Thursday, 12 July 2012

Business plan: Aniya.com

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1. Internal Analysis

This section looks at Aniya.com from the internal point of view.

1.1. Background

Aniya.com began as an idea as early as 17. Upon searching the web for online retail stores we did not come across any one store which would offer the entire line of apparel for women. In other words, although we found many online stores which offer fashionable women¡¦s apparel, not one was aimed only at women. This struck us as rather odd, since in today¡¦s world more and more women have full time careers, and this, in conjunction with a busy home life, often does not leave them enough time to go to the mall as often as they need or want to. Thus, Aniya.com was born.


We set out to create a virtual retail store on the Internet, which would only be aimed at women. In addition to offering quality (designer) business and formal wear, we would also sell casual and even maternity clothing. By focusing only on women (aged 5-50) as our target market we would be able to provide them with a service which they cannot find elsewhere on the internet.

At the end of the 0¡¦s e-commerce boomed. We saw this as a great opportunity and incentive to start Aniya.com. In January, 1 we started researching the market, and taking other steps in making our idea a reality. Aniya.com is set to open it¡¦s ¡§online doors¡¨ on September 1, 000.

1.. Current Status

1..1. Inventory

We already have all of the stock, that is, the fall and winter collections. We will feature collections by Armani, Gucci, Prada, Ralph Lauren and Dolce&Gabbana. These items were purchased from a wholesaler in Madrid, Spain. We will also feature fall collections from five as yet unknown young designers. They work for us under the collective brand name of Aniya.

Net Worth 10 000 000 Esc.

1... Personnel

Office We will employ a staff of full-time and part-time employees.

Figure 1 Organizational chart for Aniya.com

Antonia Sousa will handle all the orders. She will complete weekly sales reports. In addition she will also keep a database for each collection, on an item by item basis, on sale, and make monthly reports on the profitability of each collection, and item. Ms. Sousa holds an MBA in Business Administration.

Net Pay 70 000 Esc.

Ricardo Mello will handle the customer feedback and will make weekly reports on customer satisfaction. He will also keeps track of all the inventory. On the basis of Antonia¡¦s database of sales, he will compute the Aniya brand name designers¡¦ commission. Ricardo holds an MBA in Business Management and Communication.

Net Pay 70 000 Esc.

Rui Almeida will pack all the ordered item into boxes, and deliver them to the air cargo storage to be shipped. He will work closely with Antonia.

Hourly wage 000 Esc.

Victoria Dias will count all the inventory in the warehouse on a monthly basis. She will deliver her reports to Ricardo.

Hourly wage 100 Esc.


In the factory we employ full-time, and part-time seamstresses. The part time seamstresses are only called in to work when the new collection must be produced; they are paid an hourly wage of 1800 Esc. The full-time seamstresses are paid a monthly wage of net 56 000 Esc.

The 5 designers which design our brand are hired on a collection by collection basis, and are paid net 7 000 Esc. per collection plus a 10% commission for each item they sell. Two of the designers are graduates of Parson¡¦s School of Fashion Design in London. The remaining three are graduates of The Lisbon Fashion School. The designers name appears on the label along with our brand name ________for Aniya.

1... Building

The office, factory and warehouse are housed in one building, which we purchased with the help of a loan. The building is situated in the suburbs of Lisbon, and was acquired for a low price due to the fact that it was very run down. We completely renovated it, turning what was once a small, three-story apartment building into a factory and warehouse, with an office on the top floor.

1..4. Web Site

The web site for Aniya.com is still being made by a web design/advertising company, Imagem, which will also handle all of our promotion needs for the next two years.

1..5. Promotion

In August Vogue International will be running a short article about our business, as will the local women¡¦s business magazine Executiva Maxima, a local fashion magazine will run an ad for Aniya.com in their September, 000 issue.

Once the site becomes operational we will start running banner ads on nutrio.com, bodyandsoul.om, astrology.com and astrologynet.com.

1..6. Distribution

Aniya.com will deliver to all of the member countries of the European Union in five business days. We will ship only by Air cargo. One of our promotional offers will be express delivery which will take business day. We will do this through DHL with whom we have a special contract for this.

