"PrimaVita" (First Life in Latin) Northwestern university ms green team presentation june 4 2010
-
Upload
krisztian-boros -
Category
Technology
-
view
104 -
download
1
description
Transcript of "PrimaVita" (First Life in Latin) Northwestern university ms green team presentation june 4 2010
PrimaVita™
“First Life”Patent Pending
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
The Green Team: Background
Krisztian Boros : Marketing/Finance
Leonard Hensel: Mechanical Engineering
Abhi Pamulaparthy: Mechanical Engineering
Phillip Rivers: Electrical Engineering
Boris Tse: Hydraulic & Fluid Engineering
Sean Cosgrove: Structural Engineering
Property of the “Green Team, Northwestern University” – goingforward known as “Green Team”
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
We are a product development companythat has designed a new baby formulapreparing device called PrimaVita™. Weare seeking an angel investor to providecapital to complete the development of theproduct and to provide access to strategicbusiness relationships that will lead to thesuccessful launch of PrimaVita™.
PrimaVita™
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
Working parents
Demanding schedules
Less free time
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
Looking for efficiency
Desires convenience
Will pay for the right solution
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
Proven
Focus on safety
Cheaper to manufacture
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
$25.99
$329.99
$159.99
$99.99
$59.99
$369.99
$179.99
$199.99
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
Sty
le
Te c h n o l o g y
“Does not fit tall or wide bottles”
“NOT user friendly”
“Sometimes milk will be scalding HOT”
“It took forever to heat”
“I Love it, my new born loves the fact that he does not have to
wait for us to go to the kitchen and prepare his formula”
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
Water Pumps to Heating Bin
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
Formula and Water Dispensed to Bottle
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
Formula Mixed in Custom Bottle
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVEDVideo
PrimaVita™
“First Life”
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
4.2 Million New Born Babies/Year
4.2 Million New Born Babies/Year
2.1 Million Born To First Time Parents2.1 Million Born To First Time Parents
0.7 Million >$75K Household
0.7 Million >$75K Household
0.47 Million Bottle Fed
Babies
0.47 Million Bottle Fed
Babies
140,000 Potential
Customers/Year
140,000 Potential
Customers/Year
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
Channel Strategy:
Selective Distribution/Exclusivity
Channel Distribution:
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
Our pricing strategy aims to achieve positive margins for the Retailer
Volume Price
$99.99
COGS $35.00
41% Manufacturer
Margin$25.00
40% Retailer Margin $39.99
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
At $99.99 Volume Price, we estimate year 1sales would be 22,000 units
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
Product :
– “PrimaVitaPrimaVitaPrimaVitaPrimaVita™” is a set it & forget it device for preparing
baby formula.Pricing:
– $99.99 volume price ($119.99 MSRP)
Placement : – First Year Exclusive distribution through specialty store
Promotion :– Consumer education through website & infomercials– Product demonstration in stores– Promotion through new media
Packaging:– Corrugate box structure with foam bumpers– High gloss modern graphics– Resonate focal points to re-cap benefits to the shopper
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
• Securing Investment of $1,350,000
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
To first time parents “PrimaVitaPrimaVitaPrimaVitaPrimaVita™” provides a set it &
forget it solution for preparing infant formula, that goesabove and beyond any other baby product in the marketin providing comfort, ease and peace of mind.
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
“PrimaVitaPrimaVitaPrimaVitaPrimaVita™” has the right technology to provide
consistent and dependable formula mixture at areasonable price.
“Feeding convenience at the push of a button”
PrimaVita™
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
PrimaVita™
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
Automatically detects the
size of the botlle you put in.
Travel Size
A smaller size to make
traveling easier
Water Filtering Automatic Bottle Size Selection
A feature that could benefit
the user at home and away.
We’re ListeningTravelingFiltering
On the Road
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
0 1 2 3 4 5 Total
Development Prod Yr 1 Prod Yr 2 Prod Yr 3 Prod Yr 4 Prod Yr 5
Annual Volume (Units) 22,161 24,488 27,395 30,811 33,943 138,798
Revenue 0 $ 1,329,678 $ 1,469,294 $ 1,643,681 $ 1,848,666 $ 2,036,571 $ 8,327,890
Gross Contribution 0 $ 554,033 $ 612,206 $ 684,867 $ 770,277 $ 848,571 $ 3,469,954
41.7% 41.7% 41.7% 41.7% 41.7% 41.7%
Fixed Costs
Advertising $ - $ 200,000.00 $ 102,851 $ 115,058 $ 129,407 $ 142,560 $ 689,875
Accounting, Legal $ 10,000.00 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 60,000
Market Research $ 120,000.00 $ - $ - $ - $ - $ - $ 120,000
Product Testing $ 25,000.00 $ - $ - $ - $ - $ - $ 25,000
Insurance $ 5,000.00 $ 5,000 $ 5,000 $ 5,000 $ 5,000 $ 5,000 $ 30,000
Manufacturing/Prototype $ 60,000.00 $ 100,000 $ - $ - $ - $ - $ 160,000
Payroll $ 124,800.00 $ 124,800 $ 124,800 $ 124,800 $ 124,800 $ 124,800 $ 748,800
Rent $ 15,000.00 $ 15,000 $ 15,000 $ 15,000 $ 15,000 $ 15,000 $ 90,000
Supplies $ 7,000.00 $ 7,000 $ 7,000 $ 7,000 $ 7,000 $ 7,000 $ 42,000
Taxes (real estate, etc.) $ - $ - $ - $ - $ - $ - $ -
Utilities $ 4,000.00 $ 4,000 $ 4,000 $ 4,000 $ 4,000 $ 4,000 $ 24,000
Other (specify) $ 50,000.00 $ - $ - $ - $ - $ - $ 50,000
Slotting
Slotting-Fix Quick 0 $ 50,000 $ 30,000 $ 20,000 $ 20,000 $ 20,000 $ 140,000
Ad Spend 0 35,000 35,000 35,000 35,000 35,000 175,000
Incremental Slotting Expense 0 $ 85,000 $ 65,000 $ 55,000 $ 55,000 $ 55,000 $ 315,000
Total Fixed Costs $ 420,800 $ 550,800 $ 333,651 $ 335,858 $ 350,207 $ 363,360 $ 2,354,675
Contribution to SG&A $ (420,800) $ 3,233 $ 278,555 $ 349,010 $ 420,071 $ 485,211 $ 1,115,279
Net Income $ (420,800) $ (417,568) $ (139,012) $ 209,997 $ 630,068 $ 1,115,279 $ 1,115,279
-31.4% -9.5% 12.8% 34.1% 54.8% 13.4%
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
• Combining two processes
• Existing/proven technologies
• Style
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
• Product packaging
– Discuss form-factor, pricing, look, strategy
– Discuss fulfillment issues for items not shipped directly with product
• COGs
– Summarize Cost of Goods and high-level Bill of Materials BOM –
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED
• Launch plan
– What is our over arching launch plan?
• Promotion budget
– MARCOM campaign is…….
Jan Feb Mar Apr May Jun July Sep Oct Nov Dec
Phase 1
Phase 2
Phase 3
PrimaVita™
© Green Team 2010 ALL RIGHTS RESERVED© Green Team 2010 ALL RIGHTS RESERVED