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Blueland: Clean home, clean face, clean planet Yanna Inhaber, Imran Basha, Sylvia Wang, Nishtha Baranwal
Presented to: Sarah Paiji Yoo, CEO and John Mascari, COO
August 2022
Boston, MA<br>
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Analysis Imran will explain why our recommendation works<br>
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What is your competitive positioning? Leverage your unique offerings that are innovative and sustainable with direct consumer connections! Environment Focused Patented powder
Small, light, low cost Direct consumer connections Product Formula 3Rs: Reduce, Reuse & Recycle Affordability Affordable and low cost offerings Safe & Sustainable products Certifications Consumer Feedback The usual perception is that sustainable products are expensive and you proved that they can be affordable and this offering can’t be replicated.<br>
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Where did you start and where do you want to head? Where did you start? Where you are? Where do you want to head?<br>
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Why do you need a new brand for different offerings? A separate brand will help remove generalization and target different consumers differently. Objective for a new brand
To diversify offerings and promote affordable and targeted beauty products for a safe/ effective experience Why it is relevant?
Target different consumers and products
Different preferences
Keep your focus
Associate with the values of sustainability Cleaning Products Beauty Brand “Forever Yoo”<br>
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What should be your customer profiling? Keep your focus on a targeted market segment as a way to sell the products.<br>
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Physical Retail benefits and drawbacks Stay online and go to physical retail in the long run. Benefits of going into retail:
People are used to buying during regular shopping trips
Maximizes the environmental impact Blueland aspires to achieve because it makes the brand accessible to as many consumers as possible
Drawbacks:
Expensive
No expertise
Shoppers online trend in increasing<br>
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DTC Benefits and drawbacks<br>
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Why do you need influencers and what would be their profile? Influencers will be a key promotions channels to sell your products. Mega Influencers Middle Influencers Milli Influencers Benefits of influencer Followers Why? More outreach
Represent you brand idea 1,000,000 (Avg Followers) Mass Outreach
Promote diversified offerings
Better connections with consumers
Expand your business Channels 500,000 (Avg Followers) 10,000 (Avg Followers) More volume of outreach and they are affordable Cleaning Products
30-40 years women with kids, use brand to share her experiences with kitchen and house cleaning Beauty Products
<20 Gen Z years women fashionable, sassy, good skin, promote sustainability Profile Affordable for mass outreach, volume of outreach and influence YouTube Instagram Website Snapchat Tiktok<br>
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Financials Sylvia will crunch the numbers<br>
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Projected Influencers-leveraged sales (in 2023) Assumptions:
4 videos/ influencers/year
$100,000/video of mega influencers
$50,000/video of middle influencers
$10,000/video of milli influencers
10% of followers conversion of Forever brand
5% of followers conversion of Forever-Yoo brand
$18 average price/order for Forever
$16 average price/order for Forever-Yoo By this influencer matrix, you can spend $5.6M marketing expense to leverage $12M revenue for Forever and $5.6M for Forever-Yoo in 2023. Forever Forever-Yoo<br>
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Projected Unit Sales Assumptions:
20% growth rate in the first three years
5% growth rate in the next two years Influencer marketing will be your new resource of revenue growth. Forever Forever-Yoo # ↑
Status Quo<br>
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Projected Revenue Assumptions:
20% growth rate in the first three years
5% growth rate in the next two years
$18 average price/order for Forever
$16 average price/order for Forever-Yoo Influencer marketing will be your new resource of revenue growth. Revenue will go up to $120M/ year Forever Forever-Yoo $ ↑
Status Quo<br>
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Projected Expense and EBITDA Assumptions:
COGS = 25% of the price
COGS of sample = 5% of revenue In 5 years, you can gain $328M EBITDA, 57% of the revenue.<br>
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Projected Free Cash Flow Assumptions:
NWC in 2023 $4.725M for inventory
Growth Rate =5%
Discount Rate = 20% The positive NPV shows our strategy is feasible and the company value will increase to $360M after 5 years. NPV= $360M<br>
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Projected Investment spending breakdown With our strategy, the initial investment is only $17M in the first year.<br>
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Implementation Nishtha will explain how to get it done<br>
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What do you aim to achieve? How to keep on growing and innovating cleaning products line and disrupt personal and beauty care line?<br>
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What do you focus on ? NOT for 5 years<br>
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Organization Hierarchy (For Forever & Forever Yoo) Hire in a year the team to take care of the marketing and operations in future. Website Manager
(3- member team) Marketing Manager (10-member team) Sales Manager
(3- member team) Customer Service Manager (10-member team) For Blueland
(CMO) Responsibilities:
List and Unlist products on both the websites
Connect with warehouse & logistics team Responsibilities:
Develop website for Forever Yoo
Contact Influencers, bid price, Poster & Video Design and Examine content Responsibilities:
Focus on getting consumer feedback given it is the competitive advantage Responsibilities:
Alliance with Marketing Manager & Customer service Manager to see the conversion rates
Tracking and contacting third-party platforms<br>
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Implementation &Timeline Phase 1 is critical Phase 1 Phase 2 Phase 3 Hire
1.Sales & marketing team(Science message)
2. Consumer Service team
3. Social Media Influencers Develop a website
Work with Influencers
Work on beauty brand Expansion of products
Based on consumer feedback
Post 5 years focus on global expansion and retail sales<br>
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Short term (0-1 year) Hire CMO Hire Team Revenue Increase Increase visibility and revenue KPIs Responsibilities Yoo & Mascari CMO Hire CMO
Over 6-month period hire CMO who is equally passionate about sustainability
Understands the importance of connecting with consumers
Understands the science backed products’ effectiveness for his conviction
Contact with influencers
2. Hire a team for Blueland’s Forever and Forever Yoo line:
As explained earlier for establishing organization hierarchy
Training them as per company’s values and targeting wider outreach Tasks<br>
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Medium term (1-3 year) CMO will supervise launching the brand :
Marketing Manager’s tasks:
Hire Mega, middle and Milli influencers (through CMO’s existing relationships)
Continue to monitor social media influencers
Examine the content and pay through products and money
Website Manager’s tasks:
Leverage the existing resources to create new website for Forever Yoo
Customer Service Manager’s tasks:
Keeping up with the consumer feedback and keep offering the details
Sales Manager’s tasks:
Alliance with the marketing team and website manager’s team to see the conversion rate of sales on the websites Social media platform supervision Build a website Responding to consumer feedback Number of products sold Number of clicks and conversion rates Keeping up with the revenue CMO Mascari, COO Customer Service Manager KPIs Responsibilities Tasks<br>
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Long term Goal (3-5 year) Continue focusing on consumer feedback
Keep up with the working closely with the consumer feedback and leverage on the sustained competitive advantage
2. Product expansion
Expand more products in personal and beauty line as per the sales and the consumer feedback Following up with consumer feedback Product expansion Higher response from consumers and higher revenue Higher revenue CMO Yoo, Mascari based on CMO information KPIs Responsibilities Tasks<br>
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Risks and Mitigation Risks Forever Yoo doesn’t work Competition in the cleaning space Post 5 years think about retail line Product formula Hiring special marketing team will help overcome the risk Growing too quickly 1 2 3 1 Mitigation 2 3 Impact Likelihood<br>
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Conclusion Yanna will take us home<br>
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Company Mission & Vision Mission: Eliminate single-use plastic packaging, starting with personal care and cleaning products<br>
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Executive Summary Problem: assist in presenting plan to investors<br>
