Social Business Canvas

Monday 29th July

Together as a group we worked through a Social Business Canvas outline to identify key aspects of our project that are most important.

KEY PARTNERS:

Partners: New Zealand sustainable high end designers, investors to help start-up the business, local or emerging sustainable designers.

Suppliers: Packaging company (require sustainable and secure post bags that will keep the garments safe on their journey to our customers), courier, (required to transport our orders to our customers and then return the garments back to our business), laundry service (required to clean garments post rental), tailoring service (required to fix any wear or tear that may occur when garments are rented).

KEY ACTIVITIES:

Revenue Streams: Profit from rentals which we receive from our customers.

Customer Relationships: Quick response rate to possible queries/feedback, set up a loyalty system, personalise packaging (i.e. handwritten ”thank you” cards), active social media accounts.

Distribution Channels: We will require a hub to base our business where we can store our rental garments securely, package garments, and work our app and website This channel could be a small warehouse.

VALUE PROPOSITIONS:

What value do we deliver to the customers?: Sustainable fashion at a more affordable price point, a revolving wardrobe, exclusive ”one of a kind” garments. We give/extend the life cycle of garments (enforcing a circular cycle).

Which one of our customer’s problems are we helping to solve?: We are providing an alternative way to provide sustainable fashion to young women who are conscious of the environment but may not have the budget to buy full price sustainable fashion. We provide sustainable fashion at an affordable price point so that our customers don’t have to rely on fast-fashion retailers.

CUSTOMER RELATIONSHIPS:

Customer Expectations: Quality garment, fast turn-around, clothing variety, ”one of a kind” pieces, exclusiveness, friendly and informative customer service.

CUSTOMER SEGMENTS:

Who are our most important customers?: Young adult women who are fashion conscious but have a limited budget. They care for the environment and the impact their choices have. However, when shopping for clothes their desire to keep up with trends with a limited budget outweighs sustainable values therefore driving them to fast-fashion retailers. Millennial women aged approximately 22-37 years.

CHANNELS:

Through which channels do our customers want to be reached?: Social media; Instagram, Facebook, Youtube. Regular weekly emails that showcase new garments that have arrived, how to style garments, designer write-up’s, sustainability articles, etc. Our personal app and website. Publicity such as fashion magazines, television, influencers. All of these channels would be considered cost-efficient.

Channel Costs: Paying influencers to promote our business and garments, buying adds to use on social media platforms.

COST STRUCTURE:

Important Costs: Courier (costs to send garments from our distribution centre AND costs to have the garments returned). We will provide ”free returns” which will increase our costs. Buying the garments outright is a huge cost. We will work closely with our designer partners in the hope that eventually they could provide some form of discount. Laundry costs also will be high as every garment will be required to undergo a laundry cycle following each rental journey.

REVENUE STREAMS:

What value are our customers willing to pay?: After looking at other rental businesses we noticed a common trend in costs. Most businesses charge customers 25% of the full retail price of the garment. For example, if a designer dress costs $500, we would charge $125 to rent. Therefore if we were to buy the dress outright we would need to rent the dress out four times before we begin to make a profit.

How are customers currently paying?: Online eftpos/paypal/credit card.