Market Plan

1. Market Plan By: Jessica Bender and Eva Cybulski

2. “Our mission is to provide quality, light-weight shoes, and with our non-profit subsidiary, engage in the ‘One for One’ movement, encouraging people to make everyday choices to improve the lives of children around the world.”

3. Toms’ Origin In 2006, American traveler Blake Mycoskie befriended children in Argentina and found they had no shoes to protect their feet. He had a remarkable drive to help them, and thus, in that same year, opened Toms Shoes, a company devoted to matching every pair of shoes purchased by customers with a pair of new shoes given to a child in need. In 2007, Mycoskie returned to Argentina with 10,000 pairs of shoes for 10,000 children.

4. Toms Today • As of September 2010, Toms has donated over a million pairs of shoes to children in need. • Manufacturers are located in three countries: Argentina, China and Ethiopia. • A mere 4-6 months after a pair of Toms shoes is sold, a new pair is on a child’s feet.

5. Where We Give

6. The Facts: One for One Movement • It is said that if the world was a village of 100, 40 of them wouldn't have shoes! • In some countries, children have to walk miles barefoot just to get clean water or food, or go to school. • In Ethiopia, roughly one million people are suffering from Podoconiosis, a disfiguring disease caused by walking barefoot in volcanic soil. • Podoconiosis is 100% preventable by wearing shoe... Toms can be the cure!

7. The One for One Movement’s Purpose • For every pair of Toms shoes purchased, one pair is donated to a person in need. • Helping those dealing with poverty.

8. Opening a Toms Store! Toms, a fairly new enterprise, has not had much experience internationally. For this reason, we propose that Toms invest in an international franchise. Location: Santiago, Chile

9. Why Santiago? • Santiago is the capital of Chile. • Also the most populated, with 5,278,044 residents. • Today, western fashion is prominent in Chilean communities – so it makes sense to open a Toms store in one of the most culturally-diverse cities. • Opening a store in Chile would mean direct transportation of shoes from the Toms factory in Argentina.

10. Toms Style in Chile • Tomsincorporates Argentinean alpargata designs into lightweight shoes. • These shoes can be simple and straightforward… • Or in sync with the creative designs of Chilean clothing. • Chileans do not compromise fashion for comfort. • The Toms shoe design would be a sensible addition to the clothing trends in Santiago.

11. Chile’s Location Chile is situated in South America, stretching across much of the western coastline, bordering the South Pacific Ocean. The summers are dry and warm, and winters are cool and wet. The summer weather is ideal for Toms shoes, which are both lightweight and stylish.

12. Chile’s Economy • In terms of economical freedom worldwide, Chile is ranked number 11. • With a market command system, the country has a GDP of 203.925 billion dollars annually. • Capitalism • Very little government involvement with privately owned companies. • Company owners decide on what is made, how much of it is made, and how much products/services are sold for.

13. More Importantly… Although the government inevitably has some control over Chile’s economy, the important part is that the way it runs is fairly similar to the way America’s economy runs. Our two countries are very close trading partners and share a free trade agreement.

14. Demographics • 94% of Chile is white/Amerindian. • 95.7% of the population (those 15 years or older) are literate. • Labor force of 7.74 million people.

15. Target Market Both females and males Geared towards 15-19 year olds and 20-24 year olds Most fashion conscious age groups

16. Analysis of Competition • Sketchers’ Bobs • Soles 4 souls • Copycat designs • Inferior quality to that of Toms • All Star Converse Slip-Ons • Few different styles • Variety of colors and designs • No charity organization

17. Competitive Advantage • Unlike competing shoe companies centered in Santiago, Toms is • bender

18. Marketing Toms • Popular methods • Billboards • Fliers • Posters • Beyond the norm • Movie theatre advertisement • Bus stop shelters • Mall directories

19. Tracking Customer Response • A link for a survey will be located on the receipt of the customer’s purchase • Frjgkvhserjvhgkjdrfhc • bender

20. Social Responsibilities • Adhere to • Hire Chilean people from surrounding Santiago area to work in the store. I’ll do

21. Organization of the Franchise • Manager-contracted partnership • Possessed by three people promoted from Toms’ financial, administration and legal department (next slide). • Wide variety of talents to support the franchise. • Several owners means the franchise is likely to run more smoothly and obtain more capital.

22. Partnership

23. Start-Up Core Essentials • To start up the franchise store, Toms will need to provide the following: • Capital and funding, • An agreement to licensure and registration in Chile, • And a signed contract with a Chilean construction company. • In addition… • The owners of the franchise (Eva Cybulski and Jessica Bender) are required to sign a management contract with the chosen partners. • The partners are then required to sign a buyout and partnership agreement. • With time… • The partners should develop approved policies for the store as well as an exact plan on products to be sold.

24. Suggested Products • I’ll do

25. Opportunities vs. Risks Pros • Close to a manufacturing plant • Free-Trade agreement between Chile and America • Good design for weather and culture • bender • Cons • Far from Toms’ headquarters in the US • People may reject design and brand

26. Thank-you!Any Questions?

27. Works Cited • http://www.toms.com/our-movement • http://webcache.googleusercontent.com/search?q=cache:P2Fp_Uz_N4YJ:cooltomsshoes.blogspot.com/2009/09/toms-shoes-facts.html+toms+facts&cd=1&hl=en&ct=clnk&gl=us • http://www.tradingeconomics.com/chile/gdp