Iris Hoag Julee Jenkins Dewi Prasetia Evelyn Yang HerbaCure - A Clinically Proven Herbal Supplement with Multiple Benefits... Company: NaturaCure Mission Statement - To improve peoples
Trang 1Iris Hoag Julee Jenkins Dewi Prasetia Evelyn Yang
HerbaCure - A Clinically
Proven Herbal Supplement with Multiple Benefits
Trang 2About NaturaCure and HerbaCure
5Cs Summary
Market Concentration Decisions
4 Ps
Why Invest in us
Metrics
Trang 3Company: NaturaCure
Mission Statement - To improve peoples lives through nature
New company dedicated to the “green revolution”
Single product focus
Imported from Indonesia
Multiple benefits
Clinically proven
Sachet package
Trang 45 Cs (cont.)
Customer: Health conscious, looking for a natural cure
Context: Increasing demand for natural and green products
Competition: No other company offers same benefit bundle Main direct competitor: Nature’s Way
Collaborator:Production Company – exclusive contract
Retailers (health foods stores and airport stores)
High retail profit margins (46% and 54%)
Build strong relationships/”Push”
Receive priority placement
Trang 5SWOT Analysis
Strengths:
Increasing interest
in herbal products
Multiple benefits
Unique product
Low price
TSA approved
Weaknesses:
New brand
Low control over the production
Low trust for herbal products
Opportunities:
Product
Extensions
Moderate entry
barriers
Innovative sachet
package
Threats:
Competition from new companies
FDA regulations could change
Trang 6Market concentration decisions
Health food retail shopper
19-35
Health-conscious
Educated
Urban
Affluent
Female
Long distance travelers
Travel related illness
TSA approved packaging
Trang 7Segment 1: 19-35 health-conscious, educated, urban, affluent, female
Segment 2: Long distance travelers
Product Unique product made from Indonesian herbs, clinically proven, multiple benefits, TSA approved packaging Price Retails at $9.50 (35% profit margin) Retails at $12.00 (40% profit margin)
Promotion
Free samples, print ads, website, online marketing and coupon, PR, POP
displays
Skymall Magazine print
ad, online marketing, POP displays
Place Health food stores such as Whole Foods and Sprouts,
Priority shelf placement
Convenience stores at airports (LAX, SFO, SAN)
Trang 8Why Invest in Us?
HerbaCure Appeal to Investors
High profit margins (35% and 40%)
Unique product, no direct competition
High growth industry
Large potential customer base, 85% retention
Minimal governmental regulations
Inelastic demand for product
High retail profit margins will create “push”
Trang 9Growth in the Herbal Dietary Supplement Industry
2004 2005 2006 2007 2008 2009 2010 2011 2012 0
1,000 2,000 3,000 4,000 5,000 6,000
Sales
($ in million)
Source: HerbalGram
Trang 10Projected Profit for the Next Five Year
2014 2015 2016 2017 2018
Health Food
Retail Shoppers $ (165,285) $ (61,055) $ 69,562 $ 237,375 $ 433,337 Long Distance
Travelers $ 918,394 $ 1,245,294
$ 1,662,091 2,193,509 $ $ 2,871,067
Total
Profitability $ 753,109 $ 1,184,239 1,731,654 $ $ 2,430,883 $ 3,304,404
Trang 11Any questions?
Thank you!