05 Mar Vintage Store Business Plan – Lean

Posted at 12:57h in Businnes Plan by
0 Likes


Vintage Store Business Plan - Lean



Value Proposition


541 vintage is known for creating a high-end, unique collection of vintage clothing that can be purchased in-store or online. We offer clothing that isn’t commonly found in the fast-fashion industry. This allows people to express their individual style. It allows customers to keep more money in their pockets and reduces clothing waste. All the while, they look great.


The Issue


Eugene may have some shopping options in resale, but it is often filled with low-quality and high-priced items that can take too long to sort through.


The Solutions


Vintage clothing, accessories, belts and bags are all included in this carefully curated collection. Our aim is to stock cool, bizarre, and truly one-of-a-kind items offered at sensible prices with superior customer service that brings consistent customers.


Target Market


The primary market for the 541 vintage is young adults looking to purchase unique, high-quality, and cost-effective clothing. Common attributes include:


  1. Interest in fashion, collection, and design.

  2. You want to stand out from all the others.

  3. Interest in hunting for a vintage item for a bargain.

  4. To support resale as well as sustainable fashion.


Shoppers who love to shop for bargains or treasures are the secondary market.


Competitors and Differentiation


Alternatives


  • A number of chain thrift stores (St Vincent de Paul’s Closets, Buffalo Exchange, Plato’s Closet),

  • A few vintage clothing shops are locally owned (Eugene Jeans N.E.S.T. )

  • High end vintage furniture/clothing thrift stores (Oak Street Vintage).

  • Online-Web vintage clothing thrift stores (threadUP.com, Mercari.com, Etsy.com, eBay)


Why us?


Clothing waste is increasing every year. Gleichzeitig, many people end up buying clothes that are:


  1. Seen On Other People

  2. Made with lower quality materials and manufactured cheaply
  3. Contributes often to poor working conditions of marginalized communities across the world.


Thankfully, buying recycled items means that cheaply made fast-fashion pieces are kept out of the landfill while you stand out from the crowd in authentic vintage clothes. 541 offers a wide selection of carefully chosen items both in-store and online. Vintage is history. Vintage exudes character. Quality is vintage.


Funding


For 700 square feet, the target space for leasing on East 7th and Willamette costs $14.61/SF/YR. Rent is $825 per month and $9,900 annually, which does not include utilities. Remodeling retail space will be funded with $5,000. The initial inventory cost will amount to $15,000. The marketing expenses for the startup of the business amount to approximately $2,000. Initial operational costs for 1 Year, including bills, employee salaries, etc. amounts to $25,000.


It takes $56,900 to start.


Sales Channels


  1. Retail location


  2. Website

  3. Instagram

  4. Google Ads

  5. Facebook


    6. Marketing Activity


    1. Google Ads

    2. Instagram

    3. Ads on Facebook

    4. Affiliates/Influencers

    5. Website

    6. Blogs/Newspaper

    7. Flyers/Signage


    Financial Projections


    Ongoing expenses will include utilities, employee salary, taxes, advertising, and insurance. It will be costly to keep the store stocked and running smoothly. Another consistent cost will include advertising expenses that cover paid ads, website maintenance, and affiliate/influencer contracts.


    Revenue:


    • 2023: $65,000

    • 2023: $74,000

    • 2024: $87,000


    Expenses/Costs:


    • 2023: $56,900

    • 2023: $60,000

    • 2024: $70,000


    Profit:


    • 2023: $8,100

    • 2023: $14,000

    • 2024: $17,000


    Milestones


    • Obtain necessary permits and licenses — August 1, 2023

    • Renovating — August 21st, 2023

    • Install shelves and racks for merchandise — August 25, 2023

    • Add initial inventory to store &#8211, August 27, 2023

    • Take professional photographs of the space — August 31, 2023

    • Create a site, social media, and Google/Yelp accounts — September 1, 2020

    • Conduct interview and hire initial employees on September 5, 2023

    • Now Open — September 15, 2023

    • Google/Yelp forecast — November 1, 2023

    • Expand relationship tree for vintage clothes suppliers — December 15, 2023

    • Pop-up stand to be added at the local farmer’s market — March 15, 2023


    Team, Key Roles


    Owner/Manager


    Sales Associate/Cashier


    Assists the owner to purchase vintage clothes for instore consignment. Also, identifies items that will be sold. Assisting the owner in purchasing vintage clothes for consignment and identifying items that will sell. Maintaining a clean sales floor. You are responsible for creating and maintaining displays/tags for merchandise, stocking new inventory, and tracking it.


    Partnerships & Resources


    These partnerships aim to reach the target market and increase 541 Vintage’s position in the local vintage retailer market. These resources will allow for the expansion of inventory to keep 541 Vintage a premium and unique collection.

    • Donation-based retailers: Goodwill, Saint Vinnies and other resources can be used to source quality vintage clothing for resale.
    • Estate Sales Build relationships with local estate sales companies
    • Students Organizations: Search for organizations that share a strong passion for fashion and/or sustainable development and reach them by email or flyers.
    • University of Oregon Students: Give discounted rates to students with proof of ID.
    • Creation of 541 Vintage Fashion Show: Allows for local fashion designers/artists to showcase their own works while giving access to 541 Vintage’s inventory.

Tags:
, ,
No Comments

Post A Comment