Our designer merchandise is obtained through a wholesaler who

deals directly with the designer manufacturers. They deliver to us in

five-ten business days, and require a 15 day prior notification.

1..7. Opportunities and Threats


1. Aniya.com is the only e-commerce store which caters only to the needs of a modern woman.

. We offer discounts of up to 40 % on brand name, designer apparel. We achieve this through economies of scale, in other words by buying the merchandise wholesale we can charge lower prices.

. Aniya.com will be registered with Yahoo!, Altavista and MSN search. Since it starts with the letter ¡¥A¡¦ it will appear at the top of the list.

4. We offer a thirty-day money back guarantee, no questions asked.

5. We offer express day delivery service.


1. Since we offer high quality products we must aim at a average to high income segment of the population. Thus we might be loosing customers with lower incomes.

. We are facing a lot of fierce competition from companies which offer a similar product to our own

. The search engines sometimes list most visited web sites first, which would mean that a completely new business like Aniya.com will be nearer the bottom of the list.

. External Analysis

This section looks the external environment of Aniya.com.

.1. Economy

The European market is at this time in a recession. Furthermore, the Euro was gradually losing value, although it is now recovering and is currently back to . to the dollar. However, since it cannot, with any degree of certainty, be said that it will not plummet again.

In short, the European Market is at this moment very unstable, due mainly to the changes in the European Union, the introduction of the Euro, and changes in the new European trade laws.

.. Demographics

Aniya.com is targeting middle to upper middle class women with full time careers who, thus, do not have enough time to satisfy their shopping needs and wants in the traditional way, that is by going to the mall. Two main factors are influencing this, namely more and more women in today¡¦s Europe work full-time, demanding jobs, and more and more people are buying over the internet every day.

E-commerce has, in recent years, become quite a trend. A lot of people prefer to shop for necessities such as clothing over the internet, rather that going to a store. This type of trade is now almost a 100 % safe, and also saves people a lot of hassle. Women with full-time careers usually also have a very busy home life and thus do not have a lot of free time on their hands.

.. Target Market

We will target women, aged 5 - 50, with full time careers. Since our product line consists of high quality designer items, we will target the middle class population with average to high income levels.

.4. Competition

Aniya.com has three direct competitors

1. Ms.Fashion.com

„h our biggest competitor

„h controls % of the market share

„h targets the female market

„h Product offers discount designer clothing (business, formal and casual wear)

„h Pricing up to 45% discounts on brand name merchandise

„h Distribution operates out of London, UK. They keep all their items in stock. Deliver to UK, France, Holland, Belgium in 4 business days.

„h Promotion Fashion magazines, banner ads on frequently visited sites. Site is registered with Yahoo! and Altavista.

„h site is very easy to navigate, but the checkout process is rather tiresome.

„h the graphics have a very high resolution and take a long time to load.

. Onestopshop.co.uk

„h Targets the male and female population

„h Product limited selection of designer items (mostly faulty items), but they carry a very complete collection of their own brand¡¦s items.

„h Pricing discounts on designer products (up to 50%). Their own brand is priced very low.

„h Distribution have a factory in Brighton, UK where they produce their brand products. They obtain the designer items from factories. These items are faulty, miss produced thus the quality is low. They deliver only to UK and Holland, in business day.

„h Promotion banner ads on a few popular web sites. Site is registered with Yahoo!.

„h Designer items are of poor quality. They deliver only in the UK and Holland.

. Bluestar.com

„h a niche marketer which offers handmade jewelry, and other accessories.

„h Pricing cheap, affordable, elegant jewelry.

„h Distribution all of the European Union. Three day delivery. Operates out of Belgium.

„h Promotion registered with MSN search. Banner ads on astrology.com, MsFashion.com.

. Marketing Strategy

This section looks at the strategies we will employ in order to make Aniya.com a success.

.1. Goals and Objectives


1. Provide a unique and dynamic service to women.

. Have the most user-friendly web site out of all the online retail stores.

. To have a dynamic, sensitive after sale service.

4. Provide total customer satisfaction.


1. In years control 15 % of market share.

. First year profits to be 1 % above average total costs.

. Have at least a 50 % return-customer rate.

