking to get a case customized in the future.
2. Redesigning Etsy Profile
This information is repetitive and does not need to be repeated on every available
phone case. The fact that the cases are made in America and have free shipping
can be displayed at the top of the page solely.
Having an image representative of the case would inform the consumer what
exactly they are interested in buying. If the case changed view as a mouse scrolled
over it, consumers would have a better idea of the product. This is much better
than having a 2D photo as the main marketing tactic.
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Kustomyze was located relatively close to the bottom of the search feed when
looking up “customizable phone case” on Etsy. Although the photo can be
somewhat difficult to make out, it is basically supporting the idea that the
Kustomyze photo representation is not nearly as appealing as the other etsy profile
competitors.
3. Going to Events
We know that a majority of us will agree on the importance of social media but a
unique idea among phone case customization companies is to attend events such as
concerts, races and such other events for on-site customization. Events will help
Kustomyze become more popular because if enough people see Kustomyze at events,
the company will get recognized when consumers see ads for Kustomyze on their
social media. This will help people remember Kustomyze next time they need a
customized phone or tablet case. For these events, Kustomyze would bring the heat
press machine with them and customize device cases right in front of customers. This
will make customers more interested in Kustomyze because they will be able to see
the action in a more personal setting.
The cost that goes into this varies from event to event, but we have rounded it out
to a range of about $200-$500, depending on fixed and variable costs.
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4. Key Tag discounts: a marketing tactic we think can help business is key tag
discounts. Any customer who gets key tags from Kustomyze can get a discount on
their future orders.
Key tags are $275 for 500 so this would be perfect for our $10,000 budget
5. Thank you email + Sample packages (box design)
6. Improve website
For Kustomyze.com
Promotion:
A well designed website makes your company look
more professional. Today, people expect to be
able to find what they are looking for quickly and
easily, if they can’t they will just go to another
site. Kustomyze must develop an elegant online
presence in order to attract customers and make
them stay longer in the site. According a Nelson Global Consumer Report in June 2010,
66% have purchased an online product of 81% of internet users who research products
online.10 One could argue that these statistics are higher today since shopping online has
10 "Global Trends in Online Shopping A Nelson Global Consumer Report June 2010." Gravitate Online. Orange Collar Media, n.d. Web. 22 Apr. 2014.
36
become a trend with 56% of American adults
that are now smartphone owners11 and 4 out of
5 consumers that use smartphones to shop12.
For a well-designed website, Kustomyze should
follow these recommendations:
1) If you are trying to appeal to individuals
and businesses. You should give a choice to
the customer to tell you who they are at your
home page. There is certain information in
your website that individuals are not interested in as much as a businesses. For instance,
individuals that have a definite idea about what they are buying, are looking for a
website that is simple and easy to follow to make their purchase decision. Corporate
events should be a tab for the businesses page, and private events should be tab for the
individual’s page.
2) The Individuals page should consist of a 3 step process:
(i) Select your device and case
(ii) Design your case
(iii) Preview & purchase your case
Currently, Kustomyze’s website does not provide this service, but instead after clicking
“Place Order” in the right hand tab, the individual is informed that he/she has to place an
order directly over the phone. What if I cannot explain with my own words how I want my
case?
This format should be implemented not only in the website desktop presence but also
the mobile website. In fact as of 2012, 64% of smartphone owners were using their 11 Smith, Aaron. "Smartphone Ownership 2013." Pew Research Internet Project. N.p., n.d. Web. 22 Apr. 2014. 12 Rao, Leena. "ComScore: 4 Out Of 5 Smartphone Owners Use Device To Shop; Amazon Is The Most Popular Mobile Retailer." Tech Crunch. N.p., n.d. Web. 22 Apr. 2014.
37
mobile devices to shop online13 (and the number keeps going up every year), and 57% of
consumers will not recommend a business with a poorly designed mobile site. Similarly,
40% of consumers will go to a competitor’s site after a bad mobile experience.14
3) In a transaction with businesses, they tend to be more careful than individuals in
selecting their supplier or distributor. They want to choose a brand that provides quality
and good appearance products. Therefore, in the business page you would try to
introduce as much information about the products you deliver. This page should consist
of:
(i) Why us? Here you introduce your company and provide information about the
products you deliver. For instance, since some of characteristics that Kustomyze
want to use to differentiate itself in the market is “Made in the U.S.A” and “low
prices”. Therefore, you might want to highlight something like:
“KZ. Be YOUnique has yours needs covered. We offer only the highest quality
products made in the USA for your customer and the rock bottom lowest prices for
you”15.
