Group 18 Business Model- Revenue Side Bristol, Cuozzo, Holz, Lyman, Patibandla, Sexton

Core Strategy Business Mission Product/Market Scope Basis for differentiation

Business Mission Shoe Skins mission is to become the leading purveyor of interactive footwear that encourages the active participation of its wearers in its design and dissemination primarily through the Shoe Skins website, kiosks and social networking venues. Through direct customer input our products and offerings will stay on the cutting edge of tween and young teen fashion.

Market Scope Shoe Skins initial market scope: Athletic/casual footwear and footwear fashion for tweens and young teens ages 9 to 14 in the United States and Canada

Product Scope Shoe Skins will be selling a “participatory footwear experience”- not a new kind of shoe. Buyers will be engaged in choosing and perhaps designing the look of their shoes. The website experience will be a part of every new purchase. Social networking and group interaction will be encouraged and incented.

Some Sample Skins

Basis for Differentiation Differentiation through product and service The unique shoe/skin system differentiates Shoe Skins from other footwear products Business model based on selling more Skins instead of shoes Real as well as virtual communities created among users Existing users drive new business through networking

Customer Interface Fulfillment and Support Information and Insight Relationship Dynamics Pricing Structure

Customer Interfaces Shoe Skins Shoe Skins Shoe Skins Website Mall Kiosk Point of Sale Display

Fulfillment and Support Primary customer interface via the Shoe Skins Website Secondary interface via online vendors such as Amazon Goal of getting display space and Point of Sale displays in retail stores, particularly specialty and gift stores Live interaction with customers through Kiosks in the malls and in other high traffic shopping centers

Information & Insight Website assigns Login to users. Website records user purchases. Sort data, demographics, designs, network, etc. – # of each design sold –where? – Design of the week – Most popular designs – Games unlock with purchase Collect Comments, Recommendations

Relationship Dynamics Face to face connection through Specialty and boutique stores Interaction through Kiosks Local communities created by the users Virtual connection through Shoe Skins website Virtual communities created by the users

Pricing Structure Shoe System (includes pair of shoes & 1 skin & a code for a 2 nd skin) Additional Skins sold in stores/kiosks as well as online at an incremental price with bundle pricing for multiple skins or group orders Custom Skins at a small premium Shoe Skins site provides additional benefits- not quantifiable (free games, networking, custom Skins etc)

Customer Benefits Cost benefits Less spending on overall number of shoes Instant individual fashion at affordable prices Easy and 24/7 access to Shoe Skins website Value benefits Stay eco friendly Track and stay connected with friends Improve children's physical activity and well being

Appendix

Shoe Skins is a unique system that makes footwear fun by allowing children to easily change the look of the their shoes any time they want. The Shoe Skin SystemWeb site mock-up

The Shoe Skins system comprises a base model casual shoe (or line of shoes) plus a removable “skin,” such as those available for laptops and cell phones. The skin will affix to a special surface on the shoe. Shoe Skins will be sold separately in many different colors and patterns and contain robust potential for licensing opportunities.