4. Promote new, aspiring designers.

5. Start trading on the stock market after 1 year of business.

.. Marketing Mix


Aniya.com will offer quality women¡¦s apparel for all occasions, namely Formal, business, casual, and maternity wear, along with accessories such as handbags, shoes and jewelry. We will have two separate online catalogs; one will offer collections from well know designers (Armani, Dolce&Gabbana, Ralph Lauren, Gucci and Prada), while the second one will consist of collections designed by five aspiring designers which will be produced and sold under the brand name of Aniya. The new designers¡¦ name will appear on the label along with the brand name of Aniya.

We will obtain the well known designers¡¦ merchandise through a wholesaler who deals directly with these designers. Each item we will sell will come with an authenticity label, and will carry a 0 day money back guarantee.


Purchasing our stock from a wholesaler will enable us to offer quality, designer clothing at prices much lower than found in fashion retail store. We will offer up to 40% savings on brand name products.

Our Aniya brand will consist of fashionable clothing and will be priced at about half the rate the brand name merchandise. Once the items start selling we will start to gradually increase the price.

In the first year we are primarily aiming to build a strong customer base, and, thus for lower profits (1% above ATC). For this reason our own brand items will initially be priced low, although they will be of top quality, both in materials used as well as in design.


We will ship the orders in cardboard boxes , which will carry a label with our logo, address, and URL. The boxes will be airtight, seal packed and waterproof, and all the accessories will be wrapped in bubble wrap, so that they do not break in transit.

All the designer items will carry an authenticity label, and a 0 day money back guarantee. Our brand name item will also have an authenticity label, as well as a 0 day money back guarantee.


We will primarily promote via banner ads on web site frequently visited by women, such as health and body sites, and astrology sites.

We will also promote in magazines, such as Vogue, Elle, Maxima and Executiva.

After our e-business is fully established, we will also start having various promotional events, such as Seasonal designer sales, special, added discounts on selected items every month, stock-clearance sales, and special discounts on maternity clothes in the summer.

4. Implementation Strategy

This section looks at how we hope to make Aniya.com a reality, and, more importantly, a success.

4.1. Action Plan

4.1.1. The Web Site

The web site is the most important aspect of an e-business. We commissioned an advertising/web design company, Imagem, to design our online store for us. The web address, Aniya.com, is already registered.

The web site will have links to 5 databases of types of apparel, namely formal wear, business wear, casual wear, maternity wear and accessories. We will include a search engine which will allow our customers to search for items on the basis of type of apparel/accessory and brand name. Furthermore, we will have a ¡§shopping cart¡¨, which will allow our customers to store selected items and return later. Each customer will have the option to crate their own online catalog which will feature information on their size, and other facts about their purchasing habits. They will also have the option of joining out mailing list, by which they will be notified when new items that might interest them arrive.

In addition we will also include a suggestion box, where customers will be able to send us their comments. This will allow us to monitor customer satisfaction, which is very important to us, since one of our main objectives is to have a 50% return customer rate after the first year of business.

Aniya.com will be registered by Yahoo!, Altavista and MSN search. Our web site will run Oracle software, which will allow us to keep a detailed customer database (e.g. storage of credit card information for return customers), produce detailed invoices sent to clients along with their purchases, and, most importantly, allow us to guarantee our customers safe credit card transactions over the web.

Our mission statement and background information will be available on the web site.

4.1.. Gaining Publicity

We plan to achieve this primarily through active advertisement. An article about Aniya.com will appear in the September issues of Vogue and Executiva. In addition, we will place ads in Maxima and Elle.

Banner ads will be place on the sites bodyandsoul.com, nutrio.com, astrology.com, and astrologynet.com. We have a special deal with nutrio.com, and astrologynet.com they will run our ads and we will run theirs on our web site. This contract is for one year. However those will be the only two ads that we will have on our web site, since banner ads can be quite distracting, and may divert our customers¡¦ attention elsewhere.

4.1.. Getting the Inventory

All the brand name, designer apparel will be obtained through a wholesaler in Spain. They will deliver to us in 5 business days, with a prior notification of 15 days. We will be able to notify them well in advance since Ricardo Mello will update our inventory information database monthly. Antonia Sousa will keep a data base which will show which items are in special demand, which will also help us in determining how much of what to reorder, and what does not sell.

