To Top

Питание (32)Дистрибьюция (6)Производство (40)Услуги (226)Развитие бизнеса (273)Прочее (292)

Business plan online make-up store (with financial model)

Стоимость: 30 000 руб
  • 116
  • Английский
  • 12.02.2015
  • В электронном виде
  • Скачать (pdf)

  • Описание
  • Содержание
  • Приложения

Adaptation of this business plan is possible for similar project around the world.

This business plan includes computer-assisted financial model in Excel. To make re-calculations for a new project, it’s enough to change basic indicators of the project. Financial model is built up in such a way that appearance of the new performance indicators of the project can be observed at once, after making changes in existing script. Financial model is simple and comfortable, which allow any person to successfully make calculations for his own project.

Business Plan Description

Idea of the project

Creating of the «Majestic» make-up online store of luxury, business and economy classes. Online store will combine a high quality of production, plenty payment methods, system of delivery in convenient time for client, possibility of pickup of goods. On the «Majestic» website, a user would find the production of long-time favourite producers for Russian consumers as well as those brands, which have proven themselves abroad, but have not been represented on Moscow market yet.

Specificity of the project

Registration of online store requires the purchase of a domain.

Possible addresses of the project website: be-majestic.ru, majestic-shop.ru majestic.su, majestic.com.ru, majestic.net.ru majestic.org.ru, majestic.ru.net.

Connecting the «Robocassa» service will allow accepting the payments made by 40 methods.

Project geography:

Moscow and Moscow Region.

Audience of the project:

The Russians living on the territory of Moscow and Moscow Region, predominantly women aged 20-55 years (the core target audience).

Competitive environment

Russian consumers are inclined to buy cosmetics of proven brands. The leaders on cosmetics and perfumery sales in the Russian Internet environment are the main players of cosmetics market in the country:

  • the «L'Etoile» online store: letu.ru;
  • the «Il De Bote» online store: iledebeaute.ru/shop;
  • the «Boutique» online store: boutique.ru;
  • the «Yves-Rocher» online store: yves-rocher.ru;
  • «The First Moscow Store of Custom Products»: http://1mmtt.ru/.

One of the advantages of the foreign online stores, which deliver the production to Moscow and Moscow Region, is that they allow purchasing cosmetics of that brand, which have not been represented in the capital yet. Among them:     

Financial indicators of the project

Indicator

Unit

Value

Necessary investment

RUB

***

NPV

RUB

***

IRR

%

***

Payback period

years

2.03

Discounted payback period

years

2.29

 

Excerpts from Research

A modern consumer becomes more demanding and discerning, besides he doesn’t always have enough time to visit a number of shops searching for the goods, which met all his wishes.  This is one of the reasons, why it is possible to buy practically all goods in the Internet today.   

According to the experts, the World Wide Web is the most modern and perspective form for sales of cosmetics and perfumery. Exactly online stores are the first to respond to emergence of new seasonal items and update of popular line of products by consumers’ favourite brands. Cosmetics and perfumery market is one of the most mobile and regularly update, that’s why it constantly offers the new aromas, decorative make-up, care products and other.

It is important to say that development exactly of e-commerce has become the reason of reduced sales volumes of those companies, which work on the principle of direct sales (Oriflame, Avon, Mary Kay are among the Russians leaders) that indicates a partial exemption of their market niches, which can be taken by new projects on sales of cosmetics production in the Internet environment. 

***

According to the prior estimates, the growth rate of market of cosmetics and personal care products in 2014 has amounted to 7%, reaching the level of               495 bln RUB. Analysts say, the market has not reached its potential volume yet and will close to it likely in 2016-2017, accounting for 4-5% of world sales of cosmetics sales.

Perfumery accounts for **% of sales volume on the market, skin care    products – **%, hair care products – **%, decorative cosmetics – **%, other categories – **%

***

According to the investigations, 93% of consumers consider that purchase of cosmetics and perfumery in traditional outlets is convenient; at the same time, 46% of their total number affirm that online buying is equal to offline buying by the criterion of convenience. Besides, 12% of respondents prefer to buy cosmetics only in online shops. An interesting fact is that the share of men in the total audience can reach 34% in various online stores. Potential audience of this project will amount to 1.88 mln people.

