1.0 EXECUTIVE SUMMARY
Face Adrenaline is a start-up retail establishment that will sell fashionable exersice clothing to women that fit all body types by transforming not only in use but also customized fit. While our initial goal is to open one store, expansion plans include potentially franchising our retail store and/or building a well-recognized brand name. In turn, we would hope to penetrate a sizable portion of the online retail market. As our name suggests our focus is to provide exercise apparel and accessories, and position ourselves as the top retail store servicing this particular market. Our intentions are to obtain 80% market share and become a central hub of shopping activity for the local active young population as well others who enjoy an active lifestyle. Face Adrenaline will be located in Brooklyn, Pretoria which is a higher class area. It is centralized directly in position to the residential location, a Virgin Active and a Planet Fitness. We believe that this is critical to our initial success and long-term growth. 1.2 PRODUCT
By closely following generational fashion trends as well as our own customers' purchasing preferences, we will tailor our inventory to meet the specific needs of our clientele. We will solely focus on the styles, colors and fits to flatter the professional young adult mainly ages 18-40. Meeting the needs of different figures will be our specialty. The Hoodie bag is the very definition of a triple threat. The malleable, multipurpose garment is as adaptable as you need it to be, transforming from a bag to a hood to a wrap top in a pinch. Twisted, braided, cinched, or reversed, the Hoodie contains a cavalcade of variations for dextrous fingers. 2.0 MARKET ANALYSIS
2.1 TARGET CUSTOMER
Face Adrenaline is a business-to-consumer retail company. Female’s between the ages of 18-50 are our clear target customers. The median income of our target market is R17 000. We will initially seek customers locally, but will increase our reach as we build our brand and secure our image. The primary target customer of Face Adrenaline will be the young professional women. The secondary target customers are the older women like young moms or housewives between the ages of 30-50. 2.2 Market Segmentation
The active young population is concentrated heavily in the Hatfield and Brooklyn part of the city therefore leading to the highest concentration of our customer base. The last area of potential customers is labeled as "other". Because Face Adrenaline offers a variety of active and exercise gear and apparel, along with accessories and gifts we feel that we will attract many curious shoppers. Our ambience and customer service will make them repeat customers. The goal of Face Adrenaline is to serve the local female community that have difficulty finding exercise clothes that fit their frames.
| | Year 1| Year 2| Year 3| Year 4| Year 5| |
Potential Customers| Growth| | | | | | CAGR|
Young Proffesionals | 10% | 18,247 | 19,981 | 21,879 | 23,958 | 26,234 | 9.50% | 30-50| 15% | 9,682 | 11,134 | 12,804 | 14,725 | 16,934 | 15.00% | Other| 10% | 3,724 | 4,096 | 4,506 | 4,957 | 5,453 | 10.00% | Total| 11.33% | 31,653 | 35,211 | 39,189 | 43,640 | 48,621 | 11.33% |
2.3 Market Needs
There are several important needs in the exercise apparel business that are being either underserved or not met at all. Face Adrenaline plans to meet and service those needs. * Face Adrenaline will provide a large assortment of sizes to compliment the various body shapes and sizes of the community. This is a size segment that is missing throughout the larger active wear apparel retailers in the city. * Focus and attention to customer's personal preferences and customer retention will be given high priority. Because of the high rate of employee turnover...