(ii) Corporate events: this is page where you can give more information to businesses
about the services your company can offer. However, this should be more like an
informational page and not having a “view pricing” and “place order” tab under every
picture.
13 "M-Commerce Quadruples in Two Years." The Retail Bulletin. N.p., 24 May 2012. Web. 22 Apr. 2014.14 Johnson, Lauren. "Google Exec: Mobile Changes a Brand’s Value Proposition."Mobile Marketer. N.p., 12 June 2012. Web. 22 Apr. 2014.15 "Reiko Wireless Wholesale Cell Phone Accessories." Reiko Wireless Wholesale Cell Phone Accessories. N.p., n.d. Web. 21 Apr. 2014.
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(iii) The 3 step shopping process should have the
same appearance as the individuals’ one. In
addition to information about wholesale prices
and quantity discounts after reaching a number
of units or dollar sales.
(iv) This website should also have a “get a
sample now” tab only for businesses. This
concept is more visible and shows
businesses the confidence that this
company has about their products. As
result, this reinforces their judgment about
Kustomyze.
Price:
Redesigning the website with the extra features above should have an estimated
amount of $4,850:
(1).E-commerce shopping carts, catalogs, payment processing, an estimated amount of
$1,000.
(2). A Blog that shows testimonials and recommendations from previous customers, an
estimate amount of a $650.
(1) Social media: Create and manage social media network profile such as
Twitter, Facebook, YouTube, Pinterest, Google+, LinkedIn etc. This has an
estimated amount of $500.
(2) New landing pages. An estimated about of $450 per page with a
total of $2,700.
- (3) Three step shopping process
- (1) Sign up or login39
- (1) Get a sample now
- (1) Why us?
This estimated amount is a quote from Executionists, Inc. This is an innovative
creative agency specializing in design, development, marketing, and client services.
B)For the $50,000 budget (in addition to the $10,000 budget)
50,000 BUDGET - (In addition to the $10,000 budget)ONLINE BRICK AND MORTAR
Target Tactic Cost Tactic CostIndividual 7. Big Idea 15,00
0BusinessesFor Both 8. Newspaper inserts $200-
$500
7. Big Idea
As previously touched on earlier on in the brief, our big idea is centered on the
idea that as time progresses forward, more and more people are beginning to
adopt Google Chrome as their web browser of choice. This being said, there is a
huge opportunity that, if taken advantage of, can be a golden token in the pocket
of Kustomyze. Google Chrome offers something known as the Chrome Web Store
which is essentially the equivalent of the App store for Apple products.16 We have
opted to create an extension which would be present for the downloader at any
time during their internet experience. The “KZ” icon, which is representative of the
Kustomyze brand, would be present at the top of the page in the toolbar and as
the downloader scrolls over any single picture on the internet, a small button will
appear in the top left hand corner. Upon clicking this button, the downloader will
be see a new window pop open containing that picture on the Kustomyze website
16 Chrome. “Chrome Web Store.” https://chrome.google.com/webstore/category/extensions. April 16, 2014. Web.
40
at which point he or she will have the opportunity to then complete their
customized order.
Price:
Creating an extension, based on the research I could find, costs the simple fee of $5, and
that is simply for the sake of having a start-up fee. However, this is IF you have the
knowledge to use things such as HTML and manifest.json very well. If you cannot, there
are a few websites who, for a price, can create the extension for you.
If you opt to create the extension yourself, the steps to complete it are listed on the
link: Lifehacker.com/5857721/how-to-build-a-chrome-extension/all17
You can also try to follow along for yourself through the tutorial Google provides:
https://developer.chrome.com/extensions/getstarted18
Product:
Extensions will add a new way for consumers to interact with Kustomyze by allowing
them to find any picture on the web and simply click the little “KZ” icon that will
appear in one of the top corners of said photo. By doing this they can easily, from any
site, design and order their customized phone case.