***

The monetization principle of cosmetics stores is rather simple – it is based on markup, which cosmetics distributors add to purchase price of commodity unit.  The size of markup depends on status of supplier – producer, official representative of the producer in a region or wholesale supplier. According to the managers of cosmetics stores, the markup often can amount to 150% of purchase price of goods. The difference between selling and purchase price allow defraying the costs of advertising, rent of retail space for goods demonstration and personnel.

Need of online stores for retail space is much less – they require only small room as a warehouse of products for sale and also a workspace for manager-operator and   warehouse manager. This explains the reduced retail prices in online stores in comparison with prices in traditional outlets, which allow them to win in the competition by price methods.

***

According to the research of public opinion conducted in 2014, most often consumers call the following suggestions regarding the work of cosmetics stores:

  • possibility to check online the product availability before the shopping (if a store is also offline represented) – 39%;
  • possibility to order the product, if it is not available at the moment – 19%;
  • possibility to pay for purchase in any time by various methods – 15%.

This project is fully consistent with a last requirement in represented list, because it is planned to cooperate with the «Robocassa» service, which allows accepting the payments made in any of more than 40 ways by a final buyer.

***

The created project will differ from the already existing with the following.

In products catalogue the visitor can find the unique production for Moscow market, which is still hard to be found and often cannot be found in specialty stores. First of all, it comes to cosmetics produced abroad; for example, Israeli and Japanese cosmetics become more popular in the world (contact information of official representatives and wholesale suppliers can are provided in appropriate chapter of the business plan).

Besides, the online store is focused on formatting the image of original products distribution. It means that it will not sell the copies of famous brands’ production, and even those of them, who are produced under license and largely repeat all qualities of the original.  Every buyer could ensure the genuine quality of products at the moment of delivering – he may unpack and test the goods independently before the payment for purchase.

  ***

Several dozen of middle level stores have about 30-40 orders a day. It is planned to lead this business to such indicators already during the *** year of implementation.

List of Tables, Diagrams and Figures

4

Executive Summary

6

  1. Project Description

8

1.1. Topicality of Chosen Segment

8

1.2. Specificity of the Project

8

1.3. Audience of the Project

11

1.4.  Assortment of the Project

12

1.5. Competitive Advantages

12

  1. Market Analysis

14

2.1. Classification of Cosmetics Production

14

2.2. General Tendencies of Market of Cosmetics and Personal Care Products in Russian Federation (RF)

15

2.3. Price Segments of Cosmetics Market

21

2.4. Export and Import of Cosmetics Production

23

2.5. E-Commerce Market of Russia

25

2.6. Development of Cosmetics E-Commerce

28

2.7. Potential Audience of the Project

30

2.8. Selection of Information Source when Deciding whether to Purchase

31

  1. Competitors and Partners of the Project

33

3.1. The Russian Largest Online Retailers in Cosmetics and Perfumery Sector

33

3.2. Foreign Cosmetics Online Stores with Delivery in Moscow

39

3.3. Wholesale Suppliers of Cosmetics and Perfumery

42

3.4. Payment Systems

45

3.5. Strategic Canvas of the «Majestic» Project

48

  1. Marketing Plan

51

4.1. Usability of Website

51

4.2. Search Engine Optimization, SEO

51

4.3. Contextual Advertising

54

4.4. Social Media Marketing, SMM

55

  1. Organizational Plan

57

5.1. General Principles of Online Store Operation

57

5.2. Organizations of Goods Delivery to Consumers

59

5.3. Project Personnel

61

5.4. Schedule of Project Implementation

61

  1. Financial Plan

63

6.1. Assumption of the Project

63

6.2. Seasonality of the Project

63

6.3. Sales Volume

64

6.4. Revenue

66

6.5. Personnel of the Project

68

6.6. Costs

71

6.7. Taxes

74

6.8. Investment of the Project

77

6.9. Capital Investment of the Project

77

6.10. Profit and Loss Statement

78

6.11. Calculation of Discount Rate by WACC Method

81

6.12. Cash Flow Statement

92

6.13. Cash Flows

95

6.14. Main Indicators of Project Financial Efficiency

95

  1. Sensitivity Analysis

98

Appendix 1. Sales Volumes of Different Goods Categories in the Internet Environment