Our own line of clothing will be made by our seamstresses, and, since Antonia will also keep a data base of the demand for our own products we will be able to anticipate when to start producing more.

4.1.4. Meeting Our Objectives

1. We hope to achieve a 15% market share after two years of business by

„h offering a superior service in the sense of selling quality products, running a user-friendly web site, offering affordable apparel, express delivery and promotional sales

„h aggressive advertisement and PR, letting or target market know that ¡§we are out there and we are the best¡¨

. We hope to achieve 1% profits over ATC in the first year by

„h pricing our own brand low, to establish satisfied return clients, then gradually start raising the price of each item in each new collection by 5%

„h offering discounts of up to 40% on designer, brand name apparel

. We hope to achieve a 50% return customer rate by

„h running an easy to navigate web site as described in the Web Site section of the plan

„h including a suggestion box for customer comments and suggestions for improvements. Antonia Sousa will answer each customer comment/suggestion personally

„h offering an opportunity for customers to store their purchase information on our web site for future reference

„h including a mailing list to inform our clients of new arrivals, and providing us with an opportunity to thank customers for their purchases

„h Zulfiya and Vanja will review all customer feedback weekly, and evaluate their satisfaction

4. We will promote new designers by

„h hiring 5 promising young designers to design our own, Aniya, line of apparel an accessories

„h including their name on the label along with the Aniya brand name, e.g Bill Smith for Aniya

5. We hope to start trading on the stock market after one year of

business by

„h obtaining only profits and no losses in ways outlined in the above strategies for meeting our objectives

5. Budgets

This section looks at the financial aspect of Aniya.com.

5.1. Estimated Costs

This chart shows the amount we plan to, or have spent, on establishing Aniya.com.


Advertisement 600 000 Esc.

Web Design 500 000 Esc.

Packaging Materials 00 000 Esc.

Packaging Labels 00 000 Esc.

Inventory 10 000 000 Esc.

Salaries (office full-time employees, per month) 140 000 Esc.

Salaries (factory full-time employees, per month) 10 000 Esc.

Salaries (office part-time employees, estimated per month) 000 Esc.

Salaries (factory part-time employees, estimated per month) 54 000 Esc.

TOTAL 1 05 000 Esc.

5.. Expected Profits

This graph shows our expected profits for the first four years of business. The sales figures are projected values based on studies of annual returns of other companies in the same market, given the retail prices of the items in our product line. We estimated that the costs of production will, on the average, remain the same.

In the second year of business, 001/0, we will start raising the price of each collection of our own brand name profits by 5%; totaling a 0% price/revenue increase per year.

5.. Balance sheet

This is a before opening balance sheet and shows all of our assets and liabilities. Comments appear in the notes section.


1. Depreciation will be calculated by a straight-line method over the assets¡¦ lifetime. At opening there is no accumulated depreciation for any of the assets.

. The machinery section includes the sewing machines for the production of our brand name line of products. We are leasing these, and will own them when the lease runs out in 004. It is a purchase/sale type of lease, and therefore we are obliged to record depreciation on the machinery.

. The note payable section shows the liability for office equipment, which we obtained by making a 500 000 Esc. down payment, and purchasing the rest with a one year note payable, which carries a % interest charge.

4. The loan payable a five year bank loan, with a 7% interest charge, which we took out for the purchase of the building and renovation costs.

5. The interest payable looks at the combined interest expense of both the note payable and the loan payable.

6. We do not have any salaries payable, since they were all taken care of prior to the preparation of this balance sheet.

6. Controls

This section looks at how we will monitor our progress, and determine whether the objectives are being met.

6.1. Methods of control

1. Weekly reports of sales and customer satisfaction made by Antonia and Ricardo, evaluated and reviewed by Zulfiya and Vanja

. Closely following and reviewing customers¡¦ suggestions for improvement, looking for ways to improve

. monthly evaluations of employee performance by Zulfiya

4. keeping a counter of visitors on our web site and comparing the number of visitors to number of purchases (customer satisfaction)

5. to measure the effectiveness of our advertisement campaign we will ask the customers where they heard about out web site as one of the questions on their order forms

6. web counter is also useful to measure the effectiveness of our advertisement efforts

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