The Kustomyze extension will be located within the productivity section of the
Chrome Web Store, alongside websites that use similar tactics, such as Pinterest.
Promotion:
When a person has installed the Kustomyze extension, they will get bonus information
about a page.
After downloading the extension, an excellent bookmark becomes readily available to
the consumer. Once installed, it will always remind a user that your site exists and
17 Pash, Adam. “How to Build a Chrome Extension.” 11-09-11, 8:00AM. http://lifehacker.com/5857721/how-to-build-a-chrome-extension. April 16, 2014. Web. 18 Chrome. “Getting Started: Building a Chrome Extension.” https://developer.chrome.com/extensions/getstarted. April 16, 2014. Web.
41
that they can visit or utilize it. For instance in this case, any time a person runs their
mouse over a photo the “KZ” icon will pop up in one of the top orders creating
efficiency as well as a constant reminder that he or she can get a customized phone
case any time they choose.
Place/ Distribution:
The concept of our marketing team’s big idea is found within the Chrome Web Store
on Google Chrome. Much like the App store for iPhones, the Chrome Web Store allows
individuals to download an app, extension, or theme; of these we chose to adopt the
extension. Being as more and more people are beginning to opt for the Google
Chrome browser, we estimate that this investment will ultimately reach more
consumers and aid Kustomyze’s company in the long run.
Once an extension is downloaded, it will become permanently located at the top of
the page on the toolbar, directly by the URL of websites, easily reachable no matter
the page a person is on.
Millions of people search for extension in the Chrome Web Store every day, which is
exactly where these extensions will be located for purchase.19
Items supported by Google Wallet can be purchased by buyers in these regions:
Australia, Austria, Belgium, Canada, Denmark, Finland, France, Germany, Hong Kong,
Italy, Japan, Netherlands, New Zealand, Norway, Portugal, Singapore, Spain, Sweden,
Switzerland, United Kingdom, and United States. 20
8. Newspaper inserts
Newspaper inserts would be a useful marketing tactic because this would spread
the word about the company. Newspaper inserts vary in pricing because it depends on
19 Chrome Extension Creator. “Creating a Chrome Extension.” http://chromeextensioncreator.com/. April 16, 2014. Web. 20 Google, Chrome Web Store. “About Google Wallet.” https://support.google.com/chrome_webstore/answer/1053354?hl=en. April 16, 2014. Web.
42
what kind of a newspaper it is and what size the ad itself is. A lot goes into determining
the price for a newspaper ad but an estimate would be around the price of $500 for a
local newspaper.
For the $100,000 budget (in addition to the $50,000 budget)
100,000 BUDGET - (In addition to the $10,000 and $50,000 budget)ONLINE BRICK AND MORTAR
Target Tactic Cost Tactic Cost
Individual
9. App for iPhone10. App for Samsung Galaxy11. App for Andriod12. App for Blackberry
9. Creating an App
The price of creating a well-designed layout app has rocketed. Now a
days phone apps are an easier way for consumers to purchase or get
something done without that task being extremely inconvenient.
However, there are some ways that you can get an App created for a low
cost; but that is not what we want to do. We want to create an App that
exemplifies that Kustomyze is all about perfection, which is key.
Spending money on a low cost web designer who is not going to be able
to deliver on the quality that we expect for our App is simply not worth it.
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By talking to some App developer companies, we know that the type of
App we want to get created can be done. However, the price is going to
change throughout the process depending on what we want the App to
do, what it will include, and how it will grow. There is, however, ballpark
figures, which can give us an idea of, how much we are talking about.
From research we estimate that our cost for the creation of our App will
roughly be between $50,000 to $150,000. This may seem like a lot of
money at first but we will only implement creating an App when we know
that Kustomyze has established and is generating the right amount of
income to not only to afford this but also to use this App to help
dominate the market.
Evaluation – Control and Update
We plan to sell of unit in one year: 250 for cellphone cases, and 150 for tablets. Total sales in one year will be $8995, after the production cost is subtracted the total profit will be $6495.
Increase brand market shares by roughly 10% after the first fiscal year and another 15% after the next two to five years.
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KUSTOMYZE. BE YOUNIQUE - MAY 2014 45