106

Appendix 2. Amount of Large, Middle, Small and Micro Stores in the Internet Environment

107

Appendix 3. Annual Dynamics of Online StoresTurnover by Goods Categories

108

Appendix 4. List of Key Requests on the Project Topics (Statistic in Moscow and Moscow Region)

109

INFORMATION ABOUT THE «VTSConsulting» COMPANY

116

Tables

Table 1. ТOP 15 Hosting Providers in Russia

9

Table 2. Advantages of Online Store over Traditional Outlets

11

Table 3. Goods Categories in the «Majestic» Online Store

12

Table 4. Balance of Cosmetics Export and Import, RF, 2009-2013

23

Table 5. Forecast of Cosmetics Export and Import, RF, 2015-2018

23

Table 6. Cosmetics Export, РФ, 2009-2013

24

Table 7. Forecast of Cosmetics Export, RF, 2015-2018

24

Table 8. Export by Kinds of Cosmetics Production, RF, 2009-2013, bln USD

24

Table 9. Potential Number of the Project Audience

30

Table 10. Leaders of Cosmetics and Perfumery Sales in the Russian Internet Environment

34

Table 11. Foreign Cosmetics Online Stores Delivering Production to Russia

39

Table 12. The «Robocassa» Payment Accept Service

46

Table 13. The «Destroy-Decrease-Increase-Create» Grid for the «Majestic» Online Store

49

Table 14. Functional of the «Class 365» Program

58

Table 15. Cost Price of Courier Delivery

59

Table 16. Courier Delivery Services for Online Stores

59

Table 17. Project Personnel

61

Table 18. Schedule of Project Implementation

61

Table 19. Calculation of Long-Term Profits over CAPM for Portfolios of Decimal Groups NYSE/AMEX/NASDAQ

86

Table 20. Algorithm of  Risk Determination for Estimated Company

87

Table 21. Algorithm of Specific Risk Premium Calculation

88

Table 22. Calculation of Discount Rate by WACC Method

90

Table 23. Main Financial Indicators of the Project

97

Diagrams

Diagram 1. Cosmetics Market Structure by Production Categories

18

Diagram 2. Usage of Cosmetics Products Excluding Shampoos, Shower Gels and Soap. Women, 23-55 years old

20

Diagram 3. Usage of Cosmetics Products Excluding Shampoos, Shower Gels and Soap. Men, 23-55 years old

20

Diagram 4. Price Segmentation of Russian Cosmetics Market

22

Diagram 5. Share of E-Commerce in Retail Turnover of Russian Federation, %

26

Diagram 6. Amount of Online Stores Working in B2C Segment of E-Commerce in Russia, thsd units

27

Diagram 7. Comparison of Frequency of Online Purchases in Russia, 2012-2013

27

Diagram 8. Experience of the Internet Buyers

28

Diagram 9. Used Information Source under Decision-Making about the Purchase

31

Diagram 10. Sales Volume by Goods Categories Bought in Online Stores

106

Diagram 11. Ratio of Online Stores by Categories

107

Diagram 12. Comparison of Goods Categories Turnover of Online Stores, 2012-2013

108

Charts

Chart 1. Dynamics of the Russian Cosmetics and Perfumery Market, 2005-2014

16

Chart 2. Amount of Chain Retail Stores, 2008-2013, units

17

Chart 3. Import of Cosmetics and Perfumery Production from the Far Abroad Countries in 2014, mln USD

25

Chart 4. Import of Cosmetics and Perfumery Production from the Far Abroad Countries in 2014, mln RUB

25

Chart 5. Strategic Canvas of the «Majestic» Project

50

Figure

Figure 1. Interface of the Order Processing Program

58