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Foxi.com
A website for people
looking for
recommendations
from users like them
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
Skin
Condition
Stress Level
Environment
(dry, humid,
sun)
Eye Color
Multisided Platform
Foxi.com
Consumer
Loss-Leader
Ecommerce
Site
Profit-Making
Product
Manufacturer
Profit-Making
Direct interaction
between consumers and
manufacturers of beauty
products
Customer Type 1 Customer Type 2 Customer Type 3
COMPETITORS
MAKEUPALLEY
SHESAIDBEAUT
Y
BIRCHBOX
MAKEUPSOCIAL
THREAT OF
ENTRANTS
LOW BARRIER TO
ENTRY
CRITICAL MASS
POWER OF
SUPPLIERS
CUSTOMER BASE
THREAT OF
SUBSTITUTES
PINTEREST
YOUTUBE
BEAUTY
ADVISORS
POWER OF
BUYERS
USE OF MULTIPLE
WEBSITES
MANUFACTURER
SITE
Personal
User to
User
Product
Tutorials
Product
Search
Product
Reviews
Product
Purchase
Competitive Matrix
FOXI.COM
SHESAIDBEAUTY.COM
MAKEUPALLEY.COM
BIRCHBOX.COM
MAKEUPSOCIAL.COM
The Value Proposition
Foxi.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”
Value Discipline & Business Model
Customer Acquisition
IT (Info. Collection / Customization)
Influencers
Proprietary Algorithm
3 Year Financial Plan
Customer Intimacy
Role of IT & Digitization
Foxi.com
Consumer
Data
Collection
Marketin
g Data
Extractio
n
Website Data Aggregation Database(s)
Data
Mining
Application
Programming
Interface
Dashboard
Integration
Customized
Reports
CRM
Integration
Query
Lookup
Technology Stack
Foxi.com Application
Language
Database
Web Server
Operating System
▪ IT Security
a) 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 model
b) Scalability
c) Multi-tenant architecture
▪ Infrastructure as a Service (IaaS)
a) Dynamic scaling to meet demand
b) Decreases the need for capital investments
c) Move capital expenditures to operating expenditure bucket
Considerations
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
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
15
Go To Market Plan
1. AWARENESS
Beauty Changes Lives
You Can Thrive Foundation
Event Sponsorship
Facebook Advertising
Instagram Advertising
2. PERSUASION
Beauty bloggers/vloggers
Engaging Content/Info
Social Media Buzz
4. EXPERIENCE
Social Media Shares
Mobile App
Product Education
3. TRIAL
Refer a friend program
Buy a product get a free sample
5. DRIVE REPEAT LOGINS
Eblast campaigns
New Product Launches
Notifications
New consumers like you have joined
Contests/Stickers
Foxi.com
Financials
Year 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
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
Foxi.com FINAL, 12052015.pptx

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Foxi.com FINAL, 12052015.pptx

  • 1. Foxi.com A website for people looking for recommendations from users like them
  • 2. 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
  • 5. Customer Type 1 Customer Type 2 Customer Type 3
  • 6. COMPETITORS MAKEUPALLEY SHESAIDBEAUT Y BIRCHBOX MAKEUPSOCIAL THREAT OF ENTRANTS LOW BARRIER TO ENTRY CRITICAL MASS POWER OF SUPPLIERS CUSTOMER BASE THREAT OF SUBSTITUTES PINTEREST YOUTUBE BEAUTY ADVISORS POWER OF BUYERS USE OF MULTIPLE WEBSITES MANUFACTURER SITE
  • 8. The Value Proposition Foxi.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”
  • 9. Value Discipline & Business Model Customer Acquisition IT (Info. Collection / Customization) Influencers Proprietary Algorithm 3 Year Financial Plan Customer Intimacy
  • 10. Role of IT & Digitization Foxi.com Consumer Data Collection Marketin g Data Extractio n Website Data Aggregation Database(s) Data Mining Application Programming Interface Dashboard Integration Customized Reports CRM Integration Query Lookup
  • 12. ▪ IT Security a) 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 model b) Scalability c) Multi-tenant architecture ▪ Infrastructure as a Service (IaaS) a) Dynamic scaling to meet demand b) Decreases the need for capital investments c) Move capital expenditures to operating expenditure bucket Considerations
  • 13. 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
  • 14. 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
  • 15. 15 Go To Market Plan 1. AWARENESS Beauty Changes Lives You Can Thrive Foundation Event Sponsorship Facebook Advertising Instagram Advertising 2. PERSUASION Beauty bloggers/vloggers Engaging Content/Info Social Media Buzz 4. EXPERIENCE Social Media Shares Mobile App Product Education 3. TRIAL Refer a friend program Buy a product get a free sample 5. DRIVE REPEAT LOGINS Eblast campaigns New Product Launches Notifications New consumers like you have joined Contests/Stickers Foxi.com
  • 16. Financials Year 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
  • 17. 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