Foxi.com FINAL, 12052015.pptx
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Transcript of Foxi.com FINAL, 12052015.pptx
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Foxi.com
A website for people looking for recommendations from users like them
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Why Foxi.com?Beauty Product Identification:
Word of Mouth – Accessible but not Personalized Trial & Error – Expensive and Time Consuming Professional Advice – Single Brand focused
The Need:
The Opportunity:About 17.3 billion US dollars were generated by online shops and mail-order household sales in 2013.
Cosmetic sales are estimated to continue to grow in both the United States and other global markets, as many consumers feel that beauty products help in achieving social and economic goals.”
-Statista.com
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Skin Condition
Stress Level
Environment (dry, humid,
sun)
Eye Color
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Multisided Platform
Foxi.com
ConsumerLoss-Leader
Ecommerce Site
Profit-Making
Product Manufacturer
Profit-Making
Direct interaction between consumers and manufacturers of beauty products
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Customer Type 1 Customer Type 2 Customer Type 3
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COMPETITORSMAKEUPALLEYSHESAIDBEAUT
YBIRCHBOX
MAKEUPSOCIAL
THREAT OF ENTRANTS
LOW BARRIER TO ENTRY
CRITICAL MASS
POWER OF SUPPLIERS
CUSTOMER BASE
THREAT OF SUBSTITUTES
PINTERESTYOUTUBE
BEAUTY ADVISORS
POWER OF BUYERS
USE OF MULTIPLE WEBSITES
MANUFACTURER SITE
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Personal User to User
Product Tutorials
Product Search
Product Reviews
Product Purchase
Competitive Matrix
FOXI.COM
SHESAIDBEAUTY.COM
MAKEUPALLEY.COM
BIRCHBOX.COM
MAKEUPSOCIAL.COM
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The Value PropositionFoxi.com solves the cosmetic customers’ broader problem by:
▪ Providing optimized and personalized product selections
▪ Saving customers time and money
▪Connecting them with others who share their distinct features and beauty related experiences
“Personalized beauty by people like you”
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Value Discipline & Business Model
Customer AcquisitionIT (Info. Collection / Customization)
InfluencersProprietary Algorithm
3 Year Financial Plan
Customer Intimacy
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Role of IT & Digitization
Foxi.comConsumer
Data Collection
Marketing Data
Extraction
Website Data Aggregation Database(s)Data
Mining
ApplicationProgramming
Interface
Dashboard Integration
Customized Reports
CRM Integration
Query Lookup
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Technology Stack
Foxi.com Application
Language
Database
Web Server
Operating System
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▪IT Securitya)Payment Card Industry Compliance (PCI)b)Personally identifiable information Compliance (PII)c)Sensitive Personal Information Compliance (SPI)
▪Platform as a Service (PaaS)a) Pay-as-you-go rental modelb) Scalabilityc) Multi-tenant architecture
▪ Infrastructure as a Service (IaaS)a) Dynamic scaling to meet demandb) Decreases the need for capital investmentsc) Move capital expenditures to operating expenditure bucket
Considerations
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Unique Visitors - 68% based on industry average
New vs. Repeat Visitors - average rate for beauty brand websites of repeat visitors is about 28%
Traffic Source - Referrals needs to deliver 20%-30% of overall traffic
5 Key Performance Indicators
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Bounce Rate- The target will need to be 28% or less
User Interaction▪Likes or dislikes for a specific
product▪Comments or trends for a
specific product▪Photos uploads▪Clicks to the product’s website
and favorite tags
5 Key Performance Indicators
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15
Go To Market Plan1. AWARENESSBeauty Changes Lives
You Can Thrive FoundationEvent Sponsorship
Facebook AdvertisingInstagram Advertising
2. PERSUASIONBeauty bloggers/vloggers
Engaging Content/InfoSocial Media Buzz
4. EXPERIENCESocial Media Shares
Mobile AppProduct Education
3. TRIALRefer a friend program
Buy a product get a free sample
5. DRIVE REPEAT LOGINSEblast campaigns
New Product LaunchesNotifications
New consumers like you have joinedContests/Stickers
Foxi.com
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FinancialsYear 1 Year 2 Year 3
Revenue Ad Revenue $ 585,000 $ 1,447,500 $ 2,460,000 Affiliate Fee $ 23,000 $ 67,500 $ 112,000
B2B Subscription $ 171,500 $ 805,000 $ 1,183,000 Sample Program $ 76,400
TOTAL REVENUE $ 779,500 $ 2,320,000 $ 3,831,400 Cost
Company Startup $ 5,950 $ 3,000 $ 3,000 Website Build $ 53,500 $ 28,500 $ 28,500
Cost Per Acquisition $ 750,000 $ 1,375,000 $ 2,000,000 SG&A $ 369,000 $ 369,000 $ 523,140
TOTAL COST $ 1,178,450 $ 1,775,500 $ 2,554,640
NET REVENUE $ (398,950) $ 544,500 $ 1,276,760
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Acquisition by:▪ Large ecommerce beauty site
Amazon, Sephora, Nordstrom’s▪ Beauty Manufacturer
L’Oreal, Johnson & Johnson, P&G▪ Market Research Company
Kline, Mintel, Nielsen
Exit Strategy
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