220 likes | 359 Views
Shoe Skins. Customer-Driven Feasibility Study Bristol, Cuozzo, Holz, Lyman, Patibandla, Sexton. Executive Summary: Shoe Skins. Research Performed and Customer Pain. Shoe Skin System, Benefits, Target Market Macro-Market information Macro-Industry information
E N D
Shoe Skins Customer-Driven Feasibility Study Bristol, Cuozzo, Holz, Lyman, Patibandla, Sexton
Executive Summary: Shoe Skins • Research Performed and Customer Pain. • Shoe Skin System, Benefits, Target Market • Macro-Market information • Macro-Industry information • Key Learning’s and Conclusion Shoe Skins is a unique system that makes footwear fun by allowing children to easily change the look of the their shoes any time they want.
Research Data Child and parent interviews Parent Survey • “I like clothes and styles that nobody else has. “ Phoebe (Age 7) 90% of parents said kids Influenced their shoe buying decision • “At school, you don’t like to be the same. You want to stand out.” Vika (age 11) 80% of the time parents will buy at a retail store • “Being different makes me feel good.” • Colin (age 8) Sneakers the most Popular shoe… • “Shoes that could change colors would be cool.” Allison (Age 8) 4) Characters 1) Sneakers 2) Sandals 3) Crocs
Customer Pain Kids: More choices and styles with their shoes. Parents: Having to buy multiple shoes for kids.
Benefits of the Shoe Skin Solution Benefits High “cool” factor with something new and innovative Offers individuality and self-expression The Shoe Skin System Variety of colors and styles Green: less shoes, recyclable skins Online social network Ability to share, collect, and trade skins Fun online games and activities Cost effective – less need for other shoe purchases.
Related Offerings and Expansion Possibilities Color, and pattern options truly endless. Fitness tracking: GPS, Pedometer Unique designs, match with outfit Licensing potential Limited Editions from artists Accessories (matching Laces, pins, jibbets even) Add-ons such as noises, LEDs
SECONDARY SOURCES Pricing of existing novelty shoe offerings: Customizable Converse sneakers: $58 - $95 Heelys: $43 - $80 Crocs: $20 - $40; Jibbitz (clip-on decorations) $3 - $6 Sneakart stickers: $12-$14 PRIMARY SOURCES All parents interviewed would pay $30 for the shoe skin system. 40 parents surveyed on typical price paid for a pair of children's shoes: < $25 27.6% 35.9% $25-$35 44.8% 43.6% $35-$50 24.1% 17.9% > $50 3.4% 2.6% Potential Pricing This data supports a pricing range of $20 to $30 for the Shoe Skins system.
Target Market • Target Market: 5-12 age group • US Census: Estimated 36M 5-12 YO in 2008 • Composes 68% of the total $ 6.2M children’s footwear market • 5-12 YO market: $4.2M in 2009
Macro Market Size Macro trends indicate a huge potential for Shoe Skins beyond Children’s Shoes Market size in Volume Sales: • Growing at CAGR of 5.1% during year 2001-06 & expected to grow at 6.4% during year 2006-11 • Children’s market represents 22% of overall US footwear market • Volume sales are growing at a higher rate than value sales • Both Children’s and Women’s footwear market is expected to grow at a faster rate compared to Men’s market
Macro Market Summary Overall Assessment: Favorable • Easy access to large customer base • Opportunity for effective/focused marketing • Favorable social trends to re-usable and fitness related products
Industry Attractiveness SUPPLIERS Low NEW ENTRANTS Moderate SUBSTITUTES All Shoes: ModerateCustomizable Shoes: Low BARRIERS TO ENTRY Moderate RIVALS Moderate BUYERS Large Chains: High Small Retailers: Moderate Online: Low ?
Industry Trends: Our Response Summary Assessment: Moderately Attractive • Not a sure bet • Niche products • Thoughtful about strategy • Design strategy (IP) • Channel strategy • Crocs and Heelys are recent examples of specialized footwear breakthroughs.
Conclusion • Tell them what you told them. • What did we learn about our original idea. Bring this up here. • What is potentially the critical flaw • What is potentially the critical strength. • Questions we still have…more questions than answers?
Who are the customers? Who is seeking the benefit? • Parents • Want durable shoes that are comfortable for the kids • Want their kids to be happy • Save money on multiple shoe purchases • Boys and Girls • Ages 7-12 yrs • Friends important • Very active (sports, dance, etc.) Who else would buy? • Companies • Access to a large target market to extend their brands. • Grandparents/Aunts/Uncle • Want their kids to have something to remember them by and like them. • Want their kids to have best, latest things.
Benefits over other solutions CROC Jibbets Custom Converse SNEAKART • Cool styles, make your own styles. • Use with any shoe. • Strong word-of-mouth. • Loyal customer base • Established brand. PROS • Break easy • Warm weather only, limited activities • Hard to Adhere • Fall off easy • Difficult online setup • Limited to colors. CONS • Many styles, accessories • Share and swap. • Online social network • Many activities • Any season, any weather. • Easy to attach, remove • Durable SS BEN
Other ideas we’re considering • Other ideas that came up during interviews. • Shoes that click, make noise • Skins that match your outfit for the day. • Theme shoes (elf shoes, princess slippers, etc.) • Shoes that bounce • chameleon shoes • Track your swapped style on the web. What are your shoes doing now? • Track fitness (How far you walked/ran today) • Others as well (see notes)
Current Challenges • Do we want to take on the full shoe manufacturing? Should we just stick with skins for any shoe? • Will it stay on with excessive activity?
Shoe Skins Shoe Skins is a unique system that makes footwear fun by allowing children to easily change the look of the their shoes any time they want. The Shoe Skin System Web site mock-up
The System • The Shoe Skins system comprises a base model casual shoe (or line of shoes) plus a removable “skin,” such as those available for laptops and cell phones. • The skin will affix to a special surface on the shoe. • Shoe Skins will be sold separately in many different colors and patterns and contain robust potential for licensing opportunities.